08 September 2020
The company’s announcement arrives amid a difficult period in which demand for its traditional ride-hailing service has declined drastically due to Covid-19 concerns.
Last month, Uber shared the extent of the damage done by global lockdown restrictions, and the implications they had on the business.
According to the company, demand for its ride-hailing service decreased by 80% between the same time last year and this year, which inevitably led to the release of thousands of workers.
In California, if the state continues to pursue its new law requiring that companies similar to Uber recognize their drivers as employees, thousands of more drivers will be let go as well.
Unsurprisingly, Uber also shared that it lost $1.8 billion in the previous quarter.
The San Francisco-based entity has been forced to be innovative this year to stay afloat, with “Uber Rent” the latest service that’s been introduced – a partnership between Uber and the car rental company, CarTrawler.
When speaking about operations, Uber stated that the service would be available on the company’s app where users would select the vehicle that they desire as well the duration of its use. After doing so, customers would find their car at its location.
Although renters will be able to visit any one of the many rentals, make an order and leave with the vehicle up on the same day, Uber recommends that customers make reservations 24 hours ahead.
The company added that rentals could be cancelled up to 48 hours ahead of collection.