Uber Fare Cuts in Phoenix, DC, Canada and 2 Other Cities
There were already a pretty large fare cut last month with 48 Cities and 3 other cities a week before that. The theme of this year is lower prices on Uber. From what I have seen so far, many cities are trending towards under $1 per mile and under 20 cents per minute or equivalent to $12 an hour. The numbers don’t actually seem that bad once you combine these two factors, which I will talk about in a future post.
So here are the list of cities with fare cuts:
- Las Vegas (Technically services suspended in Nevada)
- Montreal
- Ottawa
- Philadelphia
- Phoenix
- Toronto
- Washington, D.C.
Phoenix and Washington DC
Lets start with the two most important ones: Phoenix and DC. Both of these cuts were in established markets. It’s interesting how they cut fares in Phoenix right after the Super Bowl.
Phoenix (32% Reduction)
| 1/23/2015 | 2/6/2015 | Reduction | |
| Base Fare | $ 2.00 | $ 1.00 | 50% |
| Minute | $ 0.20 | $ 0.16 | 20% |
| Mile | $ 1.20 | $ 0.90 | 25% |
| Safety | $ 1.00 | $ 1.00 | 0% |
| Min Fare | $ 4.00 | $ 4.00 | 0% |
| Cancel | $ 10.00 | $ 10.00 | 0% |
Washington DC (13% Reduction)
| 1/23/2015 | 2/6/2015 | Reduction | |
| Base Fare | $ 2.00 | $ 2.00 | 0% |
| Minute | $ 0.25 | $ 0.20 | 20% |
| Mile | $ 1.25 | $ 1.02 | 18% |
| Safety | $ 1.00 | $ 1.00 | 0% |
| Min Fare | $ 5.00 | $ 5.00 | 0% |
| Cancel | $ 5.00 | $ 5.00 | 0% |
They also cut fares in Philadelphia:
This move was most likely to bring it more inline with established cities rather than a high new city pricing. Also, Lyft entered into the market on Friday, so this could have caused Uber to reduce their fares to compete.
Philadelphia (50% Reduction)
| 1/23/2015 | 2/6/2015 | Reduction | |
| Base Fare | $ 3.00 | $ 1.25 | 58% |
| Minute | $ 0.30 | $ 0.18 | 40% |
| Mile | $ 2.25 | $ 1.10 | 51% |
| Safety | $ 1.00 | $ 1.00 | 0% |
| Min Fare | $ 5.00 | $ 5.00 | 0% |
| Cancel | $ 5.00 | $ 5.00 | 0% |
Then there are the cuts in all cities of Canada:
Montreal (13% Reduction)
| 1/23/2015 | 2/6/2015 | Reduction | |
| Base Fare | $ 2.75 | $ 2.75 | 0% |
| Minute | $ 0.40 | $ 0.25 | 38% |
| Mile | $ 0.90 | $ 0.90 | 0% |
| Safety | $ 1.00 | $ 1.00 | 0% |
| Min Fare | $ 5.00 | $ 3.75 | 25% |
| Cancel | $ 5.00 | $ 5.00 | 0% |
Ottawa (9% Reduction)
| 1/23/2015 | 2/6/2015 | Reduction | |
| Base Fare | $ 2.30 | $ 2.30 | 0% |
| Minute | $ 0.30 | $ 0.25 | 17% |
| Mile | $ 0.90 | $ 0.80 | 11% |
| Safety | $ 1.00 | $ 1.00 | 0% |
| Min Fare | $ 3.30 | $ 3.30 | 0% |
| Cancel | $ 5.00 | $ 5.00 | 0% |
Toronto (9% Reduction)
| 1/23/2015 | 2/6/2015 | Reduction | |
| Base Fare | $ 2.75 | $ 2.75 | 0% |
| Minute | $ 0.30 | $ 0.25 | 17% |
| Mile | $ 0.90 | $ 0.80 | 11% |
| Safety | $ 1.00 | $ 1.00 | 0% |
| Min Fare | $ 3.75 | $ 3.75 | 0% |
| Cancel | $ 5.00 | $ 5.00 | 0% |
Then there are cuts in Las Vegas, which service is suspended:
Las Vegas (13% Reduction)
| 1/23/2015 | 2/6/2015 | Reduction | |
| Base Fare | $ 2.40 | $ 2.00 | 17% |
| Minute | $ 0.30 | $ 0.25 | 17% |
| Mile | $ 1.85 | $ 1.75 | 5% |
| Safety | $ 1.00 | $ 1.00 | 0% |
| Min Fare | $ 5.00 | $ 5.00 | 0% |
| Cancel | $ 5.00 | $ 5.00 | 0% |
It certainly looks like <$1 per mile and <$0.2 per mile is the new normal. There are some situations where drivers are still making money, but just not as much as they used to.
How does these fare cuts affect your income? Have you seen an increase or decrease in income? Share your thoughts in the comments below!
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