Blog #2

Value Proposition and Positioning

Company: Uber

Online Channels: Uber chooses to focus on their owned website and social media platforms as its main online channels. The company’s website is becoming more user-friendly and it has online presence on all the major social media platforms (Facebook, Instagram, Twitter, Google+).

Value Proposition: Uber positions itself as “Everyone’s Private Driver”. It describes itself as a technology platform that makes cities more accessible and opens up more possibilities for riders as well as for drivers. It’s more of a “gain creator” type of proposition since it stresses more accessibilities and services.

Positioning: As a frequent user of Uber, here’s what I think would be a proper positioning statement for Uber:

For anyone who may need a ride, Uber is the most convenient technology platform that delivers private, quick and less expensive driving services than any other taxi companies because only Uber has the flexible and diverse driving resources as well as the most advanced technology tools that connect the rider and driver in a most efficient and convenient way.

Gaps: So far they’ve successfully communicated this product to the target customers in terms of its revenue growth and the quick business expansion. But there are some gaps between how it positions itself and how I perceive it:

  1. The value proposition is a too big and ambiguous. Every taxi company could call itself as “everyone’s private driver”. It doesn’t describe what unique features it has and why customers got to have Uber instead of other type of taxi.
  2. It includes competitive set. Features such as “more accessible and more possibilities” exist in any type of taxi companies. From a user perspective, its uniqueness lies in lower price, fast and diversity of choices.
  3. It’s more of a “pain killer” from my experience. Before Uber came into the market, people have a hard time taking a private ride when there’s an emergency. Calling a taxi takes time and it’s much more expensive than Uber. With Uber platform, I can have a private ride within 5 minutes most of the time after I booked a car and it’s much less expensive than a taxi. It solved my problem of taking a ride whenever I want without costing a lot of money. So I perceive this product as my “pain killer”.
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