Uber has completely changed the way that I travel, but its impact on the transport industry is often overlooked. I spoke to…
In 2012, it was estimated that Cabcharge and another taxi company Premier owned 80% of cabs on the Sydney streets. Rachel calls this a “monopoly” and other economists agree due to how interlinked the two taxi companies were.
'As they had no one to compete with,
Uber completely disrupted the market by providing consumers with an alternative that was cheaper and more convenient.
“It also meant that the taxi industry had to become more competitive in how they priced, how they treated their customers and what kind of services they provided”, Rachel explained.
Rachel is right - in 2018, Cabcharge invested '
However quickly Uber may be growing, it is yet to win the race.
In an average 3 months, 20.8% of Australians use Uber – but in an average 3 months, 21.5% use taxis.
This could be due to surge pricing. While you can usually expect a cheaper fare with Uber, it’s not always consistent.