> Rather than respond to the anecdotes, I'll point out that I was rebutting the original claim: that Uber was cheaper because it (unlike medallion cabs) does not have to pay for licensing fees.
It is not about licensing fees, it is about that because of the medallions, taxi drivers had to pay $125 / 12 hours for the lease. Before Uber/Lyft those medallions which were restricted to 13,000 for a city of 8.5 million (as well as many visiting tourists, business people, and in a city where many don't own cars), the price of a medallion was $1.2 million. After Uber/Lyft the price decreased to $700,000 and many Yellow Cabs are idle. Prices are lower, service is far better.
If your point is 'Taxis can't compete with Uber because of the medallion system', then you're probably right.
But if your point is 'Uber was primarily successful because they found a way to get around the medallion system', then I don't think so.
The reason being, livery cars were around long before Uber, are much more comparable, and they also did not have to deal with medallions. So, why didn't livery cars put the taxis out of business a long time ago?
I think the real reasons for Uber's success are:
1. Livery cars were a hassle to arrange. Uber solved this by using smartphones with GPS.
2. Livery cars were slower to pick you up. Probably because there weren't enough drivers on the road. Which is probably because there weren't enough riders. Uber solved that catch-22 by subsidizing the rides to jumpstart a positive network effect.
Also-
Clear transparent pricing. No getting to the destination and the dude suddenly asking for $30 more than you previously agreed to or arguing over a tip (I live outside Manhattan- nearly every time I took a trip home in a cab, there would be some kind of hassle- the guy wanted cash-often claiming his credit card machine was broken, more $ because traffic was heavier than expected, was just pissed about a $20 tip not being enough... there was something nearly every time.
Accountability and a feedback loop- if the guy did try to rip you off somehow, prior to Uber, you really had very little recourse. There is a process to lodge a complaint in NYC, but it involved paperwork, showing up to a hearing (which you will have to take time off of work for), and then maybe something might be done.
You kind of touched on it, but also just some kind of visibility into when exactly your car will arrive. When Uber was new in NYC, wait times were much longer, generally 10-15 minutes, which I didn't mind much because that's probably about how long it would have taken me to find a cab, and I could finish my drink inside the bar/restaurant and finish as the driver pulled up. This has actually gone downhill a bit over time- So many times I pull up the app to see a half dozen cars within 4 blocks of me, and then when I actually try to reserve, its a 7-8 minute wait. Or they accept the trip but then I guess got a better offer on Lyft or something and is just heading in the wrong direction- meaning you have to cancel and then fight with Uber over being charged a cancellation fee, which usually isn't too hard to do, but its just a hassle and a way drivers can currently beat the system.
It is not about licensing fees, it is about that because of the medallions, taxi drivers had to pay $125 / 12 hours for the lease. Before Uber/Lyft those medallions which were restricted to 13,000 for a city of 8.5 million (as well as many visiting tourists, business people, and in a city where many don't own cars), the price of a medallion was $1.2 million. After Uber/Lyft the price decreased to $700,000 and many Yellow Cabs are idle. Prices are lower, service is far better.