What's your Uber experience?

[yohy?!]

Kind of an odd article - the Uber model can't really be described as high cost can it? The owner drivers bear all the costs and risks themselves. Presumably fares will go up once Uber becomes the market leader in a particular city, stemming losses.

 

[Deleted member 29185]

Uber is a Ponzi scheme - enjoy it while you can.

Uber may not be overly profitable, but they're far from a Ponzi scheme. Perhaps the financial group CEO has multiple taxi shares. Silly comment really. Plenty of companies raise money to build a business that starts off non-profitable. Uber seems to be off to a great start and in doing that, it has cost a fortune. What other company has ever ... ever, build a multinational "taxi" service from the ground up in such a short period of time? All in all, they've achieved quite remarkable results. Whether the 1/2 price fares can continue may be questionable and whether Uber eventually turns a profit or goes bankrupt trying to do that may be questionable, but a Ponzi scheme does not traditionally invest in building a business quite as well as Uber has done.

 

[TomVexille]

Decided to grab an uber black from ADL to the Hilton last night, $29 in a 7 Series vs ~$28 in a taxi last time. Value IMO

 

[BillytheFIsh]

I maintain that anybody relying on Uber for a full time job to pay a mortgage and raise a family is a fool. It won't pay the bills unless the hours are insane. They should go find a real job.

This is really the point, isn't it? The (while I hate the phrase) "sharing economy" model is about taking underutilised resources (in uber's case - vehicles and people's time) and putting them to use for everyone's benefit. Now uber (and airbnb as the other obvious example) have gone well past that point and turned or attempted to turn them into full-time commercial endeavours which doesn't really work.

Uber is a Ponzi scheme - enjoy it while you can.

I didn't click the news.com.au article, but I read the commentary elsewhere. I have no particular loyalty to uber, so as long as a competitor has taken its place and I never have to get in a taxi again, it doesn't bother me either way. Even if all ride-sharing services fail (seems unlikely) or offer worse service than taxis, leaving my choices as a taxi or public transport, I'll take the bus, thanks.

 

[Deleted member]

the "Sharing" economy i suspect is here to stay. I can see a time where utilization of resources extends to more mundane things, like maybe lawn mowers for example? (not sure how that would work, but you get my drift).
the real issue is that the transition / reaction by industry and Government has been mishandled, and misunderstood.
I think the concept is brilliant, but the need to regulate will always slow the process and make it a more costly thing to monitor.
Uber have kinda kept it simple, i think the Low end stuff (Uber x) is a problem, because you have 4 door cars as a definition, but when you compare say a Camry with a Yaris, they have 4 doors in common, and then its chalk and cheese. you really don't want to be catching a Yaris to the airport with the Cheese and Kisses and 4 bags for your 6 week holiday abroad. i believe there needs to be another option indicating a larger vehicle than the Uber x, maybe Uber x+. but thats probably not on the agenda at this stage

 

[TomVexille]

the "Sharing" economy i suspect is here to stay. I can see a time where utilization of resources extends to more mundane things, like maybe lawn mowers for example? (not sure how that would work, but you get my drift).
the real issue is that the transition / reaction by industry and Government has been mishandled, and misunderstood.
I think the concept is brilliant, but the need to regulate will always slow the process and make it a more costly thing to monitor.
Uber have kinda kept it simple, i think the Low end stuff (Uber x) is a problem, because you have 4 door cars as a definition, but when you compare say a Camry with a Yaris, they have 4 doors in common, and then its chalk and cheese. you really don't want to be catching a Yaris to the airport with the Cheese and Kisses and 4 bags for your 6 week holiday abroad. i believe there needs to be another option indicating a larger vehicle than the Uber x, maybe Uber x+. but thats probably not on the agenda at this stage

There is, it's called uberXL

 

[Skyring]

Kind of an odd article - the Uber model can't really be described as high cost can it? The owner drivers bear all the costs and risks themselves. Presumably fares will go up once Uber becomes the market leader in a particular city, stemming losses.

Uber drops their fares once they reach a certain point in a city. They get more passengers and make more money. The drivers make less because their margin on each trip is smaller and they can't work more than 24 hours in a day. Uber has done it time and again.

It's pretty much all gravy for Uber, no matter what they charge. As you say, they have very few costs. And they pay no tax.

 

[Daver6]

Uber drops their fares once they reach a certain point in a city. They get more passengers and make more money. The drivers make less because their margin on each trip is smaller and they can't work more than 24 hours in a day. Uber has done it time and again.

It's pretty much all gravy for Uber, no matter what they charge. As you say, they have very few costs. And they pay no tax.

Apart from the fact they're running at a loss.

I'd disagree with the fact they have very few costs. They have staff in cities they operate. They employ software developers and the cost of running their servers wouldn't be insignificant.

As for paying no tax, I think you'll find that's generally the case were companies run at a loss.

 

[Skyring]

There is, it's called uberXL

Once Uber builds up a pool of drivers in a city, they diversify their product. Larger and better cars for UberXL or UberBlack. At a premium, of course.

UberXLs are peoplemovers or SUVs. A Tarago or Chrysler T&C, for example. UberBlacks are Audis and Mercs and stuff.

I'm almost tempted to go out and get a Chrysler 300C and hoon around Canberra having fun. And chewing through the gas.

 

[Deleted member]

There is, it's called uberXL

no, between X and XL

 

[Skyring]

Apart from the fact they're running at a lost.

I'd disagree with the fact they have very few costs. They have staff in cities they operate. They employ software developers and the cost of running their servers wouldn't be insignificant.

As for paying no tax, I think you'll find that's generally the case were companies run at a loss.

They don't pay GST, for one thing. The passenger pays Uber 10% on top of the fare. Uber pays me 75%, and the ATO expects me to pay them the whole amount of GST.

Their staff expenses can't be much. In Canberra it's one staffer in an upstairs office out in Fyshwick open three days a week. The app would be developed elsewhere, and I don't know about server expenses and stuff, but I imagine they rent space in some server farm out in Montana and their users pay for the data transmission.

 

[mel-world]

I've been following this thread with interest for a while and do not really like their business model, especially in relation to their heavy handed practices and the GST issue above. Was also interested to read the comments from the MFG CEO a couple of pages back. However, on a recent trip to the US, I thought I would try them in Miami and San Fransisco and it could not have been easier as long as you put in an easily found pick up location. Especially interesting was last journey to SFO with an original Uber driver who has been with them since Day 1. Car was really a van and could be an Uber Select or Black, depending on the car ordered. The App in SFO even covers Yellow Cabs, if you look hard enough and various other options including the Pool option. The driver bemoans the fact that there are just too many drivers now, especially at sociable times. It is too hard to score a fare. However, he starts very early, works around the kids and the wife's activities, is happy to come out when there is a shortage so is just experienced enough to work the system to his advantage. Only making a 'reasonable' wage though most weeks but its getting harder all the time. Uber do pay very promptly every week into his account though.

 

[TomVexille]

no, between X and XL

So something along the lines of select? Which I don't think we have here yet.

 

[dajop]

I'd disagree with the fact they have very few costs. They have staff in cities they operate. They employ software developers and the cost of running their servers wouldn't be insignificant.

Not forgetting marketing costs.

 

[Milboo]

Once Uber builds up a pool of drivers in a city, they diversify their product. Larger and better cars for UberXL or UberBlack. At a premium, of course.

UberXLs are peoplemovers or SUVs. A Tarago or Chrysler T&C, for example. UberBlacks are Audis and Mercs and stuff.

I'm almost tempted to go out and get a Chrysler 300C and hoon around Canberra having fun. And chewing through the gas.

There is a guy in Sydney driving one - got a ride in it last week!

i see the App has changed and your rating is now openly displayed. Bit peeved to see mine was not 5. I am an impeccably polite and considerate passenger - no food or drink, generally don't talk etc so no idea why someone took exception to me!

I have switched to using Uber more for the convenience of payment - all too often you end up lingering in a taxi as the machine is not working, needs to connect, runs out of paper etc etc

 

[Daver6]

There is a guy in Sydney driving one - got a ride in it last week!

i see the App has changed and your rating is now openly displayed. Bit peeved to see mine was not 5. I am an impeccably polite and considerate passenger - no food or drink, generally don't talk etc so no idea why someone took exception to me!

I have switched to using Uber more for the convenience of payment - all too often you end up lingering in a taxi as the machine is not working, needs to connect, runs out of paper etc etc

Taken any short trips? I did and my rating dropped.

 

[Freq Flier 2013]

Taken any short trips? I did and my rating dropped.

Short trips was one of the benefits of Uber. No complaints from drivers and they normally take you vs a taxi driver who drives off when they hear that it's a short trip.

 

[Skyring]

There is a guy in Sydney driving one - got a ride in it last week!

I see the App has changed and your rating is now openly displayed. Bit peeved to see mine was not 5. I am an impeccably polite and considerate passenger - no food or drink, generally don't talk etc so no idea why someone took exception to me!

I rate every passenger five stars unless they are a real dick.

If you've taken an Uber ride in the States of America and not tipped, you may have scored a low rating. It's their way of deliberately forcing down the ratings of non-tippers so they can reject any further jobs. Probably the same deal applies here on short rides.

I detest this practice. Passengers don't have to tip. If someone offers me a tip, I politely but firmly refuse, asking them to do something nice for a stranger instead.

And if I get a short ride - as I did the other day, Pialligo to the airport - I don't carry on. Short rides are better money earners than long ones on a time and distance basis. I figure that when someone wants a ride, they want a ride and that's all there is to it.

Besides, one of the best fares of my life was as a night cabbie on a short fare. Picked a bloke up at the casino, absolutely blotto, and when he said "Lakeside Hotel" as his destination, I was pleased, because it was only a minute away and he looked like he might blow. We got there, the fare was about five bucks, most of it flagfall, he handed me a note, said "Keep the change", and lurched off.

I looked at the note. A hundred bucks. He must have had a good night on the gaming tables.

I kept that tip, speeding away to a distant rank.

 

[Skyring]

There is a guy in Sydney driving one - got a ride in it last week!

A Chrysler 300C is ugly, but stylish. Nice and big, so there won't be any complaints about legroom in the back, and plenty of room for baggage. It would also fill the UberBlack requirement, if Canberra ever goes that route.

However, my wife wouldn't drive it, so it would sit idle for most of the time, or I'd have to drive longer hours, probably some evening work as well as the predawn shift.

I wouldn't drive a van for UberXL. Likely to pick up five or six drunks, and I've done my time driving drunks around. They generally want to go through Macdonalds and fill the car with food smells and rubbish and wipe their greasy fingers on my leather seats. And there are higher chances of them getting rowdy or throwing up or going to sleep.

And trying to pick the buggers up is a hassle. They make a stab at the map, the pickup point is wildly off, and then they ring me up and slur a different address.

No thanks. Give me a single traveller heading to or from the airport and we can have a nice old chat about airlines and lounges and destinations.

 

[Buzzard]

Last night, HADL to home. A clean, near new Subaru Outback. Arrived in about 30 seconds. Driver even helped with my cartons of wine. 10/10