Among the many hurdles that a new applicant has to surmount before earning the title of an Uber driver, securing an Uber-approved vehicle is a top priority. It may be disappointing when you find that your car is not an approved Uber model or age. Some drivers often give up once they can’t afford to get a car that could be used on the Uber platform, believing there isn’t any other way around it.
For drivers facing this issue in San Francisco, this post provides you details about how Uber Drivers can Rent GM Cars, even when they can’t afford to buy a new one.
Why GM is Partnering With Uber
As ridesharing is becoming widely popular and becoming a preferred mode of transport in major cities, auto makers are keying into the trend to remain relevant. As a result of the comfort and ease provided by businesses such as Uber and Lyft, the car making industry has seen a decrease in sales. By 2020, ride sharing revenue is expected to rise to a $6.5 billion market. An initial reaction to this revolution was to try and compete, hence the creation of startups like GM’s Maven service. Later, auto companies figured it would be smarter to join forces to push this futuristic business. This is probably why we have seen GM investing in Lyft, and they are probably doing this with Uber for that same reason.
About Uber and GM’s Partnership
Uber and GM have entered into a partnership where Uber drivers can rent GM cars on a weekly basis. A 90-day pilot program was launched in San Francisco in November. The option would make it possible for Uber drivers to rent a Chevrolet Cruze, Malibu or Trax. Drivers are expected to pay $179 for these vehicles. The payment is structured as a weekly scheme and it includes insurance, taxes and other fees. It is closely related to the car rental services Uber offers through Hertz Global Holdings Inc. and Enterprise Holdings Inc.
Rachel Holt, Uber regional general manager for the US and Canada, said in a statement: “This is the latest in our efforts to provide driver partners with greater flexibility and more options to access vehicles in a way that works for them. This partnership with Maven…gives people without access to vehicles the ability to easily make money driving on the Uber platform.”
If this successful, you can expect the program would become available in other cities where Maven currently operates. This includes Los Angeles, Boston, Chicago, Detroit, New York, Ann Arbor, Michigan, and Washington, D.C. Uber drivers can also use these cars for personal trips when they are not conveying passengers.
Is This Rental Favorable for Uber Drivers
First, I would state that the price for this service must have been reviewed against driver earnings before it was placed. It would also be important to take other rental programs into consideration while deciding if this is favorable or not. Uber’s Enterprise rental deal, which was launched in December 2015, was priced at about $210 to $215 per week. There are quite a number of drivers currently engaged under this scheme. This is certainly a better option.
Also, a typical Uber driver is said to make $74,191 per year for a 40-hour work week in San Francisco. This pegs the GM rental fee at about $9803 give or take. Placing these figures side by side, it is obvious the rental fees will not be a huge burden in the grand scheme of things. However, It is advisable for Uber drivers who want to make more from their Uber business to consider rental a temporary arrangement, while they continue to work towards getting their own car.
How to Get Started
It is certain that this offer would be open to new drivers who intend to get a car to drive for Uber in San Francisco but do not have a car of their own yet. So, to opt in for this option in San Francisco, simply sign up and become an Uber driver in San Francisco.
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Other Interesting Uber Related Posts
For our blog posts on some of Uber’s Services, see the links below:
- Responses to Uber Rate Cuts in North America
- An Introduction to Different Uber Services
- Uber Insurance Issues and Commercial Insurance
- Uber Car Requirements: 420 Uber Black Cars Analyzed.
- Uber Car Requirements: 90 Uber SUV Vehicles Analyzed.
- Uber Car Requirements: 580 UberX Cars Analyzed.
- Uber Car Requirements: 115 UberXL Cars Analyzed.
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