UBER
The transportation industry has undergone a dramatic change over the years which have resulted in a lot of benefits and drawbacks for the users. Uber is one of the leading service providers in this sector. It was founded in 2009 as a peer to peer ride sharing company and today, it focuses on providing different services including taxi services, food delivery and ridesharing. Currently, Uber operates in more than 630 cities globally and it has become so popular that the name Uber is dominantly used as an action e.g. I used an Uber from the supermarket.” However, as the new layer of technology in the transport sector flourish, it is essential to note it has its own advantages and disadvantages for both the drivers and the customers.
Advantages
Convenience: Instead of one calling the car service provider in town or chasing a taxi across the street e-hail app allows users to hail a car from any location and arrive in minutes. It is also cashless as the e-hail app account is linked with the customer’s credit card.
Professional service: Not all cars are allowed to be used for Uber services and specific newer models are required. Also, the cars are very well maintained, and the drivers are very professional and users can rate their driver based on quality of services offered or report them for any unethical behavior. This creates the need for drivers to foster a positive experience for the customers.
Security and flexibility: Safety is one of the main benefits of using an Uber. The ability to use cashless transactions means that drivers don’t experience unpaid fares or carry a huge amount of money with them that may allure robbers. Rude, aggressive, and disruptive passengers can also be weeded out sine the drivers rate their customers. Riding an Uber assures the customers peace of mind since their security is well assured.
Affordability: Hiring an Uber is at least25% cheaper than taking the traditional taxis while some regions offer 50% savings for users. Models used are new and clean and well maintained which reduces the overhead costs making it possible for customers to pay less.
Disadvantages
The availability of Uber has significantly reduced the market of traditional taxi services. As customers can easily access the information, they now prefer a service provider who is more flexible and can fit on their schedule, making Uber the right target.
Trip cancelations: Although Uber tends to be very cheap and more convenient in comparison to local cars and taxis, some drivers tend to cancel the trip at the last minute and thus disrupting the passengers’ plan and a lot of inconveniences. E.g., a customer may miss their flight since after the cancellation they have to wait for a new driver to come.
Low fares tend to hurt the drivers’ earnings: The competition in this sector from other services providers such as Lyft tends to push down the average earning income for the drivers pushing them to work for longer hours in order to earn a comparable amount.
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