Marketing for New Realities: An Analysis of Uber's Ride-Sharing

This report provides a detailed marketing analysis of Uber's ride-sharing services, focusing on the Australian market. It begins with an introduction to marketing principles and their application to Uber. The analysis section examines the competitive landscape, highlighting key competitors and the oligopolistic nature of the market. A PESTEL analysis is conducted to assess the macro-environmental factors influencing Uber's operations, including political, economic, social, technological, environmental, and legal aspects. The report then addresses demand forecasting, emphasizing the favorable factors for Uber's ride-sharing facility, such as cost-effectiveness and environmental benefits. Finally, the STP (Segmentation, Targeting, and Positioning) strategy is analyzed, detailing Uber's approach to segmenting the market based on income, targeting consumers through various media channels, and positioning itself in a competitive environment. The report concludes with a summary of the key findings and insights into Uber's marketing strategies.

Running head: MARKETING FOR NEW REALITIES
Marketing for New Realities
Name of the Student
Name of the University
Author Notes:

1MARKETING FOR NEW REALITIES
Table of Contents
Introduction......................................................................................................................................2
Analysis...........................................................................................................................................2
Competitive information..............................................................................................................2
Environmental Scanning..............................................................................................................3
Demand forecast..........................................................................................................................4
STP strategy.................................................................................................................................4
Conclusion.......................................................................................................................................5
REFERENCES................................................................................................................................6

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Introduction
Marketing is an activity that helps in communicating the motives of a company to the
consumer community and determines the viability of an organisation in the long run. In order to
gain sustainability in the long run, companies must have the ability to cater to the compliances of
the external environment and carry out marketing activities through which they can influence the
behaviour of the consumer community (Solow 2014). The aim of the paper is to analyse the
marketing state of Uber’s ride sharing facility by critically analysis the marketing environment,
the demand forecast and along with the STP strategy adopted by the company.
Analysis
Competitive information
Uber has been recognised as one of the biggest companies in the cab hiring industry
(Leighton 2016). The company that is based in the USA has gained considerable awareness in
the market with the help of effective tactics through which they have been able to gain
appreciation from consumers across the world. The latter has been responsible for the
sustainability of the company and the success that they have been able to enjoy while they
operate regardless of the nature of the location that they are operating in. In Australia, Uber has
gained favourable amounts of awareness in the markets that they are operating in (Laurell and
Sandström 2016). Services similar to but somewhat differentiated services are available from
carriers in the country, such as HOP, Taxi, Ola, GOCatch, Scooti and others (Munro and Moore
2013). As a result of the nature of competition in the industry, the aim of the company to
differentiate itself from the latter has been justified through the Uber ride sharing option. Even if
the latter is a services that competitors such as Ola have capitalised on, the positioning of Uber as

3MARKETING FOR NEW REALITIES
a global company has been responsible for the development success that the company has been
subject to. Thus, it can be said the company is operating in an environment that is characterised
by high degree of competition and similar services offered by couple of companies in the
industry. Hence, the market is considered as Oligopolistic in nature.
Environmental Scanning
The macro environment for the operation of the company can be critically evaluated with
the help of a PESTEL analysis (Kremer and Symmons 2015). Following is the PESTEL analysis
of Australia with respect to the interest of Uber.
Political: The country is deemed to be politically stable. There is lack of intervention from the
part of the government if companies irrespective of the industry that they operate in are carrying
out business in a sustainable and ethical manner.
Economic: The currency of Australia has been identified to be the fifth most traded currency in
the world. Furthermore, the country is rich of natural resources and a good infrastructural
framework overall backed by the fact that there are people of the population who are employable
make the country attractive in terms of foreign investors. Furthermore, with favourable exchange
rates and taxation policies, the economic state of the country is deemed to be favourable in
nature.
Social: The country has taken multiculturalism seriously as a result of which the country is full
of people of different cultural backgrounds and ethnicities. This helps in collaborating and
developing an effective culture in the country where people are friendly, open and accepting to
different cultures making the country accepting of foreigners and foreign companies.

4MARKETING FOR NEW REALITIES
Technological: Rapid rates of innovation is being carried out in the country. The research and
development wings of various companies as well as institutes have been carrying out extensive
research in technology as a result of which technological innovation is being bolstered at fast
rates.
Environmental: The government of the country has favourable attitudes to sustainability of the
environment as a result of which companies operating in the country have to comply with the
same.
Legal: According to the legal perspective, the legislative bodies of the country have developed
acts such as the Equal opportunities act, Labour Protection acts and acts that the companies have
to comply with in order to remain operational.
Demand forecast
The Uber ride sharing facility helps in allowing the consumers spend lesser sums of
money on commutation (Cramer and Krueger 2016). Furthermore, the companies is showing
their affiliation for the environment by incorporation of this facility. The latter is being carried
out as with the help of this, lesser units of vehicles are being used, thus minimising the amount of
toxic substances that are being released in the air. Hence, with the sustainable initiative and the
fact that the latter facility helps in decreasing the expenditure of the consumers, makes the
demand forecast favourable in nature through which the company will be able to gain a
competitive advantage and corporate governance respectively.
STP strategy
Segmentation: The Company has realised that the population of the country constitutes people of
different income brackets. Everyone cannot afford high fares and thus, the ride sharing facility

5MARKETING FOR NEW REALITIES
can help in catering to the needs of the latter. Segmentation has been carried out according to the
incomes brackets of the consumers (Demographic segmentation).
Targeting: After the company has been able to segment its market, they need to carry out
targeting effectively. The target consumers are targeted through promotional activities on
traditional media, through digital media such as social media marketing and through push
notifications that the Uber Apps on put out regularly.
Positioning: Even though the surge pricing of the company has received unfavourable attitudes
from the global consumer community, the concern for the consumers has helped in repositioning
the state of the company while it operates in the industry that is competitive in nature and where
the consumers have the liberty to choose between various service providers.
Conclusion
On a concluding note, it can be said that the industry that the company is operating in
considerably competitive and the consumers have the ability to choose from different service
providers. The aim of the company is to capitalise on the needs of the consumers and the latter
helps in terms of gaining sustainability in the long run.

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REFERENCES
Cramer, J. and Krueger, A.B., 2016. Disruptive change in the taxi business: The case of
Uber. American Economic Review, 106(5), pp.177-82.
Kremer, P.D. and Symmons, M.A., 2015. Mass timber construction as an alternative to concrete
and steel in the Australia building industry: a PESTEL evaluation of the potential. International
Wood Products Journal, 6(3), pp.138-147.
Laurell, C. and Sandström, C., 2016. Analysing Uber in social media—Disruptive technology or
institutional disruption?. International journal of innovation management, 20(05), p.1640013.
Leighton, P., 2016. Professional self-employment, new power and the sharing economy: Some
cautionary tales from Uber. Journal of Management & Organization, 22(6), pp.859-874.
Solow, R., 2014. An almost practical step toward sustainability. In An Almost Practical Step
Toward Sustainability (pp. 11-28). RFF Press.
Strickland-Munro, J. and Moore, S., 2013. Indigenous involvement and benefits from tourism in
protected areas: a study of Purnululu National Park and Warmun Community, Australia. Journal
of Sustainable Tourism, 21(1), pp.26-41.