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Learn about the innovative marketing used by Uber marketing department to promote their rideshare services. From targeted promotions to clever partnerships, find out how Uber stands out in a crowded market.
Uber has made significant contributions to the 21st century as it is now. People’s lifestyles have altered as a result of tech-driven behaviors, which have also given rise to the concept of on-demand markets. It required effort, sweat, and tears from the Uber crew; it wasn’t an overnight success. Uber marketing approach has benefited from the company’s enormous success. That indicates that they connected with the right person at the appropriate time. Thus, discussing Uber marketing strategies, which we will do in this article, becomes extremely significant.
Overview of Uber marketing strategy
Due to its global presence in more than 10,000 locations and more than 70 countries, Uber is impacted by a wide variety of issues. The choice to launch a business in a new location where on-demand transportation is essential, how to target the local audience, how to engage them, and other factors. Let’s talk about the Uber marketing plan that went rather well for them and allowed them to get to where they are currently.
Valuing early adopters
For Uber marketing, word-of-mouth advertising has been crucial. The corporation originally promoted it by locating influential people in Silicon Valley and persuading them to support the brand. Uber also targeted them by sponsoring events, offering first-time riders a free trial, and adopting a hyper-local strategy that shifts with each new city the company enters. While many techies are constantly looking for new products and services that transform their ways of life, Uber also took aim at them.
Referrals
Uber marketing also utilizes referrals, which allows users to provide free trips to friends while also earning points for themselves. First-timers now had a more compelling incentive to sample the service thanks to this give-and-get offer. Both Uber and certain super-fans have benefited greatly from it; one of them received over $50,000 in referral credits. Additionally, drivers receive referral bonuses, facilitating quicker and simpler client and “contractor” acquisition. This is the main way that Uber used to grow both its number of customers and drivers. While other factors have contributed to their success, it is impossible to deny the effectiveness of referral marketing in the case of Uber.
Reviews
Uber offers rating systems for both drivers and customers, which sets it apart significantly from traditional taxis in the transportation industry. Given that passengers can’t quickly find out where they stand, drivers are likely more motivated by their evaluations. In any case, the system encourages confidence in Uber and improved conduct from both drivers and passengers. As a result, there is less uncertainty (or fear) about how talkative or drunk one’s travel companion will be, which makes everything go a bit more smoothly for everyone.
Marketing stunts
Groups of millennials celebrate whenever Uber introduces a new promotional deal. The business occasionally sends kittens to workplaces, and on other occasions, it arranges rides for customers to ride with well-known bands like Diplo or Matt & Kim. These thrilling “surprise and delight” strategies serve to gratify devoted consumers, create good talk, and offer Uber a more enjoyable and approachable image—something it frequently lacks in comparison to rival Lyft.
Partnerships
Uber has put in place a variety of alliances to persuade both new and devoted consumers to take a trip. If you have a certain Capital One credit card, you may be eligible for discounted rides. If you belong to Starwood Hotels Preferred Guest, you may be able to earn hotel points for each Uber trip you take. If you use Spotify, you may link your account to your Uber account to listen to music while you drive. While the contracts with Capital One and Starwood Hotels offer those consumers financial incentives to ride, Spotify is just a nice extra for people returning from the bars. But each of these alliances lends the enormous company greater credibility.
Loyalty program
Uber marketing has maintained a loyalty program for at least two years, albeit few customers are aware of it. Only those who have taken more than 100 Uber trips qualify for “Uber VIP,” which is reserved for the really devoted. The major concrete benefit of the program appears to be that VIPs receive exclusive access to the best drivers. The initiative does, however, also represent a dedication to and appreciation for these loyal consumers, who undoubtedly feel a little smug about being deemed “extremely important.”
Multi-channel approach
The seamless, multi-channel structure of Uber marketing approach and the product itself is key. Uber set out to reinvent the entire taxi experience in order to make it smooth and delightful across the board. Uber addressed the entire experience, from mobile hailing, seamless payments, and superior vehicles, to no tips and driver ratings, rather than just one part of the system. When compared to the traditional manner of hailing or calling a cab, the product completely revolutionizes how consumers’ lives are tapped into.
What type of marketing did Uber use?
In its early stages, Uber was a novel idea for individuals that aimed to change how they lived. It was therefore necessary to propagate through word-of-mouth advertising. For this, it targets prominent Silicon Valley residents in the hopes of getting them to support the brand and spread the word about it. The geeks are also exploring fresh ideas based on how technology is changing their way of life.
It promotes various activities, such as offering its users a free trip for the first time, while relying on the new city. In this approach, they made an effort to influence people’s lifestyle choices and try to improve them through their services. In addition to this, they have used a wide range of marketing strategies, many of which we have already discussed in this article, to sell their brand and services.
What is Uber’s strategy when it comes to marketing?
Uber marketing strategy uses a technique called referral marketing. They have excellent service to offer people, and they continue improving it to provide a genuine experience. Thus, it attained the status of a successful referral program. For the first free journey, riders refer new riders to Uber, and the previous customers receive Uber credits. Even drivers may recommend services to new customers who receive a free trip, earning points in the process. Uber hired a lot of consumers and driver partners thanks to a strong referral program.
Uber uses Twitter, Facebook, and Instagram as its primary digital marketing platforms. Users may make both favorable and bad comments on Facebook and Twitter, which enables Uber to communicate with its consumers directly. Uber announces new services and provides special offers and discounts on Instagram.
Uber announced a new compliment rating system in 2016 for leaving favorable reviews of your rides. Uber receives helpful information about the features of their service that are more likely to be marketed from customer feedback regarding satisfying user experiences. Uber created a Youtube campaign to showcase exceptional Uber experiences using this data.
Uber spreads uplifting, inclusive messages online through its social media and digital marketing channels. The company’s message emphasizes social awareness, connectedness, and inclusivity. Customers utilizing Uber feel more connected to their world because Uber links their marketing to social concerns.
Who is Uber’s target market?
Despite being most popular among the younger age group of 16 to 24-year-olds, Uber’s target market of riders ranges from 16 to 65-year-olds. There are both men and females in it. Anyone who may have previously used a taxi service, which includes just about everyone from young singles to families with young children and teens, empty nesters, seniors, and persons with physical limitations, is a prospective Uber user. In the US, 27% of Uber customers are among the top 25% of earners, compared to 44% of middle-class users and 22% of low-income consumers.
Around the world, there are an estimated 4 to 5 million Uber drivers, most of whom are older and have greater driving experience. Only 6% of Uber drivers are under the age of 30, according to demographic data. Only 27% of Uber drivers in the US are female, making men predominately the drivers.
Now that you know how Uber marketing works and why it is as successful as it is, why not check out some more articles on marketing that can teach you what you need to know to elevate your own business to the next level. Go on ahead and make sure to take a look at tips and tricks for chatbot marketing, or how big companies are using AI in marketing.
