Uber started its service by providing cab services to the people at low prices. People just need to swipe through a few options on its app and the rider will have the ride at their doorstep. It did disrupt the complete taxi industry with its new age thinking and bolstered the ride-hailing industry as well. It started its venture and went on to expand its business to other parts of the world. The company was providing cab services to people from around the world in different cities and states. Now, it has grown to the extent that it is available in around 550 plus locations in the world.
The enormity to which it has grown is tremendous and the company did not just stop with the can service. It went on creating another service, which is UberEats, where people will be able to place an order for food and it will be delivered at their doorstep. This is similar to hailing a cab, as it is a ride for the pick up at the doorstep.
At present, the company is working on bringing the next level of automobiles into its line of business. Uber has launched its pilot program with its self-driving fleet and is yet to go on a full scale. Last year the company acquired Otto, which is autonomous trucking company. Now, it has decided to try its hands on trucking business and has launched UberFreight which is a similar kind of Taxi software
This particular service was launched in Texas last year where will connect truckers and with the trucking companies. It is similar to the way where the drivers are connected with the people who are in need of rides. It is a way in which it has expanded its horizon and according to an analysis, it is said that 70 percent of the American goods are covered under trucking.
The UberFreight app will allow the truckers to find loads sorted out by destinations, the time span of delivery and the equipment required as well. The moment the trucker is able to find a profile, which suits them, best, all they need to do is select a few options on the app and they are all set to take up the job.
When it comes to the normal and regular trucking business, the truckers are supposed to wait for around 30 days to be able to receive their payment for the delivery they have done. When it comes to Uber it is not the same, the company promises to pay its truckers within the span of 7 days.
The truckers who take up the job should possess a commercial license, should have maintained a clean record, maintain a valid insurance and follow the federal regulations according to the city or state limit. Uber cab service displaced the middleman with hailing a cab for a ride.
In the same fashion, there will be no requirement for any brokerage companies for them to match up with the cargo companies. The head of data Kevin Novak at Uber stated that the logistics, which are being applied, are better with the machines rather than humans. He is the person behind the surge pricing of the Uber cab services as well.
The company will be placing the prices according to the business conditions in the market. It is expected that there will be modifications made once the company starts to gain some experience in this particular field. Once they have gained the experience then they will be able to process and dehumanize the complete process.
It is said that the typical brokerage takes around 12 percent of the cuts once they have been fixed to delivering the cargo to the said destination. When we consider Uber, the cut percentage will differ drastically; there are possibilities of providing the least cut to lure the truckers into its business.
At present, Uber has not revealed about the pricing, which it will be applying for the cuts. But, it does promise to provide a much lesser price to have the best truckers to transport goods in no time. The company has not gone on a full scale with its trucking business. In fact, it is trying its best to play a fair game and is now available in Dallas, Austin, San Antonio and Houston, Texas.
The loads, which are being transported, will be full loads, even though there are opportunities to make money with small loads. If there are small loads then it needs to stack up in the empty spaces, which are made available in the cargo. Indirectly it means that the company will be pooling the loads just like Uber Pool.
It is something, which Uber will not be doing at present; the company is presently focusing on making a strong base with the UberFreight and spread it to other cities and states as well. There are a few allegations made against the company since it acquired Otto for $700 million and it is suspended off the loop for the autonomous trucks for time being.
A few months ago the self-driving truck of Uber delivered 20,000 Budweiser cans with a driver behind the wheel leaving the truck on autopilot mode. This is definitely going to help Uber in other aspects, if the autonomous trucks are approved and go on a full scale then, in that case, Uber will be transporting the goods instead of using truckers.
The company is expanding its business in many different ways; this UberFreight is going to provide thousands of jobs to all the truck drivers. It is a great opportunity for them to be able to make money in a short period of time. There will be no need for them to wait for 30 days to get their payments.
It is easier for the people to make the ends meet and make a livelihood for themselves. The best part of the deal for the company is that it making a huge profit with having drivers behind the wheels, even before it can go self-driving on the trucks. This shows that the company is willing to go all through the heights to make it bigger and better.
UberEats is one such service, which it is providing that is helping the company to build great networks. This would be a mediator for the trucking business to get better as the network is large. We can see that right from the beginning of the year 2017; there have been too many scandals against Uber.
It started with Travis Kalanick stepping down from the board of Donald Trump as the people were opposing it and deleting the app from their devices. Then a tweet posted on Twitter stating that the rides are available at JFK Airport, New York City, while there was a protest taking place against the executive order of Trump.
Then again there was a blog posted by one of the ex-employees of the company stating that the work culture is inappropriate and sexual harassment taking place. The prominent investors asking the company to make changes in the way the company is being organized. A video of the CEO having an argument with one of the drivers and all this has led to a huge stumble for Uber. It would great if this becomes a success amidst all this chaos and scrutiny. Fingers crossed.