Uber not only changed the taxi industry but changed the way we perceive any kind of business. It opened so many doors and introduced us to a different dimension of On-Demand Services. Soon after Uber got recognition, new competitors started entering the market to take advantage of this trend. What was interesting is that the concept of On-Demand was now replicated in other industries too. This replication or Uberization is called Uber for X. You can build a service like Uber for many industries. For Example,
- Uber for deliveries from restaurants and courier service.
- Uber for Health appointments with the doctor.
- Uber for Home & Real Estate.
- Uber for miscellaneous services.
If you are an entrepreneur who is looking to build Uber for X, then there can’t be a better time than this. However, having said that you must consider a few critical factors to succeed in your mission. In this, I’ve mentioned some factors that you must consider while making your Uber for X.
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Value Proposition
The most basic question that you must ask yourself before starting to work on your Uber for X is – What purpose it would serve? Which needs of customers it will suffice. What are the benefits that your customers will get? If you have a clear answer for these questions then you are good to go.
Uber had two distinct markets of customers 1. Drivers and 2. Riders. Uber ensures takes care of every problem that its drivers face. Similarly, they act upon their customer’s complaints too. Likewise, you need to define your customers and then come up with pragmatic solutions to resolve all their queries.
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Fix a Niche and Reach the Right Audience
Once you have chosen the market for your customers, it’s time to further narrow down your audiences. Targeting a wide range of customers won’t be a good idea as it would be too much to handle and the chances of failures would rise. Instead, you must start small and steady. You would need to identify your niche audience and then go all guns blazing.
For example, you might be looking to build an Uber-like App but for only school kids. In that case, you have to only focus on your target audience which is school kids and drivers. At the same time, you also have to be prepared for the competitors who would be trying to get ahead of you in that niche.
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Partners
Along with identifying the target audience, it is also imperative to identify your partners. The success of your start-up would heavily depend on how you coordinate with your partners. Below are some of the partners which you need to identify for your business.
- Service Providers: – The most important partners are the service providers, the ones that would represent your service. In the case of Uber, they were the drivers.
- Third-party service providers: – Then there comes the third-party service providers who assist you in technological, logistical, and many other aspects. In the case of Uber, these were the payment gateways and mapping data providers.
- Local Authorities: – It is imperative to get permission from the local authorities to make your service legal.
- Investors: – Last but not least, the investors; need to ensure that there is smooth coordination between you and the investors.
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Don’t Copy the Business Models
It’s easy and tempting for someone setting up his own Uber for X venture to take inspiration from Uber’s business model. However, you must ensure that your business model is not a rip-off of Uber’s. It’s because Uber has different audiences to cater to and different circumstances to deal with. You, on the other hand, will have to face different set of problems. Merely copying its business model could very well hamper your business.
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Technology is Just a Facilitator
One of the biggest reasons for Uber’s success was its app. Taxi Booking App was responsible for giving birth to an On-Demand Service. However, you must understand that it’s not the only factor that made Uber big. Yes, the App is important, but it’s not everything. Building an app for your business won’t be a big deal. The big deal would be to manage the logistics, supplies, and financial transactions, and to take care of that every stakeholder is having a great experience with your service.
Conclusion
On-demand services have slowly started intruding into most industries. However, there are still many industry verticals where Uberization hasn’t taken place. You can choose those less explored areas and start your Uber for X.
While setting up your Uber for X, ensure that you consider all the factors that I have mentioned. Keeping in mind these factors would surely give your venture a head start.
