Ubering in Delhi

scaling done right.

Its not easy to scale if you’re in the business of enabling offline experiences. Set of challenges are very different than businesses focused on online experiences. I have a different level of appreciation since I have been navigating these challenges myself at Airbnb.

When Uber first launched in Delhi, I was really excited to try it out. So far I have taken 3 uber rides. Every experience has been better than the earlier one. Kudos to them for doing such an amazing job. There’s a few things Uber has gotten right in India.

1. Social Status: Indians are very conscious of how the rest of the society perceives them. They want to indulge in experiences they can boast amongst their friends and family. This can fuel word of mouth growth for a business if they get the first experience right. And Uber nailed it as far as I was concerned. I launched the app, requested a pick up and 15 mins later an Audi A6 with a nicely dressed chauffeur rolled in. My ride was smooth. And I shared this experience within my social circle. Win win!
2. Pricing: Indians are very price sensitive. More importantly they care about the return for every dollar they spend. Its all about getting the best deal, better than anyone else. At its launch, Uber has priced its service slightly higher than an average cab but the experience is significantly enhanced. So why not!
3. Consistency: I have used Uber in 3 different settings. Once to get to the airport, once to get home from work and once to go relatively long distance. On all occasions the wait wasn’t very long, driver was really courteous & the vehicle was in great condition.

So I have been wondering how did Uber achieve this? At least for the initial launch, Uber has partnered with a travel house to rent their premium line of vehicles for 10 weeks to the test the market. So instead of a black car, you now have a premium car like an Audi or Mercedes come pick you up. This is way better than a typical cab in India. In addition, they have provided each of their drivers with an iPhone that comes preinstalled with their app. This ensures constant communication with their users. Uber also pays their drivers very well, so they are invested in it for the long run. Attrition is a real challenge in India. Last but not the least, Uber has focused on building a strong sense of community.