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Home Mobile Apps

Uber Introduces Upfront Payment Model; Removes “Surge” Icon

by Terry Bass
July 5, 2016
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Uber has introduced two new payment methods that will make it more transparent for Uber passengers to know their ride fares ahead of their trips. With the ride-hailing service becoming so popular, Uber felt the need to address two complaints often made by riders.

The first payment method introduced by Uber is an upfront payment model. This feature will show the final fare ahead of booking their trip, instead of being charged an uncertain amount at the end of their journey. For example, if a trip was priced at RM10, that’s the amount the rider needs to pay, even if the driver took a wrong, or longer route.

It follows a similar payment model to Uber’s competitor, Grab, whose GrabCar service shows a fixed fare when you key in your destination.

uber

Other than that, Uber is also making some changes to “surge pricing”. While Uber isn’t killing off surge pricing, it is removing the lightning bolt icon and adding the surge pricing charges right into the upfront fee so you don’t have to make your own calculations. It also means you will be less aware of when surge pricing is in effect.

Both these features work very well together as customers will know how much they need to pay (inclusive of surge charges, if any), before even hailing a ride. Currently, these payment features have been launched in cities like New York, Miami, San Diego, Philadelphia, Seattle, New Jersey, New Delhi, Kolkata, Mumbai, Hyderabad, and Chennai.

Uber has confirmed that it is planning to expand the feature globally over the next few months.

ALSO READ:  Baidu Teams Up With Uber To Launch Robotaxis Across Global Markets

(Source: Android Authority)

Filed Under Uberuber surge pricing
Updated 1:51 pm, Tue, 5 July 16
http://lowy.at/og5tN
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