The best type of business models taking the world by storm in the current era are the companies on the On-Demand Business Model. In this business model, there are a multiple big names changing the way business is done, while changing the world and making profits. In this article we discuss the biggest names using On-Demand Business Model and making waves in the markets they are in.
Uber can be considered on the of the leading companies popular all around the world using on the on-demand business model. It is an American multi-national company which offers its customers the possibility of hailing cabs for travel and transport. Uber was founded in 2009 by Garrett Camp and Travis Kalanick. It was originally called UberCab and was officially launched as Uber on San Francisco in 2011.
Discussing about the business model of Uber in operation currently, the users are able to enter the pickup location and destination and check for the available taxis around the pickup area. The drivers are notified of the trip and they can accept the trip. The riders are able to pay the driver using cash or card after the end of the trip. Also, if you have a car with some free time, you can become a driver for Uber by enabling it in their app. Uber is one of the best examples for On-Demand Business Model. It provides a platform for the drivers and riders to get their requirements fulfilled.
Airbnb is another great example using the On-Demand Business Model. Airbnb’s history starts from 2007 when Brian Chesky and Joe Gebbia put up air mattresses in their living room and started a bed and breakfast. In 2008, the third partner Nathan Blecharczyk joined as the CTO and airbedandbreakfast.com was officially launched in August 11, 2008. In March, 2009 the company name was shortened to Airbnb.com.
Airbnb is in the lodging market where its business model enables its customers to look for cheap and affordable rooms or apartments as per their requirement. It provides a marketplace for people in requirement with rooms and people who has spare rooms or apartments to transact at a common platform. The customers are able to search for rooms as per their requirement in the area they want to stay in and filter for the facilities they want. Of the results that populates, they can select the property of their liking to stay in.
Deliveroo is a company operating on the On-Demand Business Model in Food Delivery industry. It was founded in 2013 by Will Shu and Greg Orlowski in London, who are Americans. It expanded so rapidly that by January 2017 it had employed over 1000 employees for its operations.
The operation in Deliveroo is that it provides a platform for restaurants and customers to sell and buy food and beverages. The restaurants display their menu along with the prices per item and customers are able to order the items they want from the menu. When the order is approved, a delivery person from Deliveroo will pick up the order from the restaurant and deliver it to the customer. Per order it charges the restaurants a commission amount and also charges the customer for delivery. In November 2017, Deliveroo introduced Deliveroo Plus, a subscription based service for its customers to enjoy unlimited free delivery for their orders.
Upwork is another great company operating on the on-demand business model, but in the freelance services industry. It was created as a result of a merger between two companies Elance and oDesk in 18, December 2013. It is a public company which offered initial public offering on December 3rd, 2018.
Upwork provides a platform for freelancers and people looking for freelance services. When a company or an individual posts a job on Upwork, freelancers who provide services in that area are able to provide proposals and give an offer to complete the job. Off all the applicants, the client can interview the applicants they want and offer the job to one or many freelancers they think are most suitable.
While the above four companies are popular names around the globe in the On-Demand Business Model, there are a lot of other companies too who are operating and excelling in this area. They work in different domains and provide the customer with different types of services.