The purpose of this analysis is to identify how the data differs by city type and how those differences can be used by decision-makers at PyBer. The generated data also shows the differences in Urban, Suburban and Rural city types, and how this impacts the fare amount and the revenue generated by drivers.
As shown below, there is a wide difference between the different city types:
The Urban area has more rides, total drivers, and total fares than the Suburban and Rural areas combined. Despite this, the Urban city type has the lowest average fare by ride and average fare per Driver out of the three city types. This could be explained by the availability of the ridesharing application in Urban and more concentrated areas, which makes ridesharing more popular and more available. In Suburban and Rural areas where the population is less concentrated, the total rides will decrease because fewer people will use ridesharing. As a result, the average fare price is likely to increase in Rural and Suburban city types.
Other factors to consider include the area density and other transportation methods in Rural areas. If ridesharing is not the main method used for transportation, and there are other ways of transportation such as trains, cars, and bicycles, ridesharing is likely to be less popular and will become an option left overlooked for a seemingly more used and popular transportation method.
Overall, the Urban city type has the highest total fare for different months of the year, followed by the Suburban city type and finally by the Rural city type, which has the lowest total fares for the months of the year.
The Urban city type is the most profitable of the three city types, despite having the lowest average fare per ride and average fare per Driver.
Based on the results above, three recommendations can be provided to the CEO:
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The creation of a marketing strategy to advertise ridesharing as an integral and important part to daily activities could increase PyBer’s popularity in Suburban and Rural areas and consequently reduce the disparity between the Urban city type and the Rural and Suburban city types.
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The different transportation methods in both the Suburban and Rural city types have to be researched to determine if the reason behind the lower number of total rides and therefore total fares is connected to the use of other transportation methods.
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The increase of the traveling route and areas covered in Suburban and Rural city types as well as providing adequate training to qualified drivers regarding safety and regulations, would provide more exposure to PyBer and maintain PyBer's quality standards that are followed in the Urban city type.