Uber Marketing mix
Uber is one of the most established taxi service provider companies across the globe. With services being rendered in almost all well-established cities all over the world, it is in an excellent position to enjoy the returns of the good services it offers to the public. Most of the customers it gets are those that do not own cars, as well as those who prefer to leave their automobiles behind when attending various engagements. Notably, there are a couple of reasons for the untold success of the firm, most specifically in the manner in which Uber conducts its marketing services. This article, therefore, looks into the various marketing mix aspects dwelt on by the corporation, mostly pricing, place, and people.
Uber, as Grewal, Bart, Spann, and Zubcsek (2016) assert, has accumulated a great percentage of committed and loyal customers globally, way more than any other taxi service company. Most clients are wooed by the flexibility of the pricing of the services rendered by the firm. Considerably, the amount of costs incurred by the consumers of the services in the form of the fare to pay varies according to various conditions and situations. One of the factors considered for the determination of the value to be paid is the distance to cover in the provision of the services. The longer the distance traveled, the higher the charges for the services.
Besides, the pricing varies with variation in the riding time used. Consequently, the longer it takes to reach the destination, the more the customers have to pay for the services they are accorded. This contrasts the aspect of the distance covered for the ride because there are certain factors that may lead to the difference in the amount of time consumed to cover the same number of kilometers. Such factors as the condition of the road and the type of car used for the ride contribute lots to lack of synchrony in the amount of time and distance used for the service (Lamberton, Rose & Rose, 2015).
In addition, the type of car used for the ride is the reason for the difference in the pricing for the servicers. Consequently, an automobile with high fuel consumption might attract more charges than that with low consumption. Also, the value of the prices paid might vary with the location of the venue for the services, and the conditions during the ride. This explains why the cost of the taxi services for the same distance varies in different places and times of the day (Lamberton, Rose & Rose, 2015).
Notably, Uber covers a couple of locations in the world. This is a significant development since its establishment in the United States in the year 2009. In India, for example, its use is widespread, with a large number of the Indian population making use of it in the daily routine of commuting to and from work. The workability of the taxi service is also possible in various places due to the comfortability and affordability of the vehicles. The safety it offers to the customers is also one of the reasons for the success of the company in India specifically.
Considerably, according to Lamberton, Rose, and Rose, (2015), Uber works on the Three Tiers phenomenon in whichever country it works. Consequently, they classify the cities and towns according to the development, infrastructure, and the population of the cities. Through this criterion, the planning for the services to be offered becomes considerably easy because of the consideration set aside for all the aspects necessary for the workability of the services.
Moreover, as Giesler, Veresiu, and Siebert (2015) suggest, the company has with time expanded its services to apply to various places in the world. The firm has branches in most countries at the moment. For instance, the services have been expanded to cater for customers in Africa, most specifically in South Africa, where they have experienced unfathomable success. Due to this international recognition, the company benefits a great deal from demographic contributing factors such as immigration. To flesh out on this, the trust they gain from customers is still carried to the nations where the consumers move to, hence resulting in little change in the company’s market share despite the change of residence. Basing 9on this, it postulates that the enterprise is on the urge of going public ion times to come, with the global recognition and customer trust worldwide.
Uber, as Rose and Arnold (2015) argue, mostly targets individuals who do not own cars or those that want to evade the hustle of having to drive themselves to events. Consequently, this gives Uber a good percentage of the customers available for the company. Moreover, the firm has extended and further simplified the way it can be reached by its clients in some ways. First and foremost, the business gives the people the opportunity to book and pay for the taxi services online. Through this, the firm has the trust it needs from the customers, better still getting past many of its competitors worldwide, for example, Meru in India.
Besides, as Kloppenborg and Petersen (2013) postulate, the firm makes great use of the social media to better reach its customers. Here, the consumers can directly access and seek the attention of the company marketing directors and supervisors. They can further rate the company and make complaints if any. Through this, the company is better marketed to the customers who can pass through the all the relevant information such as the payment rates, and the destinations that can be taken with ease. They further compare the prices they have to incur when using different vehicles and also different terrains.
In addition, according to Cannon and Summers (2014), the company can deal with more customers than it would if it tried to reach the consumers physically. Consequently, the market share of the company is way more than many of its competitors who only deal with its users without the provision to make prior traveling arrangements. Moreover, the social platform illustrates that the company can reach people regardless of their places of residence, as long as they can access the services of the corporation.
Uber will minimize the risk related with customers using an unfamiliar product or service by helping the potential customers to physically see the services on offer. The boarding terminals will have a clean and well decorated reception bay to reassure clients of the organization’s authenticity (Giesler, Veresium & Siebert, 2015). The marketing aspect will enable Uber clients pay for and decide the time they want to leave for their various destinations. They can further state the venues and time they should be picked by the taxi drivers
The organization should device a platform more or less like portal, where the customers can be in charge of their needs. Uber should finds other areas all over the world with high development rates and healthy population rates where they can invest. Moreover, there are various locations globally with good infrastructure. This would also help limit environmental; pollution and the issue of the traffic jam, as witnessed in many major cities. Proper research lso be done when launching the firm in new areas.
Cannon, S., & Summers, L. H. (2014). How Uber and the Sharing Economy Can Win Over Regulators. Harvard business review, 13.
Giesler, M., Veresiu, E., & Siebert, A. (2015). Designing a Sharing Economy through the Process of Market Empathization. NA-Advances in Consumer Research Volume 43.
Grewal, D., Bart, Y., Spann, M., & Zubcsek, P. P. (2016). Mobile advertising: a framework and research agenda. Journal of Interactive Marketing, 34, 3-14.
Kloppenborg Madsen, E., & Pedersen, K. (2013). From price theory to marketing management: Danish contributions 1930-1960. Journal of Historical Research in Marketing, 5(2), 172-191.
Lamberton, C., Rose, A., & Rose, R. (2015). Disambiguating Sharing Economies: How Economic Tropes Affect Attitudes. NA-Advances in Consumer Research Volume 43.
Rose, A., & Arnould, E. (2015). Strategic Implications of Consumer-To-Consumer Resource Pooling. NA-Advances in Consumer Research Volume 43.