Uber is that company which is famous for its unique business model, and people haven’t seen anything like that in the last one decade. The ride-sharing company recently went public and raised a considerable amount of money, making its founders billionaires. However, in a recent report, executives announced that they are planning to cut more than one-fourth of its global marketing workers. There are currently more than 1200 global employees of Uber who are working in the marketing industry. However, the company has decided to let go 400 of them as a part of its restructuring plan. A few months ago, the company’s CEO Dara Khosrowshahi announced about changing significant policies regarding Uber’s marketing and communication policies.
Uber, which recently went public, shocked its investors when it said that the company might not be able to make a profit ever. These speculations came from executives who think the revenue model of Uber does not give any guarantee of making a vast amount of money. Uber has booked a massive amount of losses in previous quarters, which shows how severe the condition of Uber is and also the reason behind it. Lead Experts think Uber’s marketing strategy of giving huge discounts has led it to this situation. Marketing strategists played a vital role in making Uber more prevalent.
However, they have also dragged it with their failed plans. Now Uber’s top executives think by cutting marketing strategists company can stop their losses at least for some time. The primary problem for Uber is still not creating a sustainable profit model which is required by any company for the long term. Company’s executives want to have a more centrist oriented policy, and that’s why they have decided to cut so many jobs from the marketing sector. However, it’s still uncertain how uber is going to stop its ongoing losses which are now taking a toll on the company.
Carolyn is a technology graduate and loves to write about anything related to technology as well as writes in others sectors. Carolyn is a professional writer with over 7 years of experience. Initially starting off as a programmer, Carolyn decided to combine her knowledge about technology and writing and that’s how she joined Reporter Expert.