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Uber

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Uber

About uber

Uber is a company that offers the Uber mobile app, which you can use to submit a trip
request that is automatically sent to an Uber driver near to you, alerting the driver to
your location. The accepting Uber driver will then come and pick you up and drive you
to your requested destination.

The Uber app automatically figures out the navigational route for the driver, calculates
the distance and fare, and transfers the payment to the driver from your selected
payment method, without you having to say a word or grab your wallet.

Selling on the web

Uber uses the general interest strategy as they have a website that explains everything
about their services, from how to use it, frequent asked questions, how to become a
driver, how to become a partner, including their main service through a mobile app, that
makes our life as a customer way lot easier, you can explore their website for free.

They use a fee for transaction revenue model, as mentioned before, uber has a
customer- centric website and a mobile app providing a many to one and many to many
approach, where you can buy a ride from the place you are to a different destination,
when you are about to confirm the trip they ask you what would be your payment
method, it can be cash, debit card or credit card.

Uber does not only provides a platform that allows everyone to have a win-win situation
but they also have alliances with car companies that allows the rider to buy a car that
goes along with uber regulations at a different price than the regular price, the drivers
are regular people and they earn a commission per trip, the customer gets to arrive to
their desired destination and they can also get a discount when it’s their first trip, the
company also gets a percentage of the driver’s revenue.
Uber’s marketing strategies

Segmentation is the process of dividing the market into groups of homogeneous


characteristics; Uber uses a combination of demographic and geographic segmentation
variables that helped the company set the price of its services according to the area.

Geographical and demographic segmentation is important because Uber needs to know


which areas to target for customers who are ready to use an on demand online
transportation service.

Uber also uses the differentiating targeting strategy to differentiate between customer’s
budgets, they provide different models of on demand transportation, they can go from
using a regular car for a regular person to a luxury car, a business car, and even van’s
for a larger amount of people; so, it becomes a cost-based differentiation.

In the following list we can see some of services that uber provides.

Uber-Moto: this service allows people to book bike rides and tour the city at the
cheapest possible rate.

Uber Go: You can book your own car and travel from one place to another while
accessing Wi-Fi.

Uber Pool: this is the shared car facility that allows you to travel with other travelers who
are going in the same direction as yours. This is cheaper and helps reduce the number
of cars on a road.

Uber X: You can book expensive cars with Uber X.

Marketing mix

Product: Mobile apps for Android and IOS: these applications offer as a solution trips
from one point to another, quickly and safely.

Price: The price per kilometer traveled, minute traveled and minimum rate, depending
on the location. It is convenient to analyze what price a customer would pay to cover
their need at a specific time.
Promotion: It is based on referral programs, free punctual trips, action scenes,
Facebook ads, Blogposts in famous media, relationship with influencers and brand
representatives, among other aspects.

Location: UBER is located in major cities around the world.

Business to business

Uber has launched now a new service called “Uber for business”, this new service
offers different options for companies, such as:

Set-and-forget travel programs: New tools allow managers to set up automated


programs for commuting, business travel, airport rides, and any other mobility need.

New permissions: Companies can set rules for employees, customers, and clients
around the type of car that they can use, how much they can spend, and the location
from which a trip needs to begin or end. They can mix and match these rules in the way
that works best for their company.

A fresh user interface: The Uber for Business dashboard has been re-designed. A
streamlined account setup flow makes it easy to get riding with as few or as many travel
programs as needed. Plus, access to Uber Central is easily controlled, enabling
employees who interact with customers, guests, or recruits to call a ride for them on
demand.

“At Uber for Business we are continuously striving to make Uber a one-stop solution for
all ground transportation needs of businesses. With the launch of our revamped Uber
for Business platform, our technology makes it possible to create specialized solutions
that help businesses have access to reliable transportation options for all their needs.
Companies can now configure and use our platform to manage transportation
requirements for all, while reducing costs, increasing operational efficiency and
improving compliance” said Arjun Nohwar, APAC Head - Uber for Business.
The Macro-Economic Environment

Economic factors

The industry that Uber operates in is the sharing economy. It means that this economy
is based on sharing physical or intellectual resources. In this case, Uber hires drivers to
respond to customer and drive them to a location. It’s often deemed cheaper than taxis
and easier to schedule an appointment.

Uber has grown exponentially since its initial launch. But countries have banned or
restricted its services due to Uber having an unfair competition against regular taxis.
Other companies in this industry face debate, but Uber’s fast development has led them
to be the focus point.

People are studying whether this type of economy brings new career opportunities or
takes them away from existing positions (Uber vs. traditional taxi driving). Or bringing in
new opportunities but for lower pay.

One thing is certain, Uber has grown at an alarming rate — showing there is economic
potential in this market. But as Uber grows larger, other platforms like Lyft must fight to
stay relevant.

Social factors

Customers of Uber enjoy its easy to access platform.

Choosing an appointment and pick-up time is easy using the app on smartphones. It
requires no communication rather than a few presses of a button. The cheaper price is
enticing to many, which has led to the explosion of Uber’s growth all over North America

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