Published: Wed 1st February 2017
Read Time: 3 minutes
Should we #DeleteUber?
It has not been a good week for the multinational company, that operated in 2016 with a revenue of around $2 Billion. Uber launched itself in 2009 and revolutionised our daily lives, but it is now facing its biggest challenges in 7 years.
There Is No Such Thing as Bad Publicity, Really?
Earlier in the month, Uber publicly announced that its CEO, Travis Kalanick, had joined Donald Trump's economic advisory group – along with Musk and others. Whether you support or hate him, Trump's appointment has been noted controversial, and an alliance with POTUS may be accompanied with mixed feelings – especially regarding the younger generation. This is quite important, as this generation is the one that dominates social medias – which may heavily influence other's perspective. Hence, due to this snowball effect, Kalanick was not very popular, especially in Generation Y’s perspective – which represents a big proportion of Uber's customer segments.
When this hashtag trends on twitter, you know your company is facing a problem.
This topic surged after Trump's Muslim-travel ban, where New York Taxis workers refused to pick up travellers at JFK airport in a form of solidarity with individuals being snatched of the right to travel to the States. Shortly after, Uber tweeted that "surge pricing" (as there is more demand, they increase their fares) was turned off, and that this may result in more waiting time. This was arguably seen as a way of increasing profits for the company.
This tweet and action from Uber contained a massive backlash, where people started to both delete their accounts and app. Moreover, many of these tweets mentioned that they were going to switch to "Lyft", another rival app with the same concept as Uber. In fact, for the very first time, Lyft was more popular than Uber – in the Apple store.
Moreover, Lyft has supported the ACLU by donating $1,000,000, and their publication of this gesture has further raised $4,000,000. It is fair to conclude that Uber has had a very bad week, to which Lyft seized many opportunities. Kalanick has also published on Facebook, that he is standing with the driver community that has been affected by recent regulations.
A quick note to Uber: Don't mess with Generation Y in this Social Era!