In late Spring 2022, New Yorkers looking for Uber rides can opt for a yellow taxi driver when ordering a ride using the app. Partnering with two taxi technology companies in New York City will enable Uber to generate revenue and provide opportunities for taxi drivers to earn money. Receiving a ride should follow the same process as UberX, the standard ride on the Uber Ride App. The only difference is adding yellow cab drivers as an option to the Uber drivers list.
Users will be able to select a yellow cab driver or an Uber driver on the Uber App. As Uber drivers can see the upfront costs of rides, yellow taxi drivers will be able to see the prices and opt to accept or decline the offer. Uber expects the costs for a yellow cab driver to be the same price as an UberX driver. NYC is the first city to partner with taxi technology companies in the United States.
Before forming taxi partnerships in New York, Uber had partnered with taxi companies in Columbia and South Korea. TaxExpress and SK Telecom partnered with the company to provide taxi rides. Other countries Uber worked in within the taxi industry include Austria, Germany, Spain, and Turkey. Uber purchased the HK Tax App in Hong Kong, and is now the owner.
Before the Covid-19 pandemic, the taxicab industry was suffering financially. Many cab drivers had to receive loans in NYC to pay for their permits issued by the city to own a yellow cab. The price during the time was extremely high, and Uber becoming a competitor in the market did not make economic times any better for cab drivers. Covid-19 affected Uber and Lyft and further impacted the taxicab sector.
Uber and Lyft drivers became the main competitors of taxi cab drivers. Consumers relied on Uber or Lyft because the prices were more economical, causing a significant decline in revenue for many taxi technology companies. It seems that Uber’s creative marketing idea working in other world countries is the reason behind bringing taxi partnerships to the US, in New York City. Both Uber Ride and the taxi technology companies will benefit from the partnership financially for generating revenue and earning income.
Dil Bole Oberoi
