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Uber Was the Most-Expensed Service, With 6% of all Business Receipts in 2016 (venturebeat.com)

Uber continues to be the transportation service of choice for business travelers, making up 52 percent of all expenses in Q4, according to a study by Certify. From a report: The online travel and expense management service provider today claimed Uber received the majority share of ground transportation, compared to 40 percent the same quarter in 2015. Additionally, the private on-demand ride hailing service was the most expensed service in 2016.

61 comments

  1. 6% yearly? I find that hard to believe by Anonymous Coward · · Score: 0

    I find it very hard to believe that Uber takes up more receipts than food and drink and lodging. I also find it very hard to believe that the top receipt is only 6% of total receipts. That seems like a small number.

    captcha: treasury - no really are the captchas really random?

    1. Re:6% yearly? I find that hard to believe by tomhath · · Score: 3, Insightful

      Both statistics make sense. Fly to a meeting and stay in a hotel that's only two receipts, but both are relatively big (usually hundreds of dollars). Go to a restaurant, that's two rides; go to a meeting that's two more rides - but the rides are relatively small expenses so the total is small compared to flights and hotel.

    2. Re:6% yearly? I find that hard to believe by tempo36 · · Score: 3, Insightful

      I imagine that they mean Uber as a company, not "Transportation" as a category. The article seems to imply that it's Ground Transportation specifically in which Uber is capturing 52% of receipts. So food, drink, and lodging aren't even in that particular figure.

      The 6% figure might seem high but you should think about the fact that Uber is the giant in this space so there's little competition. It's not that it had more expense receipts than all of food and lodging, but it had more than any single other company. Therefore it's not that Uber was expensed more than lodging, food, etc...but that folks are not using one service provider more; the rest of the spaces available have too much competition. I also wasn't clear whether they were looking at "most" to mean net sales or number of transactions. The study doesn't make that clear.

    3. Re:6% yearly? I find that hard to believe by EvilSS · · Score: 2

      I find it very hard to believe that Uber takes up more receipts than food and drink and lodging. I also find it very hard to believe that the top receipt is only 6% of total receipts. That seems like a small number.

      captcha: treasury - no really are the captchas really random?

      It's the top VENDOR not category. They are looking at specific companies. There are lots of car rental companies, airlines, and hotel brands, but Uber is the 500lb gorilla in ride sharing these days. In the transport category their numbers show Uber had 40%, Lyft 2%, Taxis 20%, and rentals 38%. The others in the top 5 vendor list were Starbucks, Delta, American Airlines, and Amazon.

      --
      I browse on +1 so AC's need not respond, I won't see it.
    4. Re:6% yearly? I find that hard to believe by omnichad · · Score: 1

      looking at "most" to mean net sales or number of transactions

      The 6% figure seems to be counting "receipts" which would lead me to believe "number of transactions."

    5. Re:6% yearly? I find that hard to believe by Anonymous Coward · · Score: 0

      I imagine that they mean Uber as a company, not "Transportation" as a category. The article seems to imply that it's Ground Transportation specifically in which Uber is capturing 52% of receipts. So food, drink, and lodging aren't even in that particular figure.

      The 6% figure might seem high but you should think about the fact that Uber is the giant in this space so there's little competition ...but it had more than any single other company.

      There a lot of competition, but they're locally-run affairs called "taxi companies," so no surprise that Uber was higher. There's also competition from "car rental" companies, is this included in here?

    6. Re:6% yearly? I find that hard to believe by Anonymous Coward · · Score: 0

      Ok so that's a fair counter point to my first statistic. But even then:

      On a two day trip, that's presumably six meals (two breakfasts, lunches, dinners). For at least breakfast and lunch, you'll probably not take a taxi/uber though you might for dinner. But even if you take an uber for everything: from airport -> hotel, hotel -> breakfast, breakfast -> office/meeting, office/meeting > lunch, etc etc etc, uber receipts end up taking up more than 6% of the total number of receipts.

    7. Re:6% yearly? I find that hard to believe by AvitarX · · Score: 1

      I can see it, 6% of a three day trip to a medium sized city makes sense.

      Figure food $150, hotel, $400, flight $300, client dinner $150, that's $1000, so $60 on uber would be 6%, that's less than the airport alone (there are of course non travel related things that get expensed though).

      The more interesting thing to me is that this shows Uber is crushing taxi companies not because if price (it's expensed after all), but because of quality of service.

      --
      Wow, sent an e-mail as suggested when clicking on "use classic" banner, and got a fast response that addressed my msg
    8. Re:6% yearly? I find that hard to believe by Anonymous Coward · · Score: 0

      Montreal is your typical city with a government-mandated taxi medallion monopoly.

      After Uber showed up and everyone threw up a fuss for various reasons, someone decided to fight fire with fire and start a new taxi company called Teo.

      Teo is the only taxi company in Montreal with a standardised fleet of cars. their cars offer USB chargers, touch screens for news, weather, looking at the map, etc (kinda like NYC), and the whole thing works exactly the same way as uber. You use the hailing up, your CC is charged, no money exchanges hands, no tips to deal with, and drivers are paid hourly. The rates unfortunately are not competitive because the rates themselves are set by government. But it is proof that taxi companies can compete if they actually wanted to.

    9. Re:6% yearly? I find that hard to believe by AvitarX · · Score: 1

      I live in small to medium sized city (Wilmington, de) and the taxi service is worthless.

      I've seen people wait for hours when an uber was ten minutes away, they complain about rides too close or too far (NYC is like that too, they hate gonna be passed Williamsburg in Brooklyn).

      When I was in Philly it was even worse. They cried and lied when they were forced to get GPS and credit card machines (way too late for not having credit card or GPS to be a thing). Hour for pick up in city limits.

      For me not only is Uber about a 20% saving Vs a cab, it also would be worth a surcharge.

      --
      Wow, sent an e-mail as suggested when clicking on "use classic" banner, and got a fast response that addressed my msg
    10. Re:6% yearly? I find that hard to believe by tomhath · · Score: 1

      You don't go on many business trips, do you? Rides (Uber or taxi) are usually shared, one person pays and expenses it. Breakfast usually at the hotel, so no ride, etc.

    11. Re:6% yearly? I find that hard to believe by HangingChad · · Score: 1

      not because if price (it's expensed after all), but because of quality of service.

      If Uber keeps promoting Pool, the quality of service is going to decline dramatically. Experienced drivers won't take Pool rides, even in the face of being deactivated. That means the best cars and best drivers are the most likely to go do something else rather than be forced into competing with mass transit with bottom feeder rates. Uber had a great business model but Pool is corrupting the entire industry.

      --
      That's our life, the big wheel of shit. - The Fat Man, Blue Tango Salvage
    12. Re:6% yearly? I find that hard to believe by Anonymous Coward · · Score: 0

      don't care about industry, it is helping our planet and making our air cleaner and our global warming lower

    13. Re:6% yearly? I find that hard to believe by AvitarX · · Score: 1

      How?

      I suspect every time I use uber it's using more gasoline.

      --
      Wow, sent an e-mail as suggested when clicking on "use classic" banner, and got a fast response that addressed my msg
  2. There is no such thing as "Uber" by Anonymous Coward · · Score: 0

    I live in a small town. Uber does not exist. Stop posting stories about non-existing crap.

    I want to hear more about what Apple is going to ditch next. It takes courage to ditch things that people still use.

    1. Re:There is no such thing as "Uber" by Oswald+McWeany · · Score: 4, Funny

      I live in a small town. Uber does not exist. Stop posting stories about non-existing crap.

      I want to hear more about what Apple is going to ditch next. It takes courage to ditch things that people still use.

      If they're really brave, the next iPhone (or Samsung Galaxy) will ditch the ability to make phone calls- because no one uses phones to make voice calls anymore. (or very few people do). Imagine how thin they can make the phone if they take the phone part out.

      --
      "That's the way to do it" - Punch
    2. Re:There is no such thing as "Uber" by ghoul · · Score: 1

      Thats just an iPod Touch. It already exists. And its very convenient to give to you kids as a toy when you dont want to give them a phone.

      --
      **Life is too short to be serious**
    3. Re:There is no such thing as "Uber" by CanadianMacFan · · Score: 1

      Just go with the base storage of either 16GB or 32GB because people stream their music and store their pictures in the cloud. /s

    4. Re:There is no such thing as "Uber" by Anonymous Coward · · Score: 0

      I know you're joking but IMO they *really* ought to be doing exactly that. Seriously. I mean, once you have Skype running, why have the phone hardware at all?

    5. Re:There is no such thing as "Uber" by magarity · · Score: 1

      I live in a small town. Uber does not exist.

      If you sign up to drive for them then you can monopolize the local market.

    6. Re:There is no such thing as "Uber" by demonlapin · · Score: 1

      Because there are a lot of areas where older phone services are available, but straight data is iffy.

    7. Re: There is no such thing as "Uber" by Anonymous Coward · · Score: 0

      VoLTE is the path to ditching CS voice. Do keep up!!!

  3. The truth by Nidi62 · · Score: 1, Insightful

    We all know what the real answer would be, but most companies won't reimburse for hookers and blow.

    --
    The only thing necessary for evil to triumph is for it to be pitted against a slightly greater evil
    1. Re:The truth by Oswald+McWeany · · Score: 2

      We all know what the real answer would be, but most companies won't reimburse for hookers and blow.

      No, but the federal government is a major employer in this country, and they will as long as you file it under "misc. entertainment"

      --
      "That's the way to do it" - Punch
  4. Ride sharing my ass by Anonymous Coward · · Score: 0

    So, uber drivers are sleeping in parking lots to survive, have no worker protection, and it's biggest impact (aside from decimating basic human dignity) is saving corporate expense accounts. Gets more surreal by the day...

  5. And yet. . . by smooth+wombat · · Score: 2, Informative

    Uber is still losing money by the metric ton and has been for a very long time, though some banks apparently don't care and are willing to lend them billions more.

    How long can this bubble last?

    --
    We will bankrupt ourselves in the vain search for absolute security. -- Dwight D. Eisenhower
    1. Re:And yet. . . by Oswald+McWeany · · Score: 1

      Whereas Amazon's US retail business finally makes a profit, the corporation as a whole is still losing money every year over 20 years after it first started.

      --
      "That's the way to do it" - Punch
    2. Re:And yet. . . by demonlapin · · Score: 1

      They can be profitable any time they wish by raising rates. I don't use Uber because it's cheaper, I use it because it's better. Cheap is just a side effect.

    3. Re:And yet. . . by Hadlock · · Score: 1

      They've raised ~$100 billion and have a net loss rate of ~$1 to $2 billion a quarter. They already have self driving cars on the roads and will probably have truly driverless self driving cars in 2-3 years at which point they'll be totally vertically integrated and costs will drop, service areas will explode and service quality will go through the roof.
       
      If they didn't even have a self driving car prototype I would be concerned about their long term business plan, but they're executing on it, the economies of scale are clear, this is a slam dunk home run investment on a proven business strategy.
       
      You're crazy, man.

      --
      moox. for a new generation.
    4. Re:And yet. . . by Anonymous Coward · · Score: 0

      Somebody explain this to me. You take an ordinary business, such as a retail catalog, or taxi service, or a lodging thing, and throw an "app" into the mix, and suddenly it's worth billions of dollars, even if it's losing money by the barrelful, because it's a "tech" company.

  6. Convenience, assurance and cost by yaznaz · · Score: 2, Interesting

    I switched exclusively to Uber simply because of these factors when travelling to unfamiliar destination. One less thing to worry about in business travel is a huge plus.

    I don't have to pull out my wallet, worry about tips or even talk to the driver. The receipts are conveniently accessible at the end of the month.

    I think the reason is similar to why people simply drive to McDonald's instead of exploring local restaurants.

    1. Re:Convenience, assurance and cost by HangingChad · · Score: 1

      I don't have to pull out my wallet, worry about tips or even talk to the driver.

      Drivers have a word for people like you, Captain One Star. Keep that up and your user rating will eventually drop low enough you'll start having trouble getting a ride.

      Tip your Uber driver...every single time. Just a couple bucks is enough. Most of them are making between $9 and $13 hour, before expenses. In a few major high density areas (LA, New York, Boston, Seattle) they're making between $18 and $25 but that's not normal. Working the surge at LAX, some really good drivers can average $27 over a ten hour shift. You try operating a car profitably on $13/hour. Write back, I'll wait.

      Some of those poor chumps are sleeping in their car trying to squeeze out a living and you can't part with a couple bucks in spare ones?

      --
      That's our life, the big wheel of shit. - The Fat Man, Blue Tango Salvage
  7. No surprises here by timholman · · Score: 4, Insightful

    Despite all the Uber-hate on Slashdot, the fact remains that the average business traveler doesn't care about labor controversies where Uber is concerned. All they care about is getting from point A to point B with a minimum of expense and hassle.

    With Uber, I know when a car is going to show up after I press the button on my phone. I know in advance approximately how much the ride will cost. I won't have the driver take me on the "scenic route" just to pump up the fare. The car will be clean and in good shape. The driver and I can view the same route on our smartphones. And if I have any issues with the driver or the ride, I will have a name and an electronic record of the trip.

    And best of all, I don't have a driver tell me, "Cash only, credit card machine is broken." I get a real receipt by email, not a blank piece of paper handed to me so that I can put in whatever amount I please, and thereby cheat on my expenses.

    So, yes, I use Uber (and Lyft) and will continue to do so whenever I can. I can tell you a dozen different stories of bad experiences I've had with taxis on business trips. Uber and Lyft have never been anything but a pleasure to use.

    1. Re:No surprises here by Anonymous Coward · · Score: 0

      How anecdotal

    2. Re:No surprises here by ZiakII · · Score: 4, Informative

      "Cash only, credit card machine is broken"

      Ha those are the best in Boston you just tell them ok sorry thanks for the ride and leave. You are not obligated to pay them then. Then you watch them say that then the "machine is now working" and then they get their 0% tip for trying that crap.

    3. Re:No surprises here by Anonymous Coward · · Score: 1

      So, yes, I use Uber (and Lyft) and will continue to do so whenever I can. I can tell you a dozen different stories of bad experiences I've had with taxis on business trips. Uber and Lyft have never been anything but a pleasure to use.

      I just got back from the business trip from hell: 3 states in two days with a dozen stops. We took Uber and Lyft everywhere. Every time I've taken a taxi it's been a disaster. Incidentally this is the first time we've tried an Airbnb in lieu of a hotel. It was equally as good.

    4. Re:No surprises here by idji · · Score: 1

      and you don't have to tip them.

    5. Re:No surprises here by aicrules · · Score: 1

      My first trip to Montreal on my way to get back to the airport I asked the hotel concierge for a taxi that accepts credit cards. I even showed the driver my American Express card and he said yes yes (oui oui). Get to the airport and I hand him my card and he says no no no cash only. I had zero cash. He still didn't accept credit card. He didn't speak very good English, and I didn't speak anything meaningful in French so I just kept saying I have no cash. Finally he just got my bags out of the trunk and sent me on my way. I felt bad, but come on, what is it about these taxis that they don't have even semi-modern tech? Or even one of those old carbon copy card sliders? Don't blame uber for your demise when you won't even try...

    6. Re:No surprises here by Anonymous Coward · · Score: 0

      Or worse, hand them a $20 bill for a $12 ride and they say "That's for the tip" and drive off.

    7. Re:No surprises here by Anonymous Coward · · Score: 0

      Don't people get shot by angry taxi drivers in that part of the country?

    8. Re:No surprises here by Anonymous Coward · · Score: 0

      All they care about is getting from point A to point B with a minimum of hassle.

      I only take cabs when I travel. I'm getting reimbursed anyways. uber and lyft are no better than a cabs. They are worse in most cases. Plus they come with the added inconvenience of having to wait form the uber and lyft to show up. With a cab it's already there when I step outside the airport or leave my hotel.

      Your "Cash only, credit card machine is broken." is a complete myth.

    9. Re:No surprises here by tlhIngan · · Score: 1

      My first trip to Montreal on my way to get back to the airport I asked the hotel concierge for a taxi that accepts credit cards. I even showed the driver my American Express card and he said yes yes (oui oui). Get to the airport and I hand him my card and he says no no no cash only. I had zero cash. He still didn't accept credit card. He didn't speak very good English, and I didn't speak anything meaningful in French so I just kept saying I have no cash. Finally he just got my bags out of the trunk and sent me on my way. I felt bad, but come on, what is it about these taxis that they don't have even semi-modern tech? Or even one of those old carbon copy card sliders? Don't blame uber for your demise when you won't even try...

      It's almost always more about wanting a cash sale than not having a credit card machine - the technology for charging credit cards mobile has been around practically forever. There is no excuse anymore (if you want, your chip and pin reader will have 3G if you request it)

      This is especially true for cabs since you really cannot assume anyone has more than $20 on them, and a good cab ride can be at least double that. So being forced to take a card isn't optional - it's mandatory because society has made it such that we're mostly cashless - everyone either whips out their credit card and charges it or whips out their debit card. Unless it's under $20 where most people will probably have a few bucks to pay in cash. ANything over and you have to take credit/debit out of necessity.

    10. Re:No surprises here by fred6666 · · Score: 1

      Maybe he didn't accept AMEX. Visa and Mastercard are much more accepted in Canada.

    11. Re:No surprises here by aicrules · · Score: 1

      That's possible but I showed him the card in a very obvious way because I know that even in the US AmEx is slightly less portable than Visa and Mastercard. I assume he wasn't just trying to get cash to make it a cash sale because in the end he got nothing...

    12. Re:No surprises here by Anonymous Coward · · Score: 0

      Yes, because a company that uses push polling to manipulate the citizenry into using legislation to accelerate the race to the bottom is a "labor controversy".

    13. Re:No surprises here by Jodka · · Score: 1

      And best of all, I don't have a driver tell me, "Cash only, credit card machine is broken."

      The last cab I took, the driver asked for my credit card and skimmed my card. That's why it was the last cab I took.

      --
      Ceci n'est pas une signature.
    14. Re:No surprises here by TheSync · · Score: 1

      I have noticed that at least in Los Angeles, since Uber has taken hold, almost all Taxis that pick up at LAX have begun to fully support credit card operation, even American Express. I never get the "cash only" or "machine not working" excuse any more...but it shows how competition from Uber has shaken up the Taxi industry, for the better.

      Also many Taxis now have an "app" with a map like Uber's, but I tried it once and watched a cab coming to pick me up stay in one place for almost one half an hour before bothering to start driving towards me...

    15. Re:No surprises here by timholman · · Score: 1

      The last cab I took, the driver asked for my credit card and skimmed my card. That's why it was the last cab I took.

      It happened to me too, on a business trip to Toronto. They were clever about it, too .... the second charge came from a different cab company name just a couple of days after my trip, for an amount of money that, at first glance, would seem legitimate. Fortunately I only used that particular credit card for business expenses, so it stuck out like a sore thumb. But I could see where a lot of people would pay the charge and never think about it.

      Anyway, that's just one of my bad experiences with taxis; I've got plenty more. :-)

  8. Hmm by backslashdot · · Score: 1

    So if I get this straight, it means nobody wants to pay for an Uber?

  9. I use it every time i travel by trybywrench · · Score: 2

    When at a hotel getting an uber is a 10min wait max so I can request one when settling up at breakfast and by the time i get to the door it's there. One of the airports i frequent doesn't allow Uber so i have to take a cab which means a paper receipt which is a pain when it comes to expense reporting. Plus, for some reason the cabs do not have a GPS so I have to give the driver directions which isn't a big deal but after using Uber just doesn't make sense to me.

    For the emailed receipts I wish the date and amount was in the file name, that makes it easier for expense reporting in my case.

    --
    I came to the datacenter drunk with a fake ID, don't you want to be just like me?
    1. Re: I use it every time i travel by Anonymous Coward · · Score: 0

      The reason cabbies don't use GPS is that it'd be too obvious when they take you on the scenic route, or get you stuck in traffic intentionally.

    2. Re: I use it every time i travel by Nidi62 · · Score: 1

      The reason cabbies don't use GPS is that it'd be too obvious when they take you on the scenic route, or get you stuck in traffic intentionally.

      In the rare times where I am in another city and taking a cab, I always pull up my destination on Google Maps or Waze and use that to track where we are going to make sure we aren't "detouring".

      --
      The only thing necessary for evil to triumph is for it to be pitted against a slightly greater evil
    3. Re: I use it every time i travel by trybywrench · · Score: 1

      "The reason cabbies don't use GPS is that it'd be too obvious when they take you on the scenic route, or get you stuck in traffic intentionally."

      smart phones have fixed this but it has happened to me quite a bit in my hometown Dallas TX before maps/gps were common on phones. Get a cab at an airport and they assume you're not from there and so start down the wrong route. Once you correct the driver and they realize you know the town the route magically changes to the shortest one.

      --
      I came to the datacenter drunk with a fake ID, don't you want to be just like me?
    4. Re:I use it every time i travel by Anonymous Coward · · Score: 0

      When at a hotel getting an uber is a 10min wait max

      When at the hotel getting a cab is a 0 min wait max because it's always waiting outside.

    5. Re:I use it every time i travel by demonlapin · · Score: 1

      The "scenic route" problem is easily solved - just show the driver your destination in a map app, so they know you know where you're going and the fastest way to get there.

    6. Re: I use it every time i travel by Zontar+The+Mindless · · Score: 1

      There are taxis that don't have GPS?

      --
      Il n'y a pas de Planet B.
  10. A problem of the study by SYSS+Mouse · · Score: 1

    Certify is a management software for employee expense report and expense management. Such reporting system is generally used by larger corporation and and the sample used in the study may be biased.

    Also because of the nature of the software, some travel data, for examples, trips using public transit (which do not always have receipts), might not be captured by the software. I sometimes take public transit during trips and my company would just take my word for it (based on reasonableness, of course. It is a small amount compared to others)

    In addition, larger companies might have corporate account with hotel chains which sometimes invoices the company directly so this will not be captured with the software.

  11. why can't taxis compete? by cats-paw · · Score: 1

    Really - Taxi companies can't get together and provide an uber like service ? I don't get that.

    There does seem to be a fundamentally unfair playing field here where Taxis have to abide by city/state regulations and uber doesn't.

    I really don't understand why this isn't a big issue or why municipalities are so eager to keep it that way.

    --
    Absolute statements are never true
    1. Re:why can't taxis compete? by Anonymous Coward · · Score: 0

      So the crack team of MIT grads working at a taxi cooperative is going to put one of those apps together right? And visitors to a town (we're talking about business expenses in this article) are going to have this app for every city they go to? And there's going to be a compelling reason for people to have these apps instead of using Uber? https://www.youtube.com/watch?v=7KC865wQaWU

      It's up to each city/state to regulate if they want to. In NYC, Uber is regulated the same as any other car service. They can't be hailed and they are subject to all other car service rules.

    2. Re:why can't taxis compete? by Guybrush_T · · Score: 1

      The Uber app may seem like a trivial app to make, but it isn't. Some taxi companies (or even country-wide) try to make their own, but they have to outsource the development to a company that won't make a great app, nor support it correctly, nor develop new features. So they'll always be 5 years behind Uber and Lyft.

      Also, Uber is worldwide, so you don't have to install a specific local app (which you don't ever know the name) to get a taxi.

      But in fact, taxis can as well use the Uber app. So why don't they use it ? Because there is a Taxi / Uber war and taxi drivers are not the best to have a long term vision in technology.

      Finally, even if taxis did use the Uber app, in places where Taxi numbers are regulated (and usually way too low because Taxi companies have been lobbying to keep their monopolistic marker), you would see that ... there is no taxi coming in less than an hour. So Uber also works because it allows for more taxis.

      I think people who don't understand why Uber is so good live in countries where Taxis are not too bad (I've seen a lot of taxis in South Korea for example, they are cheap and everyone use them). In countries where regulations are important, the balance shifted in favor of Taxis too much and the customer service dropped (because, why bother, people don't have the choice anyway). And that's backfiring at them today, pretty harshly.

  12. Dumb quesiton, uber vs taxi by Anonymous Coward · · Score: 0

    I have only used taxis on rare occasions, but they were very convenient when they were already parked at the airport or a hot touristy area.

    Is Uber getting popular because of price or because they come get you wherever you are?