Sunday, May 11, 2014

Gas grounds ridesharing vehicles

Ridesharing is changing the dynamics of transportation in most large cities. Even smaller cities are welcoming private vehicles owned and operated by regular people. However, ridesharing services are unheard of in cities with under 100,000 residents. The problem with ridesharing is the cost of gas, a dilemma that definitely keeps ridesharing drivers grounded at home.  

There are plenty of ridesharing passengers to go around. Drivers can earn good money driving people around cities such as Los Angeles, San Francisco, San Diego, and other bigger cities outside of California. California is the first state in the United States to approve ridesharing service as legal, although ridesharing companies must adhere to specific guidelines established under the Transportation Network Company (TNC) - the use of a peer-to-peer network to connect drivers and passengers. 

The ultimate setback in ridesharing is that gas prices continue to rise. As a result of this gas issue, drivers are being selective on getting rides at certain pickup locations to save gas. For example, drivers may drive a passenger from Sunset and Richmond districts to downtown San Francisco. This fare will net them $18-22, whereas downtown fares that go a few miles out only pay $7-10. Since these drivers dislike short rides, they will shutdown their apps and move further away. For the most part, most downtown areas are not a lucrative area because drivers face being issued citations in hard-to-reach Market Street pickups and gas is wasted driving up large hills and sitting in traffic. 

Ridesharing drivers can make greater than $10,000 per month driving 75 hours a week. In order to make this type of money, drivers need plenty of gas to keep their vehicles on the road during high peak times. Driving at night is probably the best way to maximize ridesharing. The roads are less congestive, which speeds up the flow of traffic and decreases the waiting time to reach passengers. 

Because gas limits ridesharing, drivers may find electric and hybrid vehicles the answer to stay on the road. If drivers get into a Nissan Leaf and/or a Prius, then ridesharing makes sense. Don't allow gas to cut into your profit margin. Gas is the most problematic issue in ridesharing. To make ridesharing work, drivers must keep a gas budget, drive during the busiest times, join all promotions and use gas efficient cars. 

Good luck getting on the roads to earn income. If ridesharing is treated as true rideshare, drivers can maximize their earning potential. Don't allow gas to impact ridesharing.