{"id":13525,"date":"2022-01-25T23:52:47","date_gmt":"2022-01-25T23:52:47","guid":{"rendered":"https:\/\/vistula.edu.pl\/?p=13525"},"modified":"2022-01-25T23:52:47","modified_gmt":"2022-01-25T23:52:47","slug":"uber-application-does-it-make-sense-to-use-it","status":"publish","type":"post","link":"https:\/\/vistula.edu.pl\/en\/uber-application-does-it-make-sense-to-use-it","title":{"rendered":"Uber application. Does it make sense to use it?"},"content":{"rendered":"<figure class=\"wp-block-post-featured-image\"><img loading=\"lazy\" decoding=\"async\" width=\"870\" height=\"485\" src=\"https:\/\/b2929804.smushcdn.com\/2929804\/wp-content\/uploads\/2022\/01\/aplikacja-uber-czy-warto-z-niej-korzystac-870x485-2.jpeg?lossy=1&strip=1&webp=1\" class=\"attachment-post-thumbnail size-post-thumbnail wp-post-image\" alt=\"\" style=\"object-fit:cover;\" srcset=\"https:\/\/b2929804.smushcdn.com\/2929804\/wp-content\/uploads\/2022\/01\/aplikacja-uber-czy-warto-z-niej-korzystac-870x485-2.jpeg?lossy=1&strip=1&webp=1 870w, https:\/\/b2929804.smushcdn.com\/2929804\/wp-content\/uploads\/2022\/01\/aplikacja-uber-czy-warto-z-niej-korzystac-870x485-2-300x167.jpeg?lossy=1&strip=1&webp=1 300w, https:\/\/b2929804.smushcdn.com\/2929804\/wp-content\/uploads\/2022\/01\/aplikacja-uber-czy-warto-z-niej-korzystac-870x485-2-768x428.jpeg?lossy=1&strip=1&webp=1 768w\" sizes=\"auto, (max-width: 870px) 100vw, 870px\" \/><\/figure>\n\n\n<p>The topic of Uber has recently been raised by taxi drivers. The confusion around this application reflects well the challenges of the modern world and the importance of the mobile market. Let\u2019s deal with the myths related to Uber.<\/p>\n\n\n\n<p><strong>Uber is cheaper than a taxi.<\/strong><\/p>\n\n\n\n<p>Uber trips cost about PLN 1,50 \/ km + PLN 0,35 \/ min + PLN 7,00 for the first kilometer. More expensive than the cheapest taxi corporations (Warszawa, 1,50 \/ km), more expensive than the so-called transport of people, but much cheaper than the market average for taxis (2,40 PLN \/ km). Uber is more expensive when there is heavy traffic (e.g., Friday evenings), because then it introduces a higher tariff (which is not set by the driver). On top of that, Uber adds a fee for the time and for the first kilometer.<\/p>\n\n\n\n<p><strong>If it\u2019s so cheap, what is Uber making money on?<\/strong><\/p>\n\n\n\n<p>Uber calls itself a technology broker but is actually a middleman in the transportation service. Uber takes 20% of the trip price and transfers taxes out of Poland through a company in the Netherlands, which settles taxes in a tax haven in Bermuda. This way, Uber does not pay taxes so it can offer higher prices. For comparison, iTaxi takes 16%, MyTaxi around 10%.<\/p>\n\n\n\n<p><strong>Higher Uber prices. What is going on?<\/strong><\/p>\n\n\n\n<p>The company introduces various rate multipliers when there is a high demand for the taxi service, e.g., 2.9, 2.1 higher rate multiplier. It\u2019s a psychological manouver. If the taxi driver said: \u201cI charge twice the standard rate\u201d &#8211; we would rather refuse. If the rate multiplier is not an integer, we have the impression that the fare has been calculated according to an algorithm and it is more difficult for us to calculate the final price. So, there is a greater chance that we will agree to a higher rate. Controversy was raised by application of higher rates in the case of terrorist attacks or the need to evacuate people from the place of danger.<\/p>\n\n\n\n<p><strong>Uber drivers are nicer than taxi drivers.<\/strong><\/p>\n\n\n\n<p>Only half true, there are different taxi drivers and different Uber drivers. Uber drivers are usually new to the job and (still) happy with it because they choose this form of income themselves. They are divided into two subgroups:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>10-20% &#8211; people who earn extra money<\/li><li>80-90% \u2013 professional drivers.<\/li><\/ul>\n\n\n\n<p>Uber lowered the entry barrier and popularized passenger transport. Uber passengers think themselves very modern. There is also a niche and a certain sense of novelty about using Uber.<\/p>\n\n\n\n<p><strong>Shared economy &#8211; what is it?<\/strong><\/p>\n\n\n\n<p>Uber says is part of shared economy. This is not true. Blahblahcar, where we take someone on the way, so as not to \u201ccarry air\u201d is something different. Uber drivers go where the customer tells them to. So, it is a typical source of income falling into the category to the transport of people.<\/p>\n\n\n\n<p><strong>Is Uber legal?<\/strong><\/p>\n\n\n\n<p>The transport of passengers is regulated in Poland &#8211; you have to pay higher liability insurance, have special car inspections done, etc. We are not talking about taxis here, as there are additional requirements for them, but also privileges, e.g., the possibility of driving on bus lanes. Uber is legal, as is taking taxes abroad. So legally everything seems to be fine, thanks to a special legal category of special purpose vehicle (SPV), but it is not in line with the spirit of the law nor the interests of taxpayers. That is why, it was banned in most European countries. Especially that Uber claims that it does not provide passenger transport (it can be checked in its regulations).<\/p>\n\n\n\n<p><strong>Does Uber have any competition?<\/strong><\/p>\n\n\n\n<p>Uber has competition. First of all, LYFT, which has a similar operating model and has successfully taken about 1\/3 of the US market. LYFT is like Pepsi for Coca-Cola. Although, it does not create a new market, it cuts off its pieces for those who want such a service but are dissatisfied with Uber. It\u2019s also a bit cheaper. There are iTaxi and MyTaxi taxi applications in Europe, plus dozens of individual applications for existing passenger transport and small taxi companies. For them, Uber is a serious competition, as it takes young, price-sensitive and modern customers who were previously customers of passenger transport. Local passenger transport companies do not have a budget for a good application, and the quality of most applicacions is offputting, as we have written on our blog recently.<\/p>\n\n\n\n<p><strong>Will Uber win the transportation market?<\/strong><\/p>\n\n\n\n<p>So far, investment funds have invested $15 billion. And this is not the end. Uber has one million drivers and hundreds of millions of customers who have provided details of their credit cards to this company. Although a connected credit card from which someone other than you can withdraw money is not legal in Poland, it must be remembered that Uber operates according to the United States law where this is legal and it&nbsp; can charge up to PLN 350,00 if, for example, you left a dirty car behind, which could happen on a Friday night. And if you cancel the trip, you will pay PLN 10,00. Even if you cancel it because the driver fails to pick you up at the indicated location.<\/p>\n\n\n\n<p><strong>Uber, the Big Data application.<\/strong><\/p>\n\n\n\n<p>The Uber application itself is very simple &#8211; logging in, connecting a credit card, location. Its technological value is the processing of a huge amount of data &#8211; about where passengers and drivers go, how long distances they travel, and &#8230; where they are when they are not using Uber. This is a very demanding application &#8211; it uses your location even when you are not using it. In addition, Uber collects information about what device you are using or where you are travelling. If you use the latest iPhone and travel in expensive suburban districts &#8211; higher prices are guaranteed.<\/p>\n\n\n\n<p><strong>Does it make sense to use Uber, then?<\/strong><\/p>\n\n\n\n<p>Everyone has to make their own decision.<\/p>\n\n\n\n<section classs=\"o-section c-shared-post\">\n  <div class=\"o-wrapper c-shared-post__container o-flex o-flex--grids o-flex--centered-v o-flex--space-between\">\n     <span class=\"c-shared-post__title u-font-color--1\">Share this post <\/span>\n        <div class=\"c-shared-post__social-content\"> \n                       <a class=\"c-shared-post__social-link c-link-social\" href=\"http:\/\/www.linkedin.com\/shareArticle?mini=true&amp;url=&amp;title=\" target=\"_blank\"><svg width=\"40\" height=\"40\" viewBox=\"0 0 40 40\" fill=\"none\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\">\n<path class=\"c-link-social__bg\" fill-rule=\"evenodd\" clip-rule=\"evenodd\" d=\"M20 40C31.0457 40 40 31.0457 40 20C40 8.95435 31.0457 0 20 0C8.95435 0 0 8.95435 0 20C0 31.0457 8.95435 40 20 40ZM11.5765 15.7908H15.1901C15.2697 15.7908 15.3417 15.8228 15.3942 15.8745C15.4474 15.9272 15.4805 16.0002 15.4805 16.0811V27.6897C15.4805 27.8501 15.3505 27.9802 15.1901 27.9802H11.5765C11.4163 27.9802 11.2863 27.8501 11.2863 27.6897V16.0811C11.2863 16.0559 11.2896 16.0315 11.2955 16.0081C11.2999 15.9912 11.3058 15.9749 11.313 15.9592C11.3262 15.9307 11.3438 15.9045 11.365 15.8821C11.418 15.8259 11.4932 15.7908 11.5765 15.7908ZM13.3845 10.0198C12.0697 10.0198 11 11.0884 11 12.4016C11 13.7156 12.0697 14.7844 13.3845 14.7844C14.6982 14.7844 15.7671 13.7156 15.7671 12.4016C15.7671 11.0884 14.6982 10.0198 13.3845 10.0198ZM21.2064 16.835C21.8571 16.1262 22.9299 15.5022 24.3812 15.5022C28.4513 15.5022 29.0001 18.4443 29.0001 21.3223V27.6899C29.0001 27.8503 28.8701 27.9802 28.7097 27.9802H25.1028C24.9424 27.9802 24.8125 27.8503 24.8125 27.6899V22.0457C24.8125 20.4656 24.6957 19.2566 23.2263 19.2566C21.8771 19.2566 21.3514 20.0107 21.3514 21.9463V27.6897C21.3514 27.8501 21.2214 27.9802 21.061 27.9802H17.4554C17.295 27.9802 17.1652 27.8501 17.1652 27.6897V16.0811C17.1652 15.9207 17.295 15.7908 17.4554 15.7908H20.916C21.0764 15.7908 21.2064 15.9207 21.2064 16.0811V16.835Z\" fill=\"black\"\/>\n<\/svg>\n<\/a> \n                                  <a class=\"c-shared-post__social-link c-link-social\" href=\"http:\/\/www.facebook.com\/share.php?u=&#038;title=\" target=\"_blank\"><svg width=\"40\" height=\"40\" viewBox=\"0 0 40 40\" fill=\"none\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\">\n<path class=\"c-link-social__bg\" d=\"M20 40C31.0457 40 40 31.0457 40 20C40 8.95431 31.0457 0 20 0C8.95431 0 0 8.95431 0 20C0 31.0457 8.95431 40 20 40Z\" fill=\"black\"\/>\n<path d=\"M21.8667 31.8666V21.0666H25.4667L26 16.8H21.8667V14.1333C21.8667 12.9333 22.2667 12.1333 24 12.1333H26.2667V8.26663C25.8667 8.26663 24.5333 8.1333 23.0667 8.1333C19.8667 8.1333 17.6 10.1333 17.6 13.7333V16.8H14V21.0666H17.6V31.8666H21.8667Z\" fill=\"white\"\/>\n<\/svg>\n<\/a>  \n                   <\/div>\n  <\/div>\n<\/section>","protected":false},"excerpt":{"rendered":"<p>The topic of Uber has recently been raised by taxi drivers. The confusion around this application reflects well the challenges of the modern world and the importance of the mobile market. Let\u2019s deal with the myths related to Uber.<\/p>\n","protected":false},"author":1,"featured_media":13526,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[105],"tags":[],"class_list":["post-13525","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-economy-and-finance"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.7 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Uber application. Does it make sense to use it? - Vistula University<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/vistula.edu.pl\/en\/uber-application-does-it-make-sense-to-use-it\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Uber application. Does it make sense to use it? - Vistula University\" \/>\n<meta property=\"og:description\" content=\"The topic of Uber has recently been raised by taxi drivers. The confusion around this application reflects well the challenges of the modern world and the importance of the mobile market. 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