Uber SWOT Analysis

Published in IT & Technology category by MBA Skool Team

Here is a detailed SWOT analysis of Uber covering strengths, weaknesses, opportunities and threats.

Uber Strengths

  1. Uber has global player with presence in over 50 countries and 200 cities
  2. Serves as a market place for cab drivers and customers to connect, hence fixed investment is less
  3. Gained a premium brand image especially in developing countries where public transportation was well complemented by Uber cabs
  4. Enhanced user experience & higher customer satisfaction through usage of technology
  5. First mover advantage globally by launching app based taxi services
  6. Uber tweaked its international strategy as per the local markets for maximum customer experience
  7. High awareness due to excellent advertising and marketing
  8. Deep pockets & hence can burn cash heavily to acquire market share
  9. Innovative features like UberPool helped make carpool mainstream and helped the customers and the company alike
  10. Innovative pricing mechanisms and payment options make the journey as smooth as possible
  11. Innovative safety features has helped Uber to strengthen its market position
  12. Strong Brand image and recall across countries makes Uber a pioneer in the industry
  13. Launch of services like UberEats has helped the brand a a lot in diversifying itself
  14. Uber adapts itself well to changing market dynamics and consumer behaviour 

Above are the strengths in the SWOT Analysis of Uber. The strengths of Uber looks at the key internal factors of its business which gives it competitive advantage in the market and strengthens its position.

Uber Weaknesses

  1. Drivers are the face of the company and hence their behavior directly affects the brand image
  2. While the demand is huge, amount of cash burning is huge and monetization is very difficult currently
  3. Surge pricing can sometime lead to customer dissatisfaction
  4. People without smartphones or internet connection cannot use Uber

These were the weaknesses in the Uber SWOT Analysis. The weaknesses of a brand are certain aspects of its business which it can improve.

Uber Opportunities

  1. Unorganized market is huge in developing countries and hence huge potential is there for Uber
  2. Uber can look at increasing internet penetration & smart phone users through tie-ups with smartphone makers
  3. Rising disposable income can help people chose cabs like Uber rather than traditional transportation
  4. Shifting of consumers towards convenience creates huge demand for companies like Uber which is all about making the customer journey more easier and accessible as compared to existing options

Above we covered the opportunities in Uber SWOT Analysis. The opportunities for any brand can include prospects of future growth.

Uber Threats

  1. Rising competition from local and similar cab aggregators
  2. Presence of many existing traditional national players
  3. Absence of clear government regulations in developing countries
  4. Future for cab aggregator platforms like Uber is unclear due to lack of regulations
  5. Customer loyalty is less in this industry as it is mostly dependent on price

The threats in the SWOT Analysis of Uber are as mentioned above. The threats for any business can be external factors which can negatively impact its business.

Hence this concludes the Uber SWOT analysis.

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About Uber

The table below gives the brand overview along with its target market, segmentation, positioning & USP

Uber Overview
Parent Company

UberCab

Category

Service provider for taxi hiring(aggregator)

Sector

IT & Technology

Tagline/ Slogan

Where lifestyle meets logistics

USP

Offering seamless travel with the rider walking away after arriving at his destination

Uber STP
Segmentation

People who mobile from one place to another for any purpose

Target Market

Customers who are in need of cabs instantly & Early and late majority of business professionals

Positioning

Evolving the way the world moves; Making cities more accessible; Bringing people and their cities closer


This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

Browse marketing analysis of more brands and companies similar to Uber. This section covers SWOT Analysis along with Segmentation, Target Market, Positioning & USP of more than 2000 brands from over 20 industry sectors.

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