Uber’s Ride Pass vs. Lyft’s All-Access Plan
As Uber and Lyft are breathing down each other’s neck getting ready for the upcoming IPO, riders are holding their breath in the thrill of discount anticipation. Let us reflect on which monthly auto-renewable discount subscription may end up as a winner and who is a runner-up in the race for a more customer-friendly approach.
Lyft introduces the concept
This October Lyft released a $299 “All-Access Plan”, which has already been nationwide deployed. “All-Access Plan” presupposes an auto-renewable monthly subscription to get 30 rides for $299 ($0 per ride, up to $15 each). One also gets 5% off additional rides (N.B. If a ride goes beyond $15, one has to pay the difference). The subscription plan seems quite thought-through, however it may be complicated for more financially vulnerable customers to splurge on a plan not to bother about paying for rides any more. This aspect poses a real threat to “All-Access Plan” popularity, which means it is a perfect time for Uber’s move.
Uber takes up the concept
So, now we have “Ride Pass”, yet currently available in 5 cities (Austin, Orlando, Denver, and Miami for $14.99 a month, and Los Angeles for $24.99 a month). Discount is applicable for UberX, Uber Pool, and Uber Express Pool rides. As far as Los Angeles goes, extra $10 includes e-bike and scooter accessibility. Having paid a fixed rate, a rider gets a possibility to order as many rides as he\she wants on a surge-free basis. Uber estimates 15 to 20 percent of customers’ rideshare pocket to be spared. Moreover, Uber app is going to state how much a rider has spared in the course of each trip. The plan itself sounds more customer-friendly. After all it provides riders with the opportunity to forget about driving every single day, which is especially nice not only for riders’ budget, but also for traffic and environment.
Drivers paid as before?
What concerns Uber drivers, they are going to be paid the same amount of money as before based on time and distance. The only issue about drivers’ wages in such situation is tipping. Tipping has always been a controversial issue, taking a regular trip price + surge into consideration. Now there is a possibility to tip more, since one has to pay a lot less. However, the discount effect may also rebound, because riders may be trying save as much as they are allowed to. Thus, a rider may afford more rides in the future or simply save some money for a rainy day.
We at Rydar wish all the rideshare drivers to benefit from the brand new Uber feature and get more tips!