Table of Content
Table of Content...............................................................................................................................1
1. Select Service Blueprint...............................................................................................................3
2. Understanding Uber Cab Business.............................................................................................. 4
2.1 Company Brief.....................................................................................................................4
2.2 Business Model....................................................................................................................5
2.3 How the business model works............................................................................................6
2.4 The Revenue model............................................................................................................. 6
2.5 Uber's most popular ride options......................................................................................... 7
2.6 SERVQUAL Model of Uber:...............................................................................................7
2.7 The Flower of Service:.........................................................................................................8
2.8 Marketing Mix of Uber........................................................................................................8
2.9 PESTEL Analysis:............................................................................................................. 11
2.10 SWOT Analysis............................................................................................................... 13
2.11 Competitor Analysis........................................................................................................ 16
2.11.1 Lyft.......................................................................................................................... 16
2.11.2 Didi Chuxing...........................................................................................................16
2.11.3 Ola...........................................................................................................................16
2.11.4 Grab.........................................................................................................................17
2.11.5 Bolt (formerly Taxify).............................................................................................17
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2.11.6 Gett..........................................................................................................................18
2.11.7 Careem.................................................................................................................... 18
2.11.8 99 (formerly 99Taxis)............................................................................................. 18
2.11.9 Gojek.......................................................................................................................19
2.11.10 DiDi Mexico......................................................................................................... 19
3. India Market of Uber Cab.......................................................................................................... 20
3.1 Introduction........................................................................................................................20
3.2 India’s Uber 6.....................................................................................................................21
3.3 Fastest Cities in India (Avg speed):................................................................................... 22
3.4 India’s Top Intercity Routes...............................................................................................22
3.5 Top 5 Longest Trips........................................................................................................... 22
3.6 Implication in 2023............................................................................................................ 23
4. Challenges and Opportunity of Uber in India............................................................................24
4.1 Challenges..........................................................................................................................24
4.2 Opportunity........................................................................................................................ 25
5. Detailed Service Blueprint.........................................................................................................27
5.1 Analysis Blueprint............................................................................................................. 27
5.1.1 Signup Phase:............................................................................................................27
5.1.2 Ride Phase:................................................................................................................28
5.1.3 Customer waiting points.......................................................................................... 31
5.1.3 Potential fail points in the service experience...........................................................31
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5.2 Benefits from Using Service Blueprint for Uber............................................................... 32
6. Approaches towards Service Failure and Recovery.................................................................. 35
7. Conclusion................................................................................................................................. 39
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1. Select Service Blueprint
A service blueprint is a model representation of each stage of the service delivery process, with
all the tasks done by the various roles at every stage.
Thus, as a service company we choose Uber as an example. We evaluate Uber as a service-based
company due to its worldwide popularity and huge network of ride-sharing transportation
services.
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2. Understanding Uber Cab Business
2.1 Company Brief
Uber is an American multinational transportation company
that provides ride-hailing services, courier services, food
delivery, and freight transport. It was founded in 2009 by
Garrett Camp and Travis Kalanick, initially under the
name UberCab. The company's signature product is a
smartphone application that enables users to request
transportation from privately owned vehicles. Uber's
computer algorithm sets fares based on distance and supply and demand, earning the company a
commission from each booking.
Uber has experienced rapid growth, expanding its services to include food and package delivery,
freight transportation, and more. However, the company faces controversy in several countries
due to its impact on local markets. Critics argue that Uber's disruption of the taxi industry has
impoverished taxi drivers and made working for Uber financially unstable. Uber's early history
involved a local startup that expanded into major US markets and international hubs by the end
of 2012. The company introduced UberX in July 2012, allowing owners of hybrid and SUVs to
offer rides at reduced fares, which became the company's most popular service
Uber faced significant challenges in 2016 and 2017, including the sale of its unsuccessful
Chinese branch to Didi Chuxing in 2016, Kalanick's involvement with Donald Trump's
economic advisory council, and Uber's suspension of surge pricing during taxi protests. In 2017,
former employee Susan Fowler's blog post alleging a dysfunctional and sexist workplace culture
further damaged Uber's reputation, leading to an internal investigation and the firing of 20 staff
members. The New York Times' revelation of Greyball, a program used to track
code-enforcement officials, and an autonomous-car test accident added to the company's woes.
Following criticism from shareholders, Kalanick resigned as CEO in June 2017 and was replaced
by Dara Khosrowshahi, who worked to improve Uber's image and finances, including taking the
company public with an IPO in May 2019.
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Uber's marketing strategy has been a significant contributor to its success. The company initially
used social media to generate word-of-mouth marketing, which helped it reach the right person
in the right situation. Uber's marketing strategies have evolved over time, but the core focus has
remained on engaging users and creating a seamless user experience
2.2 Business Model
Uber business model can be divided into three primary components:
● Passengers: The model is initiated by the passengers who register themselves through the
smartphone app and then book their on-demand services. Given that Uber is a
customer-centric service, it is very important that the passengers feel at ease and as such
immediately after the booking the app provides you the driver’s details and the estimated
fares to be paid. In fact, the passengers are also able to track their rides while boarded.
● Taxi drivers: The selection of the Uber taxi driver doesn’t involve any scientific
algorithm. Anyone having a registered driving license and a car is eligible to become a
Uber taxi driver. Based on seven-year background verification, the drives are shortlisted
after which they are enlisted and provided with Uber phones for connecting to
passengers. The taxi drivers are the important cog in the Uber business model and as such
are identified as partners. Based on seven-year background verification, the drives are
shortlisted after which they are enlisted and provided with Uber phones for connecting to
passengers. The taxi drivers are the important cog in the Uber business model and as such
are identified as partners.
● Fare payment: The estimated fare that is provided to the passenger at the time of booking
is calculated based on the car type, distance and peak hours. You must have experienced
that the fares face hike during the peak hours and lower down in the off hours, which is
another excellent aspect of their revenue model. They offer you various payment modes
keeping the ease of the users in mind, i.e. debit card, credit card, and online wallets.
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2.3 How the business model works
The Uber business model works in four very simple steps as shown below:
● Step 1: In this step, the passenger places the request for a cab through the Uber app by
providing the pick-up and drop location.
● Step 2: Once the request has been received by Uber, the user/passenger information is
sent to the driver. Now, based on his / her availability and convenience, the taxi driver
can either accept or reject the ride.
● Step 3: Once a driver accepts the ride, the user is then notified about the acceptance along
with the information regarding the taxi driver. The app allows the user to track the cab’s
route and the ETA (Estimated Time of Arrival).
● Step 4: Once the taxi arrives at the destination, the ride is marked over and then the user
is required to do the payment. Further, the user gets an option to rate the trip, which is
very important because it helps Uber to keep an account of the quality of service offered
by each taxi driver.
2.4 The Revenue model
Uber’s revenue model has a uniqueness of its own as it is based on a variety of factors that not
only includes the revenue through the customer’s trip commission, but also the surge pricing,
revenue from cancellation of rides and endorsement of other products on the app. However, the
principal revenue generation is contributed by 20 % of the fare charged to the customer, while
the driver is entitled to the remaining 80%.
Now, let us look at two of the striking features of Uber that has helped the revenue growth of the
period of time:
● Diversified product offering: It is amazing to see how Uber has identified each customer
segment and has built tailor-made offerings for them. The company has innumerable cab
models assigned for each service category. For instance, Uber X and Uber SUV are for
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the elite class who can afford to pay a relatively higher fare for some additional luxury,
while Uber Taxi is for those who want a cost-efficient solution.
● Surge pricing: Uber uses a special pricing algorithm that automatically increases the price
per mile based on the ongoing service demand. This variation in cab fares as per the surge
pricing technique has been an important aspect of their business model as it supports the
company revenue to some extent. Basically, the higher price depends on the number of
requests made by willing passengers and the number of available drivers.
2.5 Uber's most popular ride options
● UberX: Affordable rides, all to yourself
● UberX Share: Share the ride with up to one co-rider at a time
● Uber Comfort: Newer cars with extra legroom
● Uber Black: Premium rides in luxury cars
● Scooters: Electric scooters to help you get around your city
● Uber WAV: Rides in wheelchair-accessible vehicles
2.6 SERVQUAL Model of Uber:
● Reliability: Uber ensures reliable transportation services with real-time tracking and
ETAs.
● Responsiveness: The company addresses driver and rider issues through customer
support.
● Assurance: Uber’s safety features and transparent pricing assure users of their well-being.
● Tangibles: The user-friendly app design and in-app payment options enhance the user
experience.
● Empathy: Uber offers options like “Quiet Mode” and “Accessible Rides” to cater to
diverse passenger needs.
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2.7 The Flower of Service:
2.8 Marketing Mix of Uber
Uber marketing mix (Uber 4Ps of marketing) comprises elements of the marketing mix that
consists of product, place, price, promotion, physical evidence, people and process.
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Product:
Uber entered the market as a simple app to connect drivers and riders. However, with time it has
enhanced and expanded its product/service mix. The product mix of Uber has variety. Some of
them are meant to save you money and some to make an impression. There are a variety of rides
to suit the needs of Uber customers. This product mix is attractive because of its quality. You do
not have to make an early appointment, taxis are always available nearby. When one arrives, you
just have to get in as the driver knows your destination You have paid already through the app.
Whether it is early morning or late night, there is no need to make a reservation and all variety of
rides are available from low cost to luxury. All types of rides are there to meet your needs as
follows:
● Uber X: Uber X is a low-cost option for passengers looking for low-cost rides. It seats up
to 4 people.
● Uber Xl: This is also a low-cost option and can seat up to 6 people.
● Uber pool: Uber pool is the carpooling service of Uber. People can bring one other person
with them which will save them on riding costs.
● Uber Access: This service caters to the needs of the elderly, the people with disabilities
and has wheelchair accessible vehicles ready to serve the passengers in need.
● Uber Premium: The premium taxi services of Uber have a fleet of stylish vehicles to
choose from. You can choose from UberSELECT, UberBLACK, UberSUV, and
UberLUX.
Place:
Uber is present in 71 countries and around 700 cities, as of 2019. Five countries where the brand
is most active and popular are the US, Brazil, China, Mexico, and India. However, since Uber
has relied upon networking, it did not need too many offices. It has offices in key locations
globally. It has its headquarters in San Francisco. Apart from that, it has offices in key locations
like Manhattan and NewYork. In 2017, it employs 12000 people.
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Uber is available in 71 countries around the globe.[1] The service has a high level of geographic
concentration. In 2020, Uber derived 22% of its Mobility Gross Bookings from five metropolitan
areas Chicago, Los Angeles, and New York City in the United States, Sao Paulo in Brazil, and
London in the United [Link] countries where the brand is most active and popular are the
US, Brazil, China, Mexico, and India.
Despite being active in approximately 10000 cities globally, Uber does not have too many offices
due to network nature of its business model. Anyone can become an Uber customer at any time,
simply by downloading Uber app. The five top countries where Uber is the most active are US,
Brazil, China, Mexico and India.
Price:
Uber pricing strategy can be described as geographical pricing. The cost of riding with Uber
depends on three factors – a base rate, rate for estimated time and distance and the demand for
rides in that area. Moreover, Uber pricing strategy can be classified as a dynamic pricing that is
based on the basic economic principle of demand and supply. At any given time and given
location, the higher the demand for taxi services, the higher the prices.
Generally, Uber pricing strategy integrates the following principles:
● Economy pricing: A range of Uber services such as Uber-Moto, Uber Pool and Uber Go
offer no-frills rides for competitive costs.
● Upfront pricing: Customers are quoted estimated costs, before confirming their order.
● Surge pricing: During times of high demand for rides, fares will increase, sometimes
multiple times.
● Penetration pricing: When entering new markets, the global taxi technology company sets
its prices artificially low in order to gain market share.
The ride-hailing giant offers a range of payment methods to customers such as Uber wallet,
money and even credit cards.
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Promotion:
Uber mainly promotes its business through its website and app. However, the brand has also
created a lot of buzz through its differentiated services which generated a lot of publicity and
word of mouth marketing. It remains in news regularly and apart from the news sites is also a
subject of discussion in tech circles. It actively promotes itself on social media too. Uber
promotes its brand on and its newest deals and discounts on Facebook too. Sometimes it
addresses customer concerns too through social media. Uber has also faced a lot of criticism and
protest over management and other practices. These things have mostly damaged its reputation in
several markets, in some of which it is also facing legal action.
People:
Uber relies on its drivers and customers to maintain its reputation and service quality. The
company has implemented measures to ensure safety and satisfaction for both parties
Physical Evidence:
The Uber app and website serve as physical evidence of the company's services. The app's
user-friendly interface and accessibility contribute to Uber's success
Process:
Uber's process involves booking rides or ordering food through the app, tracking the service, and
making payments through the app. The company focuses on streamlining the process to provide
a seamless user experience
2.9 PESTEL Analysis:
Political factors:
Uber has faced controversy. In its initial development, Uber didn’t have clear regulations. It was
difficult to pinpoint insurance lie in f there is an accident, is the Uber driver at fault, or the
company itself? They have faced additional scrutiny worldwide; France filed charges based on
advertising, the Netherlands ruled against Uber for their drivers not having Taxi licenses, cease
and desist orders from Portland, with additional ban considerations in Asian countries.
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Additionally, there were political discussions about minimum wage laws in the taxi industry, and
whether Uber was abiding by these rules. The government requires commercial licenses as well,
requiring Uber to provide that documentation.
Economic factors:
The industry that Uber operates in is the sharing economy. It means that this economy is based
on sharing physical or intellectual resources. In this case, Uber hires drivers to respond to
customer and drive them to a location. It’s often deemed cheaper than taxis and easier to
schedule an [Link] has grown exponentially since its initial launch. But countries
have banned or restricted its services due to Uber having an unfair competition against regular
taxis. Other companies in this industry face debate, but Uber’s fast development has led them to
be the focus point. People are studying whether this type of economy brings new career
opportunities or takes them away from existing positions (Uber vs. traditional taxi driving). Or
bringing in new opportunities but for lower pay. One thing is certain, Uber has grown at an
alarming rate showing there is economic potential in this market. But as Uber grows larger, other
platforms like Lyft must fight to stay relevant.
Social factors:
Customers of Uber enjoy its easy to access platform. Choosing an appointment and pick-up time
is easy using the app on smartphones. It requires no communication rather than a few presses of
a button. The cheaper price is enticing to many, which has led to the explosion of Uber’s growth
all over North America. As consumers enjoyed their rides, they posted about their experience on
social media sites. Word of mouth spread awareness quickly. But with the popularity increase,
prices in major cities rose too. Good for Uber, but not welcome by riders. Still, because of the
ease of use, customers choose Uber frequently. The more accessibility Uber provides, the more
people will use its services rather than taxis or even public transportation.
Technological factors:
Uber spread like wildfire through social media. People explaining their riding experiences online
spread and share stories. It encouraged new users to do the same. Buyers are searching for
cheaper transportation options and Uber fulfilled this need. Consumers make appointments
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through the app. An estimate for the ride cost can appear in the app which it depends on many
factors like drop off location, traffic and weather. They can pay for the ride up front through the
app too. And drivers who are on duty respond and pick up the passengers to take them to their
destination. The app is incredibly important to Uber. It can’t function if the app goes down or
suffers difficulties. The company must ensure everything is working, reliable and ready to go.
Many drivers use 4G networks to connect to the app — it’s deemed critical to do their jobs.
Legal factors:
Legal factors were touched on under the political factor part of this analysis. Uber faces much
criticism, bans and attempted bans in locations worldwide. The company must follow technical
usage laws, copyright laws, labor and employee safety laws.
Environmental factors:
Questionable responses: Uber’s effect on the environment is ever shifting. Many believe it
increases traffic congestion and fuel usage. But studies have shown Uber hasn’t increased
congestion. People may use Uber instead of public transportation. Analysts will have to compare
Uber fuel usage versus public transit versus own transportation for a thorough analysis of Ub
2.10 SWOT Analysis
Strengths:
● It is a well-recognized brand
● It has a high standard of service, verified drivers and cars. Uber Black users enjoy very
high standard of service.
● Has an unlimited fleet of vehicles. Regular Taxi service regulations are not applicable for
Uber.
● Uber has no full-time drivers. As it does not hire drivers, there are no responsibilities
toward employees.
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● Operational cost is quite low. As it relies on customer-to-driver interaction, a dispatcher is
not needed.
● Very little competition. A major competitor is Lyft.
● As cashless payment system is used, Uber can track and choose highly rated drivers. It
has many other features like getting a car easily and having record of the spending.
● Dual rating system boosts trust and safety.
● The system is convenient for the drivers. They can work flexible hours and even choose
to be a part-time employee. Drivers can also reject unwanted clients.
● The prices are lower compared to traditional taxi operators.
● High valuation of Uber. Many people are ready to invest on it.
Weaknesses:
● The idea can be easily imitated. Nothing will prevent competition from presenting the
same product.
● The relationship between Uber and the drivers is ethically questionable. It lacks the real
connection. So, it is expected that loyalty between Uber and its drivers is quite low.
● Also, company and its customers have no bonding. Incentive to remain with Uber is low.
● Costs of operating vehicles are very high. But, the drivers do not earn so much.
● Very Unpredictable business model.
● There are privacy concerns. Uber records where customer gets the taxi from. It also notes
where he goes with it.
Opportunities:
● Customers are often dissatisfied with traditional cab companies because of high prices
and long waiting time.
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● It can exploit new and big markets in countries like India where taxi services are
inconvenient and expensive.
● Can tap growing markets in suburban areas where taxi services are not available.
● Rise in number of Uber drivers will reduce the Estimated Time of Arrival. This will make
Uber more liked. The startup will get more revenue and drivers will be profited as well.
● Uber can increase the valuation. This might appeal more investors. As a result, Uber will
have more money to operate.
● Cheaper electric cars can be used. It will reduce the cost and increase the driver’s profit
margin.
● Additional services like transporting older patients to hospital, transporting children to
school and transporting pets to the vet can be offered.
Threats:
● Drivers aren’t happy with the low-profit margins. This might lead to bad publicity. This
can in turn discourage the new drivers from joining Uber.
● Some new legal regulations in countries like Germany will ban Uber from operating.
● Problems with local authorities can lead to fines. It will also earn a bad PR.
● Increasing competition will ultimately decrease prices. This will discourage drivers from
joining the startup in new markets. This will result in loss of customers. Uber’s revenues
will decline.
● As new markets and drivers are joining, fraud and scandals are also increasing. It is
damaging for the brand.
● Self-driving cars, e.g. Google Cars, will eliminate the need for Uber.
● Overvaluation can lead to Overinvestment in locations where there is no room for
businesses of a similar type.
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2.11 Competitor Analysis
2.11.1 Lyft
Description: Aride-sharing platform that provides on-demand transportation services, including
carpooling and bike-sharing. Lyft competes with Uber in the ride-sharing market.
Key Insights: Lyft offers ride-sharing services, allowing users to request rides from nearby
drivers using a mobile app, with a focus on community and shared rides.
Competitive: Both provide ride-sharing services, competing for passengers and drivers in the
same market segments.
Differentiation: Lyft’s emphasis on community and shared rides as well as a different brand
image.
2.11.2 Didi Chuxing
Description: A Chinese ride-hailing and transportation platform offering a wide range of
services, including taxi hailing, private car services, and bike-sharing. Didi Chuxing competes
with Uber in the ride-hailing market.
Key Insights: Didi Chuxing provides ride-hailing services in China and other international
markets, offering various transportation options and mobility solutions.
Competitive: Both provide ride-sharing services, competing for passengers and drivers in the
same market segments.
Differentiation: Didi Chuxing’s dominance in the Chinese ride-hailing market and its
international expansion.
2.11.3 Ola
Description: An Indian ride-hailing company that offers transportation services, including
auto-rickshaws and bike taxis, in addition to car rides. Ola competes with Uber in the
ride-hailing market.
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Key Insights: Ola provides ride-hailing services with a focus on catering to the Indian market,
offering various modes of transportation for users.
Competitive: Both operate as ride-hailing platforms but target different geographical markets,
with Ola’s primary focus on India.
Differentiation: Ola’s strong presence and focus on serving the Indian market.
2.11.4 Grab
Description: A Southeast Asian ride-hailing and multi-service platform that offers
transportation, food delivery, and financial services. Grab competes with Uber in the ride-hailing
and on-demand services market.
Key Insights: Grab provides ride-hailing, food delivery, and various on-demand services across
Southeast Asia, aiming to be a super app for users.
Competitive: Both offer ride-hailing services and compete in the on-demand services market,
especially in Southeast Asia.
Differentiation: Grab’s expansion into multiple on-demand service categories and its focus on
Southeast Asian markets.
2.11.5 Bolt (formerly Taxify)
Description: An Estonian ride-hailing and transportation platform that operates in various
countries, offering ride services and food delivery. Bolt competes with Uber in the ride-hailing
and on-demand services market.
Key Insights: Bolt provides ride-hailing services, including car rides and scooter rentals, in
multiple international markets, with a focus on affordability.
Competitive: Both operate as ride-hailing platforms and offer on-demand services, targeting
users looking for affordable transportation options.
Differentiation: Bolt’s emphasis on affordability and eco-friendly transportation options.
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2.11.6 Gett
Description: A global ride-hailing and corporate transportation platform that focuses on
providing transportation solutions to businesses. Gett competes with Uber in the ride-hailing and
corporate transportation market.
Key Insights: Gett offers ride-hailing services for consumers and corporate transportation
solutions for businesses, with an emphasis on cost-efficiency.
Competitive: Both operate as ride-hailing platforms, but Didi Chuxing primarily serves the
Chinese market and has a strong international presence.
Differentiation: Gett’s specialization in corporate transportation and cost-effective solutions.
2.11.7 Careem
Description: A Middle Eastern ride-hailing company that offers transportation services across
multiple countries in the Middle East and North Africa. Careem competes with Uber in the
Middle Eastern ride-hailing market.
Key Insights: Careem provides ride-hailing services in the Middle East and North Africa,
catering to the specific needs of users in the region.
Competitive: Both operate as ride-hailing platforms but target different geographical markets,
with Careem’s primary focus on the Middle East and North Africa.
Differentiation: Careem’s strong presence and understanding of the Middle Eastern market.
2.11.8 99 (formerly 99Taxis)
Description: A Brazilian ride-hailing platform that offers transportation services, including taxi
and private car rides, in Brazil and other Latin American countries. 99 competes with Uber in the
Latin American ride-hailing market.
Key Insights: 99 provides ride-hailing services in Brazil and several other Latin American
countries, offering various transportation options to users.
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Competitive: Both operate as ride-hailing platforms but have a strong presence in the Latin
American ride-hailing market.
Differentiation: 99’s focus on serving the Latin American market and offering a range of
transportation options.
2.11.9 Gojek
Description: An Indonesian super app that provides a wide range of on-demand services,
including ride-hailing, food delivery, payments, and more. Gojek competes with Uber in the
Southeast Asian market.
Key Insights: Gojek offers ride-hailing, food delivery, financial services, and other on-demand
solutions in Southeast Asia, aiming to be a comprehensive super app.
Competitive: Both compete in the ride-hailing and on-demand services market, especially in
Southeast Asia, but Gojek offers a broader range of services.
Differentiation: Gojek’s status as a super app with diverse on-demand offerings.
2.11.10 DiDi Mexico
Description: A Mexican ride-hailing service owned by Didi Chuxing, providing transportation
services in various cities across Mexico. DiDi Mexico competes with Uber in the Mexican
ride-hailing market.
Key Insights: DiDi Mexico offers ride-hailing services in Mexico, connecting users with local
drivers for convenient transportation.
Competitive: Both operate as ride-hailing platforms but target the Mexican market, competing
for passengers and drivers.
Differentiation: DiDi Mexico’s association with Didi Chuxing and its focus on the Mexican
ride-hailing market.
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3. India Market of Uber Cab
3.1 Introduction
The analysis from the trips in 2023 revealed some very interesting trends about cities with the
highest number of trips, the total number of kilometers covered in Uber rides, popular travel
trends in intercity travel, the city with the most late-night trips, and also several rider preferences.
Backed by data and insights the report spotlights increasing relevance of ride sharing in India
and efforts to create sustainable cities for the future.
The year 2023 was one that saw Indians breaking travel records, with several new rider trends
emerging and evolving the way people move around their cities. Uber remained the favorite
mobility companion through the changes, with products across categories finding love from
riders. Uber trips during the year covered a record 6.8 billion kilometers, which is enough to
traverse the entire 6.37-million-kilometer road network in India more than a thousand times over,
or nearly thrice everyday.
Riders across India continued to love Uber Auto and Uber Go, with the former pipping it’s
four-wheeled sibling to the finish line. This is testament to the growing love among Indians for
booking Autos through apps, a product that was historically street-hailed.
The cities with the highest number of Uber trips in 2023 are Delhi-NCR, Bangalore, Hyderabad,
Mumbai, Pune, and Kolkata.
While Delhi-NCR did have the overall highest number of trips, Mumbai beat the national capital
in terms of the most late-night trips booked, while Kolkata indulged in weekend travel the most.
Residents of Delhi NCR used Uber for their work commute the most among all cities, and had
the highest number of office-hour trips booked.
Below is an overview of insights from ‘How India Ubered in 2023’:
● Most Uber trips were booked between 6PM and 7PM
● The most popular day of the week for booking an Uber was Saturday
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The travel month of December has seen the highest number of rides being booked in a single
month, with Durga Puja and the Christmas weekend being the most popular days in terms of
number of trips booked.
The weke hours of the morning, between 4AM and 5AM saw the highest number of Uber
Reserve trips being booked to airports, with riders across the country not wanting to risk missing
their first alarm.
In terms of preferences for Uber Rentals rides with multiple stops, most riders opted for the 2
hour, 20 kilometer package, helping them get done with business meetings, doctor visits, and
other chores.
Uber Bus saw 74,000 first-time users experience the ease of booking a seat on a mass transit
product through an app.
Mumbai’s favorite weekend getaway Lonavala was the most frequented tourist destination in
2023 using the popular Uber Intercity.
Indians traveled 64 million kilometers in EVs through the year, spending a total of 3.9 million
hours, helping contain carbon emissions and building a greener future.
3.2 India’s Uber 6
There are top 6 cities in India with the highest number of Uber rides in 2023.
● Delhi NCR
● Bengaluru
● Hyderabad
● Mumbai
● Pune
● Kolkata
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3.3 Fastest Cities in India (Avg speed):
There top 5 cities in India in terms of the fastest average speeds clocked on the roads, in
descending order
● Chandigarh
● Ahmedabad
● Delhi-NCR
● Lucknow
● Mysore
3.4 India’s Top Intercity Routes
There are India’s top 5 intercity routes in 2023
● Mumbai – Pune
● Delhi – Meerut
● Lucknow – Kanpur
● Mumbai – Lonavala
● Mumbai – Nashik
3.5 Top 5 Longest Trips
There are top 5 longest Intercity trips by kilometers traveled, including round trips on Intercity
● Jaipur- Delhi Airport- Fatehpur Sikri – Chomu (Rajasthan) – Bangaon (Haryana)
● Manesar – Dungargarh (Rajasthan) – Hisar (Haryana) – Manesar
● Manesar – Kasol (Himachal Pradesh ) – Sonipat
● Delhi – Kanpur – Delhi
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● Jaipur- Anuppur (Madhya Pradesh)
3.6 Implication in 2023
Uber launched several new products and features during the year, including our flagship
sustainability option Uber Green, and round trips on Uber Intercity, with each of them garnering
love from riders throughout the country. Our journey planning product, Uber Reserve, has been
enhanced using industry-leading technology, including the option to book rides up to 90 days in
advance.
Over the past 10 years, Uber has become a household name in more than 125 cities across the
country. Uber have provided over Rs 500 billion in earnings to more than 3 million drivers, and
the app has helped millions of Indians go where they wanted to, just at the tap of a button.
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4. Challenges and Opportunity of Uber in India
4.1 Challenges
● Uber drivers who are struggling to pay off their loans on the cars they have bought. The
incentives were so great in the beginning that I know of several people in the service
industry who were thinking of leaving their jobs to go and drive an Uber. The drivers
were given a great promise and that hasn't been justified in terms of the earnings they are
getting and they are stuck in that rut now. One of the biggest sufferers of this lessening of
incentives is the banks. There are repossessions of the cars happening. But you'll find that
the government will bring in more regulation for sure.
● There are other issues as well. It comes from the legacy of the earlier CEO Travis
Kalanick. The company kind of followed the long shadow of the leader. Extremely
high-performance orientation, which means if you performed very, very well and you did
some things wrong on the side, which could be harassment sides, that would be
overlooked and performance would be given precedence.
● Uber has always been on the edge of all kinds of regulatory arbitrage, which means it
seeks regulatory and legal arbitrage. That's the way it was if it found a gap. Since then,
we've seen Dara Khosrowshahi Uber's current chief executive] actually go and apologize
everywhere, but it's not so easy.
● The bigger the company globally in this particular space, the bigger its losses. Uber is not
a profit-making company. Not to say Ola is – it's not. I would say drivers in both places
are unhappy. Uber has a decent car set, but Ola has entertainment, video, and music in the
car. I think the competition is going to be extremely stiff. It's nobody's game at any given
point over the next 18 to 24 months for sure.
● It is an MNC, which made its first trial run in India in the year 2015, in Hyderabad. Since
then, it has reached all the metropolitans in India, as well as other major cities, trying to
ingrain its roots further into the semi-urban and rural areas as well. While the company
has expanded fairly well into the Indian economy, it has its challenges.
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● As a foreign company, the biggest challenge that Uber faced, and still faces is the
transition from its own country to a new one. This poses a problem because the policies
differ, the prices differ, and the demographic differs. Even though a similar service
existed when it came to India. It was still a huge change for the economy and the
company itself.
● There are many barriers regarding operations for foreign companies in the domestic
territory to protect the interests of the nationals, even though this practice is encouraged.
In India, as in most Asian countries, there is a higher population of taxis, as compared to
many Western countries. So coming to India, the first challenge that it faced was existing
competition from traditional taxis. People in India either traveled by their vehicle or the
public transport provided by the government. The segment of the population that most
used the services of taxis was the professionals. They were either availing the taxis
provided by their companies, or auto-rickshaws, or traditional taxis. Though we knew
Uber was a successfully running company in other countries, the first reaction towards it
was still suspicion.
4.2 Opportunity
● India is currently in a vital phase of its infrastructure, energy, and mobility development,
which nicely sets the stage to leapfrog current or existing practices. According to sources,
an estimated 40% of its population will be living in urban areas by 2025, accounting for
over 60% of the consumption of resources.
● Moreover, transportation in India is highly fragmented, disorganized across modes with
poor infrastructure, congestion, and low public transport density. Riders and drivers have
to undertake multiple challenges daily such as lack of availability, reliability, quality,
consistent pricing, safety, etc.
● To learn more about the current space and transportation in India, Analytics India
Magazine caught up with Shirish Andhare, Director, Product Management, Uber India,
and South Asia.
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● “Our goal is to change the Indian mindset and help people replace their car with their
phone by offering a range of mobility options — whether cars, bikes, autos or public
transport — all in the Uber app. By putting more people in fewer cars, we have the
potential to build smarter and more liveable cities,” said Andhare
● Using technology, Uber India has been trying to transform the mobility landscape and
change how people move around in the country by playing a transformational role in
addressing pain points for riders and adding efficiency into the system.
● With its multi-modal vision for mobility in India, Uber wants to make a variety of options
available to help commuters get where they want to go at a price point that works for
them. To that end, Uber has announced partnerships across airports and Metros in Delhi
and Hyderabad to provide last-mile connectivity.
● Uber launched in Bangalore with just three employees. Today, Uber India has tech teams
across Bangalore and Hyderabad. It continues its exponential growth journey, focusing
on facilitating affordable, reliable, and convenient transportation to millions of riders and
livelihood opportunities for hundreds of thousands of driver-partners.
● The R&D teams located in Hyderabad and Bangalore continue to grow and currently host
over a dozen global charters including rider, maps, customer obsession, infrastructure,
money, and eats. These teams are driving global impact for Uber based on several
India-first product innovations.
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5. Detailed Service Blueprint
5.1 Analysis Blueprint
This service blueprint is divided into three phases which are signup phase, riding phase, and post
phase. Let’s discuss all points according to the service blueprint:
5.1.1 Signup Phase:
Physical Evidence:
● Appearance and ease of use of Uber application: This refers to how the Uber app
looks and functions. It should be visually appealing, intuitive, and easy to navigate for
users.
● Facebook page, Emails, Website, Internet forums: These are channels where Uber
interacts with its customers. The Facebook page should engage users with updates,
promotions, and customer service. Emails should be clear and informative, potentially
used for promotions or updates. The website should provide comprehensive information
about Uber's services and policies. Internet forums can offer insights into customer
experiences and feedback.
Customer Actions:
● Download Uber Application: Customers need to download the Uber app to use the
service.
● Register as a passenger and connect credit card or PayPal account: Users must
register on the app as passengers and link their payment method for seamless
transactions.
On-Stage Employee Contact:
● Be accepted as a driver after background check: This involves the process of
becoming an Uber driver, which includes passing a background check conducted by
Uber.
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Back-Stage Employee Contact:
● Create passenger profile: Uber employees may assist users in creating their profiles if
needed.
● Validate credit card, PayPal account: Employees might handle the verification process
for payment methods to ensure they are valid and secure.
Support Processes:
● Background checks on drivers: Uber conducts background checks on potential drivers
to ensure passenger safety.
These elements collectively contribute to the customer experience and operational efficiency of
Uber's cab service. From the user's perspective, the app's appearance and functionality, along
with seamless registration and payment processes, are crucial. Behind the scenes, employee
interactions and support processes ensure the reliability and safety of the service
5.1.2 Ride Phase:
Physical Evidence:
● Collaboration with charities: Uber's involvement in charitable initiatives enhances its
brand image and portrays it as socially responsible.
● Media coverage: Positive news reports about Uber's success and impact in various
markets contribute to its reputation.
● Car appearance, driver appearance, interior cleanliness, smell, car age: These
factors directly influence the comfort, safety, and overall experience of the ride for the
passenger.
● Quality of driving, passenger relaxation, driver behavior: Safe and smooth driving,
along with polite and professional behavior from the driver, enhances passenger
satisfaction and perception of safety.
● Conversation: The driver's ability to engage in polite conversation, if desired by the
passenger, can contribute to a positive and friendly atmosphere during the ride.
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Customer Actions:
● Request a pickup: The customer initiates the ride process by requesting a pickup
through the Uber app.
● Text message notification: Customers receive a notification when the driver is
approaching their location, providing them with real-time updates.
● Commence ride, ride, end ride: Standard actions involved in the process of using Uber's
service, from starting the ride to reaching the destination and ending the trip.
On-Stage Employee Contact:
● Clean car and prepare: Drivers ensure that their vehicles are clean and prepared for
passenger pickups, maintaining a comfortable and pleasant environment.
● Log on to app, greet passenger, offer amenities: Drivers use the Uber app to manage
their trips, greet passengers professionally, and offer amenities such as water or charging
cables to enhance the ride experience.
● Ask preferred route, adjust music: Drivers accommodate passenger preferences, such
as preferred routes and music choices, to personalize the ride experience.
● Ensure safety: Drivers prioritize passenger safety by adhering to traffic rules and
ensuring a smooth and secure ride to the destination.
Back-Stage Employee Contact:
● Identity location, send text message: Uber's backend processes involve identifying the
passenger's location and sending them notifications, including estimated arrival times and
driver details.
● Confirmation of destination, notification of "End Trip": Uber confirms the
destination entered by the customer and notifies them when the trip ends, initiating the
payment process.
Support Processes:
● Car inspections: Uber conducts regular inspections to ensure that drivers' vehicles meet
safety and quality standards.
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● Record of ride encounters: Uber maintains records of ride encounters to track feedback,
address any issues, and improve the overall quality of its service.
These elements collectively contribute to the seamless and enjoyable ride experience provided by
Uber, encompassing both the physical aspects of the ride and the underlying operational
processes.
5.1.3 Post Ride Phase:
Physical Evidence:
● Receipts emailed to customer via Uber and PayPal: After the ride, customers receive
receipts via email detailing the trip fare and payment method.
● Rate/review request displayed on application: Customers are prompted to rate and
review their ride experience through the Uber app.
Customer Actions:
● Pay for ride: Customers complete the payment process for the ride fare using the
payment method linked to their Uber account.
● Rate driver/ride: Customers have the option to rate their driver and provide feedback on
their ride experience.
On-Stage Employee Contact:
● Receive payment: Drivers receive payment for completed rides through the Uber
platform.
Back-Stage Employee Contact:
● Process Payment: Uber's backend processes handle the payment transactions, ensuring
that drivers receive their earnings accurately and efficiently.
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Support Processes:
● Rating and review displayed on driver and passenger profile: Ratings and reviews
submitted by customers are displayed on both the driver's and passenger's profiles,
providing transparency and accountability.
● Discount codes: Uber may offer discount codes to customers as part of promotional
campaigns or collaborations with events, enhancing customer loyalty and engagement.
5.1.3 Customer waiting points
There are four points in process where customers may face waiting times using uber cabs as
follows:
W1: Request a pickup
The rider must wait on a driver to accept their request for an Uber.
W2: Commence ride
Rider must rely on driver to arrive at pickup location swiftly.
W3: End ride
Rider must rely on the driver to take the right directions.
W4: Pay for ride
Rider must await the receipt to be sent and possible administrative error could waste time.
5.1.3 Potential fail points in the service experience
There are five potential fail points in the service experience
F1: Driver may not be able to correctly find location of the rider.
F2: Possibility of an unfriendly greeting or complimentary stock not having been inventoried.
F3: Vehicle may be in untidy state, creating unpleasant servicescape.
F4: Possibility of traffic incident or driver being unable to find drop off destination.
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F5: Rider may not input rating for previous trip.
5.2 Benefits from Using Service Blueprint for Uber
There are some benefits from using service blueprint for uber as follows:
Understanding the customer experience:
A service blueprint provides a visual representation of the entire customer journey, including all
interactions and touchpoints. This allows Uber to understand the customer experience in its
entirety, identify areas where it can differentiate itself, and make improvements to enhance the
customer experience
Identifying areas for differentiation:
By focusing on areas where it can provide a unique or superior customer experience, Uber can
set itself apart from competitors and gain a competitive advantage
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Reducing costs and increasing efficiency:
By identifying bottlenecks in the process and making changes to improve the customer
experience, Uber can reduce the number of complaints and returns, which can help to reduce
costs and improve overall efficiency
Improving employee engagement and motivation:
By understanding the different interactions and actions that employees are responsible for at each
touchpoint, Uber can identify areas where employees may be feeling stressed or overworked. By
addressing these issues, Uber can help to improve employee engagement and motivation, which
can lead to improved customer service and ultimately, higher levels of customer satisfaction
Improving communication and collaboration:
A service blueprint can help Uber to communicate the customer experience more effectively to
different parts of the organization, enabling them to contribute ideas and work together to
improve the customer experience
Identifying opportunities for innovation:
By identifying pain points in the customer journey, Uber can come up with improvements and
innovations that address these issues and enhance the overall customer experience
Providing a cohesive customer experience:
In today's service-oriented society, providing a cohesive customer experience is a requirement.
By creating a service blueprint, Uber can ensure that it is delivering a consistent and seamless
customer experience across all touchpoints
Visualizing the customer journey:
A service blueprint can help Uber to see the customer experience from the customer's
perspective, which can help to identify areas that may not have been obvious otherwise. By
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creating a visual map of the customer journey, Uber can see exactly where problems are
occurring, and then take steps to address them.
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6. Approaches towards Service Failure and Recovery
We have some approaches towards service failures and recovery. This is helped uber to reduce
service failures according to the service blueprint as follows:
F1: Driver may not be able to correctly find location of the rider.
Here are some recovery points Uber may want to consider adopting in order to manage the
failure points mentioned:
● Implement a more accurate and detailed location-sharing feature in the app, which can
provide the driver with turn-by-turn directions to the rider's location.
● Offer a feature that allows riders to share their live location with the driver, so they can
track the rider's movement in real-time.
● Provide drivers with additional training on how to use the app and navigate to the rider's
location.
F2: Possibility of an unfriendly greeting or complimentary stock not having been
inventoried.
Here are some recovery points Uber may want to consider adopting in order to manage the
failure points mentioned:
● Implement a rating system for drivers, where riders can rate their experience with the
driver, and drivers with low ratings can be provided with additional training or removed
from the platform.
● Offer a feature that allows riders to report any issues with the driver, such as an
unfriendly greeting or lack of complimentary stock.
● Provide drivers with additional training on customer service and how to provide a
positive experience for riders.
F3: Vehicle may be in untidy state, creating unpleasant servicescape.
Here are some recovery points Uber may want to consider adopting in order to manage the
failure points mentioned:
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● Implement a cleaning fee for drivers who do not maintain a clean vehicle, which can
incentivize them to keep their vehicle clean.
● Offer a feature that allows riders to report any issues with the vehicle's cleanliness.
● Provide drivers with additional training on how to maintain a clean and pleasant vehicle
for riders.
F4: Possibility of traffic incident or driver being unable to find drop off destination.
Here are some recovery points Uber may want to consider adopting in order to manage the
failure points mentioned:
● Implement a real-time traffic monitoring feature in the app, which can provide the driver
with the best route to the drop-off location.
● Offer a feature that allows riders to share their live location with the driver, so they can
track the rider's movement in real-time.
● Provide drivers with additional training on how to navigate and find the drop-off location.
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7. Discussion & Implications of the Service Blueprint
Uber involves visualizing the entire customer journey and all the background processes that
occur during the service. By creating a service blueprint, Uber can gain a comprehensive
understanding of the customer experience, identify areas for improvement, and enhance overall
service quality. Here is a detailed discussion on the implementation of a service blueprint for
Uber:
Understanding the Customer Journey:
● Holistic Approach: A service blueprint allows Uber to take a holistic approach to
customer experience, considering all touchpoints a user has with the service, not just the
product itself.
● User-Centric Design: It focuses on the entire journey, from the moment a user decides to
use the service to post-service interactions like confirmation emails.
● Invisible Processes: A service blueprint helps identify both visible and invisible
processes that contribute to the overall customer experience.
Implementation Steps
● Define the Scope: Clearly outline the boundaries of the service blueprint, including all
customer touchpoints and backend processes.
● Map the Customer Journey: Visualize the entire customer journey, from the initial need
recognition to post-service interactions.
● Identify Touchpoints: Highlight all touchpoints where customers interact with the
service, such as app usage, driver interactions, and post-ride feedback.
● Map Backend Processes: Detail all the background processes that support the customer
journey, including algorithm workings, billing services, and rider-side interactions.
● Collaboration: Encourage collaboration between different teams to ensure a cohesive
customer experience and drive outcomes together.
● Continuous Improvement: Use the service blueprint as a tool for continuous
improvement, identifying pain points, challenges, and areas for innovation.
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Benefits of Service Blueprint for Uber
● Enhanced Customer Experience: By understanding the entire customer journey, Uber
can improve service quality and customer satisfaction.
● Operational Efficiency: Identifying bottlenecks and inefficiencies in the service process
can lead to cost savings and increased efficiency.
● Employee Engagement: Involving employees in the service blueprint process can
improve motivation, collaboration, and overall service delivery.
● Innovation Opportunities: Service blueprints can inspire new ideas and innovations to
enhance the overall service offering.
By implementing a service blueprint, Uber can optimize its service delivery, improve customer
satisfaction, and drive continuous innovation to stay competitive in the ride-hailing industry.
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7. Conclusion
The service blueprint for Uber is an essential tool for the company to manage its service delivery
and operations. It provides a comprehensive view of the entire customer journey, from the
moment the customer requests a ride to the time they reach their destination. The blueprint
includes various components, such as physical evidence, user actions, frontstage and backstage
actions, supporting processes, and touchpoints.
The physical evidence component refers to the tangible evidence to which the consumer is
exposed, such as the car in the case of an Uber ride. User actions describe the customer/user
journey by imagining the best possible experience. Frontstage actions are the visible interactions
between the customer and the company, while backstage actions are the invisible tasks of the
employee necessary to provide the best customer experience. Supporting processes are the
internal business activities necessary to provide the best customer experience across the various
touchpoints.
The service blueprint is a logical continuation of the analysis of Uber's customers in digital
marketing. It allows the company to map the ideal relationship with its customers, identify
synergies, and develop a global marketing strategy adapted to its targets. It also helps Uber to
demonstrate to each department how its service has an impact on the customer experience,
ensuring that all departments are aligned and focused on the customer journey from the start.
By using a service blueprint, Uber can identify areas where more efficient operations can be
achieved, create more effective customer service, maximize revenue, and minimize operational
costs. It can also help the company to develop strategies to efficiently manage supply and
demand, ensuring maximum profits.
In conclusion, the service blueprint is a crucial tool for Uber to manage its service delivery and
operations, providing a comprehensive view of the entire customer journey and enabling the
company to identify areas for improvement and optimize its service delivery.
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