Chauffeur Service Los Angeles is back with JOJO-LIMO!
Like many other industries, the limousine industry was hit hard by the Great Recession of 2007. As the financial stability of many Americans became uncertain, many services were seen as simply too superfluous to warrant consumer expenditure.
Even after the economy recovered in 2009, the limo industry was dealt another crippling blow by the advent of Uber and Lyft. As Ashfaq Shah, the president of Global Express Limousine put it, “business got slashed another 25 percent”. Now in 2015, the limousine industry is both resurgent and different from what it was in 2007. The average industry profit margin is back to 2007 levels, and up 11% from 2012. Can this be solely due to the fact that people now have more disposable income, or has the limo industry adapted itself to the current economic environment?
According to LCT, one quarter of limousine companies now have a branded mobile app. Global Express introduced a mobile app, within 40 days they had racked up $250,000 in business. The use of social media for client interaction and promotions is up across the board. A lot of limo companies have had to shift their business models to compete in this current economic climate. Overall this is great for the consumer, competitive pricing means that more people can experience riding in luxury to a special event. Not only are limo companies changing, the client base is also showing signs of change. The percentage of client types has seen a shift towards the corporate and professional realm; 61% in 2012, 65% in 2013. A lot of the time corporate events require the type of transportation that Uber and Lyft can’t provide. Most importantly, executives do not wish to roll the dice on what kind of Uber driver they will get. The professionalism, discretion, and etiquette of professional limo drivers is frankly unmatched when compared to Uber. In the end, the limo industry is changing and becoming more competitive. This means that more consumers can take advantage of a professional service for a more reasonable price. If it’s a special occasion don’t gamble with transportation, go with JOJO LIMO… go with the professionals.