UBER FUTURE STRATEGY

The nature of an innovation is that it will arise at a fringe where it can afford to become prevalent enough to establish its usefulness without being overwhelmed by the inertia of the orthodox system

About UBER:

- Uber Technologies Inc. is an American worldwide online transportation network company headquartered in San Francisco, California. It develops, markets and operates the Uber app, which allows consumers with smartphones to submit a trip request, which the software program then automatically sends to the Uber driver nearest to the consumer, alerting the driver to the location of the customer. Uber drivers use their own personal cars. As of August 2016, the service was available in over 66 countries and 507 cities worldwide. The Uber app automatically calculates the fare and transfers the payment to the driver. Since Uber's launch, several other companies have replicated its business model, a trend that has come to be referred to as "Uberification".

The legality of Uber has been challenged by governments and taxi companies, who allege that its use of drivers who are not licensed to drive taxicabs is unsafe and illegal; some taxi driver unions have called Uber drivers "pirate taxis". However, it is now common for taxi drivers to also work for Uber; especially during "surge" periods when they can earn multiple times what they would under the taxi umbrella

Uber is believed in continuous innovation in their technology and bringing new benefits for their customers that could ease their travel experience from one place to another without investing much and even could get benefits at every interval by the company.

Uber in India:-

Uber started in India three years ago and is now operating in over 20 cities with thousands of cab drivers. Alexander also revealed that the recently-launched UberPool feature has gone a long way in reducing vehicular air pollution in major cities. “The UberPool feature has allowed passengers to share rides, thereby reduce thousands of extra trips,” he said. This has resulted in stopping a total of 800 tonnes of carbon monoxide from being released into the air, he added.

“Currently, in addition to over 500 Uber employees in India, Uber have a centre of excellence in Hyderabad and an engineering centre in Bengaluru. Uber continue to grow our business,” he said.

Talking about start-ups in India, Alexander said the country is a huge driver for budding entrepreneurs.The forum is a joint endeavour by the private sector from India and the US to boost innovation.

CLASH OF THE TITANS

Uber made its India debut in August 2013 with luxury, chauffeured cabs in Bengaluru. Ola was already in operation, after modelling its service on Uber. Ola allowed bookings via its call centre or its website, while Uber was an app-only service available for credit card users. Since then, Uber and Ola have been in a race for supremacy. As Uber turns three in India, Business Standard takes a look at the growth of the two taxi services in the country

OLA

Dec ’10 Ola launches service in India

Aug ’13 Total of 2,000 daily rides and Rs 2 crore in the bank

Jul ’14 Raises $41.5 million from Sequoia, Steadview Capital

Oct ’14 Raises $210 million from SoftBank

Mar ‘15 Ola buys rival TaxiForSure for $200 million; launches Ola Store and Ola Cafe

Apr ‘15 Raises $400 million from DST Global

Jul ‘15 Goes app only; shuts down call centre

Nov ‘15 Raises $500 million from Baillie Gifford

Dec ‘15 Raises $57.3 million/valued at $5 bn

Mar ’16 Launches bike taxi service in India; forced to shut down bike taxi service; launches most affordable service yet, Ola Micro; Ola shuts food delivery & grocery delivery services

May ‘16 Launches outstation cab services; launches luxury taxi service; launches micro, ultra low fare taxi service

Aug ‘16 Shuts down TaxiForSure; lays off 700 employees; claims 450,000 vehicles, more than 550,000 drivers on platform

UBER

Aug ’13 Offers rides on luxury BMW cars; accepts customers with credit cards only; app-only rides; faces scrutiny by RBI

Nov ’14 Ties up with Paytm to get customers use digital wallets; Rajan says Uber violated local norms; launches more affordable UberGo service in India

DEC ‘14 Uber driver allegedly rapes a Delhi woman, causes outrage across India

MAY ‘15 Experiments with cash payment

JUL ‘15 Uber said to invest $1 billion in India (18 cities; 200,000 drivers)

SEP ‘15 CEO Travis Kalanick meets PM Modi at Digital India event in San Jose

DEC ‘15 Uber launches carpool service UberPool in Delhi

FEB‘15 Opens centre of excellence in Hyderabad

MAR ‘16 Opens development centre in Bengaluru; launches two-wheeler taxi service in Bengaluru; forced to shut down bike taxi service; Uber takes Ola to Delhi High Court, says Ola created 93,000 fake rider accounts

JUN ‘16 Uber invests substantial part of $3.5 billion in India; takes Karnataka government to court over local taxi aggregator rules; claims 3,50,000 drivers on platform

There has been existing competitors like OLA, Taxi for Sure & Meru which has well established their presence in Indian transportation network but Uber strategy in terms of marketing, the operation has lead Uber to be the market leader in this sector and is growing slowly and expanding to more and more region.

WHY E- COMMERCE ( UBER / SUPER ) SECTOR?

Uber is believed in the transformation from the day its started and with continuous improvement, it is reaching to the maximum people at the maximum location through its technology and digital disruption.It is believed that Uber will soon enter into a totally different sector that will make Uber more powerful and unique in coming days.

Sectors Likes:-

Aeroplane Sector

Service Sector

Automobile Sector

Gaming Sector

Cloud ( Uber-Cloud )

Network of Network

AEROPLANE SECTOR

Uber in the coming year will definitely try to land its feet in the aeroplane sector to be the market leader in the land as well as in the air which would not only bring better outcomes for the company but a huge innovation in the field of aeroplane sector which might be lacking today and with Uber there could be huge possibility of safety and cheaper ride from one place to other.

HOW ?

According to our understanding from the company like Uber, they would try to collaborate with Boeing for their air ride which could be easily and the better result could be made possible with both efforts.

Boeing is master in aero sector and even today most of the countries uses Boeing plane as it's not safer but also considered to be one of most affordable plane for the passenger and in the coming next five year Boeing will try to be one of the only leader in aero sector which would bring better offering for the customers.

Uber is considered to be innovative in the mobile sector whereas Boeing is considered too innovative in the aero sector and their combination would be really very much effective for the coming generation.

Cloud/ Saas & Artificial Intelligence would be one of the technologies that would help both the company to grow.

 FUTURE AERO TRANSPORTATION SERVICE BY UBER & BOEING

The future will be a different and the most innovative for the Uber & Boeing as they launched their Aero-Car service for the passengers which we can see from the above picture that how it would look in real.

UBER Statistic ( till 2016 )

As we could see that UBER has a huge customer base and it keep on increasing every day and in future with collaboration with Boeing they would not only target the same customers but also increase their customer of their daily trip from 1Mn to 10Mn through this collaboration.

With a presence in more than 70 countries as we could see from the above map that is spreading more faster than anything else and the collaboration will provide more footprints in the map.

Cost of travel from one states to another via plane

Washington to Las Vegas - Rs 8000 - 11,000 in Five hours

Passenger Capacity of a plane - 150 - 200

Number of Flights in one day - 4

Fuel cost - $13,380 per hour ( Rs 8,0,2800 )

For Five hour - Rs 40,14000

As we could see that for travelling from one place to another in a limited time of five hours cost more than 40 lakhs for fuels.

Average passenger cost each day ( As I took the two highest traffic place ) = Rs 45,76000

Average Profit on one ride = Rs (45,76000 - 40,14000) = Rs 5,62000

Now how could both the companies not only increase the profit and reduce environment concern + save fuel for our future generation and develop a totally different model for the short distance?

Initial cost of Manufacturing

Rs 1,67,40,000

Five Model in the same city

Rs 8,37,00000

Capacity of Aero Car - 5

Cost from one city to another - Rs 6000 ( DC to Vegas )

Total cost - 30000

Time taking - 6 Hrs

Total Cost in one day - Rs 70,000

Uber will launch the map based app for aero transportation where customers could book their ride.

Uber Aero- Family

Uber Aero - Pool

Uber Aero Instant

These are three model that would be launched by the Uber with the different pricing model.

Uber will use three technology that would provide him better customers base than more than other which are:-

Artificial Intelligence

Artificial intelligence would be one of the technologies that would make the uber technology more significant and better in the coming years and AI would provide huge technology in the same.

2. 3D Printing

3D Printing is one of the best emerging technologies that has started in manufacturing and making the construction easier and better for the manufacturing sector.

Uber will surely land into 3D printing area to start their own taxis service with driverless technology and make the better base for the customers.

As we know that 3D printing has started in the manufacturing of cars, houses and many other materials but collaboration with Uber will provide a better incentive for Uber as well as for the 3D printing technologies.

Stratasys

3D Systems

Hewlett-Packard

As we could see from above that the first 3D Printing car and how it's tested on the road which would be soon on the road in the coming year and Uber in collaboration with 3D Printing could significantly improve its capacity and more environment-friendly car.

Automobile Sector

 DRIVERLESS UBER

Uber in the coming next five year will surely try to minimise its cost by going driverless through collaboration with Tesla , which are well ahead in the driverless technologies and considered to be much safer than the manual one as the accident percentage decreases by more than 80% which is one of the major reason going driverless and as we know that the rash driving by driver, safety and other reason are becoming concern for the Uber and other transportation services as we have seen in the past that there has been case that driver is drunk and so driverless would provide additional features for the future cab service.

Technologies like:-

EMS

2.   Safety sensor

3.   Just Dial

EMS

Engine management system is one of the technologies that are launched by few of the giants of the automobile and proving better features like one to one interaction with your cars at each and every moment.

The time you wake up you may control your car through mobile and locate on your mobile where you needed to go and then your car will give every detail regarding the same.

Our future concern is the environment, fuel and other resources which are finishing up due to the human excessive use of automobiles like cars, bikes and others.

In future to provide and keep a barrier in the same there need to be a collaboration with transportation services like Uber and Tesla to reduce the environment degradation.

Total Number of cars in the world = 1.015 billion

Total Number of Tesla Car sold =    1,25,000

The collaboration of Uber & Tesla will bring a drastic change in the environment by:-

In the year 2020, it is believed that Tesla will manufacturers around 12,50000 electric cars in the world.

Vehicle Emissions and Air Quality

When a car’s engine is running, several different types of gases and particles are emitted that can have detrimental effects on the environment. Of particular concern to the environment are carbon dioxide, a greenhouse gas; hydrocarbons -- any of more than a dozen volatile organic compounds, some of which are known carcinogens; nitrogen oxides; sulphur oxides; and particulate matter, tiny particles of solids, such as metal and soot. Other emissions that affect human health and create smog include ozone and carbon monoxide. The good news is that despite the increase of vehicles on the road, air quality today is actually better than it was in the 1970s, thanks to the 1970 Clean Air Act. In fact, lead emissions from cars have been almost completely eradicated because of the phasing out of leaded gasoline.

Effects on the Environment

Vehicle emissions can affect the environment in several ways. Cars emit greenhouse gases, such as carbon dioxide, which contribute to global warming. (Some air pollutants and particulate matter from cars can be deposited on soil and surface waters where they enter the food chain; these substances can affect the reproductive, respiratory, immune and neurological systems of animals. Nitrogen oxides and sulphur oxides are major contributors to acid rain, which changes the pH of waterways and soils and can harm the organism.

Effect of Tesla

if and only if, the cost and performance of Tesla car are comparable to that of current Diesel and Petrol cars. Electrical cars produce negligible pollution

The impact would be positive, but not that significant to reduce pollution levels drastically down, as other factors like Industrial pollution, open garbage, burning of fields, mulch, etc. are also the main contributors.

This is my thought that in coming year UBER will surely foot into the following sector.