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Exactly. This is not a cap on prices, it's a cap on hidden prices. When the restaurants have to raise their prices to compensate for Uber's fee, Uber doesn't ta
by citizenkeen 6y ago
Exactly. This is not a cap on prices, it's a cap on hidden prices. When the restaurants have to raise their prices to compensate for Uber's fee, Uber doesn't take the hit, the restaurant does.
This forces Uber to more clearly tell the customer how much their convenience costs, but it can be anything Uber wants.
- karlakush 6y agoNo, it doesn't. Previously, when delivery services got an order for a $10 burger, they charged a $2 fee to the restaurant and a $4 delivery fee to the customer for a total charge to the customer of $14 and $6 of revenue for the delivery service. Now, they're capped at charging the restaurant a $1 fee so they will need to charge a $5 fee to the customer ($15 total) to get the same $6 of revenue. This is really just an attempt to shift wealth from consumers to restaurants. Now consumers will have to pay one dollar more which goes mostly to the restaurant.