Taxi services need to step up their game fast if they want to remain relevant in current markets.
Even if the car service company has gone through some hefty problems in the past year, Uber overthrew car rentals and taxis for business travelers in 2015. This comes from a company named Certify that focuses on providing report management software for travels and expenses.
Last year was the first time when business travelers opted for the Uber car service more, disregarding traditional means of transportation. While on business trips, 49% of people elected Uber, with only 20% going for taxis and 31% for car rental programs. Of course, this was entirely dependent on the type of business travels. The longer the travel period got, car rental services gained an increase in popularity.
This analysis was conducted by reviewing over 30 million receipts from different business companies. The trend in consumer behavior pointed out how employees often elected to use the same car service as the one they would use in their free time. In other words, Uber gained the most prevalence over this past year, due to both its reasonable fees, except during holidays, and ease of access.
Because Uber has extensive integration with American Express and Concur business travel software, consumers opted to rely on its services instead of taxis. In addition, most business travelers are extremely conscious regarding their available budget, opting for Uber’s speed and efficiency instead of taxi reliance.
Lyft was also taken into consideration when Certify conducted its analysis, but its growth regarding ground transportation was significantly lower. Airbnb is also worth noting, with a massive growth both inland as well as on an international level. The total growth of the company in the US was of 261% while internationally it was slightly lower, marked at 249%.
The cities most sought after by business travelers where San Francisco, California in the US, while internationally, Vancouver, Canada took that title. In regards to business practices, it seems that Uber’s and Airbnb’s efforts of adopting a more reliable on-demand service have bared some rather delicious fruits. If both companies will continue their trend of altering themselves in accordance with consumer behaviors, this increase in popularity will more than likely rise in the near future.
The fact that Uber overthrew car rentals and taxis for business travelers in 2015 shows that even if a company has a slow start at the beginning of a new year, this does not necessarily mean that it will continue at the same pace. But this is completely dependent on said company’s ability to evolve in order to better fit their users’ wants and needs.
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