December marks the 12-month anniversary of Uber’s expansion to Bundaberg and the Fraser Coast.
Prior to this, Uber was something of a novelty that locals only stumbled across during their visit to the ‘city’.
Uber is a flagship ride-sharing company that has been breaking records all around the world in recent years.
This technology company has focused on disrupting the traditional taxi market by using private drivers and their smart phone app-based technology to break into this market.
Whilst specific data on the Wide Bay wasn’t available, 2019 has been yet another growth year for the ride share company with around a 30% growth year on year.
Why has Uber become so successful?
When it comes to entering an established market as a challenger like Uber has done, it is all about removing friction and hitting price points.
This is something that Uber has done very well.
For the driver who no longer must purchase a taxi, get a specific license and/or work for an agency it is far easier to become a player in this game.
For the consumer, the ability to be able to order a driver at the touch of a button is a game changer.
With the payment technologies linked straight to your smartphone, no money even physically changes hands.
It is also generally a cheaper option than traditional cabs, which is appealing for many.
Concerns have been raised about the impacts that removing barriers of entry (such as licensed taxi drivers) from the market can have.
These worries have been actively addressed by the likes of Uber.
It is a common misconception that these “technology” companies aren’t as actively engaged in supporting their stakeholders as traditional businesses.
When a market challenger creates a business model that removes friction for its uses and removes barriers of entry for the supplier of the service, it is likely going to make a big splash.
While Uber is still relatively small in regional areas, this company and others like it will continue to adapt and evolve to win.
- Other news: Female ride-share service starts in Bundaberg