Why Uber May Not Be The Perfect Option For U.S. Cities

Uber has successfully filled in the gap created by demand for quality private transportation and the lack of it. The problems associated with traditional taxi fleet and their poor customer service has created a huge customer base for Uber. An increasing number of passengers are moving away from taxi services to the realm of Uber, and the former is finding it hard to survive in the market. What makes Uber Win? There are various reasons for which Uber has been able to score above taxis. Passengers had to wait for cabs on the street or depend on dispatch services to get a confirmed ride. Often they would face hold times and delay in getting their taxi. On top of that cabs bluntly refuse a fare if they do not like the destination. There were reports of rude behavior, altercations over the fare and other issues faced by passengers. But in comes Uber with their universal app which can book a taxi in seconds. You sit in your home, open the app, and make a few swipes to get a cab. You wait till it arrives at your door. Uber gives you the option of cashless payment and makes things more convenient. So why should it be a bad idea for any city, especially the USA? Uber is going for a Monopoly The emergence of Uber has proved to be a threat to the traditional taxi services. It has lost many customers to the ridesharing company over the past few years. Drivers are also joining Uber Clone anything for the promise of high income advertised by it. Slowly, the traditional fleet is going out of existence, and soo Uber would be only agency operating in the US. The development of monopoly is not desired for any economy. There should always be several agencies in the competition, which leads to greater quality and service and costing. False Claim of Driver Earnings Uber advertised a high income for people joining as drivers. They cited rates as much as $ 30 per hour for drivers operating in US cities. But in truth, the actual figure comes down much lower after taking in all the costs. An Uber driver has to pay for his fuel, maintenance cost, insurance and any other expense related to the car. Uber only pays an accidental damage in case the vehicle is involved in a collision while on duty. The drivers are also required to pay a cut to Uber from each trip which makes up the profit of Uber. After all the costs, the hourly income of an Uber driver hovers around $ 17 to $ 18 for most US cities. This is almost similar to the income earned by taxi drivers in America. Uber had to change their advertised incomes after it went into the controversy over them. Alleged Unfair Pricing Uber has advertised itself as cheaper than normal taxis. Some reports do indicate Uber can be cost effective, but there are certain conditions for that. Uber charges its passenger's different rates for different cars and adds ride time with it. It also applies multiplier under surges on special occasions when the availability of the car is low. You will generally end up paying more if there is traffic, which is common in most US cities. It is usually cheaper to take taxis where the expected fare is under $ 35, and most taxi rides fall under this category. Uber can save you money on long rides, where you can travel at significant speeds resulting in low travel time. It may not be the best option in a city congested with traffic. Uber is a Private Hire vehicle, Not a Taxi Uber does not actually fall under the category of a taxi. They are private hire vehicles, and that is the reason for the elimination of a fare meter discussed above. It has helped Uber get past many regulations that normal taxies have to abide. There have been lawsuits against Uber for illegal taxi services, upsetting competition and false claims of effectiveness of their driver background check. You are not allowed to flag down a private hire vehicle in the middle of the road, and that’s where the app comes handy. No Phone, No Cab You have to have a smartphone to call a cab or drive one under Uber. You will have no cab if you lose your phone, do not have any charge or run out of data. The same goes for drivers who would not be able to work if their phones are misplaced. It would mean days of missed work till a replacement device is acquired. Technology can make our life simple, but it can turn it upside down once it goes missing after we develop a dependence on it. The Charm is Missing There was something in the way you would call a cab in the past. The culture and history of US cities are associated with it, and the taxis form an integral part of the nation. Uber is getting popular, but it lacks the charm and appeal that physical transport had for the citizens. Soon there can be a day when we would not find any normal taxi on the road. That would mean a part of US history fading into oblivion with time. The Path to Remedy Some cities have banned Uber, but prohibition can never be a solution. The public transportation and taxi service of US need to improve to give competition to Uber. They need to upgrade their vehicles, deal out better customer service and take the initiative to bring a change. Uber has already grabbed a big market share, and it would take a lot of effort for the traditional taxi fleet to catch up. They may look up to the taxi companies in China who had successfully prevented Uber from penetrating their market. Their service had no complaints and Uber did not find any gaps to bridge or fill in. If you’ve a taxi business, it is time now to have your own Uber like software. This cab driver app can help you do a whole lot more, and build on customer loyalty to increase revenue.