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> One of Ubers biggest problems is that they have zero brand loyalty. It may not warrant as much customer loyalty as - say - Apple, but "zero" is simply untrue

by V-2 7y ago

> One of Ubers biggest problems is that they have zero brand loyalty. It may not warrant as much customer loyalty as - say - Apple, but "zero" is simply untrue. To give a most ovious example, in a foreign country/city I'd be strongly inclined to choose Uber over other alternatives because I'm already familiar with it. For the same reason why I'd eat at McDonald's (rather than some local hot-dog stand): not quality, but safety. I see the risk that I get scammed / food-poisoned as lower. > Uber has only made finding the ride more efficient but it has not made the actual ride itself more efficient. It has, to some extent: in the form of shared rides. Traditional taxi companies don't provide such option, for fairly obvious reasons. > And what if there are robot drivers? Wouldn’t that eliminate at least the human cost? It would. But it would do so for every other transport company as well, and by the same amount. Not if you've got your own IP behind it - whereas your competitors need to rely on third-party solutions - or even if you can get a better deal on a third-party solution. > Uber would still be fighting the same competitors in a similar race to the bottom. In summary, nothing can save Uber. The exact same case could be made for Burger King. It's quite possible that nothing can save Uber, it's clearly struggling, but I don't think your reasoning correctly sums up actual causes of that.

jaysh 7y ago
Landed in Sydney a few weeks ago. First visit so I ordered an Uber (as I've used it a lot, trust it, etc.). After we were picked up, the driver helpfully informed us if we'd ordered the same ride via Ola (he drives both), it'd have been ~50% cheaper (as a new user). Naturally, I installed it and now I'll switch between Uber and m Ola. This then expands to Bolt, Grab, and so on, and you realise it's virtually the same experience with different branding and the sole differentiating factor is price. I definitely buy the convenience aspect: it's way more comfortable to pull out your phone and order a ride on a platform you're already familiar with. My trouble is the barrier is so low to install another app (and new joiner incentives are financially motivating) that this leads to virtually no brand loyalty. Perhaps in a different world, where there are no up significant upfront financial incentives and perhaps drivers were exclusive to a platform (i.e. to pass their rigorous screening processes is a sign of quality), that'd certainly buy some loyalty from me.

by V-2 7y ago

jaysh 7y ago

Landed in Sydney a few weeks ago. First visit so I ordered an Uber (as I've used it a lot, trust it, etc.). After we were picked up, the driver helpfully informed us if we'd ordered the same ride via Ola (he drives both), it'd have been ~50% cheaper (as a new user). Naturally, I installed it and now I'll switch between Uber and m Ola. This then expands to Bolt, Grab, and so on, and you realise it's virtually the same experience with different branding and the sole differentiating factor is price. I definitely buy the convenience aspect: it's way more comfortable to pull out your phone and order a ride on a platform you're already familiar with. My trouble is the barrier is so low to install another app (and new joiner incentives are financially motivating) that this leads to virtually no brand loyalty. Perhaps in a different world, where there are no up significant upfront financial incentives and perhaps drivers were exclusive to a platform (i.e. to pass their rigorous screening processes is a sign of quality), that'd certainly buy some loyalty from me.