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A comment on Confession: I Don’t Think Uber Is Actually a Great Business (Yet). Parent comment

Re:Confession: I Don’t Think Uber Is Actually a Great Busine... by beambot on Saturday December 10, 2016 @10:03PM (#13149366)
1) People said the same about FB wrt Myspace.

2) Even if Uber's CAC doesn't decrease, it could have a vastly-higher CLV to justify the crazy spending to capture market share now. It's a calculated strategic decision -- and it's impossible to say if it's "wrong"; only time will tell.

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Re:Confession: I Don’t Think Uber Is Actually a Great Busine... by ithinkinstereo on Saturday December 10, 2016 @10:45PM (#13149486)
2) CLV depends on customer loyalty. In the case of the ride-sharing market, this ultimately comes down to the cost of service. Plus remember that Uber has to satisfy both sides of the coin here: drivers + riders. AND they have to be profitable. Tall order here.
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