Since the price cuts “Fares Per Hour” have gone up 22%.
For example, if an Uber driver partner made, on average $30 per hour in the week prior to the price change, four weeks later, they are are now earning $36.60 in fares, on average.
Lets look at that:
Working on the basis that an average trip is around 6kM and takes 12 Minutes; AND assuming you are now busier – as Uber would have you believe…
- Old rates – 2 average trips per hour = $30
- New Rates – 3 average trips per hour = $36.60
At face value, GREAT! We’re bringing in more Money!
But lets break it down…
What is really happening is that we are working 50% more and our costs are going up accordingly; our earnings go down whilst Uber’s profits go UP by 22%!
So, the REAL reason the price has gone down is to increase Uber’s profits!