A Surprising Number of Americans Have Never Used a Ride-Hailing App Like Uber
Contrary to popular belief, recent data confirms that many Americans have never used apps like Uber and Lyft. What is causing the hesitation around ride-hailing apps?
It’s been over a decade since the introduction of ride-hailing apps like Uber and Lyft. While these companies have certainly become household names and part of our common vernacular, only half of Americans have actually used their services.
Rural living aside, researchers have concluded a few potential reasons for the hesitation to adopt
. Vehicle purchases are on the rise and cities are seeing a recent increase in demand for taxis. There’s no doubt that the global pandemic has affected the way Americans work, and therefore,
conducted a customer survey at the end of 2021 to provide some insight into future trends. Analysts were surprised to find that 50% of Americans have never used a ride-hailing app. Of course, younger generations in urban locations are more likely to use Uber’s services. About 36% of Gen Z Midwesterners are most likely to never have used a ride-hailing app, while 72% of Baby Boomers have never ride-hailed.
While it’s understandable that older, rural drivers are less likely to ride-share, it is interesting that the demand has also dropped in major cities.
, the need for taxi services doubled in San Francisco, in 2021. A probable explanation for the increase is city-regulated rates and their own adoption of ride-hailing apps. The majority of taxi companies have opted-in to apps like Flywheel and Curb Mobility, where customers can request a cab on their phone.
But the shift is most likely a consequence of surge pricing from Uber and Lyft, apparently necessary due to the demand for rides and difficulty in recruiting drivers.
Coincidentally, rates were hiked alongside the vaccine rollout and warming weather that allowed for more socializing. As a result, New York City and Chicago both witnessed a downward trend in trip volume on the ride-hailing apps in the summer of 2021.
The future of ride-hailing apps
MORE:Does My Car Insurance Cover Me if I Drive for Uber or Lyft?
Overall, the convenience of apps like Uber will continue to appeal to a demographic that is not family-oriented and has a higher disposable income. Researchers at
are currently analyzing the impact of ride-hailing apps.
Vehicle ownership is still on the rise, despite increased fuel pricing and demand-based tension in the automotive market. Since many people ride-share for particular services, such as group outings, they still require a vehicle for essential errands and work in car-dependent cities. This means that ride-hailing apps’ drivers and riders are keeping their personal vehicles.
Implications for the environment and traffic patterns are still unclear as transit ridership data is lacking. High vehicle ownership doesn’t necessarily equate to people driving more. Cost is still a major factor in determining the future of transportation and ride-hailing apps remain an expensive mode of travel.
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