uberX economic effects ridesharing

Media releases

uberX delivering $80m in consumer benefits

Deloitte Access Economics report

1 February 2016: The launch, and subsequent growth, of Uber, and particularly its uberX ride sharing service, is delivering more than $80 million in direct consumer benefits.

In a new report commissioned by Uber – Economic effects of ridesharing in Australia – Deloitte Access Economics has looked at the impacts of the new ridesharing economy on consumers, uberX driver-partners and the wider community.

Key report points include:

  • Operating at current levels, uberX creates benefits for consumers of approximately $81 million per year
  • Ridesharing is growing the point-to-point transport market – 61% of uberX rides are new to the point-to-point transport market, induced by either the differentiated service offering (36%) or lower prices (25%)
  • uberX services are, on average, just under 20% cheaper than equivalent taxi fares, including dynamic (surge) pricing.

Deloitte Access Economics Director Dr Ric Simes said: “The impact of the launch of uberX in Australia in April 2014, is playing out as one of our most compelling sharing economy stories. uberX is both transforming and growing the point to point transport market, offering an additional option for consumers.

“While uberX is only providing a relatively small proportion of services compared to the taxi industry – approximately six per cent of the total rides in the point-to-point market – it is delivering significant benefits for users. And with the likelihood that ridesharing will continue to grow in popularity, the consumer benefits we have identified may be greater.”

Other report findings

Quality and differentiation

  • The technology that drives the Uber platform delivers consumer benefits that include a differentiated availability system, an integrated payment system, driver tracking, a rating system, and improved relative reliability
  • The average waiting time for an uberX ride was substantially lower – 4.46 minutes, compared to 7.79 minutes for taxis.

Producer effects

  • Uber provides a flexible working option for its nearly 20,000driver-partners who have signed up to the platform since the launch of its ridesharing product, uberX
  • Based on the level of uberX’s operations in August 2015, drivers on the uberX platform in Sydney, Melbourne, Brisbane and Perth will receive around $260 million in fares per year, net of the licensing fee paid to Uber.


  • The Uber platform mitigates some of the safety risks associated with the point-to-point transport industry, for both drivers and riders
  • Matching drivers and riders may remove anonymity, reducing an incentive to commit crime and allowing ease of reporting of any incidents
  • Online cashless automatic payments systems reduce the potential for fare evasion and overcharging.

1 According to Uber’s latest data

Media Contact

Simon Rushton

Corporate Affairs & Communications
T: +61 2 9322 5562
M: +61 450 530 748

About Deloitte

Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee, and its network of member firms, each of which is a legally separate and independent entity. Please see www.deloitte.com/au/about for a detailed description of the legal structure of Deloitte Touche Tohmatsu Limited and its member firms.
Deloitte provides audit, tax, consulting, and financial advisory services to public and private clients spanning multiple industries. With a globally connected network of member firms in more than 150 countries, Deloitte brings world-class capabilities and high-quality service to clients, delivering the insights they need to address their most complex business challenges. Deloitte has in the region of 225,000 professionals, all committed to becoming the standard of excellence.

About Deloitte Australia

In Australia, the member firm is the Australian partnership of Deloitte Touche Tohmatsu. As one of Australia’s leading professional services firms, and winner of both the Australian Financial Review/CFO Audit Firm of the Year and Accounting Firm of the Year awards 2013, Deloitte Touche Tohmatsu and its affiliates provide audit, tax, consulting, and financial advisory services through approximately 6,000 people across the country. Focused on the creation of value and growth, and known as an employer of choice for innovative human resources programs, we are dedicated to helping our clients and our people excel. For more information, please visit Deloitte’s web site at www.deloitte.com.au.

Liability limited by a scheme approved under Professional Standards Legislation.
Member of Deloitte Touche Tohmatsu Limited
© 2016 Deloitte Touche Tohmatsu

Did you find this useful?