Gridwise blog

While COVID-19 hasn’t managed to wipe out the rideshare and delivery driving business, it surely has made it riskier, as well as more difficult. Because of that, many drivers are looking around for new career opportunities. 

If you’re among them, and the right opportunity came along, would you be tempted to drop driving for a new career?

It would have to be something worth taking a shot at. It would need to deliver on the financial side, and not require that you spend a lot of money and time to get started. It would need to be an in-demand and marketable career. And of course, you’d want it to be challenging and enjoyable.

What kind of career would offer all that and make it worth giving up driving, or at least putting driving on the back burner while you get up to speed with a new career? 

The answer: coding.

Coding bootcamps are extremely popular now. For many reasons, a growing number of  drivers view coding as a career that can get them out of the driving and delivering rut in these tenuous times. In this post, we’re going to look at the pros and cons of coding bootcamps from the point of view of a driver. Here’s what we’ll cover:

• What coding bootcamp is
• Why drivers might want to consider coding bootcamp
• The benefits of bootcamps
• The not-so-great aspects of bootcamps
• Is bootcamp worth it?

What coding bootcamp is

Does the word “bootcamp” make you break out in a cold sweat? Don’t worry, it’s not that kind of bootcamp. You won’t have to prove your physical prowess or report for reveille every morning before dawn. 

Being in coding bootcamp can be an intense workout for your brain, though. It is a high-intensity, fast-paced program that teaches students how to write programs, analyze data, and provide security for websites and apps. 

At coding bootcamp, you’ll learn about the field of development. This will teach you about creating and supporting software-based platforms that are used by corporations, governments, and nonprofit organizations. By the time you’re done with coding bootcamp, you’ll have learned enough to get a job writing apps, curating user experiences, analyzing data, and ensuring the security of websites and apps.

Coding bootcamps give you specific, job-related skills. Instructors don’t focus on the broad view or history of the field you’re training to enter. Rather, you get down to the business of learning computer languages and trying your hand at creating programs right away. 

Bootcamps last anywhere from three to nine months, depending on what you choose to study. Some bootcamps are full-time, but others are part-time, so you could still drive and make money while you’re going through training.

For the most part, coding bootcamps are conducted online—and this is not due to the COVID-19 pandemic. Many bootcamps have always been online, so any program you enter now won’t differ from what it was before March 2020.

There might be occasional class meetings, but they are mostly for social and networking purposes. Now, even these are conducted online, so you’ll still be able to interact with your classmates if your bootcamp includes group projects or gatherings.

Why drivers may want to consider coding bootcamp

The most obvious reason for drivers to consider coding bootcamp is money. While there’s still a possibility to make good money driving, getting into the development field is going to pay a lot more. The right bootcamp can make a huge difference in your life.

Let’s look at one example: Kenzie Academy

An especially popular bootcamp, Kenzie is designed for people from all walks of life. You don’t have to be a lifelong geek or rocket scientist to succeed, and the academy respects the experience you’ve already had in your work. After all, who could be a better designer for an app’s screens or user experience than someone who uses apps all the time?

In a bootcamp like Kenzie, you’ll find support for your desire to make your life better with a new career. Bootcamp training is intense, to be sure, but it’s designed for people who want to go from zero to sixty fast, and get to a more prosperous place in life.

Bootcamps might sound too good to be true, but an estimated 80 percent of people who attend them land a job in their field, with median salaries around $66,000. You’ll have to pay for your tuition, of course, but it is much more affordable than what you’d be charged to get a degree at a four-year college. 

A fabulous advantage of this type of program is that coding jobs are comparatively secure. You can get full-time work with a company that pays benefits such as health insurance, unemployment compensation, and paid vacation. 

If you’d prefer to keep working part-time, that’s possible too. You can put in a limited amount of hours with a company, or you might even work out of your home as an independent consultant. That allows you to choose your own schedule, and decide how much work you can handle based on your home, family, or other responsibilities. 

Now, we’ll look at some other pluses of attending coding bootcamp.

The benefits of bootcamps

Bootcamps aren’t the only way to get into the development field. You could go to a four-year university and study computer science or website design. You might also attend community college and get some of the skills that could lead to a job in coding. 

However, if you enroll in a bootcamp like Kenzie, your education is streamlined. Here are just a few of the benefits of bootcamp training over college or university schooling.

• Flexible hours: You won’t have to sit in a classroom during set times; rather, most programs allow you to work from home. Although you may need to attend a class from time to time. This leaves you time to keep driving, and earning money, if that’s what you want to do.

• Short program duration: Unlike a long-term program at a college or university, bootcamps range from as short as three weeks to 48 weeks. You can even take self-paced courses and stretch out your program for as long as is practical for you.

• Job-oriented skills development: You’ll waste little or no time learning anything besides what you need to know to get a job in your chosen field. There are no language courses, electives, or any other requirements other than your full attention to developing your coding and other skills.

• Career assistance: Most bootcamps offer guidance about available careers, and some even assist you when it’s time to get a job. Many bootcamps have an urgent incentive to get you into the workforce ... they won’t collect tuition from you until you’re actually employed.

• Networking: Other students can be a great resource for job leads, including those you attend with and those who attended before you. This is a good reason to lean toward a bootcamp that lets you interact with the other coders in your community.

• Reasonable cost/Flexible plans: No training school is cheap, but coding bootcamp isn’t outrageously expensive; the full cost can range from $7,800 to $21,000. There are loans, of course, as well as Income Sharing Accounts (ISAs). These programs allow you to pay a certain percentage of your income, once you get a job in the field, until your tuition is all paid off. Some also have deferred tuition, which allows you to hold off paying until after you’ve been working for a certain time period.

As the old saying goes, “There’s good and bad in everything,” and that’s the case with bootcamps. In that spirit, it’s wise to look at all aspects of these programs, including negatives as well as positives. 

The not-so-great aspects of bootcamps

While most people who attend coding bootcamps give them positive reviews, there are some negatives to consider before you invest your time and money in one of them.

• Financial commitment. Even though bootcamps are much less expensive than the cost of a four-year college degree, they still aren’t cheap and can cause a financial strain for drivers.

• Time commitment. There’s no doubt that you’ll be dedicating a lot of time to bootcamp, for your classwork as well as the projects you’ll be required to develop.

• Lack of fundamentals and theory teaching. The job-specific skills that coding bootcamps focus on don’t always give students the background they need to understand the big picture. This can be a problem when on-the-job experiences, or even job interviews, wander into theoretical territory. 

• Skill limitations. Bootcamps strive to be cutting-edge, so they typically teach modern programming languages only. This can create challenges for graduates because not all companies are state-of-the-art, and older website designs or apps might be written in older languages that bootcamp grads can’t code in. 

• Exaggerated promises about job placement and networking. Schools will say they’ll hold your hand through the process of securing a high-paying job, but in many cases, you’ll still have to do much of the legwork. The same goes for networking. You are likely to find that an independent spirit is required to find the kind of job you wanted when you first decided to enroll in bootcamp.

Is bootcamp worth it?

Only you can answer that for yourself. But keep in mind ...

Even if you go through bootcamp and decide you don’t want to work full-time, you’ll have valuable skills that you can always use. If you find it too technical for you to do 40 hours a week, you can finesse a way to use those skills for a career in marketing or social media advertising.

But if you really take to your new coding career, and you’re willing to put in the effort it takes to find the right job and get on a great professional path, the investments you’ll make in bootcamp can definitely be worth it.

And remember, as a driver you always have the option of driving part-time, while you’re studying, and also if you decide to work as a part-time coder. With these considerations in mind, we think it’s definitely worth your while to try coding bootcamp.

Before you do, though, we have a few suggestions:

• Read about coding to learn what it really is, and what else coding bootcamps teach;
• Assess your skills, and be realistic about how well you think you’ll do at coding;
• Be honest about the time commitment, and take a hard look at whether you have the time to devote to bootcamp;
• Make sure you’re self-motivated so you don’t fall behind;
• Be pragmatic about the financials: Are you certain that you can handle the costs?

To learn more about coding bootcamps, check out this article by Course Report, which provides a comprehensive and impartial list you can use to begin your search. We also advise that you look closely at Kenzie Academy, because we know that one of their highest priorities is helping drivers like you make your life more rewarding and prosperous.

Kenzie caters to drivers

When you make the commitment to bootcamp, it’s important that the one you choose is geared toward someone like you. Here are some reasons why Kenzie Academy is a great choice:

• Simple, easy to understand programs: Kenzie offers web development, software engineering, and UX design;
• Choose how long to attend: Programs are six or nine months long;
• Both full-time and part-time programs: Even the full-time programs leave time for driving if you wish to continue to earn while you learn;
• All online classes: No need to visit campus, and long-established experience with online format;
• Job guarantee for User Experience (UX) students: Kenzie sets you up for a future-proof career, meaning one that’s unlikely to be obsolete;
• Personalized attention from instructors: Small classes and career coaching;
• Fully accredited program;
• Solid alumni network.

For all these reasons and more, if you want to make a move from your driving career into the exciting field of coding, web design, and development, a great bootcamp like Kenzie Academy is well worth your consideration. They know what you need to be successful, and they want to help guide you into a rewarding, challenging, future-proof career.

Electric vehicles (EVs) are popping up everywhere these days. There are sleek, high-end EVs that evoke the oohs and aahs of those watching them drive by. There are also utilitarian EVs that range from subcompact runabouts to SUVs and heavy-duty trucks.

Newer EVs are every bit as powerful as gasoline-powered cars, so there’s no longer any reason to worry about them getting you where you need to go. Also, the range of EVs is growing wider, and charging stations are commonplace in many areas.

In a world that is becoming increasingly conscious about the effects of carbon-heavy fumes being spewed into the atmosphere, the advent of electric vehicles isn’t all that surprising. Something pretty astounding about them, though, is how affordable they’ve become.

With the Fair Financing Program by Forth, it is now incredibly easy for drivers to own EVs, and use them for rideshare and delivery driving. We’ll talk more about this later, but first, let’s explore five good reasons for driving an EV:

• No more high fuel bills
• Fewer visits to the mechanic
• Smaller carbon footprint
• High-quality ride
• Affordability

1. No more high fuel bills

It’s really true. When you drive an EV, you do not have to buy gasoline, diesel fuel, natural gas, ethanol, or any other kind of fuel to keep your car moving.

As the driver of a vehicle with an internal combustion engine, you probably spend at least 9 or 10 cents per mile on gas. Multiply that by the 100 or 200 miles you travel in just a few hours of gig driving, and you’re spending a lot of cash just keeping that engine running; at least $10.00 a day, and probably more.

According to Kelley Blue Book, the average EV owner who drives around 1,000 miles per month, would pay from $50 to $56 monthly to charge the vehicle. Here’s how the math works: 

• 1-kilowatt hour = 3.5 driving miles (approximately) 
• 1,000 miles = 286-kilowatt hours
• 286-kilowatt hours x 20 cents per kilowatt hour = $57.20

So, if you drive 1,000 miles per week as a full-time rideshare or delivery driver, you would pay at least $100 per week on gas, or $400+ per month. With an EV, your cost would be $14.30 per week or $57.20 per month. That’s a huge difference and a great reason to consider an electric vehicle. 

2. Fewer visits to the mechanic

Electric vehicles are much easier and cheaper to maintain. Many don’t require as much maintenance as an internal combustion engine, and they have fewer moving parts. Your battery, rather than that complicated contraption that consists of belts and valves and gaskets, is the focus of most maintenance concerns.

It’s easy to care for a battery. Although some vehicles have trouble charging in extreme cold or heat, there isn’t much else you have to worry about to maintain your car’s battery. Most manufacturers offer a warranty on their batteries, and today’s modern batteries are expected to last 10-20 years.

You will still have to deal with coolant and brakes, of course, but overall, owning an EV is much less taxing on your maintenance bills than a conventional vehicle could ever be.

3. Smaller carbon footprint

EVs, at least those that are not hybrid engines, emit nothing into the air, which is a huge advantage. Not only can you, as an individual, be free of any guilt for belching out extra fumes into the atmosphere; you’ll also be setting an example of how easy and convenient it can be to drive a vehicle that’s powerful as well as environmentally sound.

Of course, energy is still being consumed and there is some pollution caused by charging these vehicles, but it’s far less than emissions from traditional gas cars. If you’re still concerned about the pollution, consider using solar panels, or some other alternative energy source, to power the charging station you use. In this article, a company called EnergySage provides instructions about doing that.

There’s also the matter of the battery itself, and what happens to it after it’s no longer usable in your vehicle. The industry is working on better ways to recycle batteries because the current methods are less than great. But there are innovative ways of repurposing batteries, which you can read about in this The Next Web article.

Another interesting article about repurposing batteries is this one by the Institute of Energy Research. The authors point out that once EV batteries can no longer be fully charged in order to propel a vehicle, they can be used to power street lights, elevators, home generators, and data centers. Once the batteries fully expire, they can be recycled to utilize metals such as lithium, cobalt, and nickel.

4. High-quality ride

As you drive your EV along a city street or county road, you’ll notice how quiet and smooth the ride is. The engine is almost silent. You’ll still hear the tires on the road, and maybe a few clicks here and there, but for the most part, the lack of engine noise is a welcome change from combustion engine vehicles. Your customers will appreciate the quiet too.

Also, because there are no gears in electric cars, you won’t notice shifting when you speed up or slow down. Everything runs smoothly, and yet also powerfully. 

Also, the smooth and quiet nature of the EV’s ride will keep you more relaxed as a driver. When you take a test drive, you might find that the only question left is: “How can I afford an electric vehicle?”

5. The real shocker: affordability

You read that right. You don’t have to be a high-tech corporate mogul to make an EV your next ride—especially now. Thanks to Forth, and its Fair Financing Program, owning and driving an EV is well within reach for rideshare and delivery drivers. 

The program was designed, in fact, to help offset the detrimental effects of rideshare on the environment. Forth’s pilot program in Portland, Oregon was launched in response to data from the Union of Concerned Scientists. This well-respected environmental organization found that rideshare trips are about 69 percent more polluting than the rides they replace. 

Forth saw the need to transform the smoggy clouds from all those rideshare and delivery vehicles’ fumes into a cloudless, smokeless sky, thanks to EVs and their ability to operate with zero emissions. Forth’s Fair Financing Program is designed to help drivers buy high-quality used EVs—regardless of their income.

With this innovative program, drivers get low-interest loans capped at 9.9 percent, enabling them to enjoy the lower maintenance and fuel costs of EV ownership. With smaller loan payments and lower operating costs, owning an EV actually allows you to increase your gig driving income.

As of December 2020 Forth Mobility’s Fair Financing Program is available exclusively in the Portland area. But it could expand, as more drivers experience the difference driving an EV can make to their rideshare and delivery gigs.

Owning an EV and using it for rideshare and delivery could save you money and let you drive with a clear conscience about your impact on the environment. Now, with the help of Forth’s Fair Financing Program, it can be within your financial reach. Check out Forth’s Fair Financing Program, and you’ll see!

Rating systems have become a part of everyone’s life. 

Nearly every time we complete a transaction, whether it’s a purchase on Amazon, a delivery by FedEx, or even a customer service phone call, companies and merchants follow up with requests like, “tell us how we did,” or “tell us how much you like our product.” 

These rating systems give customers a chance to offer honest feedback, and (hopefully) incentivize companies to make improvements in products and/or services. 

For rideshare or delivery drivers, however, the effects of rating systems can be brutal, and too often the “star rating” does not tell the whole story.

As a result, many drivers end up deactivated unfairly and without ever being able to plead their case.

In this post, we’ll cover some of the reasons why the current star rating isn’t always fair to drivers, and discuss some alternative options that the ride-hail and delivery drives could use. 

Here’s what we’ll cover:

• Why ratings can be good for drivers… sometimes
• Bad ratings bring big problems
• Why ratings are not always fair
• Protecting yourself from bad ratings
• 5 steps companies can take to improve the system

Why ratings can be good for drivers… sometimes

Feedback can be a useful tool for gaining tips on how to improve performance and avoid doing things that make customers squirm. It’s nice to know that a passenger appreciated your conversation, the music you played, or your ability to go above and beyond. 

In a similar (though less pleasant) way, it’s also good to know when you’ve done something to upset or irritate a customer. 

Some customers like it when you stop at yellow lights, while others would prefer you hit the gas and get to your destination faster. You might get more appreciation for bringing extra napkins and condiments in a food order than you would for making the delivery five minutes sooner.

It’s hard to know exactly what to do in order to make customers happy, but most good drivers are always trying to do that. Even when you think you’ve done the right thing, and get a rating that says you could have done better, it’s still good information to have.

The other bonus of getting good ratings is that it enhances your reputation with the company and with potential customers. If you maintain a high rating, you might get extra bonuses from the company.

But when the ratings game works against you, it can be a whole other story.

Potential problems with bad ratings

There’s no doubt about the biggest and most serious impact bad ratings can have on drivers… the companies can, and do, use it as a measuring stick that can potentially hit drivers with deactivation.

How does this happen? If you drive now, you already know. Uber, Lyft, and some delivery services have a minimum level for drivers based on their star ratings. When a rating drops below a certain level, the company can fully deactivate the driver, just based on how well the majority of customers reacted to the question, “What did you think about your driver?”

The other problem bad ratings can cause is a change in your public impression with riders. When a rider has a choice between two drivers, one with a 4.9 rating, and the other with a 4.7 rating, it’s clear which driver will get the trip. 

While most drivers aren’t too bothered by negative comments such as “hit the brakes too hard” or “music was too loud,” it’s very hard to shake the reality of a bad rating. Low star counts, and their consequences, are even more upsetting when they are unfairly attributed.

Why ratings are not always fair

Any time one person is asked to evaluate another, subjectivity and opinion can dominate the answers that are given, and so it is for most driver star ratings. 

Passengers can make innocent mistakes or mischaracterizations, as well as observations that result from a customer’s preference or proclivities, such as conversation, appearance, wearing too much cologne, etc. 

Of course, there are also valid reasons for customers to object to the performance of drivers. Safety, cleanliness, and following protocols such as wearing masks and sanitizing the vehicle are some. Others include inappropriate advances, offensive language, and rudeness.

But unfair, biased factors also influence ratings, such as sexism, bigotry, and even hate-inspired thinking. When these and other such factors play into a customer’s evaluation, the customer-driven, highly subjective, star rating systems fail miserably.

For example, drivers may have gotten poor ratings based on attributes such as:

• Gender: Some people (even in today’s day and age) think female drivers are not as competent as male drivers.
• Race: Prejudice based on race and nationality is an ugly, and all too common blight on society. Sometimes bigoted riders take a cultural difference or language gap out on drivers, and give them poor ratings based on it. You can read in this October 2020 article about one driver who has sued Uber, claiming the rating system allows for racial bias.
• Politics: For drivers, it’s never a good idea to wear or display political messages where they can be seen. If you do, you leave yourself open to being discriminated against for being on the wrong side in the opinion of your customers.
• Sexual orientation: It’s an unfortunate fact that not all customers are open-minded and accepting. An LGBT driver who ends up with one of these customers can, through no fault of his/her own, provoke a hateful person to give a bad rating.
• Physical challenges: Customers might expect more than a driver is capable of, depending on the driver’s physical abilities and limitations. 
• Age: Whether the customer perceives the driver is too young or too old, derisive opinions about this can be unfairly factored into a star rating.

Some drivers are striking back at the companies for using the current rating system, which they believe discriminates against people who look and act different from what riders might consider acceptable. 

This LA Times article is about an October 2020 class-action suit that was filed against Uber on behalf of nonwhite drivers nationwide.

Such behavior on the part of customers is appalling and unacceptable. But with the system the way that it is, drivers are vulnerable to mistreatment on many accounts. It pays to know how to prevent unfair ratings, and deactivations, from affecting you.

Protecting yourself from bad ratings

It’s obvious that the best way to protect yourself from bad ratings is to do everything you can to earn good ones. Here are some suggestions from Lyft and Uber to help drivers keep their ratings high:

• Be sensitive to your customer: Always be friendly, but learn to discern whether the customer wants to chat, or just wants to ride or take the delivery and go about his or her business. Also ask about music preferences, especially volume, and whether the passenger needs more heat or air conditioning.
• Be a good navigator: Follow the route in your app closely, and try not to make mistakes. Also, ask your passenger (or delivery customer) if they prefer that you take a different route.
• Stay safe: Drive like you have a state trooper in your car. Stop at intersections, and keep to the speed limit. Don’t text or talk on the phone while you’re driving. Your customer should experience the time with you behind the wheel as being safe as well as comfortable.
• Be clean and serene: Many customer complaints come from a rideshare driver having a dirty car, or a delivery person carrying food in a dirty bag. You may have to tidy up even between rides. Increase your awareness of your car’s state of sanitation, and you’ll see your ratings go up too.
• Help with doors, luggage, and special needs: Where and when it’s appropriate, rideshare drivers can go that extra mile by helping with groceries, luggage, and other cargo their customers might bring along. Also, if someone needs extra help getting in or out of your vehicle, don’t watch the person struggle unless you are specifically asked not to help. And, if your delivery customer is weak or disabled and needs help carrying bags, offer to help with that.
• Be polite, even when others are not: Having a customer scream at you is never a pleasant experience, but it happens—and when it does, it will always benefit you to be calm and quiet. You can still be firm, of course, especially if you have to enforce a rule or policy such as wearing a mask or requiring a car seat for a child. Contrary to popular opinion, it is very possible to be firm as well as polite.
• Get a dashcam: We’ve preached about this before, but we have to say it again: A dashcam is always good protection against being falsely accused. You can find more information about protecting yourself with a dashcam in this blog post.

You have control over these behaviors and habits, but as we said earlier, there are some incidents with customers that you cannot control—or even predict. 

What can you do when you get low ratings for bad reasons? Here are some tips:

• If you have reason to believe a customer is going to leave you an unfair rating, contact your company’s driver service department and report it. When you are proactive about stating your side of the story, you will have a better chance of winning any appeal you might need to undertake later.
• If a customer has made you uncomfortable, either through sexual harassment or discrimination of any kind, note this on your rating of the customer. This will alert your company about the customer’s undesirable behavior, and will also prevent the customer from camouflaging it by lodging a complaint against you.
• Use your dashcam or bodycam video to prove what happened, what was said, and who said it. Present it as evidence to your company. Familiarize yourself with how to cut clips and transmit them. This kind of action can be a real job-saver.

The subjective and volatile nature of the star rating system is something we as drivers have to live with. We can do everything possible to keep our side of the street clean (so to speak), but we also believe there are steps companies can take to improve this subjective and volatile system.

5 steps companies can take to improve the system

Every system has room for improvement, and the star ratings used by Uber, Lyft, Postmates, and DoorDash are no exception. Many drivers feel the system, and the cutoffs (4.6 for Uber and 4.8 for Lyft) are unfair, especially if these arbitrary numbers are used to deactivate drivers. 

There’s no reason to believe the companies will stop using this rating system anytime soon, but there are ways they could improve it. Here are our suggestions:

1. Be more responsive to driver appeals. Some incidents, such as when a customer accuses a driver of being impaired, result in the driver getting immediately deactivated until the situation is investigated and resolved—which can take days. In lieu of that, the driver could be offered an immediate opportunity to prove that the accusation was false, perhaps through the hubs, a medical facility, or other means.
2. Ensure that customers can back up their claims. Many customers make accusations just so they can get free rides or other bonuses from the companies. They should be asked to prove, perhaps with a formal statement, that the objectionable act actually was committed.
3. Hold customers accountable for bias. Just as drivers are asked to do, customers could be required to watch videos about community standards that clearly state what they are not to do, and what they should not tolerate from drivers.
4. Give drivers more access to their ratings. Drivers receive summaries of their ratings, but rarely do they get specific information about what they’re being accused of. While customers’ anonymity should be respected, the driver’s right to know what s/he is accused of should also be honored.
5. Consider not allowing star ratings to be the sole basis for deactivation. Especially for drivers whose customers either have sky-high standards or little common sense, low star ratings don’t always mean the driver doesn’t deserve to be on the road.

So there you go. We’ve offered five suggestions for improvements, but we’re betting you can think of more. Leave us a comment below or contact us with ideas that you’re convinced the companies need to hear.

Improve your driving life

When you download Gridwise, your life as a driver gets better right away. Track your earnings on multiple platforms automatically! Just set up your accounts to work with Gridwise, and you’ll get slick-looking graphs like these:

Gridwise will tell you how much you earned from each service, what your expenses were, and how much you can deduct for your mileage.

While all that tracking goes on in the background, Gridwise offers airport and event information, weather, traffic, and access to our Perks tab. That’s where you’ll get notifications about new posts on our blog and YouTube channel. There are also discounts and deals for drivers to learn about—plus great gas card giveaways on our Facebook page. Like us, and you could be a winner.
Even if your luck doesn’t pan out for the gas card, you’ll still win just by driving with Gridwise. Say whaaaaaaat? You don’t have the app yet? Well download it now!

Hopefully, you’ll never need this advice. 

But let’s face it… car accidents aren’t exactly something you plan for. 

If you’re a rideshare or delivery driver, and you’re involved in a crash, not only do you have to worry about personal injury to a possible passenger as well as yourself, you could lose your livelihood while repairs are being made. And those medical bills and repairs? They pile up fast, and the cost can be overwhelming. 

It’s crucial that drivers be totally aware of the best way to handle accidents. That’s why we sat down with Bryant Greening of Legal Rideshare to hear what actual rideshare lawyers have to say about drivers protecting themselves from being exposed to additional losses after an accident. Here are some items our conversation covered:

• What rideshare and delivery drivers should do if they get in an accident
• The special needs of bike delivery workers
• Three ways rideshare and delivery drivers can protect themselves
• What rideshare lawyers can do for drivers

We also created a video of our conversation that you can watch below.

What rideshare and delivery drivers should do if they get in an accident

The first thing to remember: Remain calm. No, that isn’t always easy, so if you’re having  trouble holding things together in the shock of the moment, take a couple of slow, deep breaths. 

Then...

Stop the vehicle.

Assess the situation.

First, find out if anyone is injured. Assess your own physical condition, and then ask about any passengers you might have with you. Also, find out if there are injuries in the other vehicle(s), or if anyone needs medical attention.

Call 911.

You’ll need to report the accident and inform the dispatcher of any injuries. 

Get to a safe location.

If you’re on a busy road or blocking traffic and are able to move the vehicle, move to the shoulder or take the nearest exit.

Exchange information with the other driver.

Get the license number of the other vehicle(s) involved in the accident. Also, record the other driver’s insurance information, registration, and driver’s license number. You can take photos of these documents and save them on your device. 

Tell local law enforcement about the accident.

A written record of your accident will be crucial if you hope to be compensated by any insurance company. Sometimes they will come to the scene, but if no one is injured, they may ask that you and the other operator come to the nearest station to make a report there. 

Gather evidence. 

Before you leave the scene of the accident, get the names and contact information of any witnesses. Take photos of the vehicle, focusing on any damage from the accident. Make note of the road conditions. Get everything you need to support your version of the facts, which is hopefully corroborated by one or more witnesses.

Ask witnesses to help you.

Don’t be shy about asking your riders to provide their names and phone numbers where they can be reached. These will be your best witnesses, and insurance companies will view them as objective observers because they aren’t biased; i.e., they don’t have any particular interest in who wins the case. Getting into a “he said, she said” situation with another driver solves nothing and isn’t likely to work in your favor.

Call the company for whom you’re driving.

If you’re on the app and with a passenger, the rideshare or delivery company will have insurance coverage on you, as one of their drivers, that can save your financial life. This blog post gives you the details of how the companies deal with insurance in the event of an accident. Even though you might be hesitant about reporting your mishap to your company, Greening advises that this is a step you don’t want to skip.

The special needs of bicycle and scooter delivery workers

We asked Greening what advice he could give us for bike and scooter riders who get into an accident. 

He said the main difference is they’re far more likely to be injured while piloting a bike or scooter than they are while driving a car. Here’s the advice he has for these workers:

“If you’ve been hit, don’t be a hero. If you’re hurt, stop. Call the police, and call an ambulance. Make sure your health is priority #1.”

Insurance is still very much a factor for those delivering via bike and scooter, because delivery companies offer insurance. Furthermore, if you’re in an accident on two wheels rather than four, it’s pretty likely that a car caused the accident. Unfortunately, most automobile drivers don’t always notice smaller vehicles like bikes and scooters, which is why they’re likely to be at fault.

In this case, the driver’s auto insurance comes into play, and can cover the cost of treating your physical injuries, as well as lost wages and emotional stress. 

ALWAYS take the steps you need to protect yourself from injury and the cost of paying for your recovery. Take the driver’s information, exactly as you would after in an accident while driving a vehicle.

Three ways rideshare and delivery drivers can protect themselves

1. Get a Dashcam

Greening pointed out how insurance companies make people jump through hoops in order to receive the settlements they deserve. He said, essentially, that it isn’t possible to overemphasize the importance of gathering evidence, and the very best way to get it is with photographic evidence of what was happening at the time of the incident.

What happened? Which vehicle failed to yield, or who was speeding? When answering these kinds of questions, people will say all kinds of things, whether they’re misremembering or outright lying. But, as the old saying goes, cameras don’t lie. As we discussed in this blog post, there are many reasons to have a dashcam, and making sure you can prove the cause of an accident is a big one.

2. Get rideshare/delivery coverage on your insurance policy

For a minimal cost per month, you can have your insurance company add an endorsement to your regular auto policy that covers you as a gig worker. Without this endorsement the insurance company may nullify your coverage if they discover you were using your vehicle for anything other than personal transportation. With the endorsement, you don’t have to worry about what might happen if your car is totaled, or if you happen to be at fault in an accident when you’re on your gig work shift.

3. Protect your income

Insurance coverage is one thing, but full protection is another. You need to know you’re covered for the wages you could lose while waiting for post-collision repairs, and also in case you get hospitalized or are deactivated unfairly by your company.

And Gridwise can help with that! With our new Gridwise Protection program, you can receive 80 percent of your lost income for as little as $7 per month.

Find it in the Gridwise app, or follow this link to sign up.

What rideshare lawyers can do for drivers

Legal Rideshare is the first legal firm that’s solely dedicated to helping rideshare and delivery drivers. 

As specialists in the gig economy, they have special insight into the nuances of the lives of their driver clients. In addition to developing an astounding and winning reputation from their work with accident and injury law, Greening says his firm has further aspirations.

Not only can these lawyers help you if you’re hurt while on the job, they are advocates for drivers’ rights too. In Chicago, they recently won a case that overturned a ban on drivers using their cars for advertising. The  law that created the ban was deemed unconstitutional, because it deprived drivers of a way of making a living.

With this case already won, Greening says they’re looking for other cases that can make a difference in the lives of rideshare and delivery drivers. You can learn more about the folks at Legal Rideshare at their website, and follow them on Facebook for more real-life legal advice drivers can use.

More help for drivers—from Gridwise

We at Gridwise are also focused on helping drivers, on and off the road. Track your earnings and mileage; get info about the airport, events, and weather; and check out the Perks tab for quick links to our blog and the amazing Gridwise YouTube Channel. Plus, you get deals and discounts that make drivers smile all day long. All you have to do is download the app. What?? You haven’t done that yet? Well do it now!

You can also find us on Facebook, and get in on the Gridwise gas card giveaways. You never know when that next free tank might be coming your way. 

And one more thing—leave a comment with any questions you might have about this or any other topic we’ve covered, or any you’d like us to look into. Meanwhile, always keep the #1 Assistant for Rideshare and Delivery drivers, Gridwise, close to you as you go about your gig driving.

While it’s not as widespread and massive as its largest competitor, Lyft is definitely a well-established and well-liked company, by drivers and passengers alike. It does one simple thing: it provides an app-based platform, where passengers find drivers who get paid for taking them to and from their various destinations.

People see Lyft as a more “friendly” company because of its brightly colored branding materials, and also because the experience of using their app is more personal than other services. For instance, drivers see pictures of their customers before they pick them up, and there does seem to be a more friendly tone to their communications.

Driving for Lyft is a popular gig. As of late 2019, there were 2 million Lyft drivers. Headquartered in San Francisco, Lyft was founded by Logan Green and John Zimmer in 2007, but didn’t really get off the ground in its present form until 2012. Now, it services more than 350 cities worldwide, and commands anywhere between 29%-39% of the rideshare market.

What makes Lyft so popular, and why would you want to drive for this company? In this blog post, we’ll approach that question and more by examining:

• What a Lyft driver does
• What you need to do to qualify as a driver
• How to apply to join the happy Lyft fleet of drivers
• What it means to be an independent contractor

What a Lyft driver does

If you’ve ever taken a ride with Lyft or another service, you have some idea about how things work. The driver receives a notice saying you need a ride, then decides to accept it or not. Assuming the driver takes the call, you get picked up and taken to your destination. 

From the driver’s side, things are just as you might imagine. The driver has a special version of the app, and has to remain alert to receiving calls. After accepting a request, the driver must commit to following through with it. If not, the ride will have to be cancelled, and the driver’s rating could be adversely affected.

As a Lyft driver, you choose the times you wish to work. You can go out for one ride or twenty. There are limits set by the company, however, to make sure drivers aren’t working such long hours that it’s no longer safe for them to be on the road. Read more about those limits here.

The rates for each ride are determined by Lyft. Of course, the amount you receive is not the total amount the passenger is paying. There is a take rate, which is the amount Lyft will retain from the customer’s payment. This will vary from time to time, and from one city to the next.

Rates also will vary based on passenger volume and driver availability. In bad weather conditions, or during large events, Lyft offers bonuses. A surcharge will be added to the passengers’ fees, and the drivers will earn more during those time periods. There are other incentives as well, such as bonuses for completing a certain number of rides in a given number of days, or for referring new drivers to Lyft.

There are many regulations drivers need to be aware of, and they are different in each location. Check here to find out more about items such as airport requirements, safety, community guidelines, and other company policies, and how they apply in your city.

How much will you make as a Lyft driver? That’s another thing that varies according to where you’re driving, but Glassdoor’s data show Lyft drivers’ earnings average around $16 per hour. This number, remember, is your gross earnings, minus bonuses and tips. It also doesn’t include the costs of you doing business, such as fuel, vehicle maintenance, and depreciation.

Another thing that’s particularly important for Lyft drivers is their star rating, from 1 to 5 stars. This rating is based on how customers rate the driver. If you’re polite, efficient, your car is clean, and you accommodate your passenger, you’ll get a great rating! In many cases you’ll also get a tip. Always remember, riders will see your star rating before they choose you as your driver! You’ll want to keep it as high as possible.

If you fail to meet Lyft’s requirements for maintaining a star rating, you may receive a warning from the company. If you don’t improve, you could be deactivated. So, as silly as something like a star rating might seem, it can potentially make or break your career as a Lyft driver!

There are other issues the company will consider when evaluating your performance. Foremost among these are low acceptance and cancellation of trips. You have to be very alert as a Lyft driver. For instance, calls for additional rides might come in after picking up a passenger. 

While safety always must come first, there are consequences for missing (or ignoring) these requests. Drivers have to keep up a certain level of acceptance and cancellation rates to maintain high ratings.

If a passenger cancels a ride, it’s no big deal for the driver. And, if it’s cancelled after the driver has spent a great deal of time traveling toward the pickup point, the driver will receive a few dollars’ minimum payment for the trouble.

There will be times when you can’t take or complete a ride, of course, such as when you need to purchase fuel, you have a flat tire or a breakdown, or you’re just too tired to continue driving. 

Before we get into any more intricacies such as these, let’s get back to some basics.

What you need to qualify as a driver

Lyft’s driver requirements vary from one state or city to the next. There are special cases, such as New York City, where you must get a license from the Taxi and Limousine Commission (TLC) before you can drive. In most cases, thankfully, this isn’t the case. This list covers some of the basic things you’ll need to drive, in most places, but do check Lyft’s website to find out what you need to drive in your town. 

FOR YOU:

• Proof that you are of the minimum age required in your area
• A valid driver’s license
• The ability to pass a background check that examines criminal and DMV history
• A smartphone capable of running the Lyft driver app  (iOS 11 or higher, Android 5 or higher) Check here for more specific smartphone information.

FOR YOUR VEHICLE:

• Usually, no more than 15 years old, with no more than 350,000 miles on the odometer
• Four or more doors
• 5-8 seats, including the driver’s seat
• Not on Lyft’s list of ineligible subcompact vehicles
• Not classified on the title as salvage, non-repairable, rebuilt, or any equivalent

There are further vehicle attributes that may qualify you to drive for Lyft’s high-end services, Lyft Lux, Lux Black, and Lux Black XL. Check here for more details.

If you don’t want to use your own vehicle when you drive for Lyft, there are options to rent and lease one. There are companies that specialize in renting vehicles for rideshare, such as Hyrecar, and you can also look into renting, short-term or long-term, through Lyft.

You’ll want to check out some other matters before you apply. The first one is the background check Lyft will run on you. This blog post tells you what it entails, how long it takes, and what to do if you experience delays or other problems.

You’ll also need to look into insurance. While Lyft covers you, your car, and your passengers while you’re driving for them, there are reasons why you might want to look beyond their basic coverage. It’s a smart idea, also, to talk with your insurance company and get extra coverage from them. If you fail to do so, and they find out you’re a rideshare driver, they may not cover you for any mishap, whether you’re on the app or not. This Gridwise blog post. will tell you more about what you need to know about rideshare insurance.

How to apply to join Lyft’s happy fleet of drivers

As long as you meet the requirements, applying to drive for Lyft is pretty easy. Start here to open your account. Now, with Lyft, it’s possible to use your rider account and go to the driver side...or you can open a separate account just for driving. That is totally up to you.

From there, you’ll upload some items to identify you and your vehicle. Here’s a list:

• A profile picture
• Proof of vehicle registration
• Proof of insurance
• Inspection and emission stickers

You will also be asked to submit information about your background check. You’ll need to wait for that to be approved, but in the meantime, you can prepare your vehicle by cleaning it thoroughly, and printing out a temporary window decal through the app. 

Lyft will send you your permanent window decal, and maybe even a light-up “amp,” if you qualify, after you’re approved. You can use the temporary decal to drive only after you’re fully approved, and before your welcome kit arrives. Until you’re approved, the app won’t allow you to receive ride requests. Patience is the key! Before you know it, you’ll be “in the Pink,” which is the happy shade Lyft drivers proudly display to the passengers they serve.

There’s this one other thing...

Drivers for Lyft are classified as independent contractors. This Gridwise blog post about the controversy regarding whether this will continue to be the case gives a very thorough description of the differences between that status, and being an employee.

The basics are this: Unless you get your own coverage, you will not get any of the following as an independent contractor:

• Medical insurance
• Workers Compensation Insurance
• Disability Insurance
• Pension Plan
• Minimum wage protection (except in a few select cities)
• Sick pay
• Vacation pay
• Tax withholding 

In many states, there are legal cases pending that might change the way companies classify drivers. Many drivers want the government to force the companies to make them employees. Others would rather hold on to their flexible hours and independence from more stringent company policies. There are driver groups fighting for drivers’ rights all over the country. This article will give you an idea of the landscape surrounding this hot-button issue.

When you drive, bring the ultimate assistant with you!

Gridwise will be there to help you, whether you drive for Lyft, another rideshare service, or a delivery company. Our amazing app lets you track your earnings on every platform you use, and keep a record of your total mileage. This makes tax time deductions and tabulations a breeze! 

You get a beautifully formatted, easy-to-read graphic of your earnings and expenses, just like in this figure:

After you’re done checking out all these cool features, click on the Perks Tab. There’s where you’ll find deals and discounts for drivers, easy access to the blog and news from the Gridwise YouTube channel. You’ll be an even happier Lyft driver when you use this app, so download it now!
Also, be sure to become part of the driver community when you join us on Facebook. We’re holding great Gridwise gas card giveaways all the time. And, please send us all your questions and comments about this article or the gig economy in general, right here in the section below. We love to hear from our drivers, and hope you’ll enjoy the cool community Gridwise has brought together, too.

“Uber” is one of those words that has evolved into a descriptor of an entire industry, rather than just one company in the industry. Upon arriving at a gathering, for instance, it’s common for people to say, “I took an Uber,” even if they used a different app like Lyft, Turo, or Zipcar. Indeed, Uber is the biggest name in rideshare, and it has a strong foothold in food delivery, too. It’s the company with the most drivers (8 million globally), and it operates in 83 countries and at least 853 cities. You could say that Uber … gets around.

Depending on your point of view, the fact that Uber is so huge might make you either more inclined, or less interested, in driving for this huge company. Only you know what a good fit would be for you. So, in this article, we’re going to go through the pros and cons of being an Uber driver so you can make an informed decision. We’ll cover:

• What Uber does
• What an Uber driver’s shift is like
• A few words about Uber Eats
• What you need to qualify as a driver
• How to apply to be a driver
• One more thing

What Uber Does

According to its corporate statements, Uber is a technology company that, through its app, offers the opportunity for drivers and riders to connect. Uber allows drivers to work with just rideshare, meaning only taking passengers from their pickup points to their destinations, and also offers other services. For instance, drivers for Uber are automatically qualified to take requests through Uber Eats, which is a service that delivers prepared food.

Uber is a gigantic company. Without going into too much detail here, we’ll add that in addition to rideshare and Uber Eats, Uber has package delivery systems, Uber helicopters in select cities, and even self-driving (autonomous) vehicles. This is definitely a company that thinks even bigger than it already is. And Uber’s recent acquisition of Postmates is further evidence that it's a major force in the gig economy.

So, what’s it like to drive for the biggest gig driving company out there?

What an Uber driver’s shift is like

Driving for Uber is fairly straightforward. You open the app, and wait for a passenger to request a ride. A map will pop up to show you where the passenger is. You can either use Uber’s navigation system, or set your app to go to another (most likely better) one, such as Waze or Google Maps. Once you arrive at the pick-up location, you’ll find out where your passenger is going. Again, the app will help you navigate to the destination. Once the passenger is dropped off, you’re done. With luck, you’ll even get a tip.

It’s common for you to get a request while you are driving with another passenger. You can accept the ride, but always be careful about using your phone while driving. Most drivers have their phones mounted, either on the dashboard or windshield, to make it easier to manage them while they’re on a shift. Check your state laws to see what types of mounting are legal. You never want to obstruct your view.

Rides are worth more money at certain times of day and in certain parts of town. Uber has what are known as “surges.” During those times, when there are more riders than there are drivers, or when there’s a major event going on, prices will go up and you’ll get paid more.

There are also other bonuses, like goal-setting promotions known as Quests. These are times when you get extra money for completing a certain number of rides, either Monday through Thursday, or Friday through Sunday. You can also earn extra through consecutive rides promotions. At a busy time, for example, you might get $3, $7, or $9 extra for taking three rides in a row.

The amount of money you see as your earnings is only a portion of what Uber charges the passengers. Uber has what is known as a “take rate,” and it is aptly named. That’s the percentage the company retains from the full fee for bringing you and your customers together, plus everything it takes to make that happen.

As an Uber driver, your hours are totally flexible. No one tells you what time you have to be at work, or how long of a shift you have to put in. The only one you have to report to in this regard is … you. That’s great, as long as you’re disciplined about getting out to work, and staying there long enough to make the amount of money you want and/or need. 

Once you’re done with a shift, you shut down the app and your earnings will be posted to your account. Your ability to manage yourself, and of course, the level of demand for drivers in your area, will determine how much you earn.

Uber will automatically deposit your earnings in your bank account once per week. If you need the money sooner, you can cash out immediately for a minimal charge (about fifty cents).

How much you’ll make as an Uber driver varies by location, season, time of day, available bonuses, and other factors. In general, Uber drivers make anywhere between $13 and $20 per hour. Earnings can be less, and even more, especially when promotions and surges are taken into account.

Keep in mind that when we talk about earnings, it doesn’t include tips, promotions, or bonuses. In addition, it doesn’t take into account the costs involved with doing business.

As an Uber driver, you’re an independent contractor. This means you’re responsible for withholding money for taxes, as well as expenses such as fuel, depreciation, and maintenance. You’ll also have to purchase your own health and disability insurance. 

When you’re planning your shifts for the week, think about how much you need to make in order to satisfy your income requirements, taking all these expenses into consideration. While these expenses are considerable, they’re also legitimate tax deductions, so there’s something to be gained at tax time.

A few words about Uber Eats

We mentioned earlier that Uber drivers have the option of being Uber Eats delivery drivers. A setting in the app allows you to accept Uber Eats requests. Uber Eats driving entails taking a call from a customer, picking up the food at a restaurant or other establishment, and delivering it to the hungry person on the other end of the request. 

While Uber Eats doesn’t always pay as much as rideshare driving for Uber, it can be a worthwhile way to make money when rider requests are hard to come by, or when you simply feel like dealing with food rather than people. The beauty of working for Uber is you can do either or both, as long as you qualify to be a rideshare driver. (Uber Eats drivers don’t always qualify for rideshare.) Let’s look at the requirements for driving now.

What you need to qualify as a driver

Here are the criteria for becoming an Uber rideshare driver.

Requirements for you: 

• Be the minimum age required to drive in your city
• Have at least one year of licensed driving experience in the U.S., or three years of licensed driving experience is you’re under 23 years old
• Pass a background check
• Have a valid U.S. driver’s license
• Present proof of residency in the state where you plan to drive
• Have proof of auto insurance, if you choose to use your own vehicle
• Have a smartphone capable of handling the Uber app (iOS 8 or higher, Android 4.0 or higher)

Requirements for your vehicle:

• Must have four doors, and able to transport a minimum of four passengers
• Can be a car, truck, SUV, or minivan
• Vehicle must be 10 to 15 years old or newer (check your city for exact requirements)

Additional vehicle requirements (can vary by city)

• Five factory-installed seats and seat belts
• Working windows and air conditioning
• No vans, box trucks, or similar vehicles
• Cannot have any cosmetic damage, missing pieces, commercial branding, or taxi paint jobs 
• No salvaged or rebuilt vehicles
• No aftermarket seating modifications, such as installed seats, seat belts, or BedRyder systems

These requirements apply mainly to UberX, which is the basic Uber service. There are higher levels of Uber services, such as Uber XL, Uber Premium, Uber Comfort, and Uber Premier. You can learn more about those levels of service here. In most cases, your vehicle will have to meet even higher standards.

For Uber Eats the requirements will be slightly different, depending on your city. If you’re in a designated area, you may be able to make Uber Eats delivery by bicycle or scooter.

If you don’t want to use your own vehicle (for rideshare or Eats), you may be able to rent a vehicle through Uber. Even though you can't drive for Uber with a car you rent on your own behalf, they will rent or lease vehicles that meet their requirements, usually through a car rental company that has an agreement with Uber. Vehicle programs vary from one city to the next. 

Check the Uber website for details about your location. You’ll get this opportunity if and when you apply to be a driver. Check on “I need a car,” and you will be sent to the appropriate web page.

Before you apply to be an Uber driver, there are a few more details you’ll want to investigate. One of them is the background check. This blog post tells you all about it, including how long it will take, and what you can do if it takes longer than you expect.

Insurance is the other item that drivers need to attend to. Uber will provide some level of protection for you, but you’re also required to have your own policy on your car. Furthermore, you need to let your insurance company know that you’re working as a rideshare driver, and pay an extra amount for a commercial rider. Don’t try to sidestep this; the risk isn’t worth it. If you don’t tell the company that you’re driving for Uber, and you have an accident, they have the right to waive your policy—which could have disastrous results. Read more about insurance in this Gridwise blog post.

How to apply to be a driver

Although the process isn’t complicated, it does take some effort. You’ll need to be at least somewhat savvy with your smartphone. Assuming that you are, the first step is to download the Uber driver app, which you’ll find in the app store on your phone.

Once you do that, you’ll need to gather the following documents:

• Driver’s license
• Vehicle registration (temporary is acceptable)
• Proof of Insurance
• Picture of you
• Permission and information for the background check

You’ll provide the documents (including your photograph) to Uber by taking screenshots and uploading them to the app. Follow the system prompts to input the background check information. 

Once you apply, it can take a day or two for all the documents to be approved, and in many cases, additional time for the background check to clear. Remember, they are checking your criminal record and your driving record. If you want to read more about Uber’s background check, here’s a previous Gridwise article about it.

Once all the documents and the picture are approved, and the background check clears, you’ll be ready to roll!

One more thing

As you may already know, Uber and Uber Eats drivers aren’t employees; rather, they’re independent contractors. If you want to read more about a battle over this designation that’s going on in California, here’s a Gridwise blog post about it.

As an independent contractor, you are responsible for most benefits that an employer would usually provide if you were an employee. These include: 

• Health insurance
• Workers compensation insurance
• Disability insurance
• Minimum wage protection (except in a few cities)
• Paid time off (vacation, sick days, and holidays)
• Pension plan 
• Tax withholding 

There’s an ongoing struggle between the gig economy companies and government jurisdictions in the many locations where the companies operate. Government officials in some of these areas, along with many gig workers, would like to see drivers be classified as employees. It’s a huge controversy, and both sides of the argument have good points to make. This article will help you get a grasp of what’s going on, and give you enough information to decide how you feel about the issue.

Don’t go it alone

Whether you decide to drive with Uber, or decide to go with another rideshare or delivery company, the one thing that will consistently be a big help is Gridwise. You can track your earnings on all the platforms you use, and keep a record of your total mileage so you know how much to deduct at tax time. 

The information is presented in easy-to-read, graphic format like this: 

And that’s not all. On the Perks tab you’ll find deals and discounts for drivers, easy access to the blog, and news from the Gridwise YouTube channel. You won’t want to leave home without this amazing app, so download it now!
To get a flavor for the Gridwise community, join us on Facebook, where the great Gridwise gas card giveaways are going on all the time. Finally, if you have questions or ideas about this article or the gig economy in general, leave us your comments below, and get a great community convo started.

How’s this for the mother of all understatements: 2020 brought more challenges than most of us wanted to deal with. 

As recently as a year ago, few drivers would have considered that giving up rideshare driving for delivery might be worth it. 

Then, everything changed.

In this new, post-COVID world, many rideshare drivers are taking a serious look at delivery driving. Also, many who are just getting into the gig economy are asking us whether rideshare or delivery has the most potential to make the average gig driver prosperous and content simply by performing his or her job.

That’s why we’re dedicating this blog post to exploring the rideshare vs. delivery question. We’ll look at these issues to get to the answers:

• Why some drivers are shifting from rideshare to delivery
• Rideshare vs. delivery: what you can earn 
  • Earnings per hour
  • Earnings per mile
  • Earnings per trip
• An overview of top rideshare and delivery services
• Smart strategies
• The future of rideshare and delivery

Why some drivers are shifting from rideshare to delivery

Prior to the COVID crisis of 2020, delivery driving wasn’t very appealing to many rideshare drivers. Why?

For one thing, it can be a lot more work. To deliver, a driver must:

• Either verify the order, or in some cases, actually pull over, call the restaurant or other establishment, and place the order;
• Pick up the order, which usually entails parking and leaving the vehicle;
• Deliver (including “schlepping”) the order, thus dealing with another stop and park situation.

By comparison, rideshare is much simpler. A ping for a ride comes in, you pick up the passenger, and you take the passenger to the destination. 

You never have to leave your car or worry about getting it towed if you happen to park it somewhere you shouldn’t. Plus, you won’t spill ketchup or queso on your front seat.

Perhaps the biggest reason rideshare drivers like what they do is the money; delivery driving doesn’t always pay as much as rideshare does. We will explore that in more detail in the following section, but first, here’s one advantage of delivering over rideshare driving: You don’t have to deal as closely with people.

This doesn’t mean you never have to deal with the public, though. 

There are irritating situations that can only be attributed to less-than-polite (to put it mildly) people. There are, at times, “drunk dialers” who place an order, perhaps inadvertently, and then refuse to accept it when you arrive. You might also encounter abusive customers who are ticked off that the restaurant didn’t include all the extra salad dressing they wanted.

Still, the general feeling is that when you don’t feel like dealing with the kinds of personal interactions that arise with passengers in your vehicle, you can go to delivery and get a break from it. Anyone who’s done extensive rideshare driving will tell you how important that option can be.

Once COVID-19 came onto the scene, and rideshare passengers were few and far between, delivery suddenly acquired even more appeal to drivers who normally did rideshare. All those passengers who were, before the stay-at-home orders, looking for rides to restaurants and bars, were already home, and they needed… delivery!

Many rideshare drivers, back seats empty and apps without pings, answered the call, grateful for the opportunity to continue earning anything, no matter how much extra work it required.

Delivery has grown astronomically since COVID-19. According to an October 2020 article by the technology analytics firm Second Measure, the delivery business has grown 125 percent year-over-year in 2020. The following graph, from the same article, illustrates the clear picture.

Now that we’ve established how important delivery has become for drivers (and the customers who use it), we’ll look at what the numbers tell us about delivery earnings versus rideshare driving dollars.

Rideshare vs. delivery: What you can earn

To see which driving gig pays off more, we’ll analyze earnings figures for rideshare and delivery. All information, except hourly earnings, has been calculated based on figures collected from January 2020 to October 2020. Anonymized data was collected from our network of over 150,000 drivers who use Gridwise to track their earnings and mileage.

First, let’s look at earnings per hour in 2020.

As shown below, rideshare drivers chalked up $18.47 per hour, on average.

During that same period, delivery drivers earned an average of $14.58 per hour. That’s a rather large difference in the hourly wage. In fact, rideshare drivers make almost 27% more per hour than delivery drivers do.

That’s a big difference. When we drill down into the rest of the data, we can eventually find out why there’s such a big discrepancy in hourly pay. It’s just not obvious at the outset. We have to dig a little deeper, so let’s keep going.

The next category is earnings per mile.

Rideshare drivers earned an average of $.84 per mile.

Delivery drivers … wait for it … earned an average of $1.03 per mile.

Are you surprised? Who would have thought delivery drivers would make 22% more per mile than those driving rideshare?

We didn’t really expect to see it, that’s for sure, but when you think it through it starts to make sense. 

Most delivery trips cover a small radius because people tend to order from establishments they already know, and that are located in their neighborhoods. Still, this is quite a remarkable difference in earnings per mile, with delivery showing a distinct advantage. But that doesn’t explain why delivery drivers make less per hour, does it?

Let’s look at earnings per trip.

The average rideshare trip, according to our data, yielded $10.83.

Delivery drivers, on a per-trip basis, earned $8.21.

Delivery drivers earn about 32% less per trip than rideshare drivers. This makes a lot of sense, because the delivery driver’s trips to entail time-intensive activities, such as waiting for food to be prepared and finding a place to park.

 Rideshare trips go a little faster, because the pickup and dropoff elements of carrying passengers don’t tend to take as much time. There are those passengers who take 5 minutes and more to come out for their pickups, but that’s an exception. 

The description we gave in the first section of this post, listing the differences between the rideshare and delivery does bear out—but there’s a caveat. Rideshare drivers will be able to earn more than delivery drivers, if the rideshare business continues to build, and the economy continues to open post-COVID. 

If there is, as feared and predicted, a second wave, and the economy goes back into a more restrictive mode, rideshare passengers may become scarcer, which could make the hourly rate drop substantially. Another factor to consider is the way the companies were piling on the surges and bonuses over the summer and into the first part of the fall. This also served to boost rideshare earnings.

They were trying to woo drivers—who were not only frightened of catching the virus, but also quite comfortable collecting unemployment—back into their cars. Now that the unemployment program for drivers is coming to an end, there will be more drivers on the road, and less incentive for the companies to offer extra incentives. 

Fortunately, more safety measures are also being taken. Drivers and passengers are wearing masks, and new devices, such as barriers like these from Driver Bubble™, are very affordable and becoming quite popular.

As drivers continue to get back out there, we’ll have more information to share. We will keep tabs on the income drivers get from both rideshare and delivery, and we’re betting you will too.

But before you decide to drive rideshare only, or simply stick to delivery, you might want to learn more about what the various companies are offering drivers.

An overview of top rideshare and delivery services

There are several rideshare and delivery services, and you’ll have to experiment with each to see what works best for you. Depending on where you live, one service might be more popular than another, and therefore more lucrative. 

Here are two articles from the Gridwise blog that you may want to look at to learn more about available opportunities. 

This article describes the top rideshare companies. You can get some ideas about what might work for you, talk to other drivers, and then give one or two of them a try.

The other post offers tips for delivery drivers. This will show you how to make the most of your delivery gig, so you can bring in as much income as possible.

Smart strategies

Now that you know more about both rideshare and delivery earnings, you can begin to devise a strategy that helps you make more money than ever. You can do that by creating what we call a “hybrid gig”.

Many Gridwise drivers tell us they’re noticing just how drastically the rideshare and delivery landscape has changed due to COVID-19. People aren’t going out at night so much, and those big catering jobs are not happening as often (if at all) now that people don’t even have large gatherings.

Throwing up your hands in despair because things aren’t the way they used to be won’t help you make money. Instead, take action … combine rideshare and delivery work and get the best of both worlds. 

The people who used to go to the bars and then out for pizza are probably ordering it in at about 11 p.m. or midnight. Even the kids whose caretakers you used to drive to their schools will still get hungry after their Zoom classes are done for the day.

If you’re a delivery driver, think about trying rideshare when you’re in the kind of heavy traffic that makes delivery a nightmare in slo-mo. You can still make money while you’re in your car, even in congested areas. Sometimes, you can even make a bonus for driving through a sea of red tail lights, thanks to surge pricing and bonuses.

There’s still plenty of business to be had for drivers who are flexible and enterprising enough to learn about all the opportunities they have at their disposal, and to capitalize on them. We know you’re exactly that kind of driver, but if you’re still holding out for the way things used to be, it might pay to consider where our society is headed.

The future of rideshare and delivery

While it’s pretty obvious that both rideshare and delivery will continue to thrive, it won’t be because things go back to the way they were before 2020 hit us between the eyes. Many companies have employees working from home, and are not making plans for them to return. This article from American City Business Journals will give you a comprehensive view of how many people will no longer be looking for rides to and from the office … or the airport.

Delivery, on the other hand, continues to step up and take an ever more prominent place in the economy of the COVID-19-inspired “new normal.” As more people continue to work from home, they’ll continue to order food, groceries, and other goods to have delivered to their doors … which means there will be more and more work for delivery drivers.

There’s no way of knowing what the world of gig driving will look like in a few more years, especially when considering how much it’s changed in just the last eight months. What we can discern is that there will be a need for both delivery and rideshare drivers, and that you are still very much an essential worker.

Go with Gridwise

If you decide to do both rideshare and delivery, you might be worried about how you’ll keep track of your earnings if, say, you decide to work two delivery companies and a rideshare gig. Well, don’t worry! Gridwise has exactly what you need. As your ultimate rideshare and delivery driver assistant, the Gridwise app tracks mileage and earnings for as many companies as you work for.

Our automatic earnings entry is in the beta testing stages now, and once it’s absolutely flawless and we can roll it out everywhere, all your apps will instantly sync with ours. In the meantime, it’s still pretty easy. All you have to do is enter your earnings for each app, and you’ll get bold, beautiful reports, detailing your income and mileage for each app, like these:

Gridwise also gives you information on weather, airport activity, and local events, plus a Perks tab that delivers deals and discounts for drivers, plus news from the Gridwise blog and the amazing Gridwise YouTube channel.

Remember to also check us out on Facebook and get in on the fun and financial benefits of our great Gridwise gas card giveaways.
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