A Bit Extra

Browsing through Facebook I saw a comment from someone who took a taxi ride home after a special night out. Their evening had gone fine up until the moment they left the restaurant only to experience a nightmare ride at high speed.

Many people perceive an executive car service to be expensive and out of their reach. The fact is a twenty mile journey with an executive service compared to a taxi will be a close match. Sure the executive service will be slightly more but you receive an awful lot extra.

So how does the executive service compete on cost? Well, it comes down to overheads. The premises for a town centre taxi office has business rates; insurance for walk-in customers; telephone staff (over £1000/week); electricity; radio equipment; heating and more which all add up.

At DrivenByQ we spend more on vehicles and pay a higher rate to drivers than a taxi company but our overheads are not even 30% of a taxi firm. That means we compete on cost and the extra paid above a taxi fare means a clean, quality vehicle and a driver who is not in a rush.

A New Subject

Last week we had an unexpected dip in the number of airport transfers we provide for business passengers. From time to time we expect a quiet week and it can often be factored in to our expectations but this one was different.

Business passengers stop travelling at Christmas, summer shut-downs and Easter too. There is always a blip at the end of the financial year as travel budgets are used up, reset and allocated as well. There are always seasonal trends.

This year however, a new factor has entered the mix: staggered half-term school breaks. This is so pupils are off at different times and holiday prices are lowered by spread demand. England and Wales have different term calendars too!

This week is back on track with a constant flow of new bookings. So too is the congested traffic associated with rush-hour. Who would have thought that school closures would correlate so closely to motorway traffic movements.

Self Drive

On the news last week was Google's new self-driving car. To most people it may seem a gimmick but to a company like ours it could be viewed as a potential threat. The truth is, Google has been developing this idea for quite a while and when you dig a little deeper you find it has also made some big investments in apps and software to enter the taxi / limo / chauffeur market.

The online platform 'Uber' is controversial within the taxi and chauffeur trade across the globe because of the licencing laws it has contravened. Nonetheless it offers something valuable to its users. When travelling abroad to a city on business and the territory is unfamiliar, why not book a cab or limo service using a smart phone app which you know and trust?

People ask me if we are concerned. Well, not yet no. The geographic area that DrivenByQ serves would prove an extreme challenge for a self-driven vehicle to negotiate and in addition, the weather causes even more issues over the course of a year. In addition, the majority of our turnover comes from local corporate account holders.

The real question in my mind is not the threat to the private hire industry but whether the giants of the auto-mobile industry would allow Google to replace them? Would Ford or VW really allow their brands to be replaced with generic vehicles? I really wonder what travelling in automated cars reflects on the occupants and what statement it makes to society. Maybe only time will tell.