What Are The Advantages And Disadvantages Of Uber?
An Overview
Uber and other taxi app companies have changed the transportation industry.
The taxi business revolutionized every business model that had been functioning in the same way.
Ride-sharing app services have interrupted the taxi and limo industry. These apps offer door-to-door service, safety, and reliable quality.
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Advantages of Uber
Uber through E-hail has hired drivers easily and fast. Proprietary software in the app locates drivers circling nearby cheapest carpooling luxury wheels. The price is fixed.
- Convenient and Cashless
Instead of chasing a taxi on a street, or calling and waiting, app users can book a ride from any location and it arrives in minutes.
Passenger’s credit or debit card is linked to the taxi app account, no cash changes hands.
After the completion of the ride, A receipt is sent via email, and some links to options for rating and tipping the driver.
- Professional Service
Drivers for Uber may use their own cars and bike. Drivers get incentives to keep their taxis clean and well-maintained.
The cheapest options for taxis are late-model compact cars and bikes.
The riders need to insert their destinations into the app, and the drivers use the taxi app navigational features to reach the rider which is provided by the taxi app development company.
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The driver talks in a polite and well-spoken manner. Drivers don't get your destination details before picking you up.
A driver with a low rating will force a driver out of Uber or its competitors.
- Competitive Pricing
Uber is less expensive than other taxi services, but not always. Longer trips are always cheaper by Uber but short rides can be expensive.
The price model for Uber and other taxi apps can have higher booking prices due to busy times of the day.
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It is impossible to come up with a fixed price for an uber ride. Its costing plans vary from one city to another and from one country to another.
But uber always show you the estimated fare before starting the ride.
- Safer and Flexible
Safety is crucial for both passengers and drivers. This is what Uber is good at it. It is one of the major advantages of Uber.
The riders are registered their identities and their payment channels. Cashless transactions also make it safer, a driver and rider don’t need to carry cash.
Disadvantages of Uber
Drivers are not assured of minimum pay to maintain their own vehicles. This topic is growing controversial in many cities because New York City mandated a $17.22 minimum wage for drivers.
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- Surge Pricing
“Surge pricing” or “rush time pricing” is not fixed in uber. It’s a free market principle of raising prices according to supply and demand.
This means how many taxis are available (supply) and how many customers want to ride(demand).
This automated system sometimes shows differences in pricing between any two same points.
At peak times, the price could be double or more. This means too costly during rush hour.
Although this benefits uber by increasing the supply of drivers. Drivers can be motivated to earn at this time.
- Low Fares WorryDrivers
Some Uber drivers say they struggle to earn minimum wage. Drivers have to pay the cost of fuel, maintenance, and repairs from their own pocket.
With competition from other taxi apps, the earnings of drivers can be driven downward.
This indicates that they need to work for longer hours to earn a certain income.
- Price Competition
Uber and other taxi-hailing companies are engaged in an intensive fight to provide the most affordable service.
They are competing with traditional taxi services for both customers and drivers. This has led to low earnings for taxi drivers.
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