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PostPosted: Thu Aug 06, 2020 4:38 pm 
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Tom Thumb wrote:
Announced overnight that Uber have purchased Autocab.

The intention is to use Igo system to distribute work to PH drivers in areas that they don't currently operate.

My initial reaction is that this is a very astute move by Uber. iCabbi next?

I agree.

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PostPosted: Thu Aug 06, 2020 4:54 pm 
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The app would just be given an easy foot in the door with several ready-made fleets of cars and drivers on tap, but the existing operators would just be cutting each other's throats and giving the app an easy way in.

I asked someone, who would know, if this would give Uber free access to 100+ operator databases, but was assured that a firewall stops all that nonsense. Which given the data laws we now have makes sense.

What I think is the initial (next few years) plan is to use Autocab's iGo system to dispatch Uber work when there is no Uber vehicles available. So that would mainly apply to areas where Uber has no presence.

In terms of operators under cutting each others throats, well that happens now, but the difference here is that currently there aren't enough firms using Autocab for that to be an issue.

As far as I'm aware there are only two firms in Sussex using Autocab. However if more firms wanted to join up, that's one hell of a capital outlay to gain work.

Depending on the number of vehicles but it could go in the 100s of 1000s.

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PostPosted: Thu Aug 06, 2020 5:59 pm 
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I'm also told on good authority that the Uber app will have another option in areas where there is a Uber presence, and an Autocab presence, and that option will be a 'Local Taxi' button.

So besides the Uber Exec, the Uber X and Uber assist options, there will be one that might address some of the cross border issues we all have.

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PostPosted: Thu Aug 06, 2020 6:26 pm 
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Yep, you're probably right. Im getting ready to retire!


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PostPosted: Thu Aug 06, 2020 7:11 pm 
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heathcote wrote:
edders23 wrote:
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Sly move by Uber, but I can't see why local firms currently using Autocab would allow that?


I think under the current climate some might see it as a way round the self employment debacle.

Drivers will be simultaneously working for more than one operator therefore self employed and not entitled to sick pay,holiday pay etc !


Not in our neck of the woods,uber were refused a license.



BUT now they don't need one as the subcontractor PH firms already have :wink:

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PostPosted: Thu Aug 06, 2020 7:35 pm 
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Sussex wrote:
We must remember that Uber aren't giving drivers work via Autocab, they are giving work to operators via Autocab.

I suspect many operators will keep the bookings origin secret from drivers, although I suppose the punters might mention it.

Sorry, I'm not buying that [-( (Not buying your argument, I mean, not Autocab :badgrin: )

So currently in Anytown there's no Uber presence. But suddenly people can use the Uber app and it'll show cars and they can order one.

So then it snowballs, and before you know it, a significant proportion of local bookings are done via the Uber app, despatching cars from local PH operators.

So what's Uber getting in way of commission etc? They're not a charity, so they'll want their cut, so I can't see how local operators are just going to benefit from the extra work which is coming through (and which may well just be the same work that previously came to them directly, but which is now being booked on the Uber app).

Then Uber's built up a customer base in the town, and start taking on cars under their own banner?

I suspect some operators would come on board, but for most I think anything to do with Uber would be a big warning sign [-X


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PostPosted: Thu Aug 06, 2020 7:39 pm 
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Uber wrote:
Every month thousands of people open the Uber app in places the company doesn’t operate to try to get a trip. Through Autocab’s iGo marketplace, Uber will be able to connect these riders with local operators who choose to take their booking.

I think this is the most important point. The bookings will originate from customers using the Uber app. Where will that end up? :-k


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PostPosted: Thu Aug 06, 2020 7:47 pm 
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One operator had been doing work for 'the mighty' Fraser Eagle, who hadn't paid them for 4 months and owed him so much his business was in danger of going under. He rang FE to say he would not supply them until he was paid the outstanding amount. He then rang 4 competitors to 'warn' them that FE might come calling but they don't pay their bills.

Within an hour 3 of those competitors had rung FE to volunteer to do their work.

The morale of this story is, never underestimate how thick a large number of PH operators are.

I hear what you're saying, but I suspect they viewed Fraser Eagle as a bit different to how they'll view Uber.

I don't know FE too well, and how they worked, but I suspect local operators viewed FE as work that was lost anyway, so why not try for a piece of the action?

And as well as work that was lost to FE anyway, I suspect they viewed FE as less of a threat to their bread and butter, more local markets. Uber, on the other hand...

I don't doubt that some local operators will come on board with this, but I suspect most will see it for what it is, namely Uber effectively looking for a toehold in local markets, where it would be easier to crack the market that way than via their usual method.

One obvious benefit to Uber is economies of scale, which is why I suspect they've stuck to the larger cities and conurbations thus far, but this is a way in to smaller cities and towns.


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PostPosted: Thu Aug 06, 2020 9:03 pm 
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Perhaps the way it’s going to work is if an Uber vehicle isn’t available, they’ll pass it on to a local ‘Autocab’ company and charge them an admin fee/percentage of the fare ?


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PostPosted: Fri Aug 07, 2020 3:28 am 
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x-ray wrote:
Perhaps the way it’s going to work is if an Uber vehicle isn’t available, they’ll pass it on to a local ‘Autocab’ company and charge them an admin fee/percentage of the fare ?

Indeed, Uber will presumably want a cut of the fare, but that begs the question what the local PH operator is gaining? Or does the driver take the hit and ends up paying both Uber and the firm?

But you say that if an Uber vehicle isn't available they'll pass it on to an Autocab office. But the local cars are going to be shown on the Uber app, presumably, or Uber won't be taking bookings in the first place?

Read what Uber is saying again:

Uber wrote:
Every month thousands of people open the Uber app in places the company doesn’t operate to try to get a trip. Through Autocab’s iGo marketplace, Uber will be able to connect these riders with local operators who choose to take their booking.


So it'll either make no difference when people open the Uber app in areas Uber doesn't have any cars in currently, or the local operator's cars will have to be showing on the *Uber app*?

Which would mean more and more people using the Uber app in that area to book cars, so the local operator loses direct bookings, which would then go to their cars via Uber and Autocab.

So Uber could go from nothing in an area to a significant market share there, using a local operator's cars. The local operator has thus lost a significant market share of direct bookings, which are now coming via Uber. Uber has to make something from this, and the local operator will lose out as a consequence.

And the next logical step is for Uber, having built up a 'critical mass' of local business via a local operator, to cut out the local operator and start using its own cars :shock:

Predictably, Uber's spiel is that this will all being doing existing despatch operations a favour, but there's no such thing as a free lunch.

And there's lots of other issues that will be thrown up, such as competition law, fare-setting, operator licensing, door stickers etc.


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PostPosted: Fri Aug 07, 2020 9:50 am 
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And yet uber loose $1.8 Billion in the second quarter of this year.

There is something rotten in the state of Denmark.

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PostPosted: Fri Aug 07, 2020 6:03 pm 
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So what's Uber getting in way of commission etc?

They will still charge commission, although I suspect at the beginning it wont be the 20/25%, else the work will not be accepted.

As for who's paying the commission, well it will be partly paid out of the office rent, and partly out of the drivers takings.

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PostPosted: Fri Aug 07, 2020 6:06 pm 
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Then Uber's built up a customer base in the town, and start taking on cars under their own banner?

But they haven't got an operator's license for those areas, nor for that matter any cars.

And what's stopping the Autocab operator doing what you think Uber might do and grab their customers?

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PostPosted: Fri Aug 07, 2020 6:09 pm 
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I suspect some operators would come on board, but for most I think anything to do with Uber would be a big warning sign [-X

I think the complete reverse, in that operators will be seriously considering joining Autocab.

I take the view that an Autocab operator in an area where Uber has currently no presence has just won the lottery.

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PostPosted: Fri Aug 07, 2020 6:10 pm 
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I think this is the most important point. The bookings will originate from customers using the Uber app. Where will that end up?

On those local firms databases.

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