The way Uber revolutionized how taxi businesses ran, it led to the birth of a whole new concept known as Uber for X model.
The success of the on-demand taxi service being provided by Uber inspired other players in other service industries. And thus began a surge in on-demand service providers for industries like food and groceries delivery, professional Android App Development services, healthcare, beauty, and more. In fact, X in the Uber for X model can be used to represent any kind of service industry that you can think of.
This model has emerged as a trendsetter for startups coming up in other service industries, hence the name. These startups take help from mobile app developers to build on-demand mobile app development services with the intent to change the way the given industry has been working up till now.
But are all these startups able to achieve the same level of success that Uber has? The answer is no. Not every one of these startups have been able to leave their mark, which makes one wonder what went wrong for the unsuccessful startups. Chances are that they succumbed to the challenges that Uber for X startups often face in their journey. Having awareness about what these issues and challenges are is the only way to circumvent them. Hence, it’s important to take a look at what are some of the most noteworthy challenges and areas of concern that Uber for X startups should be aware about in 2019:
1. Be Ready to Face Fierce Competition
There was a time when Uber for X model was completely novel and path-breaking. It was easy to leverage this model back then because there wasn’t much competition to begin with at the time. That’s not the case today, though. This model has now made its entry into mainstream business ideas. As more and more businesses have been recognizing the potential of Uber for X model, the competition within all service industries has kept on increasing. For any startup that wants to follow Uber for X model in 2019, they need to be ready to face and beat tough competition.
2. Gain Complete Understanding of the Domain
Not understanding how an industry domain works can lead to the downfall of a startup offering services in that domain. Times have changed drastically and so have the user choices, perceptions, and preferences. In 2019, it’s absolutely essential for any startup based on the Uber for X model to take the time to understand what the modern users demand and how the industry domain operates presently. It is with this understanding that the startup will be able to offer the exact kind of service needed by the industry domain as well as the users.
3. Know When It’s the Right Time to Scale Up
Startups being built on Uber for X model should have a scalable business model to begin with. Because if it succeeds in attracting users and expanding operations, it needs to be able to keep up with this momentum of growth in a sustainable manner. But at the same time, these startups should also be able to judge when it’s the right time to go bigger. Expanding at a time when the startup is not necessarily ready to handle the big change can prove to be detrimental. 2019 demands startups following the Uber for X model to be more cautious in making the decision to scale up.
Read the blog- Why Is An Mobile App Critical For Your Business In 2019?
4. Plan to Attract and Retain Users
Uber for X startups should have a solid plan to reach out to their target users, make the users aware about what they are offering via mobile app, attract the users to use the mobile app, and finally retain the users over the long term. As we discussed above, competition in service industries is getting fiercer and fiercer in 2019. Amidst such a scenario, it’s crucial for a startup to have its distribution channel planned out well. Discount and promotional offers can be used as a starting point, but they alone are not enough. Startups need to tap into other popular marketing channels like social media too for connecting with its audience and maintaining that connect in the long run.
5. Create a Business Model of Their Own
Although Uber for X implies taking motivation from the success story of Uber, it doesn’t mean that startups should simply work using a business model that is exactly the same as that of Uber. What worked for Uber may not necessarily work for everybody else. Each startup needs to carve out its own way and come up with a business model that befits its goals and the needs of its target users.
Conclusion
These are few of the key challenges that Uber for X startups need to be prepared to overcome in the year 2019, in order to become an example of success for others. The role of a mobile application development company is quite significant in this whole picture. After all, it all starts from the development of a high-quality and user-friendly mobile app. It is after this step is completed that the startup is truly ready to begin its venture. Therefore, in addition to being attentive to the above stated challenges, Uber for X startups should also be careful about hiring the right mobile app development services to develop their on-demand service mobile app.