Seriously Uber? Now your Running errands ! From CEO Travis Kalanick “So in Los Angeles, we’re doing something called Uber Fresh, which is you push a button and you get a lunch in five minutes, right. In DC, we’re doing Uber Corner Store. So imagine all the things you get at a corner store. In New York, we’re doing Uber Rush, which is messenger service. And, you know, we like to think of ourselves as being in the business of moving – delivering cars in five minutes. You push a button, a car comes. But once you’re delivering cars in five minutes, there’s a lot of things you can deliver in five minutes. You know, FedEx isn’t going to your near – nearest pharmacy and delivering something to you in five minutes.”
In addition the last 3 months Uber has delivered ice cream, moved furniture, offered gay marriages, helicopter rides, carpooling,etc ! Is there any limits what he’ll force his already overworked and underpaid drivers will do? What’s next? Uber Pizza delivery, Uber bus, Uber dating, Uber cleaning, Uber teachers, Uber fill in the blank! I’m getting sick of all these wacky Uber publicity stunts and I guess the company does it so people forget that Uber doesn’t follow nationally established laws and regulations. Its seems like if your convenient people will forget the legality of such services and the company hide behind the word ‘technology’. I would love to open a stand and sell untaxed cigarettes and alcohol and undercut legitimate businesses but what would happen to me if I did? Would local municipalities or the government allow it? What if I do what Uber does.. refuse authorities requests to stop, ignore cease and desist letters and just forges ahead regardless of laws and regulations. I’m also sick of the line “Uber is a technology company, not a transportation company,” if it’s not into the taxi/transportation bushiness then what exactly is it into?
Drivers frustrations,concerns and protests:
Around 200 Uber drivers protested outside the company’s Santa Monica office last Tuesday, saying they had been unfairly impacted by recent pay cuts and what they described as a harsh rating system.
Multiple people held signs that explained how Uber calculates driver’s pay, while others waved posters that stated “stop Uber scam,” “tip your Uber” and “Uber math, where four out of five stars is ‘below average.
The company’s commission increased from 5 percent to 20 percent(25% for new hires) between 2013 and 2014, when drivers pay was reduced from $2.50 per mile to $1.10 per mile. “This is unjust” said many of the protests in attendance,” we were promised more, stop with the rate cuts!” Other quotes from the protest “People have invested their hard-earned cash to come into the business on the promise of the money they would make” “I thought great, this would be a great job for me. But then after working like two weeks and I saw what I actually got paid, it was less than minimum wage,”.
Uber Drivers Protest in NYC Against Rising Commissions:
In NYC another few hundred protested for better working conditions and earnings.
Many said the company was forcing them to take passengers who request rides through the cheaper UberX service, rather than just the pricier Uber black-car or SUV service, thereby hurting fares. Uber yesterday changed its policy so drivers can opt in or out of driving for services like UberX.
Some of the drivers also said Uber is leaving them with just 62 percent of fares, after the San Francisco-based company initially agreed to give them 80 percent of the price of a ride. More protest are scheduled for next week in front of Uber’s Long Island City office.
Uber has faced opposition from taxi drivers worldwide as it has up-ended the transportation industry. The protest in New York, which is the company’s biggest market by revenue, indicates disgruntlement within the service’s own ranks. That could potentially crimp Uber’s efforts to recruit new drivers as it rolls out its service in more cities globally.
Uber typically charges a 20 percent commission on rides. In March, it raised the fee it takes for its pricier black-car service to 25 percent from 20 percent. Uber also charges a 28 percent commission for trips on its SUV service.
In New York, Uber temporarily cut fares for its cheaper UberX service by 20 percent in July. Some drivers said that the reductions have since become permanent.
Drivers are having trouble making money after Uber raised commission and cut fares this summer. But do you think Uber cares?
Some of the drivers in the Uber NYC group have also threatened to ditch Uber for competitor Lyft.
Ultimately Uber going to have to make some major decisions in the future:
First and foremost, define exactly what you are and commit to that business.
Secondly you can’t make everyone happy! Yes lowering fares are good for the consumers but terrible for the backbone of your company, the drivers. There must be a fine line to balance and by going beyond the line, the drivers are more aware and as you been seeing have been protesting the cuts. What good is it driving for Uber if you can’t make money?
Be more honest in your recruitment ads and to your partners I mean drivers. Stop signing up massive amounts of people and then continually drop fares. This isn’t good for the drivers moral and earnings.
Start building a better customer care/contact line both for the customers and drivers. People shouldn’t have to wait for days or weeks to get a problem resolved.
And don’t get me started on surge pricing again….I’ll save that for another day!
Have a great week everyone!