# Flat surge rides where uber loses money



## DrSavelli (Aug 24, 2016)

Seeing screenshots of flat surge rides, where Uber ends up negative. How is this happening? Uber is trying to stem the losses I thought? 
Attached is one from my market. The flat surge was $7.75


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## ZenUber (Feb 11, 2019)

I think that’s what they call a unicorn


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## DrSavelli (Aug 24, 2016)

Looks like Uber loses money on short trips, and makes up for it on long trips by manipulating the "surge adjustment" amount. My theory.


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## ZenUber (Feb 11, 2019)

They gather up all the incoming money in a big pile, and then pay it out by an unrelated set of rules. If the money runs out - your in the red. It’s the same method my 6 year old uses to manage his allowance.


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## CincyHop (Feb 27, 2018)

Because you picked up the $7.75 sticky surge an the pax was not in any surge zone. You keep the surge regardless of what the pax paid, hence the negative Uber amount.


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## W00dbutcher (Jan 14, 2019)

Had several of these the last few days. 4 I think so far. You can bet that won't go on for to long before they find a way to lower the rates even more.


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## Mike-CMH (Sep 19, 2016)

Uber and Lyft is sending out a lot of discount coupons as they near their IPO. I wonder if some of the negative amounts was because they had a discount, but doesn't show it on your end.


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## IUberGR (Jan 2, 2016)

DrSavelli said:


> Seeing screenshots of flat surge rides, where Uber ends up negative. How is this happening? Uber is trying to stem the losses I thought?
> Attached is one from my market. The flat surge was $7.75


I drove one night under the new flat surge plan. My last. Based on my 18 rides they do makes a little less on the majority of rides, but on my two longest rides, with the highest surge, they took over 50%. Bumping the average rate overall (again, small sample) up to 32%.


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## DrSavelli (Aug 24, 2016)

Looks like Uber wins with those drivers who either dont care what the customer is being charged, are okay with whatever payout they receive on any given ride, or are not smart enough to crunch the numbers to see just how it all ends up. To Uber: drivers are in unlimited supply, easily replaced, and are increasingly desperate to make ANY extra money possible, to the point where they turn a blind eye to Uber's scheme.


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## Nobodyimportant (Mar 3, 2019)

DrSavelli said:


> Looks like Uber wins with those drivers who either dont care what the customer is being charged, are okay with whatever payout they receive on any given ride, or are not smart enough to crunch the numbers to see just how it all ends up. To Uber: drivers are in unlimited supply, easily replaced, and are increasingly desperate to make ANY extra money possible, to the point where they turn a blind eye to Uber's scheme.


I drive uberxl. I'll tell you cuz I know for a fact. Uber loses money on short uberx surge rides everytime. They barely cover they're booking fee most times. When It comes to uberxl, they make 50 to 60% of the fare on a quick surge ride. They're making it up with uberxl. That's how. I started a thread bout it earlier and now I'm the most hated man on UP. I drive in a college town where all rides are minimum so I have lots of comparative data. If your uberxl, look at the fare details and see. They are making it up on the backs of uberxl because now the surge is same dollar amount for uberx and uberxl but they charge the respecting surge multiplier for the service requested. Anyways this site is full of dumbasses so im not gonna restart this mess. I'm not recommending anything. But that's why. And yes, all my pickups were in the surge zone. I can definitely see how picking up outside the surge zone would cause the same. Uber would lose money on uberxl surges at that point as well. Sorry to hijack your thread cuz now a bunch of haters are gonna take the stage. Good luck.


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## DrSavelli (Aug 24, 2016)

I appreciate your opinion. I drive XL only as well, but in a rural, spread out area where all rides are at least a few miles. It's very rare to get a min fare ride. Our market has some of the highest rates in the entire US, but because of rising cost of living, severe housing crisis, proximity to another state which contains the closes international airport (so many dead miles), California turning the screws and allowing locals to become priced out...there are not many drivers, and I would never tell anyone to run their car into the ground for paycheck to paycheck wages. Even the XL rates here: $2.91/mile and $0.85/minute result in paycheck to paycheck earnings and no possible way to save up for income taxes due and eventual vehicle replacement after all the expenses and living costs.


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## Nobodyimportant (Mar 3, 2019)

In my market it isn't an opinion. I can send screenshots of ALL rides taken in one night and will show uber loses money with every one of my uberx rides but makes a big percentage on uberxl. Of course only surge rides apply. Without surge xl makes more where I am. I dont know bout your region. Just stating how it is in my region. I hope u figure it out. All I know is uber is not the same company they used to be. I'm on my 3rd year driving for them and i honestly loved working for them till recently. I have 4892 rides with a 4.92 rating and the they keep taking more from me. So loyalty does not pay in this company. Good luck with your future. I really mean that. Some people on this site is so hateful they can't see anything but red.


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## TomTheAnt (Jan 1, 2019)

CincyHop said:


> Because you picked up the $7.75 sticky surge an the pax was not in any surge zone.


Uber lost 4-6 bucks on my two last surge rides Saturday night with both me and the pax being in the same surge zone, so it doesn't have to be the way you describe I guess...


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## Rich2nyce (Jan 25, 2016)

Uber nor lyft is not losing money just because your trip earnings show a negative. They lose money in lawsuits, operational cost, research and development etc. Sticky surge isn't hurting them one bit. If you believe a business operates giving out it's own losses you're dreaming. Both companies would have killed bonus/surge completely long time ago.


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