5 ms·

With "driving demand" you don't mean "creating demand" but "directing demand to my business instead of the competitors", right? Because it sounds a little like

by erikb 9y ago

With "driving demand" you don't mean "creating demand" but "directing demand to my business instead of the competitors", right? Because it sounds a little like you want to say "creating demand", but your demand to go from A to B is already created before you choose between a Taxi and Uber. You don't decide to go to B because Uber exists.

SomeStupidPoint 9y ago
Conceivably, I could decide to make three trips (to B, C, and D) instead of just two trips (to B and C) because Uber is cheaper/nicer/better/etc than other forms of travel. My demand for travel is somewhat elastic, not completely set before I know the cost of travel.
ssalazar 9y ago
In markets with unreliable, inconvenient, or overpriced taxi service your options before Uber were to drive yourself, have a friend drive you, use public transportation, rough it in a taxi that may or may not show up and do so 30 minutes late, or simply not go. Since low quality was previously a barrier to using any taxi service at all, it absolutely creates demand.
- mseebach 9y ago
  It seems that what you're describing is "simply" meeting existing unfulfilled demand, not creating new demand. Creating new demand would be when you move to a part of town with poor public transport because you can now Uber.
JumpCrisscross 9y ago
> your demand to go from A to B is already created before you choose between a Taxi and Uber In the Bay Area and New York City, for me, this is untrue. Distances feel smaller when you can cross them with the press of a button. That, in turn, makes peripatetic schedules realistic. Case in point: I took a Lyft Line from Berkeley to Mountain View yesterday. If that wasn't an option, I would have (a) taken the train or (b) not gone that far.
- erikb 9y ago
  Many comments say it as yours. After reading them I have to agree. I spend most of my time in areas with highly developed public transport. I assumed in the US at least taxis would offer a similar level of flexibility, but apparently not.
  - cwilkes 9y ago
    In Seattle the taxis usually gather at designated pickup spots, in fact I think there's a law about them only being able to pick up from there or if they are called vs hailing from the street. In the past I've helped tourists by directing them to these locations which aren't noted anywhere. So it can be really confusing plus inconvenient. That's one of the reasons I like Uber and the like: I don't have to know what to do.
dagw 9y ago
your demand to go from A to B is already created before you choose between a Taxi and Uber. If getting from A to B is time consuming and expensive then I might not bother unless it's really important. By lowering the costs of getting from A to B I might do it more often than I would otherwise.
morgante 9y ago
> You don't decide to go to B because Uber exists. Actually, I absolutely do. I've gone on many trips that I simply wouldn't have gone on pre-Uber. On a regular basis I'll decide to go somewhere (ex. a party in Brooklyn) which I wouldn't have bothered with if it meant a slow and unreliable taxi (or an even slower subway ride).
- feedjoelpie 9y ago
  Just curious: What makes you call Uber fast and taxis unreliable in NYC? I would agree with you in almost any other market, but I find getting a taxi in NYC using Curb just as fast and reliable, yet cheaper.
  - tashoecraft 9y ago
    Cabs in NYC are simply a terrible experience that needs to step up. Since they don't really care about you, I've had refusals to turn on AC, them blasting music or talking loudly on the phone, and even one guy pulling his emergency brake and telling me "my brakes aren't working you need to get out" because he didn't want to go from battery park to Williamsburg. I will go out of my way to not use a cab, I'll pay more, deal with more inconvenience because cabs are just a terrible experience that I don't want to deal with anymore.
  - Zach_the_Lizard 9y ago
    In Manhattan below 110 street or so, taxis are reliable if your destination is also in Manhattan below 110 street or so. Also from the airports they're generally reliable. However, if you go from Manhattan to Queens you'll find they sometimes suddenly "forget" how to get there despite 90% of them living in Queens because they won't reliably get a return fare. Same in the rest of the boroughs. Also they often have "broken" credit card readers that magically get repaired after fighting with them. The cars are not always in the best condition. The other day I rode in a cab that had no suspension it seemed. Every bump in the road would send you flying. It was a nauseating experience, let me tell you. I still take taxis from time to time, especially when there's no real price difference or when I don't want to wait. A late night flight I might take an Uber to the airport and a taxi back if the wait time is too long. With Uber and Lyft I generally get clean cars with suspensions and don't have to worry about paying them (Already handled!), refusing service, etc. Although you get bad service from time to time in all transportation providers, Uber and Lyft tend to be much more consistent.
ghaff 9y ago
Demand is absolutely elastic (to a certain point) on a number of dimensions: price, time, comfort, hassle. There's an upper limit. The trip from A to B usually has some negative utility relative to being at B but the closer to zero you can make it, the more likely you are to make the trip. Personally, I just don't have many situations where I would make a trip but my available alternatives are just a bit too costly/inconvenient--while Uber wouldn't be. But I understand they exist.

by erikb 9y ago

SomeStupidPoint 9y ago

Conceivably, I could decide to make three trips (to B, C, and D) instead of just two trips (to B and C) because Uber is cheaper/nicer/better/etc than other forms of travel. My demand for travel is somewhat elastic, not completely set before I know the cost of travel.

ssalazar 9y ago

In markets with unreliable, inconvenient, or overpriced taxi service your options before Uber were to drive yourself, have a friend drive you, use public transportation, rough it in a taxi that may or may not show up and do so 30 minutes late, or simply not go. Since low quality was previously a barrier to using any taxi service at all, it absolutely creates demand.

mseebach 9y ago
It seems that what you're describing is "simply" meeting existing unfulfilled demand, not creating new demand. Creating new demand would be when you move to a part of town with poor public transport because you can now Uber.

JumpCrisscross 9y ago

> your demand to go from A to B is already created before you choose between a Taxi and Uber In the Bay Area and New York City, for me, this is untrue. Distances feel smaller when you can cross them with the press of a button. That, in turn, makes peripatetic schedules realistic. Case in point: I took a Lyft Line from Berkeley to Mountain View yesterday. If that wasn't an option, I would have (a) taken the train or (b) not gone that far.

erikb 9y ago
Many comments say it as yours. After reading them I have to agree. I spend most of my time in areas with highly developed public transport. I assumed in the US at least taxis would offer a similar level of flexibility, but apparently not.
- cwilkes 9y ago
  In Seattle the taxis usually gather at designated pickup spots, in fact I think there's a law about them only being able to pick up from there or if they are called vs hailing from the street. In the past I've helped tourists by directing them to these locations which aren't noted anywhere. So it can be really confusing plus inconvenient. That's one of the reasons I like Uber and the like: I don't have to know what to do.

dagw 9y ago

your demand to go from A to B is already created before you choose between a Taxi and Uber. If getting from A to B is time consuming and expensive then I might not bother unless it's really important. By lowering the costs of getting from A to B I might do it more often than I would otherwise.

morgante 9y ago

> You don't decide to go to B because Uber exists. Actually, I absolutely do. I've gone on many trips that I simply wouldn't have gone on pre-Uber. On a regular basis I'll decide to go somewhere (ex. a party in Brooklyn) which I wouldn't have bothered with if it meant a slow and unreliable taxi (or an even slower subway ride).

feedjoelpie 9y ago
Just curious: What makes you call Uber fast and taxis unreliable in NYC? I would agree with you in almost any other market, but I find getting a taxi in NYC using Curb just as fast and reliable, yet cheaper.
- tashoecraft 9y ago
  Cabs in NYC are simply a terrible experience that needs to step up. Since they don't really care about you, I've had refusals to turn on AC, them blasting music or talking loudly on the phone, and even one guy pulling his emergency brake and telling me "my brakes aren't working you need to get out" because he didn't want to go from battery park to Williamsburg. I will go out of my way to not use a cab, I'll pay more, deal with more inconvenience because cabs are just a terrible experience that I don't want to deal with anymore.
- Zach_the_Lizard 9y ago
  In Manhattan below 110 street or so, taxis are reliable if your destination is also in Manhattan below 110 street or so. Also from the airports they're generally reliable. However, if you go from Manhattan to Queens you'll find they sometimes suddenly "forget" how to get there despite 90% of them living in Queens because they won't reliably get a return fare. Same in the rest of the boroughs. Also they often have "broken" credit card readers that magically get repaired after fighting with them. The cars are not always in the best condition. The other day I rode in a cab that had no suspension it seemed. Every bump in the road would send you flying. It was a nauseating experience, let me tell you. I still take taxis from time to time, especially when there's no real price difference or when I don't want to wait. A late night flight I might take an Uber to the airport and a taxi back if the wait time is too long. With Uber and Lyft I generally get clean cars with suspensions and don't have to worry about paying them (Already handled!), refusing service, etc. Although you get bad service from time to time in all transportation providers, Uber and Lyft tend to be much more consistent.

ghaff 9y ago

Demand is absolutely elastic (to a certain point) on a number of dimensions: price, time, comfort, hassle. There's an upper limit. The trip from A to B usually has some negative utility relative to being at B but the closer to zero you can make it, the more likely you are to make the trip. Personally, I just don't have many situations where I would make a trip but my available alternatives are just a bit too costly/inconvenient--while Uber wouldn't be. But I understand they exist.