Uber have just advised all their drivers that they are trialling a 20% reduction in uberX prices effective tomorrow (6am, Friday 19th February) in Brisbane and Gold Coast.
That's going to make UberX fares less than half the cost of a taxi.
The deal lasts for one month during the trial period. Existing uber users will notice the lower prices effective tomorrow.
Enjoy your cheap ubering!
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I pasted a copy of an email below.
Besides, the proof will be in the pudding 6am tomorrow :)
The proof in the pudding is in the eating.
Looks like we have identified our local OzB taxi driver.
Forums?
Email sent to all drivers today - I was forwarded a copy:
UBER
NEW UBERX PRICES AND GUARANTEED EARNINGS STARTING FRIDAY MORNING
At Uber we’re always experimenting with new ways to offer riders more affordable and reliable ways to get from A to B, while keeping driver-partners busy to help maximise their earnings.
This Friday, we will begin trialling a 20% reduction in uberX prices* to get more riders on the road taking more trips, which in turn should increase the hourly earnings of driver-partners.
When Uber reduced uberX prices in Perth and Melbourne last year, demand for rides increased and driver-partners spent less time online waiting for trip requests. Instead, they spent more time on trips, making more money. Hourly earnings went up, and we expect that to happen again.
[rsz_screen_shot_2016-02-18_at_64604]
WE BELIEVE IN THIS AND WILL GUARANTEE IT!
While word spreads that uberX is even more affordable than before, from 6am on the 19th of February until 6am on the 18th of March (local time), we’re guaranteeing gross hourly earnings during the busiest hours each week in core operating areas, as set out below. We’ve got your back.
[rsz_brisbane_incentives_2]
Chart indicates gross hourly earnings (i.e. prior to the payment of Uber’s service fee). To qualify, driver-partners must maintain an 80% acceptance rate, 4.6 star rating and >60% of the online time must be spent within the core operating areas. View the core operating areas for Brisbane and the Gold Coast.
WHAT DOES THIS MEAN FOR YOU?
Uber_Miami_Driver-Infographic_Digital_r1
[screenshot]
If you have any questions we're here to help. Just visit us at help.uber.com
See you on the road,
The Uber Team
*These changes apply to uberX and uberASSIST only. UberSELECT costs are not being adjusted.
Rasier Pacific VOF
Vijzelstraat 68,1017 HL Amsterdam
Get Help View Online Unsubscribe
lol there will be only riders available, no more uber drivers to drive
So based on time and KM, A trip from Brisbane CBD to the airport:
Taxi (today): $42.00
Uber (today): $24.00
Uber as of tomorrow: $19.00
If that's true, all those drivers won't be able to make a living…especially given that they can't pick anyone up from the airport, so have return empty…
Since when can they not pick people up from the Airport… I have taken Uber from the Airport. There are limits to the pick up area is all.
In Melbourne they can't. Maybe we are special.
@oleglap: LOL just reposition the map to the Tullamarine freeway near the Airport and once you get the no ask the driver to pick u up from McDonalds, they are always lurking around the McDonalds or the 1st entry/exit from Tulla. Such a shame that 90% of the people are not aware of this !
We can pick up from the airport. We just get placed in a queue and whichever uber driver has been there the longest gets it first.
Cheers mate, got me a load of likes in my uni college's Facebook group - nothing better to a poor student than a cheaper ride home after a night on the piss haha
drunk girls are cheap entertainment
There's always a bit in the piggybank for piss and rides home after being on said piss
Goon is cheaper than water nowadays.
I don't mind paying (some) surge because I use Uber for the convenience. If they're cutting fares 20%, I expect fewer drivers on the road and longer wait times.
If you read the email above you'd see that Uber expect hourly earnings of drivers to increase, as they will be making more trips an hour. They are even guaranteeing drivers gross hourly earnings to ensure they prevent what you stated from happening.
They're only guaranteeing certain zones and times.
Most casual drivers will stay offline now in the suburbs. Longer wait times outside of the CBD etc
Sitting at home with Australia's favourite air
I would think drivers would care more about Net hourly income, not gross. more trips equals higher costs so you need a much higher gross to maintain the same net income. however Uber themselves will do better.
If the lower fare causes greater demand it might increase the amount of trips a driver can make. I guess the whole point of trialling it is to see whether it makes drivers and riders better off.
Please be nice to your drivers alot aren't happy about this change :/
This is terrible for drivers. Will barely cover costs.
How much do they get paid?
How so?
Wouldn't this mean more work for drivers?
They lose money on every trip, but don't worry they make it up in volume
No. It's pure marketing spin towards the drivers. Any gains will be well under the 20% drivers are missing out on. Once markets start to saturate with drivers, Uber drop prices. Some drivers leave but more are continually signing up. Uber is trying to find the bottom dollar of the driver market so they can slowly take over the taxi industry. It's a long term plan to gain control of the market.
Exactly
you summed it up perfectly..
Our fav Uber will eventually hit a stage where equilibrium push prices up or down.
Whilst I agree that is true, I'm not sure it will be a bad thing.
A legacy, inefficient industry shouldn't need protecting
However we also don't want a monopoly.
Clear rules/legislation will bring in competition to uber
Companies such as lyft, grabtaxi are already getting traction overseas
We need 3 or 4 major players in Australia offering this service to ensure a fair market price (for both driver and consumer)
It might end up that uber are the cheapest but if you have to wait 15%, you choose a competitor who has a driver around the corner
drivers don't seem to be too impressed: http://www.couriermail.com.au/news/queensland/uber-drivers-t…
What drivers need to understand by working for Uber you're just a number that can be replaced. Uber is ruthless and they will do whatever to gain the market share they want.
@GameChanger: Why why why don't folk in Oz get together and make their own App and fire ahead. Make it community based so not having to forward profit % to corporates like Uber. I would suggest making costs based on point to point or as the crow flies rather than worrying passengers they are being ripped off. Lots of unemployed esp in regional areas want to pick up even $50 or $100 each week extra to help pay for their baked beans. Surely as App like Uber uses isnt that hard and connect with banking accounts etc.
@Maccadoodle: It needs to have a profit % to pay for the fines they're giving drivers that uber is paying.
@Maccadoodle: yeah apps are cheap to make and hosting is free, and marketing doesn't cost anything and dealing with lobbying governments to ensure that they dont want to tax you or your drivers.
why dont we just create a new currency while we are at it!
@Maccadoodle: Its a tad bit more complicated then that and you would still need at least 2 full time people to ensure everything runs smoothly. But its a good idea, that can be implemented but will take lots of time and money for one person.
@realfancyman: Hey thanks Fancy. I shall investigate. Uber had the financial muscle to intimidate the pollies & cartels so good for them.(Shame on the pollies protecting closed shop industry)
I just think drivers could keep more profits and company or cooperatives earnings would stay in Oz. With deregulation now in NSW it should be just a question of Having a suitable App with bank backing. If you sold service on a point to point ride cost with no gouging for busy times then I think it would be popular. Uber may have the international swagger but with big profit driven structures opportunities exist to undercut and expand.
@GameChanger: Yes I appreciate that but big potential to take off if folk know fares are constant & good value and they are not being ripped off by charging based on route Km's. Scenic route or most direct same price. We dont have Uber coverage in Port Macquarie NSW yet but I know plenty of hire car drivers looking at establishing their own more refined websites and ability to take credit on the run. Yes the more the merrier, more practical and makes the enterprise more viable. How many cabs did Uber start with I wonder? But then I guess they had plenty of $$ backing so that helps. They have prepared the way and customers have this new mindset so time to take advantage
Uber should cut on their on skin as well and slash a bit of their own 20% commission instead of applying it all over the drivers. Yes, they will make more per hour, but maintenance costs will raise with more rides
What Uber drivers (the one's who are complaining) first need to understand is, it is a ride-sharing service. Ride-Sharing, not your full time job.
If you are going to depend on uber to sustain your day to day living, and then complain about 10% gst, 20% uber commission and 30% business tax, there's no one to blame but yourself. You are better than driving your car to make a living.
Use uber the way it should be meant to be driven, a ride-sharing service where you help others along your route to hop-in/hop-out to reduce congestion on the roads while also making a bit of coin on the side, not a full blown taxi rank.
P.S: I'm a registered uber driver. Unfortunately uber has a monopoly on the market at the moment so we can't complain too much either. I'm waiting for the day lyft enters the market and makes it more competetive. Even as a driver, I find the Uber Partner app annoying. The app features lean towards Uber and doesn't help the driver much at all. I'd like to see an app where the driver can state that they are only wiling to travel 'x'km in their current radius. That they're only willing to be "online" for another 'x' mins and not 'x+20'.
Mate you must get lucky with your jobs if you are simply helping others 'along your route'. All my jobs take me all over the city (sometimes to another city!) ;)
And I am pretty sure with the introduction of uber it has slightly increased the congestion. Open your rider app at any given time and you will see just how many uber cars are driving around that wouldn't be there otherwise.
Your post really made no sense.
P.S: And you can just close the app when you don't want any more work. Finish your current fare and log out. Go home. Simple.
I don't think you quite understood my post. Probably 'along the route' wasn't the right term there, but I believe uber should only be used (in an ideal situation) when one really has nothing to do on a weeknight/weekend or if you were driving anyway to pickup groceries and you were by yourself with no time constraints, then sure go online and try to make a bit of money dropping people off.
And yes, increasing congestion of the roads, I wouldn't know if it has increased congestion on the roads, but if it has then well, Uber is really trying to convince the govt saying they are decreasing congestion on roads aren't they? And yes, I do know how many uber cars are there usually on the roads, but as a % it's still a fraction and can't be considered as increase in numbers on the roads. I'm sure a lot of people don't drive knowing uber is cheap enough to ride them back home.
Hey, there are happy uber drivers and apparently 'unhappy' uber drivers… for me it's just a way to make income out of my empty seats in the car while I am not time-constrained in my daily chores.
Well I have a full time job. I just drive when I have nothing to do at night sometimes. But this price decrease makes me not want to drive at all.. Which is a shame because now people will have to wait longer for uber and also have a higher chance of paying a surge price because there are now less drivers on the road.
I'm not sure if uber was trying to convince the government that it would decrease congestion. But yes a lot of people won't take their own cars because uber is cheap enough, but that still means there are more cars on the road then before uber was introduced due to drivers either aimlessly driving around, chasing surges, driving to a job, or they have a current fare.
Sure you can log in to uber while you out driving to get groceries or doing daily chores. But you never know where the fare will take you. Good luck getting your chores done when you duck out to the shops and end up getting a job to the airport or even another city. And then what? Drive back to do your shopping without a fare onboard because you have to get pretty damn lucky if you pick up someone where you dropped them off and they are heading to the same shops as you.
I do agree, that another app/company would be perfect if you could log in and say i'm going to point X and if someone along the way wants to go to that area too they can book you and jump in. But that app (to my knowledge) doesn't exist. With uber you never know where you next fare will take you.
@jdogg: Agree with most of your comments there, imo there's a lot more Uber can do (ride sharing like in the US, giving drivers control of passenger destinations, maximum amount of passengers available to take in a car) but their business model at the moment is lopsided with maximum benefits to them and drivers getting left over crisps.
Funny, just got a sms then saying I haven't logged online for 21 days and they are threatening to cancel my account for 'privacy' reasons.
@aurotaro: Have a look at Uber's hiring policy for the office jobs; nearly all the people come from a financial/analytical background. The future of full time drivers is dead as long as there is enough people who want to be a Uber driver for extra money. Under the old taxi system making $50k a year was so easy but under Uber I say good luck in the next 5 years. Uber will only raise prices if their models show more money for them or if the number drivers drop.
With Uber rates already so low, drivers are already leaving , which will make time waiting for a ride that much longer,
Supply and demand, if too many drivers leaves, rates will increase I guess.
are uber reducing their cut so the drivers can still make a profit. it will be getting close to not worth driving for them.
A bit of an update re competition for the mighty Uber. Rates dont seem all that better for passengers. I reckon you could go better with crowd owned App.
GoCar to take on Uber, taxi industry in Australia
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[Deactivated] on 18/02/2016 - 16:03 Comment score below threshold.