As if we needed one more reason to avoid Uber, along comes holiday surge pricing. While holiday travel shows an increase in paid fare usage, Uber seems to have taken this as a sign to charge whatever they wish. It should be noted that Uber, as well as their competition, Lyft, did warn people of the surge pricing in advance in an online article. Obviously not everyone saw the article.
While Lyft caps its surge pricing charges at 400 percent, Uber has no caps. One problem with uncapped surge pricing: the charges are not consistent. For instance, two groups of people took Uber rides from the same location to the same destination. One driver charged $163, the other driver charged $89. One guy was charged $509 for a 20-mile trip.
After waking up to realize their bank accounts were much emptier than expected, many Twitter users took their frustrations to social media, calling Uber’s surge pricing unfair and unreasonable.
In San Francisco, most riders were apparently smart enough to leave Uber behind, as there were much better deals available. According to frustrated Uber drivers, the surge pricing contributed to lack of use of their overpriced service…surprise, right? The fact the Flywheel was offering $10 rides on New Years Eve potentially helped as well. While Uber and Lyft were trying to overcharge everyone, Flywheel was cutting a deal to help people out.
For a company that touts itself as a “cheaper alternative to cabs,” you may want to rethink that, especially anytime the company mentions “surge pricing.” Always have a plan before going out, because making decisions while inebriated can have very costly consequences, especially when dealing with Uber.
