Established 7 years ago in San Francisco, CA, Uber has expanded quickly into the most affordable and convenient transportation services worldwide. The user simply downloads an app which uses GPS technology to find available Uber drivers in the area. The user taps the screen to call for service and pays automatically on arrival with a credit card. The cost for Uber transportation is usually lower than taxi or other car services, such as Limousine San Jose.
The company takes a percentage of the fare. Since it doesn’t directly hire or pay drivers, or own the vehicles, costs can be kept low. It is also a great opportunity for somebody who has the time to make extra money as an Uber driver, by using their own car. In addition, Uber drivers can choose their own hours so there is great flexibility. There are some requirement that needs to be met in order to become an Uber driver- for example: you must be 21+ of age, the car must be 10 years or younger, must have 4 doors, you must consent to and pass a background check, must have a valid driver’s license and the car must be insured in your name.
Once the customer hails an Uber car and get to their destination, they can get out without the need to exchange any cash with the driver. The app charges the passenger the for the ride directly via withdrawal from their bank account. Drivers keep 80 percent of the fare and 20 percent goes to Uber.
Uber also uses a rating system where drivers and passengers can rate one another on a scale of 1-5 at the end of a ride. Most drivers will rate customers five stars unless they’re obnoxiously drunk, late, or extremely rude. However, the ratings are mostly irrelevant. It doesn’t promote better service or a faster pick up. Most drivers don’t even look at the rating before accepting the passenger. First off, drivers only have a few seconds to accept an ride request before it goes to the next closest Uber driver. Second of all, most drivers would rather make the money off the smaller rating than to make no money while waiting for a five-star rider.
The ratings, however, do matter for drivers. If a driver’s average score drops below a 4.6, they could be terminated or their account could be deactivated. Uber also judges the drivers by their “acceptance rate”. Uber wants drivers to accept at least 80 percent of all ride requests and drive as much as possible. In fact, Uber has an incentive that if you drive 50 hours a week, you get 10 percent extra on what you made that week. Unfortunately, most drive less than 15 hours a week.