πŸ’Ž An unintended consequence of Uber

Among other things, Uber has made it far easier for party-goers to get home safely. A study published in 2017 found that after Uber’s arrival in Portland, Oregon, alcohol-related car crashes declined by 62%. But at the same time, the spread of ride-hailing apps may have tempted people to drink to excess, knowing that they won’t beat the wheel. A study published in November 2019 by three economists – Jacob Burgdorf and Conor Lennon of the University of Louisville, and Keith Teltser of Georgia State University – found that the widespread availability of ride-sharing apps had indeed made it easier for the late-night crowd to binge.

By matching data on Uber’s availability with health Surveys from America’s Centres for Disease Control and Prevention, the authors found that on average alcohol consumption rose by 3%, binge drinking (in which a person downs four or five-drinks in two hours) increased by 8%, and heavy drinking (defined as three or more instances of binge drinking in a month) surged by 9% within a couple of years of the ride-hailing company coming to town. Increases were even higher in cities without public transport, where the presence of Uber led average drinking to rise by 5% and instances of binge drinking to go up by around 20%. (heavy drinking still rose by 9%.) Remarkably, excessive drinking had actually been in decline before Uber’s appearance, giving further evidence that the firm’s arrival affected behavior.

Excerpt from: Unconventional Wisdom: Adventures in the Surprisingly True by Tom Standage

πŸ’Ž On the technique of assumption reversal for generating new perspectives and ideas (e.g Uber)

Michael Michalko, a former US army officer who has become a leader in creativity, advocates ‘assumption reversal’. You take the core notions in any subject or proposal, and simply turn them on their head. So, suppose you are thinking of starting a restaurant. The first assumption might be: ‘restaurants have menus’. The reversal would be: ‘restaurants have no menus’. This provokes the idea of a chef informing each customer what he bought that day at market, allowing them to select a customised dish. The point is not that this will necessarily turn out to be a workable scheme, but that by disrupting conventional thought patterns, it might lead to new associations and ideas.

Or, to take a different example, suppose you are considering starting a new taxi company. The first assumption might be: ‘taxi companies own cars’. The reversal would be: ‘taxi companies own no cars’. Twenty years ago, that might have sounded cray. Today, the largest taxi company that has ever existed doesn’t own cars: Uber.

Excerpt from: Rebel Ideas: The Power of Diverse Thinking by Matthew Syed

πŸ’Ž On reframing the frustration of waiting times (by Uber)

Let me give a simple example. The Uber map is a psychological moonshot, because it does not reduce the waiting time for a taxi but simply makes waiting 90 per cent less frustrating. This innovation came from the founder’s flash of insight (while watching a James Bond film, no less) that, regardless of what we say, we are much bothered by the uncertainty of waiting than by the duration of a wait. The invention of the map was perhaps equivalent to multiplying the number of cabs on the road by a factor of ten — not because waiting times got any shorter, but because they felt ten times less irritating.

Excerpt from: Alchemy: The Surprising Power of Ideas That Don’t Make Sense by Rory Sutherland