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Uber, Lyft and Ola are three of the biggest rideshare companies in existence today. Generating billions of dollars in annual revenue, these transportation giants have revolutionised how people get around in countries all over the world. Many drivers who work for these rideshare companies do so in their own vehicles, but a growing number of drivers are turning to car rental firms to provide them with suitable vehicles to support their work. Expanding into this market is a great way for rental firms to ensure their fleet earns as much money as possible throughout the year.
In this short guide, we’re going to look at the logistics of providing rideshare cars for Uber, Lyft and Ola drivers on a rental or subscription basis. We’ll also look at how you can manage your rideshare rental fleet more efficiently with a fully-featured rideshare software management platform.
Managing an Ola/Uber/Lyft rideshare rental fleet
There are a number of key points that you need to consider when setting up a rental fleet for rideshare drivers. But before we get into these points, here’s a short primer on how companies like Uber work from a driver’s perspective.
How does rideshare work with Uber?
Drivers need to have a vehicle that has been issued with a booked hire service licence to ensure compliance with Uber and government regulations. Apart from this, and a valid driving licence, of course, all they need to get started is the Uber app. Once they are ready for work, they simply open the app and tap GO. As soon as a local 'rider' requests a ride, this request appears in the driver's app, and they can simply swipe to accept it. Directions to the pickup point are provided from within the app and the rider can follow the progress of the car on their app while they are waiting to be picked up. Pricing and payments are all handled from within the app, leaving drivers free to focus on being where they are most likely to be needed whenever they are actively working. Other rideshare companies tend to work in a fairly similar fashion, though the specifics will vary slightly from provider to provider.
Key considerations for rideshare rental fleet operators
Now you know the basics of how Uber works, you’re better placed to understand the key points you need to be aware of as a rideshare rental fleet operator.
- All vehicles must comply with relevant regulations — As mentioned above, drivers need to be able to prove that their vehicles are in compliance with current regulations for booked hire services. You can most easily address this particular issue by investing in rideshare management software that tracks the compliance status of each vehicle in your fleet.
- Accurate billing is essential — Many rental service providers increase the return on their rideshare rental fleet with kilometre usage billing, but this is a very labour-intensive billing method without the right software. With an advanced software management platform that features automated usage billing functionality, you can make sure that you maximise your returns without overburdening your administrative team.
- Custom billing options will help you to further increase profits — It’s very difficult to set optimal pricing levels for rideshare fleet vehicles if you have nothing more than a pen and paper with which to perform your calculations. But there’s no need to worry. A software management system that includes a custom pricing algorithm can do all the heavy lifting for you and ensure that your fees are always at the optimum level to maximise the income generated by each vehicle in your fleet.
- Efficient invoicing will make life easier for all concerned — Efficient invoicing is a difficult task for busy fleet operators in the rideshare industry but if you want to keep your drivers happy and ensure a healthy cash flow for your business, it’s a task you’ll need to master. Use a software system that automates the invoicing process, allowing you to create a schedule that’s tailored to meet both your needs and those of your customers, and you’ll find it much easier to master this essential task without any outside assistance.
Loopit rideshare fleet management solution
Our fully-featured rideshare rental management platform will enable you to manage your fleet in the most efficient manner possible at all times. Compliance, invoicing, billing and payments can all be controlled from one central interface, making it much easier for you to stay on top of things on a day-to-day basis. What’s more, our platform is designed to be compatible with the management and accounting systems that are most commonly used in the vehicle rental industry today, which means you should have no problems integrating it with your existing software.
For further information on our software management system and how you can prepare to provide rideshare cars for Uber, Lyft and Ola drivers in Australia and NZ, contact us now by phone or email.
