Hello and welcome to your third lesson at the Rideshare Academy. In this lesson, we will cover a brief synopsis of all the major ridesharing companies in America
Whether you have completed the previous lessons or are just jumping in now, make sure to review the courses previous material so that you have a clear understanding of the terms and topics being covered.
Throughout the world, there are several large ridesharing companies. Most people have heard of Uber and Lyft, however SideCar was the original ridesharing service.
Some of the smaller companies, you may have never heard of include: Fasten, GetMe, InstaRyde and zTrip. In Europe, the largest long distance rideshare company is BlablaCar. These companies may differ slightly in how they operate, but the base platform is the same because it works so well!
Uber, Is by far one of the most visible of all of the ridesharing companies. Currently it operates in 72 countries. It is an app-based ridesharing company. This means that everything from booking a ride to paying for the ride is done in the app.
One feature of Uber is surge pricing. This is special pricing that is applied during high demand or peak periods. Surge pricing can be as much as 7x the normal fare! However, the passenger is notified of the current fare when they book their ride.
Uber has many different ride options available depending on the passengers needs. Not all of the ride options are available in every location. As well, some ride options may be more in demand which can lead to longer wait times. Ride options include accessible vehicles, luxury cars, cars that can accommodate more than four passengers, and other speciality vehicles.
Lyft is very similar to Uber except that is only available in the United States. It is also an app-based ridesharing company that uses variable pricing (called Prime Time pricing). However, Lyft maxes out its surge pricing at 3x the normal fare.
They also offer ride options such as linking riders together to share fares, luxury vehicles, cars that can accommodate more than four passengers, and SUV’s.
Juno is a U.S based startup company that facilitates ridesharing services in New York City. The company has currently not expanded their reach out of the city and has made public that they do not want to operate through press interviews.
A great thing to note about Juno is the fact that they only take 10% of the drivers wages, opposed to Uber’s 20% to 25%. In fact, Juno has an equity structure that aims to provide the drivers of it’s company 50% of the founders company equity by 2025.
While coverage is still expanding, inside sources have told us however that Juno may be expending very soon throughout the nation.
Is another app-based ride share company. They operate in Canada and the United States.
Although they are very similar to Uber and Lyft, they do not use any form of surge pricing. They offer a variety of ride options including luxury cars, cars that can accommodate more than four passengers, and city-licensed limousine rides.
MyTaxi is a taxi booking app-based company. They operate in Austria, Switzerland, Germany, Spain, Poland, and the United States. They do not charge a fee for the taxi booking. And the riders prepay for their taxi through the app. They do not offer any special ride options.
Though we know that Uber and Lyft operate in hundreds of cities across numerous countries, some smaller companies have popped up here and there. Whether you view them as competition or you work alongside them, it is important that you know who else is a player in the ridesharing industry.
The third most popular ridesharing app in the US was SideCar. SideCar was based in San Francisco from 2011 through 2015. They were not nearly as popular as Uber, but they had a niche following in the cities where they were present.
Another company called Gett, previously known as GetTaxi, is an Israeli-based ridesharing app that operates in many countries. They survive in their niche because they pay drivers a competitive hourly wage and the passengers fare usually caps out at $10 plus tax.
Gett recently acquired Juno, which is a New York based company. Juno became popular because they took a smaller percentage of the fares from the drivers compared to other companies.
Another notable service is Curb. Curb actually uses the local taxi service as a platform, but allows you to pay entirely through the app. This makes the whole process of hailing a cab and paying the fare incredibly easy.
Now the interesting thing about curb is that riders can schedule future pick-ups at specific locations for a small fee. Curb was acquired by Verifone in 2015 and has spread to over 60 different cities.
An interesting approach to ridesharing considering other companies tend to try to overwhelm taxi companies with cheaper, faster service from local drivers. The big pitfall with Curb is that cab drivers can cancel a ride for an app user and pick up hailed fare instead. You can see how this would cause a lot of inconveniences for Curb users.
Different Ridesharing Platforms Recap
Below are some questions about this module. Take the time to consider the information you have read and answer these questions in your head.
1.) What was the origional ridesharing service in contemporary America?
2.) Which ridesharing company is currently the most popular in America?
3.) True or False – Lyft is available for users outside of the United States.
4.) What is Juno and do they operate nationwide or only in select areas?
5.) True or False – InstaRyde uses surge premiums to help their drivers gain more money, as an incentive to being a smaller ridesharing company.
6.) Is MyTaxi a traditional Taxi based service? Why or why not?
7.) What is Curb and is it comparable to Lyft or Uber? Why or why not?