UBER STORY – TAXI ON DEMAND BUSINESS STORY
Are you wondering how few businesses can run so smoothly while you have problems even starting one? Till now it was Google, FB, and Apple but now Uber is getting awesome day by day. But it was not without the struggle. Uber has become a logistics company out of black cab company who tries out everything be it Food delivery, ice cream delivery, flower delivery, even helicopter on demand!
Are you wondering how few businesses can run so smoothly while you have problems even starting one? Till now it was Google, FB, and Apple but now Uber story is getting awesome day by day. But it was not without the struggle. Uber has become a logistics company out of black cab company who tries out everything be it Food delivery, ice cream delivery, flower delivery, even helicopter on demand! Now Uber is also planning to get into the trucking business, and yes Uber self-driving cars are also out.
So, let’s see Uber story
How Uber started? If you want to know the mastermind behind such great idea, those Uber kids were Garrett Camp and Travis Kalanick who once faced cab issue in Paris. So they started brainstorming about the global issue of the not-getting-cab-at-right-time-and-right-place situation in 2008. Garrett tried many prototypes of his solutions and soon Travis joined him. By June 2010, there were already many black Uber cars out on road of New York, and soon it got launched in San Francisco. Initially, its name was UberCab.
What is the value of Uber? In 2010 Uber fetched $11.5mn in the first round of funding, $32mn in the second round and craziest $1.2bn in the final round. Uber recently raised $3.2bn from Saudi Sovereign Wealth Fund. Today Uber’s valuation is $70bn, and it is operating in 58 different company. Hardly eight years old tech company has more valuation than 108 years old giant General Motors! That’s different story that many question this valuation figure, though.
How does it work?Uber has two mobile applications on Android and iOS platform to connect supply and demand source of ride service in simple economy language. One for the user who turns on his GPS system and mentioning current location, request for the ride. And another for the driver who will receive the request if he is the nearest one to the user and can accept can grab customer from pickup location. The invoice will be generated based on time and distance cost calculation.
How it changed the world?Uber’s business idea is mind blowing which changed the lifestyle of many. It’s not just about taxi on demand for those who don’t have the vehicle of their own to reach from one place to another with cheaper rate but also a way to fulfil your dream. The middle man who can’t afford to buy a luxurious car like Audi A8, Mercedes S or BMW 7 series and going out with a girlfriend, but with Uber at least he can hire it just with one click and have a memorable date!
This disruptive tech start-up has not just the broke monopoly of traditional taxi drivers who were charging way more than usual by bringing transparency in fare calculation with GPS technology but also blew the strong wind of on-demand taxi business in throughout the world. Now many started copying Uber’s model and start running their own business, and many succeeded too like in most of the country Uber will face local player giving Uber hard competition replicating its very own business model. But that’s how market runs, and it should run.
No matter who copied Uber concept and who will be in days to come but it will always be remembered as the first comer and father of such disruptive innovation of on demand business. I bet this Uber story inspired more than 10 people to start their own on demand business.