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Uber Ventures Into Tourism: Expanding Ride-Hailing Services for Travel

Uber Safari

Uber, the world’s largest ride-hailing company, is venturing into tourism, expanding its services to include yacht rentals, boat tours, and safari experiences. Known for revolutionizing the taxi industry, Uber is now targeting the growing demand for unique travel experiences across Europe and Africa.

The move comes as tourism in these regions sees significant growth. According to Uber’s 2023 data, demand for mobility services surged by 55% in places like Spain and Greece last year. This trend represents a prime opportunity for Uber to capture a larger share of the tourist market.

On July 1, 2024, Uber launched its yacht service in Ibiza, Spain, allowing users to pre-book yachts for coastal trips starting from July 26. Similarly, in Venice, Italy, Uber will introduce limo boats in August to help tourists explore the Venetian Lagoon with ease. These services aim to simplify travel between popular and remote attractions for visitors.

Uber’s expansion extends further into Greece, where it will broaden its Uber Boat service from Mykonos to include Athens, Corfu, and Santorini. Tourists can book rides to beach clubs and less-traveled destinations, catering to peak tourist seasons and enhancing their travel experience.

Uber’s push into tourism aligns with its broader goal to become a one-stop travel platform. CEO Dara Khosrowshahi outlined this vision in 2023, discussing plans to offer flights, train bookings, and luxury travel options. With his experience at Expedia, Uber is well-positioned to compete with traditional tour operators. In the UK, Uber already offers flight bookings alongside coach and train services, aiming to challenge established travel agencies.

Read Also: Uber Soars to New Heights: Rapid Expansion and Success

Despite concerns that these new ventures might divert attention from its core ride-hailing business, Uber continues to see strong growth. In Q2 2023, the company reported 25 million trips per day globally, a 22% increase from the previous year. This suggests that Uber can integrate new services without impacting its main revenue streams.

The latest addition to Uber’s tourism portfolio is Uber Safari, which launched on October 1, 2024, in South Africa. This new service offers tourists a full-day wildlife experience, with rides from Cape Town to the Aquila Private Game Reserve, where visitors can embark on a game drive to see the Big Five. Priced at $200 for up to four guests, Uber Safari taps into Africa’s lucrative wildlife tourism market.

Uber Safari is part of our ‘Go Anywhere’ series, following services like Uber Bubbles in Paris, Uber Balloon in Cappadocia, and Uber Boat in Mykonos,” the company stated. “Guests will be picked up in an Uber Safari-branded vehicle, enjoy a welcome toast and lunch at Aquila, followed by a traditional safari led by experienced guides.”

This expansion into travel follows Uber’s first global operating profit in Q2 2023, with a net income of $326 million, compared to a $713 million loss in the previous year. The company achieved this by cutting costs and growing its revenue by 14% year-on-year to $9.2 billion. Notably, its operating expenses only grew by 2%, and its growth outside the U.S. and Canada played a key role in turning a profit.

With its travel services expanding across Europe and Africa, Uber’s tourism arm is set to become an important revenue stream, particularly in markets where tourism plays a critical economic role.

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