Team-BHP > Street Experiences
Register New Topics New Posts Top Thanked Team-BHP FAQ


Reply
  Search this Thread
95,475 views
Old 24th June 2018, 10:39   #16
Team-BHP Support
 
Join Date: Sep 2010
Location: All over!
Posts: 7,615
Thanked: 18,341 Times
re: My experience of running an Uber & Ola taxi

Thanks for sharing; lends an important and interesting perspective!

Quote:
Originally Posted by blackwasp View Post
Why?

• You might be wondering why I would take on an additional hassle despite all of us in the family having full-time jobs. But this was a learning opportunity.
Isn't this just terrific. As important as classroom education is, real-world experience is just as invaluable. You get to be an entrepreneur, a people manager and a financial analyst!

Quote:
Originally Posted by blackwasp View Post
Drivers...

Most of the drivers work for 3-4 months and collect enough money for down payment and buy their own car. However, what happens is that they get complacent and don't think about other expenses like annual tax, insurance, maintenance and eventually end up defaulting on their loans. When you drive for someone, you have to do the work and not get lazy.
If only everyone had foresight. I've spoken with quite a few drivers who fell in this trap without thinking it through.
libranof1987 is offline   (2) Thanks
Old 25th June 2018, 22:04   #17
BHPian
 
Join Date: Aug 2012
Location: Mumbai
Posts: 338
Thanked: 491 Times
Re: My experience of running an Uber & Ola taxi

Quote:
Originally Posted by blackwasp View Post
[b]
Signing off, I'd like to keep this thread interactive based on any queries that others might have. I would like to invite other BHPians who have similar experiences to come forward and share them here.
Good to see a fellow Bhpian also driving with Uber!
Although I'm no longer driving with Uber and have shut down my business for good, this is a good opportunity to share my experience of the 2yrs I drove with Uber in Mumbai!

October 2015 is when I quit my job at JPMorgan Chase and jumped into the 'entrepreneur' world.

I'd been doing my research since over six months and was confident of this decision, and clear about what I wanted to do : start with 1 vehicle and drive it along with a driver, gradually increasing the fleet and moving out of the driving bit to only managing the fleet.

I was also clear that I only wanted to drive with UberBlack, reason being that the amount of new vehicles being added into this category would never be as high as the
lower categories - which means better business!

I also wanted to go for an automatic and run it on CNG, as I knew that the diesel ban for cabs was in the pipeline and driving over 250-300kms in Mumbai traffic was best done in an automatic.

My budget was a max if 12 lakh and the only UberBlack eligible petrol automatic fitting in this figure was the Ecosport AT - with enough leverage for the CNG kit as well.
So the Ecosport it was, got delivery on the 18th of October and a week later got it registered with UberBlack.

I never registered with Ola as they did not have any premium category at that time and even later on refused to put my car into the premium category - no reason cited - and considering I was getting more than enough business with UberBlack, I never bothered.
Getting a driver at that time was really easy, got a nice chap hard working and honest. I was flexible to his timing requirements so he drove from morning till evening and I drove through the night till early morning.

The initial 4 months were fantastic with this combo driving pattern bringing in plenty of moolah!
And then, the driver quit, why? I asked as he was maki atleast 30k pm with Sunday off! But the chap found travelling from Malad to Borivali too hectic and wanted to keep the vehicle with him! No way was I gonna agree to this so off he went!
From here on it was a constant battle with drivers coming and going, none lasting for more than a month or two.
This went on for almost a year by which Uber had drastically reduced the incentives making it very hard to manage any savings - considering the cost of ownership is substantially higher with a cab.

By end of 2016 I was in a situation where getting a decent driver was next to impossible - mind you, I was offering more than the market rate per trip to my drivers, but the type of individuals in this working category is such that they just don't care, don't understand and are simply lazy!
So it was just me driving the car - and by mid-2017 I realized that it is simply not feasible to run this business anymore with just one driver - as I would never be able to save enough to increase the fleet and would end up driving with Uber forever!

So in July 2017 I stopped driving with Uber completely and got back into the corporate world by September.
While this entire experience was enriching, it also took a huge toll on my self - confidence as my decision to start and run my own business had failed!

Enough of the story! Now getting to the entire experience of driving with Uber:

Q. How was the overall experience with riders?
A. I would say, 90 percent of the riders I got were really nice and courteous. This might be due to the fact that I was only running in the UberBlack category.

Q. Any funny / heartwarming experiences?
A. Plenty!
- The most common one being the reaction to the riders on seeing the car! Mine was probably the only Ecosport with Uber in Mumbai so it was a pleasant surprise for riders - that and they later realizing it is an AT mostly ensured I get the highest rating just because of my car! (I did ensure that the car was spanking clean at all times with good quality air freshener - which helps too!)
- A lot of riders used to ask me this question: 'Nishant, if you don't mind asking me, do you do this Uber thing full-time? Because you don't look or talk like a driver!'
This I guess was because of my attire and that I spoke with riders in proper English. Anyways, it was a good experience telling them about my story about how I decided to become an Uber driver!

Funny Incident:

- Had gone to pickup an Austrian rider at the Trident, not sure if it was a he or she as the name was really different! Reached the Trident and two foreigner women approached my vehicle and said - airport. I said the name of the rider and they nodded - not sure if they understood.
So we loaded their luggage and off we went....reached Babulnath when I got a call - of the rider I was supposed to pickup, asking ne where I am! On probing the ladies I had originally picked up we realized that they were actually supposed to board a Hilton cab! Drove them back to the hotel and picked up my 'original' rider! Had to drive like crazy as he was really late to the airport owing to this fiasco! Thankfully he was extremely understanding and friendly and saw the humor in this situation!

- On entering the parking lot at Mumbai T2, the Uber app automatically puts the driver into an airport queue. So while waiting for a booking at P7 West along with other drivers, have had several funny conversations where drivers have shared some extremely weird misconceptions they had about how the Uber app works! Example: One driver kept rebooting his phone every 10 mins as he believed that he gets long trips to Panvel or Virar if he doesn't do that!!

I also had a few riders who ended up becoming private clientèle wherein they used to book my car privately for the entire day / Airport pickups or drops etc.

All in all, whilst it was a amazing experience driving with Uber for around 2yrs, it's all over now!

Last edited by Eddy : 25th June 2018 at 22:07. Reason: Spacing for better readability
nishantbhatia84 is offline   (78) Thanks
Old 26th June 2018, 10:34   #18
BHPian
 
sathya.bhat's Avatar
 
Join Date: Dec 2015
Location: KA19/KA01
Posts: 143
Thanked: 570 Times
Re: My experience of running an Uber & Ola taxi

Very nice thread.

I have one small doubt though.

Quote:
Originally Posted by blackwasp View Post
Drivers...

We have also run the car in two shifts, with one driver doing the night shift and one in the morning.
How can this be possible? Isn't one car is mapped to one driver? How were you handling when the license of the car and photo of the driver doesn't match? Does the uber app has a option of changing drivers on the fly?
sathya.bhat is offline   (2) Thanks
Old 26th June 2018, 11:04   #19
Senior - BHPian
 
blackwasp's Avatar
 
Join Date: Apr 2015
Location: Navi Mumbai
Posts: 2,974
Thanked: 26,325 Times
Re: My experience of running an Uber & Ola taxi

Quote:
Originally Posted by Sherlocked View Post
Can you please share the total cost incurred in servicing/maintaining the WagonR all through this 80k kms and counting in just 1.5 years. What all were the warranty replacements and part failures other than the usual wear and tear items.
I didn't take extended warranty as there was no 1L km / 5 year option when I got the car. So I stuck with the standard 2 yr / 40k km. Till the car was in warranty, it was serviced regularly at a MASS I knew. The left front wheel bearing was replaced at 20k kms under warranty. At 39k kms, I got the radiator fan, front suspensions, front lower arms and couple of other things changed under warranty. They were failing, but not exactly 100%. Clutch was replaced at 78k kms, left front bearing was again changed at 70k km, rear struts were changed at 80k.

While warranty could have helped, the cheap spares (only if you service at an FNG) didn't cause a hole in my pocket. On an average, I must have spent Rs. 5-6k every 10k kms including regular service and part replacements like clutch, axel boots. Note than CNG cars have slightly higher expense due to the 2 CNG filters that need to be replaced periodically. Tyres were changed post 70k km for Rs. 12,000. The only costly service that I can remember was at 60k km, paid around Rs. 7,500.

Quote:
Originally Posted by libranof1987 View Post
Thanks for sharing; lends an important and interesting perspective!
Thanks for the kind words.

Quote:
Originally Posted by nishantbhatia84 View Post
All in all, whilst it was a amazing experience driving with Uber for around 2yrs, it's all over now!
Thanks! I do recall having a conversation with you back when you were driving the EcoSport. First hand information was the key in helping me out.

Quote:
Originally Posted by sathya.bhat View Post
How can this be possible? Isn't one car is mapped to one driver? How were you handling when the license of the car and photo of the driver doesn't match? Does the uber app has a option of changing drivers on the fly?
Each driver gets a separate ID on which the car selected can be changed. However only one car can be assigned to one driver at a time.
blackwasp is online now   (9) Thanks
Old 26th June 2018, 11:34   #20
BHPian
 
veedub89's Avatar
 
Join Date: May 2010
Location: Chandigarh
Posts: 518
Thanked: 1,079 Times
Re: My experience of running an Uber & Ola taxi

Great thread!

I agree with you on the driver ratings.
As a rule I mark most of the drivers as a 4 star and select the "Driving" tab for improvement. Most of the drivers I have rode with have had inferior driving skills. Either they cut lanes unnecessarily, don't indicate or just lay it on the horn for no reason, just to mention a few faults.

I reserve 5 star ratings for truly exceptional drivers.

We as consumers of the Uber service should realise that we have the power to make it better. It is time we start exercising our power.
veedub89 is online now   (3) Thanks
Old 26th June 2018, 12:02   #21
Senior - BHPian
 
sandeepmohan's Avatar
 
Join Date: Feb 2010
Location: Wellington
Posts: 3,133
Thanked: 5,443 Times
Re: My experience of running an Uber & Ola taxi

Incredibly insightful. Thank you for sharing.

I need to digress here and hope this does not lead to a battle of reliable mobile platforms. On the stability of mobile ecosystems, I have found that iOS nails it every time. It has to to with the high standards Apple put forward for developing an App under their platform. Heck even Google admits that their Apps run better on iOS. With hardware and software all managed under one roof, it is easy to manage stability, security and efficiency across all devices. This is almost impossible with Android. You could buy the most expensive Android device there is and it still can't hold a candle to an iOS device. There is a lot to like about both ecosystems but if you are after stability and reliability, there is nothing to beat iOS. You can pickup an old iphone 5S and it will still beat the krapp out of any mid range Android device (except for the camera). For a job that relies pretty much entirely on a mobile device, there are no second thoughts on which way to go. iOS all the way.

Getting back to the topic at hand, for all the hate and controversy that has surrounded Uber in recent times and now, after reading this, you feel that they have redefined the concept of cabs for you as a driver and a customer. The first time I used Uber, I was zapped. To be able to spot the exact location of my cab, driver details, fare estimate, options to pay, etc. All very brilliant.
sandeepmohan is offline   (1) Thanks
Old 26th June 2018, 12:12   #22
BHPian
 
Viraj_Guru's Avatar
 
Join Date: Apr 2018
Location: Pune
Posts: 26
Thanked: 50 Times
Re: My experience of running an Uber & Ola taxi

Very nice thread Blackwasp and thanks for sharing in-depth details of business, your thread changed my opinion about Ola and Uber business which was completely negative. My friend lost money in his part time venture mainly due to driver's issues, as you also had/having similar struggle.

I guess your automobile sale's background helping you lot. Good luck
Viraj_Guru is offline  
Old 26th June 2018, 13:50   #23
Senior - BHPian
 
vinit.merchant's Avatar
 
Join Date: Jan 2008
Location: Pune
Posts: 1,230
Thanked: 1,234 Times
Re: My experience of running an Uber & Ola taxi

Quote:
Originally Posted by nishantbhatia84 View Post
By end of 2016 I was in a situation where getting a decent driver was next to impossible - mind you, I was offering more than the market rate per trip to my drivers, but the type of individuals in this working category is such that they just don't care, don't understand and are simply lazy!
The only thing I would like to point out here, and even on Blackwasp's post on similar lines, is that, had the driver not been
Quote:
they just don't care, don't understand and are simply lazy!
, they would most likely be driving their own cab on these platforms, because then they get to be their own boss.

Agreed that many aren't able to plan their finances so well, but disciplined one's eventually learn and succeed.
Others get back to a salaried job, where they constantly keep searching for a little low paying but a private driver job, because that way, they don't need to drive around in traffic all day.
vinit.merchant is offline   (1) Thanks
Old 26th June 2018, 14:58   #24
Senior - BHPian
 
AkMar's Avatar
 
Join Date: Apr 2007
Location: Mumbai
Posts: 1,183
Thanked: 2,604 Times
Re: My experience of running an Uber & Ola taxi

Great thread. It was insightful to read from the other side’s point of view. One query, how do drivers deal with rides while nearing end of shift? What if their destination is far away from your place while shift is about to end? Do they return empty?
AkMar is offline  
Old 26th June 2018, 15:43   #25
Senior - BHPian
 
AdityaDeane's Avatar
 
Join Date: Jan 2018
Location: Manali Dehradun
Posts: 1,224
Thanked: 3,779 Times
Re: My experience of running an Uber & Ola taxi

A great thread. I just came back from Ola Cabs office yesterday to find out about using the second half of my day as an Ola Cab driver in Dehradun. Sounds profitable to me, but yes have to plan for savings and spendings meticulously so as not to get in a mess later on. Thanks for sharing your insights. Good luck with your business ventures...
AdityaDeane is offline  
Old 26th June 2018, 17:35   #26
BHPian
 
Join Date: Aug 2012
Location: Mumbai
Posts: 338
Thanked: 491 Times
Re: My experience of running an Uber & Ola taxi

Quote:
Originally Posted by AkMar View Post
One query, how do drivers deal with rides while nearing end of shift? What if their destination is far away from your place while shift is about to end? Do they return empty?
With Uber, drivers have an option of selecting a trip towards their choice of destination (known as home trip option) wherein they shall only get trips terminating at or on the way towards that destination.
Example: If I am at Nariman Point and select home trip destination as 'Borivali West', I shall only get trips terminating at or 1km around the WEH or Borivali West.
This option is only available twice a day.

Quote:
Originally Posted by sandeepmohan View Post
On the stability of mobile ecosystems, I have found that iOS nails it every time. It has to to with the high standards Apple put forward for developing an App under their platform.
Whilst I myself was using the Uber app on an Iphone SE, I don't entirely agree with you here. One of the biggest reasons why cheaper Android don't work that well with the Uber app is because it is an extremely demanding app with continuous usage of data & GPS. This, and along with the phone screen being on for close to 8-9hrs every day takes a huge toll on the phone internals (which are obviously of inferior quality and hence cheap) - resulting in those phones dying out / lagging sooner compared to an iPhone - which obviously has the better quality internals when compared to cheaper droids. I've extensively used the Uber app on my Galaxy S7 Edge and it worked perfectly fine on it - simply because of the premium internals of the phone.

Last edited by nishantbhatia84 : 26th June 2018 at 17:58. Reason: Data added
nishantbhatia84 is offline   (5) Thanks
Old 26th June 2018, 18:19   #27
BHPian
 
typlo's Avatar
 
Join Date: Jul 2016
Location: Delhi/Mysore
Posts: 120
Thanked: 245 Times
Re: My experience of running an Uber & Ola taxi

You mentioned that outstation drivers are often hardworking than the localites. I understand that local drivers are easier to find because of the sheer number and mutual connections. May I know how you manage to contact outstation drivers for the job that is available in your fleet?
typlo is offline  
Old 26th June 2018, 18:41   #28
BHPian
 
anand.shankar's Avatar
 
Join Date: Oct 2014
Location: Bangalore
Posts: 402
Thanked: 545 Times
Re: My experience of running an Uber & Ola taxi

Thanks for all the info BlackWasp, I too have been hovering around this thought of plonking couple of Ritz into Uber. But unable to find a decent reliable driver.

I had a question for you and Nishanth, how is the idea of dumping my personal car and piking up something in the Uber black or OLA Lux category and occasionally running it, may be peak hours and/or weekends. as some supplementary income to cover the cars cost. If I get a good driver, then may be it can run more than that. Is that even a workable plan ? I dont intend to earn out of it, just trying to see if I can pickup some premium car, like a T-Fort or a Corolla and cover up some of the cost. The Idea is to run it for on Yellow plates for a year or so, then just have it as a personal car.

Any thoughts ?
anand.shankar is offline  
Old 26th June 2018, 19:56   #29
Senior - BHPian
 
ChiragM's Avatar
 
Join Date: Apr 2018
Location: Bangalore
Posts: 1,548
Thanked: 17,364 Times
Re: My experience of running an Uber & Ola taxi

Quote:
Originally Posted by blackwasp View Post
On a weekly basis, this incentive amount used to lie anywhere between 35-50% of the gross income.
With Uber, the incentives are in the tune of 20-30% of the income

How does Uber (Ola as well) manage to earn a profit when they give away so much as incentives? I am sure the incentives will compensate for the cut they take.
ChiragM is offline  
Old 26th June 2018, 20:05   #30
Team-BHP Support
 
BlackPearl's Avatar
 
Join Date: Aug 2005
Location: Calcutta/London
Posts: 3,608
Thanked: 16,998 Times
Re: My experience of running an Uber & Ola taxi

Superb thread @blackwasp! It is interesting and gives a different perspective as well. Thanks for sharing.
BlackPearl is offline  
Reply

Most Viewed


Copyright ©2000 - 2024, Team-BHP.com
Proudly powered by E2E Networks