Nothing in life is easier than booking a cab through ridesharing apps like Uber or Lyft. Yes, they are popular for their ease of use and simplicity in the process of booking a ride. But are these the only reason for so much debate, comparisons, and discussions between the two organizations?
Both the companies have created a new trend in the realm of personal transportation, business operation, mobile apps and customer service. Lets us find out the major causes for us to always update you about Uber Vs Lyft.
The rise of on-demand services
Both Uber and Lyft have created a new market for on-demand apps. There is Uber clone for everything nowadays be it food delivery, laundry services, getting a haircut or getting insurance. Washio is giving a tough to traditional dry cleaners with their on-demand laundry service.
They have a pickup time of 10 minutes and deliver your washed clothes within 24 hours. The service was launched in Los Angeles in 2013 and already expanded to San Francisco, LA, Washington, DC, Chicago, Boston, and Oakland. If there is some service that still doesn’t have an on-demand approach, be sure it is coming soon!
Establishment of new business model
Uber currently operates in over 400 cities with a market cap of $ 62.5 billion without even owning a car of its own. Lyft also utilizes the same policy and is currently valued at $5.5 billion. Uber and Lyft have shown entrepreneurs that you can thrive just by acting as an invisible middleman while connecting consumers with their demand. Food Panda earns its revenue by fetching orders through their apps and getting the food delivered to your doorstep. It does not own any restaurants of its own.
A new mode of employment
Uber and Lyft have opened a new way of earning for many people. Currently, Lyft has 100,000 drivers in the USA while Uber operates 30,000 cars in New York City alone. Drivers can have their own schedules, and there are no minimum rides or work hours applicable.
Many people use it as a part time job along with their regular work. Some people quit their job to join Uber or Lyft on a full-time basis. 50% of Uber drivers were not driving to earn their living before joining Uber.
Market barriers faced by Uber and Lyft
Uber and Lyft have been facing lawsuits, criticisms and bans apart from the stiff resistance of traditional taxi services. Recently both Uber and Lyft suspended their service in the city of Austin, Texas following a mandate of fingerprint checks for their drivers. The business model and nature of operation of Uber has also resulted in it getting banned in many places around the world.
Currently, France and Germany have banned Uber’s discount services, while countries like South Korea have still not decided whether to allow Uber to continue its services.
It is also partially banned in Netherlands, Belgium, Western Australia. There have also been complaints of assaults by drivers of both Lyft and Uber against their passengers, which has made it go through strict regulations in many cities over the world.
Starting your own taxi business
So, if you are looking to start your own taxi business – do not worry. You can get yourself a Uber clone app, and start your own taxi business. You would be able to compete with Uber if you know your local markets well, and there would be nothing to worry about if you do your homework well.
