Not necessarily. Goods & services can be differentiated by qualitative as well as quantitative measures. For example, and just a personal anecdote, I like Lyft

Not necessarily. Goods & services can be differentiated by qualitative as well as quantitative measures. For example, and just a personal anecdote, I like Lyft more than Uber, as a company, but generally use Uber because it generally has quicker pickup times. I don't have a clue as to what the price differential might be. "Reliability" is an especially important component in this type of market, because you're trying to get somewhere for some reason and willing to pay, so there is less price elasticity overall for this product. A small increase in price for 95% of the time (averaged out over geographical-time units) would not likely be sufficient to outweigh the gain in reliability and convenience. There are other explanations / scenarios of course. I have a degree in economics, and, well, respectfully this seems more like a business/marketing domain issue. The change I was proposing would be at the same time too small of a price change and too muddled with other (real world, real time) variables to be well-modeled in the realm of economics.