Uber is a real time ride sharing app and is also known as the company. This PPT contains the SWOT , Market and Demand Analysis of UBER Inc.

1. Confidential Customized for Lorem Ipsum LLC Version 1.0
UBER Inc.
MARKET AND DEMAND ANALYSIS
BY
NIYAJ KURESHI
ARYABHATTA COLLEGE (UNIVERSITY OF DELHI)
BBE 2ND YEAR
ROLL NO-17/BBE/071

2. Confidential Customized for Lorem Ipsum LLC Version 1.0
CONTENT
Overview
Company Background
Business Model
SWOT Analysis
Supply and Demand Analysis
Recommendation
s

3. Overview
One of the most acclaimed startups, which showed the power of the internet and has a really
inorganic growth is Uber. Uber is an app and is known as the company which has the largest
fleet of automobiles and yet, it does not own a single car by itself.
Uber is a ride sharing app and it replaces people having to step out of their homes to hail a
cab. Now the cab comes to your doorstep. This, and the fact that Uber has a fantastic and low
pricing policy for its users, makes Uber a favorite app for the frequent or even random
travellers. Many office going crowd are now regularly picking an Uber cab instead of driving to
the office themselves.

5. BUSINESS MODEL

11. SWOT ANALYSIS
1 STRENGTHS
2 WEAKNESS
3 OPPORTUNITIES
4 THREATS

12. STRENGTHS
● BRAND EQUITY
● LOW FIXED INVESTMENT
● CUSTOMER SATISFACTION
● DYNAMIC PRICING
STRATEGY
● ADAPTIVE
● GROWTH RATE

13. BRAND EQUITY
01
Uber is a recognised Brand Globally with
presence in over 50 countries. Uber has already
surpassed Automobile giants like General Motors,
Ford and Honda on Brand value Parameter. With
increasing internet penetration and coming of age
technology, Uber is expected to grow rapidly in the
coming years. It is currently valued at over $68
Billion. Due to the high valuation of brand, Uber
attracts investors too.

14. How Uber surpasses Ford And General Motors Valuation in 5 Years

15. LOW FIXED INVESTMENT
02
Uber, being an aggregator does not require
high fixed investment and so it becomes easier
for Uber to add more cities to its network.
It has expanded rapidly because there is no
fixed investment or infrastructure required

16. CUSTOMER
SATISFACTION
03
Uber has always prioritised customer satisfaction.
Uber has understood that it is serving in a totally
customer driven market where competition is
increasing.
To keep an edge over the rivals, it needs to
provide better customer satisfaction and enhanced
user experience.

17. DYNAMIC PRICING
03
Dynamic Pricing Strategy: Uber has adopted the
dynamic pricing strategy which works on the
demand supply principle of economics. Higher the
demand, Higher the price.
This becomes really beneficial for the company
and the drivers. In peak hours as well as in Night
time, drivers earn a good amount of money.

18. ADAPTIVE
04
Uber is also known to adapt very well to
business conditions. Because of its
international exposure, Uber faces various
problems in various regions.
Uber is known to be a smart marketer and has
adapted very well wherever it has established
its business.

19. GROWTH RATE
05
The growth rate of Uber can be
seen below. This concerns growth
rate in India only.
As we can see, Ola is expanding by
more then 100% year on year and
this expansion has continued in
2017.

20. UBER INDIA REVENUE GROWTH

21. WEAKNESS
● HIGH DEPENDENCY ON MAN POWER
● HIGH DEPENDENCY ON INTERNET
● CATERS ONLY TO TECH SAVVY INDIVIDUALS
● CONTROVERSIES
● LOW BARRIER TO ENTRIES

22. HIGH DEPENDENCY ON
MAN POWER
01
Drivers are the face of the company and thus
the company’s image depends on the
behaviour of drivers towards the customer.
This is a highly uncontrollable situation even
though strict guidelines are provided to the
drivers.

23. HIGH DEPENDENCY ON
INTERNET
02
Uber is heavily dependent on internet
connectivity to expand and develop itself in
developed countries.
Thus, it is facing problems in developing and
emerging countries where internet is slow or
poor..

24. CONTROVERSIES
03
Uber has encountered controversies in
the past mainly because of the drivers
and their behavior. This affects the
image of the company and a trust deficit
is created in the minds of the customer
which is difficult to cover up.

25. LOW BARRIER TO ENTRY
04
Uber is in an industry where the barriers
to entry are very low so it will face
competition in multiple fronts. Already in
India, Meru, Ola and others are giving
tough competition to Uber.

26. OPPORTUNITY
● DISSATISFACTION WITH UNORGANISED
MARKET
● INCREASING INTERNET PENETRATION
● RISING DISPOSABLE INCOME
● ALTERNATE TRANSPORT
● LOGISTICS

27. DISSATISFACTION WITH
UNORGANISED MARKET
01
This is one of the main reasons for the success
of Uber. Local cab drivers are known to be
rude and do not comply.

28. INCREASING INTERNET
PENETRATION
02
With Government’s move to digitise India,
Number of smartphones are increasing and
technology based applications like Uber
can expand their services to other cities
and enlarge its footprint over the country

29. RISING DISPOSABLE
INCOME
03
With rising disposable income,
customers are willing to spend
higher on convenience.

30. ALTERNATE TRANSPORT
04
Uber has launched ‘Uber chopper’ in various
countries and can look for other transport
medium catering local needs. In India, Uber
can launch Bus aggregator system.

31. LOGISTICS
05
A smart idea for Uber can be to launch
movers and packers support whereby
people can search movers and packers
in the nearby area via Uber.
Local logistics can also be integrated.
Though this is easier said than done.

32. THREATS
● GOVERNMENT REGULATION
● CUSTOMER RETENTIONS
● LOW MARGINS
● REVOLT FROM UNORGANISED MARKET

33. GOVERNMENT
REGULATIONS
01
The primary point of disagreement between
cab aggregators and government regulators is
about their legal status and whether they
should be treated as conventional taxi
companies or as IT companies..

34. CUSTOMER RETENTION
02
As competition rises, it becomes all the more
difficult to retain customers and drivers for
Uber. Any monetary advantage can sway the
customers and drivers from Uber.

35. LOW MARGIN
03
Uber helps the drivers to get a high number of
daily rides but it does not have a high-profit
margin for the drivers and thus they can easily
be swayed away.

36. REVOLT FROM
UNORGANISED MARKET
04
The unorganized market of cab drivers can
revolt against such companies which are
taking away the bread and butter of drivers
from unorganized market. Such a revolt will
directly affect the operations of a brand like
Uber.

37. DEMAND AND SUPPLY
ANALYSIS

41. RECOMMENDATION
● Maintain consistent pricing for customers in both rural and non-
rural cities.
● Provide validated proof of safety for customer peace of mind.
● Allow users put in for a reservation hours or days in advance,
and let drivers commit to pick up a reservation.
● Expand business model into other facets of business (i.e.
UberAlternate / UberAlternateX, UberTour, UberFresh,
UberEssentials, UberAmbulance).

42. Thank you.