# 2017 Rate Cuts



## kaigor (Aug 28, 2015)

Will it happen this year in January? We've seen rate cuts the past 3 years in January but rates are already so low. What do you guys think, will we see another round of rate cuts in a couple months?


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## DocT (Jul 16, 2015)

Of course the rates will be slashed again. Nothing will stop new drivers from signing up and take the place of those who quit.


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## Katy Kid (Nov 14, 2016)

What we all ought to do is this - Everyone on the forum plan NOT to drive for Uber on one of their busiest nights of the year. Get a common date on which most can agree and stay home all day and night for 24 hours.


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## renbutler (Jul 25, 2015)

Katy Kid said:


> What we all ought to do is this - Everyone on the forum plan NOT to drive for Uber on one of their busiest nights of the year. Get a common date on which most can agree and stay home all day and night for 24 hours.


Yes, please do that. The other 99% of drivers might get a few more surges.


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## Wardell Curry (Jul 9, 2016)

This is like prisoner's dilemna. What can I do to maximize my utility given that I dont know what others will do. If we all agree not to go out, how can I verify that everyone stays true to their word. In this case I will go out because not doing would be irrational.


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## kaigor (Aug 28, 2015)

Wardell Curry said:


> This is like prisoner's dilemna. What can I do to maximize my utility given that I dont know what others will do. If we all agree not to go out, how can I verify that everyone stays true to their word. In this case I will go out because not doing would be irrational.


You just made a super confusing post which tried to draw on aspects of utilitarianism and basic principles of economics that the average Uber driver wouldn't understand. Simply put, Katy's idea wouldn't work because most Uber drivers have zero visibility into this forum, nor would they care about what your silly initiatives are.

So back on topic... will we see a rate decrease?


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## Wizar (Apr 12, 2016)

kaigor said:


> You just made a super confusing post which tried to draw on aspects of utilitarianism and basic principles of economics that the average Uber driver wouldn't understand. Simply put, Katy's idea wouldn't work because most Uber drivers have zero visibility into this forum, nor would they care about what your silly initiatives are.
> 
> So back on topic... will we see a rate decrease?


There are not only economic factors in this equation, you also have health and traffic stress Combined with low wages, it's almost impossible to retain drivers without the constant baiting


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## Mountainsoloist (Nov 16, 2015)

I've seen Uber's impressive research on this matter. Unlabeled bar graphs go up and up as rates go down. While you may make less money on each trip, you can make many more trips per hour, thus earning life changing money. Imagine if you will, instead of making three $20 net fares in an hour you can make thirty $3 fares. As you can see by this real world example, Uber is actually giving us a raise by slashing our rates without our consent.


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## gonchys (Nov 16, 2016)

More Surge Price we need !!!!!!!!!!!!!!!!! Less than 2.1x is bullshit!!!!


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## Peanut hello (Sep 19, 2016)

kaigor said:


> Will it happen this year in January? We've seen rate cuts the past 3 years in January but rates are already so low. What do you guys think, will we see another round of rate cuts in a couple months?


The main reason of the rate cut is to bring more pax, and it seems working.as long as the ants still driving.


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## freddieman (Oct 24, 2016)

Mountainsoloist said:


> I've seen Uber's impressive research on this matter. Unlabeled bar graphs go up and up as rates go down. While you may make less money on each trip, you can make many more trips per hour, thus earning life changing money. Imagine if you will, instead of making three $20 net fares in an hour you can make thirty $3 fares. As you can see by this real world example, Uber is actually giving us a raise by slashing our rates without our consent.


never thought of that way.......hmmmmmm. LOL.


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## Shangsta (Aug 15, 2016)

Katy Kid said:


> What we all ought to do is this - Everyone on the forum plan NOT to drive for Uber on one of their busiest nights of the year. Get a common date on which most can agree and stay home all day and night for 24 hours.


Lol scabs would see the surge and hop online.


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## Buddywannaride (Aug 1, 2016)

Mountainsoloist said:


> I've seen Uber's impressive research on this matter. Unlabeled bar graphs go up and up as rates go down. While you may make less money on each trip, you can make many more trips per hour, thus earning life changing money. Imagine if you will, instead of making three $20 net fares in an hour you can make thirty $3 fares. As you can see by this real world example, Uber is actually giving us a raise by slashing our rates without our consent.


It's not possible to do 30 rides in an hour. Plus more work is more gas, more wear and tear, less earnings.


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## Jimmy Bernat (Apr 12, 2016)

Sound alike Uber plans to raise rates but cut down on driver incentives


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## Buddywannaride (Aug 1, 2016)

Jimmy Bernat said:


> Sound alike Uber plans to raise rates but cut down on driver incentives


Where are you hearing that from ?


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## Jimmy Bernat (Apr 12, 2016)

Buddywannaride said:


> Where are you hearing that from ?


http://www.firstpost.com/business/b...ways-to-drive-into-profitability-3058290.html

http://economictimes.indiatimes.com...ncentives-to-drivers/articleshow/54906937.cms

Obviously these are just internet stories but from an economical stand point it makes sense. Lower rates as low as you can then implement something that doesn't even show the pax what the rate actually is , just a price , then raise the rates .

Also these tactics are in another country but I could see them coming to America. Once you hook your customers on your product you can raise the price . Now I now a lot of drivers work solely for incentives , I've never really caught them as appealing to the way I work . Having to keep an acceptance rate, work during designated hours and all for $18-$30 an hour before fees (that's $13.50-$22.50 after 25% fees which most drivers are on) if you can't average $22 an hour net without those restrictions you're not doing this job right .

I almost never drive UberX unless surge is at least 1.5X but if they just made the rates say $1.35 mile / .20 a minute (my market is currently $1/.13) I would have no problem driving UberX more often . I work days mostly select only so I rarely see surge rides but I know a raised rate would cut down on surge (not that it surges much anyway ) They have raised the minimum fare in my market twice since I started in February my pay out started at $2.25 then $3 and now a minimum fare is a net of $3.75 . They also raised fares 10 cents in Boulder (College Town 25 miles north of Denver ) about 4 months ago

I hope I'm not wrong but I think 2017 will bring a raise in rates , or maybe I'm being to hopefully lol

I think where they really need to look is the per minute rate right now is a complete joke. If a ride takes an extra 30 minutes because of traffic you're only going to make an extra $3 (in denver market 13 cents a minute)


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## Buddywannaride (Aug 1, 2016)

I think higher rates would only help drivers. Uber wants to help themselves. They're already pocketing 100 percent on any overage on the upfront fare. So in a sense they raised rates (albeit without transparency). Any raise to the per mile rate will only cut into the overcharge- less money for Uber. I just don't see it happening.


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## Jimmy Bernat (Apr 12, 2016)

Buddywannaride said:


> I think higher rates would only help drivers. Uber wants to help themselves. They're already pocketing 100 percent on any overage on the upfront fare. So in a sense they raised rates (albeit without transparency). Any raise to the per mile rate will only cut into the overcharge- less money for Uber. I just don't see it happening.


Higher rates give them more profit too , passengers aren't going to stop using the service be cause they raise the rates a quarter a mile 95% of them probably wouldn't even notice. I know almost nobody noticed the minimum fare increases or the rate cuts in January . Now with upfront pricing they would really not notice

Also if you know you're area really well you can make it out to where Uber makes less then 20% off of you on almost every long trip . My main work is transporting people from Downtown to the Airport (roughly 25 miles) I take a route 90% of the time that adds 6 miles to the trip but either saves time or at worse case scenario adds 3 minutes . But it's a pleasant drive no stop and go traffic no smell dog food factory and a smooth road with 75mph speed limits . Whenever I know I'm taking a ride to the airport I do a fare check from my rider app , I've also had riders tell me what they're upfront price was . Most the time my routes net pay is only showing uber getting about 10% sometimes even less and customers love the route and ask me about it .

My Wife and I went to the airport recently and I knew the route they charged me for but I specifically asked the driver to take the longer route and told him my experiment . I wanted to make sure the passenger wasn't getting uncharged later for the longer route and sure enough my ride price didn't change and my Uber Select driver made an extra $12 . It was very early so this ride actually probably took about 2 or 3 minutes longer but who is gonna notice 2 or 3 minutes ?

Everytime I get an uber rider I look at the 3 recommended routes and take the longest one as long as it doesn't add more then a couple minutes to the trip . I've never been flagged for navigation and I've never heard a complaint


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## Txchick (Nov 25, 2014)

kaigor said:


> Will it happen this year in January? We've seen rate cuts the past 3 years in January but rates are already so low. What do you guys think, will we see another round of rate cuts in a couple months?


Drivers already received a rate cut with Uber's upfront pricing. http://www.wtae.com/article/it-s-de...rider-s-pockets-meant-for-the-drivers/8303314


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## Jimmy Bernat (Apr 12, 2016)

Txchick said:


> Drivers already received a rate cut with Uber's upfront pricing. http://www.wtae.com/article/it-s-de...rider-s-pockets-meant-for-the-drivers/8303314


Not all drivers if you're smart about your area you can cut Ubers commission without affecting the passenger experience


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## KMANDERSON (Jul 19, 2015)

Txchick said:


> Drivers already received a rate cut with Uber's upfront pricing. http://www.wtae.com/article/it-s-de...rider-s-pockets-meant-for-the-drivers/8303314


I see another lawsuit on the horizon.


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## Buddywannaride (Aug 1, 2016)

Yup. I've been watching this upfront fare disaster for two months. Drivers should get 75 percent of the fare. Period. I don't care what the per mile per minute is - Uber obviously stopped caring too. They just charge whatever.


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## Buddywannaride (Aug 1, 2016)

Txchick said:


> Drivers already received a rate cut with Uber's upfront pricing. http://www.wtae.com/article/it-s-de...rider-s-pockets-meant-for-the-drivers/8303314


Exactly. Uber doesn't charge per mile and per minute anymore. That's just how they determine driver pay. There is no damn transparency. How can a driver feel good about working for a sleazy company? I tell pax how it is and all drivers should too. Uber sucks.


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## Buddywannaride (Aug 1, 2016)

The driver makes only $5.50 from the $11.20 fare. I mean what a scam company Uber is! The driver is taking in less than 50 percent of the fare. Uber SUCKS


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## shiftydrake (Dec 12, 2015)

Buddywannaride said:


> The driver makes only $5.50 from the $11.20 fare. I mean what a scam company Uber is! The driver is taking in less than 50 percent of the fare. Uber SUCKS


But yet you keep logging in and chasing that next ping


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## Buddywannaride (Aug 1, 2016)

Logging into Uber less and less. And I always tell the passengers the way it is: Uber is a scam, greedy company


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