Uber has long implemented surge pricing in areas where demand is high, surge pricing is reflected in the app through a multiplier which gives users an idea of how many times over the normal fare that particular ride is going to cost. Uber has been criticised for this many times and it has been working to simplify surge pricing, it’s now replacing the surge multiplier with “upfront pricing.”
To be clear, this doesn’t mean that Uber is doing away with surge pricing, prices will be ramped up in areas with increased demand but the manner in which that price hike is displayed is being changed.
Instead of displaying the rate with a surge multiplier with a fare estimate in a second screen, Uber is going to factor in the increased price in the price it quotes for the entire ride. The app will display a “Fares are higher due to increased demand” note to reflect the increased price for the ride.
Users will only see one price for the ride from now on, whether or not surge pricing has been implemented in it, so they won’t have to figure out the multipliers for themselves. This pricing mechanism has been in place for uberPOOL ever since the feature was launched two years ago and now it’s being rolled out for regular uberX trips as well.
Filed in . Read more about Uber. Source: newsroom.uber