Three months passed by and it is time to share with you some results of our hard job. This report will be mostly dedicated to Market Promotions and Applications themselves.
Riders and Drivers expectations still in progress because of the enormous amount of collected data. Thanks to everyone who shared their feedback with us. We will definitely analyse all this information and develop clear recommendations for service providers.
Applications – Software
1. Uber
No doubts, THE BEST software for now on the Australian market. Still many questions to:
- route directions,
- up-to-date road and traffic information,
- pinpoint pick up points
But they are working on the improvement of these issues. The main issue is the Pick-Up point. The rest may be solved by Drivers themselves through Google maps or Waze.
2. Didi
This is the second-best application. It definitely can’t be used to drive, but Pick Up points are nearly accurate. The rest is unacceptable. It is not responsive, delays may occur up to the minute and hundreds of meters. Good in conjunction with Google maps and Waze.
3. Taxify – Bolt
The worst one out of these three. Doesn’t show suburb, very approximate Pick-Up point, destination point may be hundreds of meters away from the real one. Nor responsive at all! If you change your route – still showing you the old one. That is why CAN NOT be used to drive!
General conclusion.
Guys, it is better to concentrate on your main business idea – Rideshare. Leave maps and routes to Google, they are THE BEST on the market (was, is and will be)! Try to improve your service and don’t waste your time on maps application.
Promotions (Marketing)
1. Uber
Advantages
Trying to create more reasons for Riders and Drivers to use Uber. They are still Australia’s Number 1 rideshare company (with a HUGE gap) but are beginning to realise that active competitors have appeared on the market. Some new useful features that were introduced to the market:
- new services for Riders (for example, Pool and Comfort).
- more Riders discounts to try these services
- some loyalty discounts
- Drivers bonuses for the increasing amount of rides
- Bonuses for consecutive rides
All these features working good on the market. They have to stick to the most valuable promotions and create more reasons for both parts to use their service.
Problems and Ideas
The main problem is Brand Loyalty. Of course, Uber done the best ever job on the market: they change the word “TAXY” to the word “UBER” in the customer’s mind. But you can’t forever benefit from only one this achievement. Other companies also want to receive their piece of pie and will bite the leader constantly.
The first wake-up call for Uber is Lift. They have outdone Uber in America! Just because they concentrated on the service itself, not in helicopter riders, underwater journey and worldwide domination. Uber should make the right conclusion from this accident. If they will not give Riders and Drivers valuable (intangible) reasons to stick to there service, ANYONE may overtake them on the exact market.
I wrote about the global idea that may help any rideshare company become Number 1 throat the world here: Around The World In 80 Days
Some easy steps may be done here and now:
- Promotions should be aimed at increasing LOYALTY, by giving Riders and Drivers more reasons to use Uber more often.
- Don’t change Promotions too often.
- Each Promo should have its own meaning – you must clearly understand what are you doing and what do you want to achieve with this step (for example, Drivers and Riders rating – for now, this is a meaningless feature)
- Give Riders and Drivers more INTANGIBLE reasons to use Uber rather than other applications (cumulative discounts, incentive prizes, develop a sense of pride in using Uber)
Conclusion
A lot of work should be done in order to stay at Number 1 in Australia. Branding and Positioning questions are still extremely actual for Uber Australia.
2. DiDi
Advantages
Very dynamic company. Trying to conquer the market extremely aggressively.
Looking for Riders and Drivers feedback.
Covering the market with CHEAP rides. The main DiDi Idea (as far as it sounds on the market) – We Are CHEAP! Ready to invest in the business.
But that is it! And here we have a bunch of problems.
Problems and Ideas
We Are CHEAP – can’t be Positioning Idea. Next player (reacher than you) can appear on the market, offer much cheaper products – rides – and win this race of money. In this situation, you have to offer something more valuable rather than price.
I understand that Uber did a great job, they have much more Drivers (that is why they can offer better/faster service), they covering the most of business trips and may offer a bigger range of products.
But why not concentrate on the different target audience? You can take youngsters who really care about $2-3 cheaper rides. But they need a bit different service!
For example, they ready to wait additional time for the car, but they would love to order someone in particular or have a possibility to CHAT with friends who travelling in another car. Give them this opportunity via your application and this category will be yours forever!
Another audience – middle class. They also care about $2-3 cheaper rides. In this situation, you can offer them an alternative to public transport. The more you use DiDi the cheaper your rides, for example. Calculate how much do they spend on public transport per week and give them a reasonable alternative.
Conclusion
You should look for your specific audience.
Create a demand for your rides and STOP stealing riders – this is against business ethics (look at DiDi Driver screenshot).
Leave business clients for now – you don’t have enough Drivers to cover the business needs. Concentrate on additional application features and different audience.
3. Taxify – Bolt
Advantages
A fixed price for Riders. No matter How and What – the price is fixed and cheap for the customer. This is the main advantage, but it makes Drivers life much harder: what if we have traffic or closed road on the route? A long conversation with support may fix this problem, but it takes time and patience.
What else? I don’t think that we found much more advantages. They are still not so active in the market, so it’s difficult to identify more pluses.
Problems and Ideas
The main problem – the application itself and lack of promotions. For the last 3-4 month, they’ve done ONLY ONE promo – X% discount for the new Riders. And that is it and NOT ENOUGH to enter and gain a foothold in the market.
That is why the main uses of Bolt application in Australia are foreigners from Europe. I can assume that in Europe they are much more popular than here, in Australia.
Conclusion
It is difficult to give advice if you do not know the general policy of the company, but they definitely should behave much more aggressively in the market if they want to achieve any decent success.
General conclusion
YES, rideshare business is a very promising and profitable one. BUT you have to create a UNIQUE idea in order to stay steadily in the market. You can’t offer the same services, promotions, discounts and features just copied your competitors. Stop for a minute, step aside, look at your business from the customer’s point of view and create your UNIQUE features in order to tie YOUR customers to YOUR business.
If you can’t work out your personal idea, you can adopt this one to your business –
Alternatively, contact Infinite Profit and we’ll do it together.
Good Luck and All The Best!
