Juno, an app soon to be released, will be Uber’s worst nightmare, but drivers and riders alike will rejoice. Juno will provide a service similar to Uber, through an app interface, providing a ride to those requesting one. This app is reaching out to drivers of other apps with higher ratings, to ensure the best drivers.
What is different about Juno, and incredibly significant, is that their focus is on the drivers. As program manager, “Stanard added, ‘Juno is for the drivers’” (Hawkins). They are not going to take as large of a percentage from the drivers profit as Uber currently does. In fact, they will only take “10 percent compared to Uber's 20 to 25 percent —for at least the first two years of operation” (Hawkins). In addition, they will earn a weekly base salary just for keeping the app on, and they will earn shares of the company. Currently the main problem with Uber, are the people leaving the company due to the ever-lowering fares, leading to the salaries of the drivers rapidly decreasing. That results in fewer drivers, and therefore higher surges, that occur more frequently. With Juno, there will be more drivers, making it more convenient for those who quickly need a ride. Individuals will be more encouraged to drive for the company, due to Juno’s focus on their satisfaction. In addition, surges will not be a problem: ”The startup says it won't have surge pricing to start out, but it will pay drivers ‘a surge fare’ during periods of peak demand” (Hawkins). This benefits both the riders, as well as the drivers. The riders will not have to be paying an increased amount, and the drivers will still be making what they deserve. Besides pulling in more drivers in general, they are looking to pull in the best drivers: “The startup is trying to recruit as many Uber drivers with ratings of 4.75 and above before it launches in New York City sometime this summer” (Hawkins). If they are only pulling in highly rated drivers, Juno’s service will be better; an individual would be more confident that they will be getting a good, reliable driver. Beyond good service, they will know the ride will be safe. A person traveling alone would not have to worry about getting a driver that would harm them, for most likely a dangerous driver would not have a good Uber rating.
A vague aspect, not talked about in the article, is are they only pulling in drivers from apps with good reviews? In other words, can people who have never been a driver before become a driver for Juno. Also, how long will they be able to go paying the drivers more during a busy time, without introducing surges. Not having a surge charge is a major attraction for those switching from Uber. Finally, they will not be able to provide shares of the company to all employees forever, so how long will this benefit exist?
Hawkins, Andrew J. "Juno Wants to Woo Uber Drivers with a More Ethical Ride-sharing App." The Verge. N.p., 29 Mar. 2016. Web. 29 Mar. 2016. <http://www.theverge.com/2016/3/29/11301076/juno-uber-drivers-ride-hail-app-talmon-marco>.