# UberX Prices Cut by 33% in NYC



## grams777 (Jun 13, 2014)

*UberX Prices Cut by 33% in NYC*


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https://www.reddit.com/r/uberdrivers/comments/2a1fbz

https://blog.uber.com/nyc/uberX-price-cut


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## Uber Driver 007 (Jun 17, 2014)

This is a low move because they didn't notify the drivers. They have lowered NJ rates as well.


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## Uber Driver 007 (Jun 17, 2014)

That's it. I'm no longer giving customers 10 minutes of free wait time on my (now 33% lower) dime. 5 minutes and I'm outta there.


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## grams777 (Jun 13, 2014)

Btw, UberX is commercially licensed/insured in NYC. UberX drivers put considerable time and expense to get started there.

The rates go from the top line to the third line. The second line is just a hypothetical if the old rates were using AND pricing. So compare the first and third line. The Uber mantra of a 20% cut appears to be a straw man comparison with the hypothetical 2nd line (which never existed).

I question how great this change is for drivers in NYC. The other images in the article tout how great this is and will increase driver fares per hour. These cuts are passed on to drivers unlike other areas recently.

So miles go from 3.00 to 2.15.

Also, the base drop is 50%, so more miles will need to be driven to get over the minimum.
The minimum drops 33% from $12 to $8.

In heavy stop and go traffic areas, the lower time rate will be brutal, almost cut in half. I recently drove in 15 minutes per block gridlock. Lower time rates are decimating in those circumstances. It gave me an appreciation for why that time rate needs to be high.

Given the cost of living in NYC, plus the commercial registration expenses, this is probably worse than $5 hustle rides elsewhere. Taxi rates in NYC are already low in comparison to the cost of living and other parts of the country. Same taxi rates in NYC as Nashville, TN.


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## grams777 (Jun 13, 2014)

Uber Driver 007 said:


> That's it. I'm no longer giving customers 10 minutes of free wait time on my (now 33% lower) dime. 5 minutes and I'm outta there.


Actually the time component is 47% less. (75 -> 40).


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## grams777 (Jun 13, 2014)

And from the Uber blog, the cut seems aimed at taxis:

We just dropped uberX fares by 20%, making it cheaper than a New York City taxi. From Brooklyn to the Bronx, and everywhere in between, uberX is now the most affordable ride in the city.
https://blog.uber.com/nyc/uberX-price-cut

At these rates, to still go through all the regulation, insurance, and licensing in NYC with UberX you might be better off with Black:


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## UberComic (Apr 17, 2014)

I feel bad for any of those guys who bought a car and got licensing just to do UberX. It's hard to take such a huge pay cut just because some $18 billion dollar company thinks it's cool.


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## grams777 (Jun 13, 2014)

UberComic said:


> I feel bad for any of those guys who bought a car and got licensing just to do UberX. It's hard to take such a huge pay cut just because some $18 billion dollar company thinks it's cool.


I wonder if this is a sign of things to come for UberX elsewhere. Get all your commercial licensing and registration but keep the same rates.

Do not ask for whom the bell tolls....


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## Uber Driver 007 (Jun 17, 2014)

I'm dumb founded by the fact they didn't even bother to inform the drivers.


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## Salthedriver (Jun 28, 2014)

Uber Driver 007 said:


> I'm dumb founded by the fact they didn't even bother to inform the drivers.


You make it sound like they care about us


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## Kiiing (Jul 7, 2014)

grams777 said:


> Btw, UberX is commercially licensed/insured in NYC. UberX drivers put considerable time and expense to get started there.
> 
> The rates go from the top line to the third line. The second line is just a hypothetical if the old rates were using AND pricing. So compare the first and third line. The Uber mantra of a 20% cut appears to be a straw man comparison with the hypothetical 2nd line (which never existed).
> 
> ...


This basically sums up everything I have to say. I just did the math on a $53 fare that I did. With the new rates it comes out to be $35. We have to work almost twice as hard to make the same money. Yeah, maybe it'll bring more business (thats a big maybe) and give us more rides, but at the cost of working more, spending more money on gas, and depreciating the value on our cars faster.


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## Just Some Guy (Jun 10, 2014)

Kiiing said:


> This basically sums up everything I have to say. I just did the math on a $53 fare that I did. With the new rates it comes out to be $35. We have to work almost twice as hard to make the same money. Yeah, maybe it'll bring more business (thats a big maybe) and give us more rides, but at the cost of working more, spending more money on gas, and depreciating the value on our cars faster.


It brings more business to Uber, not to the drivers. The number of rides we can do per hour isn't going to change, the only thing that changes is how much we can make in that time. I average two to three pings per hour. I have very little down time in Boston, and that's remained very consistent since last year (at least for the hours and nights that I work). The only thing that's changed is the rates have gone down, and there's way less surge. Which means I'm doing the same amount of work, but making half (or less) as much money.

But being a single father, every little bit helps, and I need the flexible schedule. If it wasn't for that, I would have quit by now.


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## Uber Driver 007 (Jun 17, 2014)

Can other NYC / NJ drivers confirm if they also did not receive any communication about this?


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## Kiiing (Jul 7, 2014)

Just Some Guy said:


> It brings more business to Uber, not to the drivers. The number of rides we can do per hour isn't going to change, the only thing that changes is how much we can make in that time. I average two to three pings per hour. I have very little down time in Boston, and that's remained very consistent since last year (at least for the hours and nights that I work). The only thing that's changed is the rates have gone down, and there's way less surge. Which means I'm doing the same amount of work, but making half (or less) as much money.
> 
> But being a single father, every little bit helps, and I need the flexible schedule. If it wasn't for that, I would have quit by now.


I hope this is only a "experiment" and not a permanent change. I think it's pretty ridiculous that Uber wants you have a prestine car, professional attire, water in the car, etc whilst getting paid such a low amount. I rather do low end car service. No rating system, no one cares if your car is clean, CASH meaning no one knows how much you made, you pay a weekly fee of like $75-$100 so, no percentages.


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## GhostDriver (Jun 26, 2014)

Uber Driver 007 said:


> Can other NYC / NJ drivers confirm if they also did not receive any communication about this?


I did receive notification through email. When I saw this I thought they had to be kidding. Well, I should have learned by now that they don't give a **** (pardon the rawness, but Uber makes me feel no less). As @Just Some Guy said, my brother told me the same when I mentioned what these ****ers did: There's going to be more business and money, but only for them, *NOT* for the drivers of BLACK or SUV.

Picture this: Where is the incentive for me as a customer to slide the picker from UBER X to UBER BLACK or UBER SUV (something that they have done very cumbersome with their latests update to the rider's app - I even had to tell some customers to cancel and re-request as SUV when the # of people exceeded the one allowed for BLACK), if my chances of getting a just as a nice ride and just as a clean and professional service for half of the price of an UBER BLACK ride?

This is my 4th week, but UBER is ****ing "getting under my skin" as some other driver said.

This is blood boiling at least...

For this reason we should tell all drivers we know who work for UBER to unite, to come to this forum, and, only if, we could get some organization and create an event for Uber to hear us, then they will see that their technology actually need the drivers for it to work!!!


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## UberComic (Apr 17, 2014)

Kiiing said:


> I hope this is only a "experiment" and not a permanent change.


The price cut with 5% commission in LA was supposed to be temporary. That was before they jacked commission back up to 20% and then lowered fares even more a month later. Add all that to the hundreds of extra drivers signing up every day, and UberX has become a bunch of broke people hogging up all the street parking waiting for $5 rides.


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## grams777 (Jun 13, 2014)

A report from the field:

"Reporting back: As suspected hourly rate has dropped. Before I was comfortably doing $35/h gross, now I'm pulling in $30 at best. What I used to book in 13-14 hours each day will now take around 16-17 hours."


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https://www.reddit.com/r/uberdrivers/comments/2a1fbz/_/cir7805

And as this poster indicated, Black rates were also adjusted (to a lower AND pricing instead of OR):

Before:








After:


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## remy (Apr 17, 2014)

I think Uber goal is to make everyone not use their personal car anymore hence fares will be so low that you don't need to walk anymore.


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## Kiiing (Jul 7, 2014)

Uber is on a power trip.


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## UberComic (Apr 17, 2014)

Had to take an Uber today from Sun Valley north of Burbank Airport to Vineland & Magnolia in North Hollywood. I would guess a normal fare on the driver's dashboard would be around $13-15 for such a trip. It came in at a cost of $9.20 to me with the 25% discount. If Uber decides to begin paying based on the lower fare in LA, I don't see how anyone can even come close to making a living doing this. 

The driver was a Chinese immigrant who had the cleanest Toyota Sienna mini van on the planet. He practically forced me to take a cold water, and even wiped off the condensation with a towel before handing it over. Gave him five stars.


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## Kiiing (Jul 7, 2014)

UberComic said:


> Had to take an Uber today from Sun Valley north of Burbank Airport to Vineland & Magnolia in North Hollywood. I would guess a normal fare on the driver's dashboard would be around $13-15 for such a trip. It came in at a cost of $9.20 to me with the 25% discount. If Uber decides to begin paying based on the lower fare in LA, I don't see how anyone can even come close to making a living doing this.
> 
> The driver was a Chinese immigrant who had the cleanest Toyota Sienna mini van on the planet. He practically forced me to take a cold water, and even wiped off the condensation with a towel before handing it over. Gave him five stars.


I would of hit em with a $5 tip, too.


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## AMBUDRIVER03 (Jul 1, 2014)

UberComic said:


> The price cut with 5% commission in LA was supposed to be temporary. That was before they jacked commission back up to 20% and then lowered fares even more a month later. Add all that to the hundreds of extra drivers signing up every day, and UberX has become a bunch of broke people hogging up all the street parking waiting for $5 rides.


This has been the most annoying part...

I started driving Uber in OC for $1.80/mi with $5 minimum with 20% commission.
(LA was 1.65)

Then in January they drop the rates by 40% to 1.25/mi with 5% commission...

Then in May they say they're losing money only charging 5%, so commissions go back up to 20% but to help make up for it, we'll give you an extra buck for every ride you give this summer... But keeping the rates super low "to keep up demand"

They're overdue for a bombshell announcement that affects the livelihood of every driver...


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## uberx2015 (Jul 2, 2014)

I'm going to wait until the winter to start driving for uber again,


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## UberPup (Aug 16, 2014)

Uber Driver 007 said:


> That's it. I'm no longer giving customers 10 minutes of free wait time on my (now 33% lower) dime. 5 minutes and I'm outta there.


That's what I have been doing in California. Taking the $5 no show fee.

Tired of waiting for people. Tired of people that don't know how to drop the pin and drop it 3 blocks from where they are at.

Take the $5.00 and run. It's better than the $4 minimum fair and no one has to get in your car.


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## KrisThuy (Aug 6, 2014)

UberPup said:


> That's what I have been doing in California. Taking the $5 no show fee.
> 
> Tired of waiting for people. Tired of people that don't know how to drop the pin and drop it 3 blocks from where they are at.
> 
> Take the $5.00 and run. It's better than the $4 minimum fair and no one has to get in your car.


but it does ruin ur rating right?
how do you exactly do it?


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## UberPup (Aug 16, 2014)

no it doesn't affect your rating.

When I arrive, I slide the button to say I have arrived.

I then send a text stating. Hello, this is xxxx from Uber. I am in the front, I am ready when you are.

It's a cut and paste.

The I wait 5 minutes from the time I sent the text.

If they don't show up I cancel the trip as a no show.

Bingo $5

Uber knows you're there based on your location to the pin.

They know how long you have been waiting there.

If it is an incorrect address, it's not your issue. It's the customers issue.

Cancelling it as a no show only counts against the customers account not yours.


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## Oc_DriverX (Apr 29, 2014)

UberPup said:


> no it doesn't affect your rating.
> 
> When I arrive, I slide the button to say I have arrived.
> 
> ...


I understand the reasoning and the sentiment. One question: on the FAQ reachable from the driver dashboard, it says that we need to wait 10 minutes. Do you know that you will get paid after 5 minutes? (assuming of course it is not a first to cancel in which case drivers are screwed)


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## AMBUDRIVER03 (Jul 1, 2014)

Personal experience, 5m and I'm out.

Before starting, if the address is unclear or seems incorrect (pin is dropped in the ocean) I send a text.



> It's ******* your uberX driver, the pickup location wasn't precise. Are you next to a specific business or a residence?





> It's ****** your uberX driver, can you confirm your pickup address/business name?


Upon arrival



> It's ****** your uberX driver, I'm out front. Black Volkswagen Passat #*******


I usually add the address I'm in front of, or if I'm parked close to their pickup location but unable to do a drive by I include my location "westbound 3rd at Fairfax parked on the street in front of rite aid" or something.

If after 3 mins no sign of pax, I call. 
At 4 minutes I call. 
At 5 minutes I call. 
At 6 minutes I cancel.

If they try to fight the cancellation fee, I have proof I texted and called 3 different times with no response.

For Uber black clients I wait the full 10 minutes and call a few more times before cancelling... Don't want to throw away a potentially lucrative fare being impatient.


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## AMBUDRIVER03 (Jul 1, 2014)

I must add, I'm also using Samsung phones, and can save my canned responses to the clipboard and then lock them for later usage.


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## UberHick (Aug 17, 2014)

All of these rate cuts have been craftly promoted as a summer special. I have been a driver in Houston for 4 months. I dont ever recall a "summer special" Uber is even fooling the public with the same puff BS. Ive seen this happen before. Say goodbye to a quality ride if a majority of the drivers are pissed. But im sure the high command is raising the profit margins for a over valuation. Will walk away with a fortune.


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## Just Some Guy (Jun 10, 2014)

UberPup said:


> That's what I have been doing in California. Taking the $5 no show fee.
> 
> Tired of waiting for people. Tired of people that don't know how to drop the pin and drop it 3 blocks from where they are at.
> 
> Take the $5.00 and run. It's better than the $4 minimum fair and no one has to get in your car.


Here it's a $10 fee for no show, but I find I only see it 10% of the time. I've overheard riders talking about how they just email and complain about it, and Uber waives the fee even if it's not their first. I've emailed complaining about not getting cancellation fees, and all I get is the canned response about giving them one for free...


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## UberPup (Aug 16, 2014)

Oc_DriverX said:


> I understand the reasoning and the sentiment. One question: on the FAQ reachable from the driver dashboard, it says that we need to wait 10 minutes. Do you know that you will get paid after 5 minutes? (assuming of course it is not a first to cancel in which case drivers are screwed)


Today, there was 1 I cancelled a little over 5 minutes and I got paid.

Not sure if I made it to an entire 10 minutes


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