How Uber Makes Money?

Uber drivers and riders need to download, install and register the Uber platform application on their mobile phones before using it. After installation of the Uber application, the rider places a request to the Uber platform via the mobile application anytime they need a ride.

 

Uber Technologies then broadcasts the riders request to all Uber drivers around the cities, and if any of the Uber drivers is interested in delivering the ride they accept the riders request. Then the Uber app delivers the riders details to the Uber driver, at this point, the driver proceeds to the location of the rider, then picks the rider and delivers them to their destination.

After the rider has reached their final destination Uber charges the riders automatically from their credit cards. Finally, after the payment has been made Uber Technologies deducts a 20% commission on every ride that the drivers make. The commission can be more or less than the 20% depending on the city and competition in the same city. The Uber drivers are paid the remaining percentage after the commission has been deducted, and this is how both the Uber Technologies and the Uber drivers earn and make their money.