Consider this before building an Uber for X
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Consider this before building an Uber for X
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<strong>Consider</strong> <strong>this</strong> <strong>be<strong>for</strong>e</strong> <strong>building</strong> <strong>an</strong><br />
<strong>Uber</strong> <strong>for</strong> X<br />
If you’re like m<strong>an</strong>y entrepreneurs around the world who are looking<br />
to build <strong>Uber</strong> <strong>for</strong> X - you’ll w<strong>an</strong>t to read <strong>this</strong> first, especially if you<br />
w<strong>an</strong>t to build a better startup.<br />
The idea that <strong>an</strong> app c<strong>an</strong> allow consumers to request a service on<br />
dem<strong>an</strong>d is <strong>an</strong> appealing one. Service professionals get access to<br />
immediate work, which also adds to the value of <strong>this</strong> concept.<br />
We’ve all seen <strong>this</strong> executed in the tr<strong>an</strong>sportation industry with<br />
great promise, now so m<strong>an</strong>y feel that the same concept c<strong>an</strong> be<br />
broadly applied to other industries as well.<br />
While <strong>this</strong> sounds like a solid line of reasoning there are some<br />
special considerations to take into account.<br />
The issue from the outset is how to effectively execute on <strong>this</strong> idea<br />
of <strong>building</strong> <strong>Uber</strong> <strong>for</strong> X. Startups who build <strong>this</strong> kind of tech have<br />
been attempting to use the <strong>Uber</strong> model as a blueprint to tr<strong>an</strong>s<strong>for</strong>m<br />
the enter service based economy.<br />
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We c<strong>an</strong> see <strong>this</strong> in service industries such as dog walking, car<br />
cle<strong>an</strong>ing, tutoring <strong>an</strong>d m<strong>an</strong>y more. These are the successes but<br />
we’re also seeing a number of service-related industries where<br />
entrepreneurs have attempted the <strong>Uber</strong> based concept, only to be<br />
met with failure.<br />
One of the reasons so m<strong>an</strong>y are failing is because the developers<br />
are underestimating the difficulty <strong>an</strong>d speciality of these service<br />
related areas <strong>an</strong>d how they fit into the <strong>Uber</strong> model.<br />
There must be <strong>an</strong> on-dem<strong>an</strong>d component readily available within<br />
the particular service area being developed, <strong>an</strong>d <strong>this</strong> requires a new<br />
blueprint that will build upon what the consumers desire in the<br />
moment, along with what the professionals in the area are willing<br />
<strong>an</strong>d able to deliver.<br />
To do <strong>this</strong>, you must maximise value, <strong>an</strong>d <strong>this</strong> involves making your<br />
app highly convenient <strong>for</strong> the consumer, while providing a maximum<br />
utilisation rate <strong>for</strong> the professional.<br />
<strong>Consider</strong> the skill <strong>an</strong>d schedule needed<br />
When you set out to evaluate <strong>an</strong> <strong>Uber</strong>-type of product <strong>for</strong> the<br />
consumer, there are two main factors that need to be considered.<br />
This involves the notions of skill <strong>an</strong>d schedule.<br />
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In terms of skill, it’s import<strong>an</strong>t to determine what knowledge the<br />
professionals need to have in order to fulfil the services that the<br />
consumer is requesting.<br />
In terms of schedule, you need to take into account how often the<br />
services need to be provided to the consumer <strong>an</strong>d if it makes sense<br />
to develop <strong>an</strong> <strong>Uber</strong> based model in the first place.<br />
Skill<br />
You have to consider which services are considered to be<br />
specialised in nature <strong>an</strong>d which are considered to be a commodity.<br />
If the service you’re looking to offer is closer in scale to a<br />
commodity, the smaller the actual r<strong>an</strong>ge in terms of service quality.<br />
Driving a car locally is a good example, it doesn’t take much skill to<br />
drive a passenger from one location to <strong>an</strong>other. It’s something that<br />
most adults c<strong>an</strong> do, making it a commodity, <strong>an</strong>d because of <strong>this</strong> the<br />
price per mile won’t vary that much, because all professionals<br />
driving will be doing exactly the same thing.<br />
When a skill is a commodity, the consumer c<strong>an</strong> request a service<br />
with just a simple tap. This is because <strong>an</strong>y professional c<strong>an</strong> fulfil the<br />
request given its basic nature.<br />
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This is the main reason <strong>Uber</strong> has been so successful.<br />
Schedule<br />
The <strong>Uber</strong> philosophy is built upon being able to offer a service on<br />
dem<strong>an</strong>d. It doesn’t necessarily me<strong>an</strong> right now, but it does me<strong>an</strong><br />
the service needs to be provided when the consumer w<strong>an</strong>ts it.<br />
When it comes to tr<strong>an</strong>sportation, <strong>this</strong> usually me<strong>an</strong>s the consumer<br />
needs the service immediately, which is why drivers might find<br />
themselves having quiet periods <strong>an</strong>d then spurts of busy periods as<br />
consumers are more in dem<strong>an</strong>d of their services.<br />
With tutoring the schedule c<strong>an</strong> be determined in adv<strong>an</strong>ce <strong>an</strong>d the<br />
service provided lasts more th<strong>an</strong> just a few minutes. Some services<br />
might take a few hours, making it more valuable to the professional.<br />
This makes it hard to match professionals with consumers, but<br />
there’s usually time to do <strong>this</strong> as the service is not required<br />
immediately.<br />
The return on investment must be equally beneficial <strong>for</strong> the<br />
consumer <strong>an</strong>d the professional in order <strong>for</strong> such a concept to work<br />
<strong>an</strong>d not all service related industries are suited to <strong>this</strong>.<br />
<strong>Consider</strong> <strong>this</strong> <strong>be<strong>for</strong>e</strong> you build your <strong>Uber</strong> <strong>for</strong> X<br />
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If you’re convinced that you’ve found a service-related sector of the<br />
economy in your area that will work with <strong>an</strong> <strong>Uber</strong> model, there are a<br />
few things you should do - <strong>building</strong> a minimum viable product is<br />
one.<br />
When you think about the consumer, you need to consider the<br />
specific service related industry that you’re about to disrupt. As you<br />
do <strong>this</strong>, consider the skill sets that are needed <strong>an</strong>d compare them<br />
with the urgency of the services that will be requested by the<br />
consumer.<br />
Once you do <strong>this</strong>, you’ll be able to focus on the components of your<br />
app that will create a convenient <strong>an</strong>d positive experience <strong>for</strong> the<br />
consumer <strong>an</strong>d one that will cause them to use your app opposed to<br />
the more traditional ways of requesting that same service.<br />
You’ll also w<strong>an</strong>t to think about your app from the perspective of the<br />
professional. You need to think about conversions <strong>an</strong>d how likely it<br />
is that you'll retain users. You will need to strike a fine bal<strong>an</strong>ce that<br />
will result in the most economical of utilisation rates.<br />
This takes work but you'll end up having more success if you do <strong>this</strong><br />
from the start.<br />
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The more energy <strong>an</strong>d ef<strong>for</strong>t you put into <strong>building</strong> the consumer <strong>an</strong>d<br />
professional relationship from the get-go, the better the likelihood<br />
that your app will succeed.<br />
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