What is Uber?
What is uber you may ask? As a current Uber driver, let me be clear about one thing. Uber is not a taxi cab service. So, what is Uber? It is basically a real time ride sharing service that connects riders with drivers. The way it works is clear and simple. A passenger or rider pings for a car using a smart phone running the Uber rider app. The closest Uber driver is alerted on their smart phone to the rider’s location, and then drives the rider to their destination.
Uber is a cashless service so no cash is exchanged meaning the payment is taken automatically from the rider’s credit or debit card. No tip is required, but that doesn’t mean you shouldn’t tip the driver. The company takes its 20%-25% cut and direct deposit the rest of the money into the driver’s bank account, all behind the scene and completely cashless.
The Technology Behind Uber App
The Uber technology is amazing. It connects riders and drivers with a smooth interface app that rarely reports errors. To riders, Uber is technically the same with taxi cabs, and to drivers, it’s essentially a ridesharing service.
The Uber phone app connects passengers with drivers using their phone’s GPS capabilities, letting both parties know one another’s exact location as a result the rider will actually know when his/her ride is going to be there.
Uber Uses Surge Pricing
Uber surge pricing strategy is based on demand. If demand exceeds supply; such as during holidays, after a sporting event, popular and musical events, or even after bad weather, the price starts to rise steeply in accordance with the market’s demand. This is called ‘surge price’, with the cost of a ride often being multiplied as low as 1.1X and as high as 9 times (9X). This simply means that the price of an Uber ride can vary greatly, but still cheaper than a traditional taxi service.
A lot of people hate this algorithm based surge pricing, and so the company adds a push notifications that let its riders know when prices drop down after a surge. Since tips are not required, I think that surge pricing is a way Uber let drivers earn a little extra. As a current driver, I can tell you sometimes without the surge price I wouldn’t be making enough to keep me on the road.
What is Uber – Types of Services
Depending on what city you live, Uber offers different types of ridesharing vehicles. What is Uber different type of ride is about? Different uber options for the their riders.
- Black Car – It is Uber’s original, mid-priced service, with a nice high end black 4 door vehicle.
- Uber LUX – Luxury cars option to pick up riders.
- Uber SUV – The most costly Uber options. SUV vehicle are sent to pick up passengers
- UberX – It’s the most economically friendly choice, and it’s available almost in all big cities of U.S markets.
- UberXL – It’s a larger and spacious vehicle that can seat up to six passengers.
No Tips Required
Uber uses a cashless system; it is part of the company’s culture. Riders pay via credit or debit cards for their ride before they got picked up. With that being said, this removes any human to human payment transactions from the equation.
Uber takes 20 percent of a driver’s fare + $1 per ride, and the remaining is the drivers to keep. Off course riders are welcome to tip the drivers, tips are not included in the fare, and so if a rider really wants, he/she can tip. But it’s neither required nor necessary. What is uber going to do about adding a tipping feature to the apps.
Riders Can Split Fares
What is uber fare split? Uber’s Fare Split feature was launched some times last year. The uber rider app has a feature that allows riders to split fares with a friend or really with anybody who has signed up for Uber and installed the rider app. At the end of the ride, when you got dropped off, just select “Split Fare” and Uber will take the fare price from you and your buddy.
Riders loving it!
I am using my own car and driving for uber, one thing I can tell you for sure that riders love the ridesharing company uber. The most frequent comments I’ve heard, Uber is so affordable, it is budget friendly etc… Some passengers/riders even believe that Uber is taking over the traditional taxi service; it’s only a matter of time so they claim.
As a driver myself I love the idea that I can work whenever and wherever I want. I can clock in and clock out anytime I desire, that’s the beauty of the company. But I wish Uber could help financially with car repair/maintenance fees, and cover drivers with full insurance as soon as you sign on the app.
Are Uber Drivers Insured?
From my understanding of Uber’s insurance, it will only cover accidents when there are passengers in the car, and when you are are en route for a pickup. What if something happens while I’m driving or waiting to be pinged to pick up riders? When I think about this answer, it stressed me out. What is uber going to do about insurance for their drivers let alone adding a ” tip feature” to their apps?
First time riders can use this code YCAE8H21UE for a free $20 ride, if you are already an Uber rider, you can share the code with your friends. Maybe you are a rider, but you want to try to drive for Uber, don’t worry I have something bigger and better for you. Use this link to sign up with Uber and receive up to $750 sign up bonus incentive “varied in different cities”. That’s a lot of money in your pocket just for joining the uber driver family and only completed 20 trips, which can be easily achieved in a day or two.
What is Uber to you? A flexible job, a good job, full time or part time job, it helps pays the bill? Talk to me!
If you want to know more on what it takes to become an Uber driver, click here. And you will learn about their requirements.