Can the Rideshare Industry Re-Invent Itself?

It wasn’t that long ago that UBER came on the scene. Now just ten years later they are looking at a possible 120 billion valuation as an IPO. LYFT another Rideshare company started in 2012 now seven years later is valuated at 15.1 billion.

Rideshare companies like Uber and LYFT were borne out of the technological boom that we have all witness in the last 10 years. Companies like Groupon and Airbnb have all become the benefactors of a new era of growth never seen before.

Rideshare started because of a company (UberCab) in San Francisco came up with an app that could hail a ride using a Smartphone, the rest is history.

Innovation, cutting edge technology, recognizing a need in the market place and seasoned leadership all play a part in creating a successful company.

The question is, can these new innovative companies that have been so successful evolve once again. The answer is obviously yes.

Horse-drawn for-hire hackney carriage services began operating in both Paris and London in the early 17th century. Proof that there is always room for new disruptive innovators.

How can the Rideshare industry re-invent itself?

Where one industry failed to meet the demands of a growing market share another stands ready to take its place. The secret of course is recognizing and understanding the failings of companies like Uber and LYFT and filling that gap.

Where are these possible gaps?

By listening to the complaints of drivers and riders alike opens new opportunities for innovation.

RIDERS

Rider Safety Concerns

Surprising Surge Charges

Unable to travel with small children – Uber and LYFT do not provide child car seats.

Unable to request a driver they like.

DRIVERS

Safety Concerns

Need a better pay structure for drivers. Pays the bills but that is all.

Inconsistent, good as a temporary job but nothing in it for the long term employee.

Unable to create their own book of business to create more consistency.

Disrupting the Disrupters

One such company by the name of TRYP Technologies, Inc. has identified many of these gaps and looks to be on the forefront of becoming a disrupter to the Rideshare industry. Their model not only creates more independence for drivers but answers many of the concerns riders have as well. TRYP Technologies, Inc. is based in Las Vegas, Nevada and promises to become a major disrupter to the rideshare market starting in 2019.

For TRYP Riders they have addressed

  • Safety concerns that allows rider with one click to have the home office listen in and act accordingly.
  • Secondly, there are no surge charges which has always been a common complaint.
  • They promise to be one to two percent less than their competitors
  • They have addressed the concerns of parents with small children with car seat availability.
  • They can also request the driver of their choice.
  • Referral program which earn points that can be turned into cash.

As for TRYP Drivers they can

  • Earn 100% of the fare and tip and can get paid from the app instantly.
  • Drivers pay a monthly software subscription fee of $199.
  • Driver app includes safety features when clicked will allow the home office to listen in and act accordingly.
  • Build their own book of business which allows riders to request them.
  • Referral program which earn every time a referred driver picks up a rider.
  • Stock options

Tryp’s technology is designed to provide fast, effective, and affordable on-demand transportation with total peace of mind during the entire ride. Their claim to keep a close eye on the safety of all of their users at every point during the Tryp ride makes them a disrupter to the rideshare industry.

If you are interesting in becoming a driver, take a look at their driver program at: www.Fastzap.net/tryp

Article written by Scott Johnson an independent consultant for TRYP Technologies.

Copyright 2019

Thriving in a Sharing Economy

I had just recited “Stopping by Woods on a Snowy Evening” by Robert Frost in a giant auditorium in Mumbai, India. After my performance, I left the stage. I was supposed to find my way back to my parents.

But I was one of the last performers. The event ended, and people suddenly surrounded me. I couldn’t find my parents anywhere.

I was 5 years old, and like any kid, I panicked because it seemed so scary. This was before cellphones, messaging or any kind of instant communication.

I wondered, how would I ever find my parents? Would someone kidnap me? Would I ever get home again?

Today, a situation like this is easily resolved. Many kids carry cellphones. People can now wear an identity bracelet for tracking purposes. Seniors with dementia and Alzheimer’s are often monitored this way. Some parents do this with kids too.

And with a few taps on websites like Facebook, Twitter, Instagram and Snapchat, you can put the word out about a lost child. Word travels fast through these information-sharing networks.

In my case, after a panicky 15-minute search, my father found me and everything was OK.

Now sharing has gone far beyond just information and news. Today, we have an entire economy – the sharing economy based on technology – through which people can share cars, houses, planes, boats, tools, farm machinery, textbooks, food, office space and much more.

A Booming Sharing Economy

The sharing economy, according to PricewaterhouseCoopers, will swell to $335 billion by 2025 from where it stands at about $15 billion today. That’s massive, representing growth of 2,133%.

And if you’re a user of apps/services such as Uber and Lyft (car sharing), Airbnb (house sharing), JetSmarter (private planes), Boatbound (boats) or NeighborGoods (tools), you’re part of this growth.

Already, the sharing economy has generated incredible winners. For example, Uber has gone from a startup in 2009 to a valuation of $66 billion today. That’s bigger than the value of General Motors, Ford or Honda.

Airbnb, the leading house-sharing app/service, has gone from startup in 2008 to $30 billion today. That’s bigger than Marriott or Hilton.

In other words, the sharing economy is generating massive winners.

The key, of course, is finding these stories, getting in on the ground floor and riding these investments to make your fortune in a short period of time.

The Generation Leading the Change

My research shows that the main reason for the rapid success of sharing-economy businesses like Uber, Airbnb and others is due to one thing: the rapid adoption by millennials.

The millennial generation is estimated to be aged between 18 and 34, and is the biggest generation in U.S. history – even bigger than the baby boomers – at 92 million.

Millennials have grown up with cellphones and technology. It’s no surprise that they are choosing apps/services like Uber and Airbnb that seamlessly integrate technology for more choices and greater convenience. And surveys show that millennials are one of the biggest users of these apps.

The rise of the millennial generation is one of the mega trends that I’ve been telling you. And as more of this generation reaches maturity, their choices and preferences are going to drive fantastic investment winners… like Uber and Airbnb.

You can’t buy into Uber and Airbnb because they are private companies. And in truth, these companies are so highly valued that you wouldn’t want to jump in now.

What you really want is the next big sharing-economy winner that will benefit from millennials. Through my analysis of the millennials, I will be on the lookout for the next opportunity created by this massive new generation of spenders.

Parts You Need to Build a Wakeboard Winch

If you start developing your own wakeboard winch, it can be very frustrating at first. We would like to give you an introduction of how the elements interact and what they are doing in the end. Proper knowledge will enhance your ability to develop winches from the beginning.

We will keep the details as easy as possible. If you experience there are still some concerns that come to your thoughts, we generously ask you to get in touch with us and tell us about. Together with your help we can develop an extensive starter guide for every one and shifting wakeboard winching to the next stage.

Frame

This aspect, usually designed of metal, is holding your parts together. The structure is the base of your winch and needs to be constant and solid. Anchoring the winch to the floor keeps the winch in place while you are driving. You can buy pre-made ones and put them together or build your own. This is very much based on your abilities. The less weight you end up with the better. But keep in mind, that the material has to be constant enough to hold up against the occurring forces.

Engine

Two kinds of motors can be used. Electric Engines or petrol operated ones. This is the center of your device. Several calculations are necessary to get an idea of how powerful the engine has to be. Around 6.5 HP are the minimum to do deep water starts with a wakeboard.

Gearbox

This part of the engine, translates the energy of the engine in a turning movement. Most contemporary gearboxes are used to be integrated as part of the motor.

Clutch

The same mechanical device as you have in your car. Two different kinds are very common: Centrifugal Clutch or Torque Converters. The way you go is very much based on the way you are going to use the wakeboard winch. The less expensive is the centrifugal clutch but you can’t use it for all applications.

Batteries

As you are using power make sure that you invest your cash on excellent manufacturers. Although you have to spend more money it is more certain that the battery is doing what it is expected to do.

Sprocket

Usually installed on the axle. Based upon on how many tooth you select, your wakeboard winch will have different functions. More tooth give you more speed but less tooth enhance the torque. Based upon on where and how you are going to use your winch, you have to think about your options. Very widely used is a 50 – 72 tooth sprocket for wakeboard winches.

Chain

The sequence joins the sprocket to the reel and converts the movement of the clutch to the reel.

Winch Axle

You can use a regular axle as it is used for Go Karts. The length of it has to be about the same as the size of your wakeboard winch.

Automobile Dealerships – Valuing Blue Sky

Blue Sky is the intrinsic value of an automobile dealership, over and above the value of its tangible assets. It is sometimes equated to the goodwill of a car dealership.

Most articles regarding the blue sky value of new car dealerships cite a multiple of earnings formula, such as three times earnings, four times earnings, and so forth. The idea that “blue-sky” can be determined by anything times anything is just plain wrong.

Even NADA the National Automobile Dealers Association in its publication entitled “A Dealer Guide to Valuing an Automobile Dealership, NADA June 1995, Revised July 2000 bemuses, in part, with respect to valuing a dealership by using a multiple of earnings: A Rule of Thumb valuation is more properly referred to as a “greater fool theory.” “It is not valuation theory, however.”

In its Update 2004, NADA omitted its reference to “fool”, but referred to the multiple formula as rarely based upon sound economic or valuation theory, and went on to state: “If you are a seller and the rule of thumb produces a high value, then this is not a matter of great concern. Go for it, and maybe someone will be stupid enough to pay you a very high value.”

A dealership’s blue sky is based upon what a buyer thinks it can produce in net profit. If potential buyers think it cannot produce a profit, the store will not sell. If it can produce a profit, then variables such as desirability of location, the balance the brand will bring to other existing franchises owned, whether or not the factory will require facility upgrades, and so on and so forth, determine whether or not a buyer will buy that particular brand, in that particular location, at that particular time.

I have been consulting with dealers for nearly four decades and have participated in over 1,000 automotive transactions ranging from $100,000 to over $100,000,000 and have never seen the price of a dealership sale determined by any multiple of earnings unless and until all of the above factors have been considered and the buyer then decided he, she or it was willing to spend “x” times what the buyer thought the dealership would earn, in order to purchase the business opportunity.

To think otherwise would be to subscribe to the theories that (1) even though you think a dealership could make a million dollars, the store is worth zero blue sky because it made no money last year; and (2) if a store has been making $5 million per year you should pay say 3 times $5 million as blue sky even though you think you will not produce that kind of profit. Both propositions are absurd. If a buyer does not think a dealership is worth blue sky, then what he is really saying is that he sees no business opportunity in the purchase and therefore, in my opinion, he should not buy the store.

Each dealership is unique with respect to its potential, location, balance that its brand brings a dealer group, and condition of facility. The sale is also unique with respect to whether it is a forced liquidation, orderly liquidation, arms length, insider, or a case where an anxious buyer is trying to induce an unwilling seller. There are management factors to consider, length and term of leases, possibilities or non-possibilities of purchasing the facilities and whether or not the factory wants to relocate the store or to open a new store up the street.

In the car business it is impossible to pick a dealership or a franchise out of a hat, multiply its earnings by some mystical number and predict either what the dealership is worth, or what price it would sell for – and it doesn’t matter if you are talking about a Toyota, Honda, Ford, Chevrolet, Chrysler, Dodge, or any other dealership. At any given time one franchise might be considered more or less desirable than another, but they are all valued in the same manner.