OnDemand WTP Pricing Research

Uber vs. Lyft: A Comparison Shows Which Is Better | Inc.

3. Pricing
Uber and Lyft, being fierce competitors in most markets, charge pretty much the same during normal times. But both also charge higher prices in high-demand situations so as to bring in more drivers when they’re needed. Uber calls this “surge pricing” and Lyft calls it “prime time.”

Both Chen and other observers have noted that Uber’s surges can lead to higher prices than Lyft’s prime time. But, Chen notes, Lyft also wins this category on transparency. When its prices are increased due to high demand, it shows the rider what the percentage increase is. Its receipts also include the time spent on the trip and mileage traveled, making pricing easier to figure out.

Uber, on the other hand, has gone out of its way to make its pricing less transparent. It used to alert passengers to surge pricing with a multiplier, for example if it was raising fares 50 percent, that multiplier would be 1.5. But it’s removed that information from its app, so that now the only information you have is the total price of the trip.

Read complete article here:

Uber vs. Lyft: A Comparison Shows Which Is Better | Inc.com.

Post a Comment

WP-SpamFree by Pole Position Marketing