Can Uber Select Save Driver’s Income?
I received an email from a reader about a new class of service between uberX and Uber BLACK in Los Angeles and Orange County that is launching on October 15th, or sooner. It is called Uber Select and it is generally luxury cars with leather interiors or very nice cars that don’t currently qualify as Uber Black. They say that they are just testing out this service, but will be permanent depending on the demand.
As far as I know, there isn’t any plans for any of the Uber Cities to receive this service, but I can definitely see demand for this service. I think passengers would pay a bit more for a nicer car.
Here is the pricing of the new service:
|Base Fare||$ 0.80||$ 5.00||$ 8.00|
|Per Minute||$ 0.21||$ 0.40||$ 0.45|
|Per Mile||$ 1.10||$ 2.35||$ 3.55|
|Minimum Fare||$ 4.00||$ 10.00||$ 15.00|
|Cancellation Fee||$ 5.00||$ 10.00||$ 10.00|
|Safe Ride Fee||$ 1.00||$ 1.00||NA|
Can this save driver’s income?
Looking at the pricing structure of the chart, I believe this can easily boost drivers income and boost ROI (rate of investment) if drivers are thinking about getting a new car.
The minimum fare is $10, double that of uberX. Looking at the list of cars below, there are a few cars you can get for cheap to do Uber Select. Even figuring you should get something 2009 or newer so you can drive a few years on Uber Select, you can get much higher earnings without livery plates. Almost every rate is double and rate of depreciation for the cars on the list isn’t double that of the base uberX car. In some instances you can get close to even UberBlack earnings but without all of the costs of livery plates and insurance.
There is a good list of cars that qualify for this list so current drivers of these cars will benefit instantly from this (in LA/OC only at this time).
Who will this hurt the most?
This will invariably hurt UberBlack and UberSUV the most. This directly competes with UberBlack and a few cars UberSUV, even though a good chunk of the UberSUV market was reduced due to UberXL. There have been some comments I’ve seen online from UberBlack partners who are unhappy about increased competition on the uberBlack service. Some noted that they have stopped onboarding new drivers for UberBlack on the West Coast and this additional “service” may put the nail in the coffin for UberBlack/SUV drivers. There are some markets where there is only UberX and not UberBlack or UberSUV so it seems as if Uber is moving beyond UberBlack and SUV in terms of growth.
Will I qualify for Uber Select?
Take a look at the list below and see if you qualify!
Below is the requirements for Uber Select:
– 2007 or newer with four doors.
– Must have leather interior.
– No Taxi or Marked Vehicles.
– No weird colors (yellow, pink, neon blue, etc.).
– No salvage vehicles; must have a clean title.
– The driver’s FULL LEGAL NAME MUST be named on the insurance for the vehicle.
– All drivers must go through a full background check initiated by UBER.
*Note: UberLUX or UberBLACK vehicle models qualify for Uber Select
Acura RDX, RLX, TL, TLX, MDX
Audi A4, A5, Q3, Q5
BMW 3 Series, 4 Series, X1, X3, X4
Cadillac ATS, CTS, DTS, SRX
Hummer H2, H3
Hyundai Genesis, Equus
Infiniti EX, FX, G, JX, M, Q, QX
Land Rover Range Rover Evoque
Lexus ES, IS, RX
Lincoln MKT, MKS, MKX, MKZ, MKC, Town Car
Mercedes-Benz C-class, GLK-Class
Volvo S60, S80, XC60, XC70, XC90