Uber Increases Fares for First Time in March 2016
So far this year, Uber cut prices in 125 cities and Lyft reduced prices in about 30 markets. They did the same thing last year by cutting fares in approximately 50 cities. Below are my previous posts about when fares were increased last year after the winter fare cuts:
Here are some of the statistics from last year:
- There is about a 62% chance that your city will get a fare increase after the fare cuts
- There is only a 6% chance that your city will have its fare cut reversed back to the original price
- The average fare increase after the fare cuts was 10%, with a one unfortunate city getting further cuts
- The average fare cut in January 2015 was 26%. The net fare cut as calculated in July was 20%, so the net increase from “winter pricing” was about 6% for all 48 cities.
Last week, Uber increased fares for the first time in 2016. The five cities that got fare increases last week were
Dayton- Fayetteville, AR
- Fresno
- Lawrence
- Ventura
So 4 out of 125 cities got fare increase. I expect quite a few more over the next few months. Uber usually cuts fares into the June/July timeframe. They also do a summer fare cut in some cities as well so watch out for those come June/July.
Fayetteville, AR
Fayetteville, AR got a nice fare increase of 34% last week, but it doesn’t overcome the 40% fare cut they received in January. The net 2016 decrease is 21% percent unfortunately.
| 40% | 34% | -21% | ||||
| 1/4/2016 | 3/14/2016 | 3/27/2016 | Jan Decrease | Mar Increase | 2016 Decrease | |
| Base Fare | $ 2.50 | $ 1.10 | $ 1.50 | 56% | 36% | -40% |
| Minute | $ 0.20 | $ 0.15 | $ 0.18 | 25% | 20% | -10% |
| Mile | $ 1.65 | $ 1.00 | $ 1.45 | 39% | 45% | -12% |
| Safety | $ 1.20 | $ 1.20 | $ 1.20 | 0% | 0% | 0% |
| Min Fare | $ 6.20 | $ 5.50 | $ 6.00 | 11% | 9% | -3% |
| Cancel | $ 5.00 | $ 5.00 | $ 5.00 | 0% | 0% | 0% |
Fresno
Fresno got a small fare increase last week, but again it doesn’t overcome the larger fare decrease back in January. The net fare decrease in 2016 is 16% in Fresno.
| 22% | 8% | -16% | ||||
| 1/4/2016 | 3/14/2016 | 3/27/2016 | Jan Decrease | Mar Increase | 2016 Decrease | |
| Base Fare | $ 1.00 | $ 1.00 | $ 1.00 | 0% | 0% | 0% |
| Minute | $ 0.17 | $ 0.09 | $ 0.10 | 47% | 11% | -41% |
| Mile | $ 0.85 | $ 0.70 | $ 0.80 | 18% | 14% | -6% |
| Safety | $ 1.75 | $ 1.75 | $ 1.75 | 0% | 0% | 0% |
| Min Fare | $ 4.75 | $ 4.75 | $ 5.00 | 0% | 5% | 5% |
| Cancel | $ 5.00 | $ 5.00 | $ 5.00 | 0% | 0% | 0% |
Lawrence
Lawrence got a very small fare increase last week. The fares are still down 42% this year.
| 44% | 3% | -42% | ||||
| 1/4/2016 | 3/14/2016 | 3/27/2016 | Jan Decrease | Mar Increase | 2016 Decrease | |
| Base Fare | $ 2.00 | $ 1.00 | $ 1.00 | 50% | 0% | -50% |
| Minute | $ 0.20 | $ 0.10 | $ 0.10 | 50% | 0% | -50% |
| Mile | $ 1.65 | $ 1.10 | $ 1.20 | 33% | 9% | -27% |
| Safety | $ 1.00 | $ 1.00 | $ 1.00 | 0% | 0% | 0% |
| Min Fare | $ 5.00 | $ 4.00 | $ 5.00 | 20% | 25% | 0% |
| Cancel | $ 5.00 | $ 5.00 | $ 5.00 | 0% | 0% | 0% |
Ventura
Ventura got their base fare reinstated with a sizeable mileage increase, for an approximate fare increase of 23%. However, fares are still down 10% for the year.
| 50% | 23% | -10% | ||||
| 1/4/2016 | 3/14/2016 | 3/27/2016 | Jan Decrease | Mar Increase | 2016 Decrease | |
| Base Fare | $ 1.15 | $ – | $ 1.15 | 100% | 100% | 0% |
| Minute | $ 0.20 | $ 0.15 | $ 0.15 | 25% | 0% | -25% |
| Mile | $ 1.05 | $ 0.80 | $ 1.00 | 24% | 25% | -5% |
| Safety | $ 2.20 | $ 2.20 | $ 2.20 | 0% | 0% | 0% |
| Min Fare | $ 5.20 | $ 5.20 | $ 5.20 | 0% | 0% | 0% |
| Cancel | $ 5.00 | $ 5.00 | $ 5.00 | 0% | 0% | 0% |
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