Uber

I have just started using Uber, a taxi booking app.
This app is just that much better than all the others and this differentiation is based on some simple idea, great execution and capital.

The simple ideas are:

1.There are four classes of cars (low cost private, taxi, black and lux) with progressively increasing costs
2.You can see where the local available cars are on a map which also allows you to set up your pick-up position and gives you the shortest pick up time
3.Once you select a type of car and book it, you then get to watch it turn up on the map
4.The driver doesn’t know where you are going so there is no sense that unfavourable fares are avoided. Indeed they seem to be rewarded on the number of jobs they do and their star rating (See below). That is the reward system for drives is in the customer’s interest
5.When you arrive at a destination you just get out of the cab. The invoice is emailed to you. And the driver doesn’t have cash so isn’t a target for thieves
6.When you look at your receipt you also get to rate the car and driver
7.There is a social media like system in place that rewards users if they sign up new users

To execute a service like this you need:
1.An insider knowledge of the industry and an open-minded user-based experiential understanding of what is wrong with the status quo
2.This drives the founding team members to define and refine a new service, using new technology
3.An ability to execute the software and also the business relationships needed to get the business moving
4.An access to lots of capital to buy market share and momentum
5.Luck and great marketing
6.First-mover advantage