In the last five years, few companies have made a tremendous impact on business, but Uber Technologies stands among most of these companies. Not only has Uber made its mark and monopolized the txi-cab industry, but it has also brought about a new wave of on-demand services using a business model that serves as the template of many startups that are coming up in different industries.
In the new economy, Uber is the most successful company with a growing capitalization of over $60 billion since 2009. This kind of valuation can make people think that there is a multi-billion dollar marketing technique behind the success of the company, but that is not the case. In fact, when you look at Uber’s business model, you will find its marketing strategy is simple and pedestrian.
We are going to look at some of the lessons that companies can learn from Uber’s success in its customer experience.
Focus on a product or service that people want
Uber came up with an easy way of handling the taxicab industry. Uber realized that people in most cities never had an alternative to a dissatisfied service that had poor response times and customer service; this made a financial sense to them.
Uber envisioned a new experience for taxi riders where convenience and reliability were available for users to have a more seamless and enjoyable ride. In its inceptions, it started out in the tech-savvy population of San Fransisco where the cab services were poor, and this made it bloom successfully.
Make raving fans out of early adopters
Just like other tech companies, Uber started out with an early adopter community which later on became the champion of the solution. Uber started by sponsoring events from tech communities and providing them with free rides. These attendees were counted on by Uber to write reviews and spread the word via blogs, tech press, and social media. Uber ensured that the free rides were different from any other, and this was enough to spread the word. After launching in other cities, Uber branched out to the entertainment and sports industries.
Enable your raving fans to market your product by word of mouth
For the early adopters of Uber, they must have taken the time to impress their friends by ordering a personal ride that showed up within 5 minutes. Early adopters are always your brand advocates who can help you create a network effect that grows exponentially. According to Uber, 95% of its riders heard about Uber from other Uber riders. Since growth by referral can flatten, Uber rewarded riders with free rides upon referring other customers.
Add a personal touch
For Uber, before your Uber ride appears, you already know the name of your driver, what he looks like, the type of car you are getting and the rating of that particular driver. By the time the driver gets to your location, you already know him as he also addresses you by name. People value a personal touch, and this has gone a long way for Uber.
Take your product or service where the action is
After the launch of Uber in San Francisco and other cities, Uber made it sure that its solution was available for everyone who needed it. Uber got it right with large cities that had big nightlife activities like theatre, sporting events, and other big occasions. Uber service is also present in times of extreme weather and poor taxi services in prime locations.
So when Uber launches in a new city, it focuses on where events are and where new riders can have an uncommon experience in getting a quality ride. Uber also offers discounted rides for those attending certain events. Anywhere Uber launches, it ensures that it localizes its services to meet the needs of the locality.
In conclusion, there are various ways you can implement the pointers mentioned above to make them work for your business. To enable your business to succeed in retaining customers and avoid churning, learn more here.