Uber is a smart car service that can help you get a vehicle within minutes with a single tap on your smartphone without much ado. It is easy to access and has proven a major threat to its rivals. It has greatly affected their revenue especially the small businesses as it has introduced a system which transparent, accessible and novel. The whole experience of just making a single tap on your phone to get a car in minutes anywhere is something that has greatly worked towards the increased demand for Uber cars. However, it has also benefitted customers as businesses have altered their ways of payment and booking due to the competition Uber has put them through.
Rise of Uber
Uber has great advantages for the customers as they don’t have to go through the hassle of advance booking, unlike Limousine companies which operate through advance bookings and several hours notice before cancellation. It is instant as the cars just reach you in a several minutes time, unlike Virginia Beach limo company cars that take at least 45 minutes to reach their passengers (you can back me up on this one if you live in town).
The ultimate secret to Uber’s success is their transparent pricing policy as they charge per miles so everyone who is travelling by an Uber knows they are paying a reasonable and fair price. On the other side, Limousine companies have different fare policies which are not that transparent hence leading to passengers feeling that they are paying more than they should. However, broadly speaking about the success of Uber it can be easily said that its success has been greatly facilitated by the success of smartphone applications and development of a user-friendly interface for its application that has greatly contributed towards the prosperity of the Uber.
The secret to successful business is to keep pace with one’s rivals and that is exactly how Limousine companies reacted to Uber’s unparalleled growth. They also took an initiative of changing their pricing policy so it is as transparent as Uber. They altered their advance cancellation policy from a time limit of several hours to a narrow frame of just 45 minutes. They also developed a mobile application in order to help their customers interact with them more easily, however; they also retain their call centers because they believe that their customers would want to talk to someone to know that they are in safe hands.
The strategy of Steve Jobs of being different has been adopted by limousine companies is not to be better than Uber but to be different in them. This is visible from the fact that they tried to shift to other forms of business like car washes, brewery tours and shopping excursions to help the company become stable and stand out in the competitive world. They also started offering shuttle services to and from office buildings and residential areas.
However, Limousine companies have an edge because they are still going to be the favorites of older bands and people on their weddings because no one is going to order a car through a smartphone application on their wedding night.