U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Urban Planning
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
Reply Start New Thread
 
Old 01-24-2015, 02:44 AM
 
33,046 posts, read 22,067,502 times
Reputation: 8970

Advertisements

Quote:
Originally Posted by I_Like_Spam View Post
Its a relatively new service, I don't know how viable it will be in the long run.

I can't see how the drivers are really making anything, considering the wear and tear on their cars and the fact that Uber doesn't sign on people with "beaters" to tote people around where the costs would be less to the driver.

Let me ask you, do you have the same Uber driver pick you up each day, and can you call them directly for the pickup outside of the app?

Which means there is a market space for a low-cost competitor that uses beaters to transport people.
Reply With Quote Quick reply to this message

 
Old 01-25-2015, 12:54 PM
 
1,478 posts, read 2,002,999 times
Reputation: 1579
Quote:
Originally Posted by darkeconomist View Post
That's the reality, though it sucks. But people are willing to do it, so I'd expect to see a decline until these services reach some kind of equilibrium. Keep in mind, FedEx (well, a big chunk of it) is done by contractors, not employees, and many other companies are filled with contractors; for many, a tough job that, though lacking in many ways, does manage to pay "enough" is better than no job at all.
I liken Uber and the like to things like multi level marketing. It's not a pyramid scheme per se, but it has some of the same recruiting principles: you're part of a cool club, work on your own terms, be your own boss, be part of the new sharing economy, etc. the power of it is in its marketing. Everybody in the 70s new someone who sold Amway. Then people catch on. I'm willing to bet that outside of a couple hours in the morning and evening, uber drivers aren't coming out ahead of a minimum wage job. In perhaps most cases, they aren't even breaking even (factoring in gas, auto wear, and the possibility of getting your ass sued in the event of a collision).

If I was working an overnight shift at an amazon or ups distribution center or something similar, then I could see myself picking up a couple hours on each side of work during peak hours. Other than that, forget it. Unfortunately, the only way to make money in the transit biz is to keep supply fairly low. Unfortunately, these ride shares do the opposite. They saturate the market. Regulated providers that are better insured/licensed take a hit. City finances will take a hit (licensing fees, medallions). Ride share drivers will take a hit too. More saturation equals lower driver volume, which means less $. The difference between netting 15 an hour and 7-9 an hour is the difference between a normally functioning human being driving you and some guy with some issues living in his parents basement driving you. I'm hesitant to get a ride from a 26 year old who doesn't realize they can get the same return working at McDonalds, or worse, they realize it but weren't deemed fit to make Big Macs all day. Agree completely that equilibrium will come, but driver quality will be in the toilet by the time we reach that point.
Reply With Quote Quick reply to this message
 
Old 01-25-2015, 09:42 PM
 
Location: Oakland, CA
27,171 posts, read 29,681,041 times
Reputation: 26671
I live in the Bay Area, and Uber is really popular here because we don't have a taxi culture. Hailing a cab in San Francisco is a joke. People instantly jumped on the Uber bandwagon because finding a cab is so difficult. Particularly outside of a handful of neighborhoods (even dense ones).

In the rest of the Bay Area, cabs are rarely anywhere outside of the train stations. And we have many more suburban places. I think Uber has opened up taxi service for more neighborhoods. Oakland doesn't have many cab stands, and the ones downtown have mostly disappeared in the past decade. Now I can take Uber instead of hiking to the one cab stand downtown.

I have a car, ride transit, take uber, and ride my bike. I choose the best mode for the job. It varies based on the circumstance, but it is fair to say I user uber a couple times a month, take transit to work and many some weekend outings, I use my car mostly on weekends or if I have an afterwork errand that is inconvenient via transit or bike, I use my bike for shorter trips and errands where I don't have a ton to carry or parking is hard.

Uber isn't anything other than a better taxi.
Reply With Quote Quick reply to this message
 
Old 01-25-2015, 09:47 PM
nei nei won $500 in our forum's Most Engaging Poster Contest - Thirteenth Edition (Jan-Feb 2015). 

Over $104,000 in prizes has already been given out to active posters on our forum and additional contests are planned
 
Location: Long Island / NYC
45,990 posts, read 41,989,613 times
Reputation: 14810
Quote:
Originally Posted by jade408 View Post
I live in the Bay Area, and Uber is really popular here because we don't have a taxi culture. Hailing a cab in San Francisco is a joke. People instantly jumped on the Uber bandwagon because finding a cab is so difficult. Particularly outside of a handful of neighborhoods (even dense ones).
Yep, I remember in San Francisco I was told (getting home after a party with friends) we don't have many taxis here, there's this service called Uber that I can called a cab with my phone. Next time I used Uber was in Manhattan, I was with someone from the Bay Area who worked as an Uber programmer. Let's use Uber, I have free Uber credit. Car seemed nicer than a taxi and it got stuck in a bunch of traffic, subway probably would have faster.
Reply With Quote Quick reply to this message
 
Old 01-25-2015, 09:50 PM
 
Location: Vallejo
14,068 posts, read 16,090,068 times
Reputation: 12647
Quote:
Originally Posted by I_Like_Spam View Post
Its a relatively new service, I don't know how viable it will be in the long run.

I can't see how the drivers are really making anything, considering the wear and tear on their cars and the fact that Uber doesn't sign on people with "beaters" to tote people around where the costs would be less to the driver.

Let me ask you, do you have the same Uber driver pick you up each day, and can you call them directly for the pickup outside of the app?
Surge pricing. Typically UberX operates at a "surge" multiplier during commute hours. Sometimes that goes crazy, as high as 10x. But 90% of the time it's 300% or less. It's usually still cheaper than a taxi, plus way more convenient.
Reply With Quote Quick reply to this message
 
Old 01-25-2015, 09:53 PM
 
Location: Lakewood OH
21,697 posts, read 23,672,920 times
Reputation: 35449
Quote:
Originally Posted by freemkt View Post
Which means there is a market space for a low-cost competitor that uses beaters to transport people.
Well, there used to be in Portland. When I first moved there back in the 70's there were companies like "Rent a Beater" and "Rent a Junker." You could rent a car that was kind of beat up but perfectly usable for as little as $10.00 a day on up.

There is also "Rent a Wreck" that's listed as having closed but still has two addresses so I don't know if they are still operating. Oregon is not listed on their national website.
Reply With Quote Quick reply to this message
 
Old 01-26-2015, 01:36 PM
 
Location: Birmingham
779 posts, read 769,054 times
Reputation: 359
I'm a little confused about one of the points made here. You guys are saying that the drivers don't make enough money. I have asked nearly all of my Uber drivers how they like working for them and they have all said they love it. Also, I've taken many 10-15 minute trips that ended up costing me like 20+ dollars. Uber only takes a small percentage of that. It doesn't sound like an awful gig to me.
Reply With Quote Quick reply to this message
 
Old 01-26-2015, 01:48 PM
 
Location: Seattle, WA
2,975 posts, read 4,081,823 times
Reputation: 1208
Uber is too expensive to affect the daily transportation habits of most people. For those who occasionally use cabs, it does provide an alternative which may be better (or may not during random "fare surges..."), but that doesn't really change anything.
Reply With Quote Quick reply to this message
 
Old 01-26-2015, 02:27 PM
 
Location: Birmingham
779 posts, read 769,054 times
Reputation: 359
Quote:
Originally Posted by hurricaneMan1992 View Post
Uber is too expensive to affect the daily transportation habits of most people. For those who occasionally use cabs, it does provide an alternative which may be better (or may not during random "fare surges..."), but that doesn't really change anything.
I agree that Uber doesn't change much... It may however, change the way cab companies operate to be more competitive. It's too expensive to change the use of mass transit though.
Reply With Quote Quick reply to this message
 
Old 01-26-2015, 02:40 PM
 
Location: East of Seattle since 1992, originally from SF Bay Area
29,816 posts, read 54,486,657 times
Reputation: 31124
I know many people that use Uber, and also use Zip Car and Car2Go. They all own cars. It's cheaper to use these services than to park downtown in a big city where here the cheapest is the "Early Bird" special at about $12. Of those services only Zip Car allows you to do a short road trip, and none of them are useful for a driving vacation. In our case, for example, I take the bus to work, but we still have 3 cars. Last year we made 4 out of state trip vacation trips of 600-3,000 miles.
Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:

Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Urban Planning
Follow City-Data.com founder on our Forum or

All times are GMT -6.

2005-2019, Advameg, Inc. · Please obey Forum Rules · Terms of Use and Privacy Policy · Bug Bounty

City-Data.com - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35 - Top