Uber is one of few companies which managed to reach millions of customers in a short amount of time. It went all the way from being a small local company to becoming a global service. While convenience both for riders and drivers is a partial reason for the company’s achievement, aggressive and disruptive strategies played a critical role in establishing Uber as a market leader in the car rides industry.
Reaching the first customers is often challenging because consumers usually hesitate to pay for the services of unfamiliar providers. To address this concern, Uber offered free trial credits to ensure the company will acquire long-term customers. Having a large client base makes it attractive for new drivers to join the company. Increasing the number of riders and drivers was the primary goal of Uber’s aggressive campaigns. Competitors were facing difficulties as they were losing both customers and drivers to Uber. Decreasing the number of competitors is beneficial for the company’s operations, and Uber utilized disruptive tactics to achieve its goals.
Uber was also challenging local laws with the help of public opinion and advocates. This move would ensure the company can enter different geographical markets. Shrewd tactics were applied not only against competitors but against drivers as well. Uber classified drivers as individual contractors and not employees. Though there have been numerous controversies on this matter, Uber continues to view its drivers as individual contractors.
Uber is considered one of the most flourishing internet startups in the world. Despite only partial success in the global arena, the company is thriving thanks to its expanding marketing campaigns and controversial but ingenious strategies. The goals of Uber’s tactics can be summarized into several points. The main ones are the recruitment of new drivers, acquiring new customers, and disrupting competitors’ operations.