3 ms·
Article leaves out important point: they raised their commission from 5% back to 20% at the same time as the implementation of the $1 safe fee [1]. (They had d
by tzier 12y ago
Article leaves out important point: they raised their commission from 5% back to 20% at the same time as the implementation of the $1 safe fee [1]. (They had dropped their commission to 5% in January with the price drop [2].)
This is a pretty big bet on their part that they've locked drivers into the Uber platform through enough volume/earnings.
[1] http://www.forbes.com/sites/markrogowsky/2014/04/18/did-uber-just-give-lyft-the-opening-it-needed/ http://www.forbes.com/sites/markrogowsky/2014/04/18/did-uber...
[2] http://blogs.wsj.com/digits/2014/01/09/uber-cuts-price-on-some-rides/ http://blogs.wsj.com/digits/2014/01/09/uber-cuts-price-on-so...
- tzier 12y agoUpdate: Lyft is apparently already doing this through a "Trust and Safety" fee [1], but doesn't seem to be catching much flack for it. [1] http://www.lyft.me/help?article=1263247 http://www.lyft.me/help?article=1263247