# X/XL rate minimums just implemented for my area



## u-Boater (Oct 27, 2014)

With all the justified pessimism floating around this forum I figured why not drop by with some good news? uBer just implemented minimum base rates for my area... $10 for X & $15 for XL. That's more like it, thank you uBer. Next order of business... how about adding that much desired tip function to the platform?


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## chi1cabby (May 28, 2014)

u-Boater said:


> uBer just implemented minimum base rates for my area... $10 for X & $15 for XL.


Source please. I'm sceptical to say the least. And frankly surprised that no one else has posted on this thread.


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## UberXinSoFlo (Jan 26, 2015)

Each market has their own min. fares. Currently $4 in the Miami market, down from $5 prior to the recent cut.


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## u-Boater (Oct 27, 2014)

chi1cabby said:


> Source please. I'm sceptical to say the least. And frankly surprised that no one else has posted on this thread.


Why would you be skeptical? uBer is currently in land grab, rider trial and driver evaluation mode. Rates & minimums are gonna go back up everywhere eventually. I bet a tip function is on the way soon as well. Also, remember I'm in Colorado... the most rideshare-friendly state in the union. Any new changes may just happen here first. From the email uBer sent me:

*"Welcome to the Uber Weekend Update! *With the Big Game on Sunday and tons of winter events throughout Colorado, you can expect demand to be off the charts.

*Uber Fare Update* No two rides are created equal, so starting today the minimum fare for all uberX and uberXL rides will be:

*uberX - $10.00, uberXL - $15.00 *

*Base fare, time, and distance will still be the same and each ride will have a $1.00 safe rides fee.

Remember - be sure you have your Uber "U" sign whenever you're online. The decal should be placed on your front windshield on the passenger side."
*


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## UberXinSoFlo (Jan 26, 2015)

u-Boater said:


> With all the justified pessimism floating around this forum...





u-Boater said:


> Why would you be skeptical?


I think you answered your own question there  lol

But that's awesome for you guys, congrats! Hopefully we will see that trend spread. I would be happy to see that min fare, even without a rate increase.


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## chi1cabby (May 28, 2014)

u-Boater said:


> *so starting today* the minimum fare for all uberX and uberXL rides will be:
> 
> *uberX - $10.00, uberXL - $15.00 *


The website & the Rider App in Denver is quoting old minimum fares.
https://www.uber.com/cities/denver
Am I looking at the right market in Colorado?


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## u-Boater (Oct 27, 2014)

UberXinSoFlo said:


> I think you answered your own question there  lol
> 
> But that's awesome for you guys, congrats! Hopefully we will see that trend spread. I would be happy to see that min fare, even without a rate increase.


Lol good point


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## Chicago-uber (Jun 18, 2014)

Ha. In Chicago 75% of rides are under $10. I would love $10 minimum here.


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## u-Boater (Oct 27, 2014)

chi1cabby said:


> The website & the Rider App in Denver is quoting old minimum fares.
> https://www.uber.com/cities/denver
> Am I looking at the right market in Colorado?


Try moving that pin uphill a bit


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## u-Boater (Oct 27, 2014)

Chicago-uber said:


> Ha. In Chicago 75% of rides are under $10. I would love $10 minimum here.


That was my hope in posting here. Start hounding your local uBer office to do the right thing. A $10 or $15 minimum fare is fair for any market here in the U.S.


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## Fauxknight (Aug 12, 2014)

After a crazy weekend so far I've taken it light today and have only done 4 rides:

1. $9.95
2. $4
3. $4
4. $4

I would friggin' kill for a $10 minimum.


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## u-Boater (Oct 27, 2014)

Fauxknight said:


> After a crazy weekend so far I've taken it light today and have only done 4 rides:
> 
> 1. $9.95
> 2. $4
> ...


Yep, more responses like this. Keep 'em coming. A $10 minimum is not much to ask for and would give drivers incentive to go online... even during non-peak times.


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## Luberon (Nov 24, 2014)

Are you sure your Uber rep is not under the influence of some "legalized" _Alien dawg_ .... ?
Well, congratulations for being the "positive control" in Travis fare experiments, and enjoy while it lasts.


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## UberXTampa (Nov 20, 2014)

This minimum fare is higher than 70 % of my current fares. A positive move.


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## Luberon (Nov 24, 2014)

Oooh Colorado! Big brother's "*math department*" loves you
https://uberpeople.net/threads/a-must-read-for-all-drivers-ubers-new-big-hairy-audacious-goal.12890/


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## u-Boater (Oct 27, 2014)

Luberon said:


> Oooh Colorado! Big brother's "*math department*" loves you
> https://uberpeople.net/threads/a-must-read-for-all-drivers-ubers-new-big-hairy-audacious-goal.12890/


I'm struggling to comprehend how your comment and referenced article has any relevance to this post? uBer simply bumped up the minimum fare in a small market. If that's part of a greater scheme hatched by uBer then fine by me... so long as I'm getting fairly compensated for my time and service.


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## UberXinSoFlo (Jan 26, 2015)

Luberon said:


> Oooh Colorado! Big brother's "*math department*" loves you
> https://uberpeople.net/threads/a-must-read-for-all-drivers-ubers-new-big-hairy-audacious-goal.12890/


By my understanding, this article explains the exact opposite of what is occurring. The term that really strikes me is "forward investing". Which is described as uber operating at a loss in order to obtain market share, drivers are making more than paxs pay.

In u-Boater's market uber is raising the min fare. This increases what paxs pay, essentially decreasing their market share, while increasing what drivers earn.

Sounds like to me, since you are in a small market, that they are testing it to see if it can support itself (not operate at a loss). If it is unable to, they may just drop it or at least they just don't see the value of "forward investing" in it.


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## Luberon (Nov 24, 2014)

UberXinSoFlo said:


> By my understanding, this article explains the exact opposite of what is occurring. The term that really strikes me is "forward investing". Which is described as uber operating at a loss in order to obtain market share, drivers are making more than paxs pay.
> 
> In u-Boater's market uber is raising the min fare. This increases what paxs pay, essentially decreasing their market share, while increasing what drivers earn.
> 
> Sounds like to me, since you are in a small market, that they are testing it to see if it can support itself (not operate at a loss). If it is unable to, they may just drop it or at least they just don't see the value of "forward investing" in it.


Yes, Travis tanked rates everywhere except Colorado. For every "experiment" those math geeks would love to have a "control" a situation where fares were raised instead of lowered to see how those algorithms and models work in the reverse situation.
Uber feeds us drivers with horses#*t but their nerds are no fools. They do real world social experiments with all of us (riders and drivers) as guinea pigs.

_"CONTROL: verb (used with object), controlled, controlling.
3.* to test or verify (a scientific experiment) by a parallel experiment* or other standard of comparison."_


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## u-Boater (Oct 27, 2014)

Luberon said:


> Yes, Travis tanked rates everywhere except Colorado.


Wrong. Colorado X rates are $.95 / mile & $.16 / minute. I'd say that's pretty tanked. My post specified that uBer simply raised the minimum X & XL fare in a small market within CO... nothing to do with the rate. The point is that this a positive step in the right direction.


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## UberXinSoFlo (Jan 26, 2015)

u-Boater said:


> Also, remember I'm in Colorado... the most rideshare-friendly state in the union.


On second thought, this could make sense. In other states they are battling hard with the cities/counties/state governments and claim they are slashing prices to increase market share. Maybe it isn't so much of increasing revenue, but rather increasing the number of people that try/enjoy the service and make it even tougher for politicians to ban it. I know that's the only reason it isn't banned in Palm beach, FL, it would be political suicide to really, truly ban it. So maybe when policy starts to favor uber they will do the capitalistic thing and jack up the rates. This is with the assumption that Colorado is the nicest to uber, but I have no idea what it's like city-to-city.


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## Luberon (Nov 24, 2014)

u-Boater said:


> Wrong. Colorado X rates are $.95 / mile & $.16 / minute. I'd say that's pretty tanked. My post specified that uBer simply raised the minimum X & XL fare in a small market within CO... nothing to do with the rate. The point is that this a positive step in the right direction.


Question is why would Uber raise minimum fares, effectively raising net cost to rider in one corner of Colorado? How does that fit in to their stated long term objectives of cheaper rides, market domination and capacity utilization (aka perpetual ride). Possible explanations could be either:
1. Uber loves the drivers in that market so much that it is giving them a minimum fare mot of us will kill for..... unlikely
2. Uber is concerned with disenfranchised drivers and is considering raising the minimum fare as a way to jack up driver revenue while maintaining the _appearance_ of 20-40% discount they advertised. They maybe starting with a small market and expand if they like the results
3. Uber is in 144 North American cities and are able to set rates as they wish. They have the capacity to play around and experiment with different rates and fare schedules in different cities just to arm themselves with the data in case some day they are forced by market or regulatory forces to jack up rates.
4. @Uxinsoflo brought an interesting perspective 
_"In other states they are battling hard with the cities/counties/state governments and claim they are slashing prices to increase market share. Maybe it isn't so much of increasing revenue, but rather increasing the number of people that try/enjoy the service and make it even tougher for politicians to ban it. I know that's the only reason it isn't banned in Palm beach, FL, it would be political suicide to really, truly ban it. So maybe when policy starts to favor uber they will do the capitalistic thing and jack up the rates. This is with the assumption that Colorado is the nicest to uber, but I have no idea what it's like city-to-city."
_
I dont intend to poop on your happy thread just trying to put it all in perspective of what we already know about uber


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