Black Friday Sale! 50% Off All Access

Uber to Make Surge Pricing Less Obvious Upfront fares are currently rolling out to an number of U.S. cities, though Uber didn't detail a timeline for how long it would take all riders to benefit from the new tweak.

By David Murphy

Entrepreneur+ Black Friday Sale

Our biggest sale — Get unlimited access to Entrepreneur.com at an unbeatable price. Use code SAVE50 at checkout.*

Claim Offer

*Offer only available to new subscribers

This story originally appeared on PCMag

PC Mag

Is Uber dropping the concept of surge pricing? Fat chance. However, Uber is taking steps to make surge pricing less glaring within its mobile apps.

You'll still be paying the same, high amount if you're trying to find an Uber during periods of high demand, but you might be more willing to take one if you just see a simple rate for the ride in Uber's app.

At least, we presume that's the real reason why Uber is now switching to "guaranteed fares" within its mobile apps. You'll still get a warning that said fare is higher "due to increased demand" if surge pricing applies. You'll just get one number, though, not a big, scary multiplier boosting the normal cost of your trip.

"We moved to upfront, per trip fares -- just like airlines and hotels -- two years ago when we launched uberPOOL. Riders needed to enter their destinations so we could match them with other people headed the same way. This allowed us to calculate the actual fare in advance and show it to riders before they booked their ride," reads Uber's blog post.

"Knowing how much a ride will cost in advance is clearly something riders appreciate: today uberPOOL accounts for over 20 percent of all rides globally. And we now want more riders globally to benefit from this feature."

As Engadget notes, these new upfront fares will allow a rider to feel assured that he or she is paying a set amount for an estimated trip, even if a driver mucks everything up and takes a completely different route to get to wherever a rider wanted to go. You won't have to pay extra if a driver gets lost, either.

"Upfront fares are calculated using the expected time and distance of the trip and local traffic, as well as how many riders and nearby drivers are using Uber at that moment. And when fares go up due to increased demand, instead of surge lightning bolts and pop-up screens, riders are given the actual fare before they request their ride. There's no complicated math and no surprises: passengers can just sit back and enjoy the ride," Uber describes.

Upfront fares are currently rolling out to an number of US cities, though Uber didn't detail a timeline for how long it would take all Uber riders to benefit from the new tweak.

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Business News

DOGE Leaders Elon Musk and Vivek Ramaswamy Say Mandating In-Person Work Would Make 'a Wave' of Federal Employees Quit

The two published an op-ed outlining their goals for their new department, including workforce reductions.

Growing a Business

Customers Want More Than Just a Product — Here's How to Meet Their Expectations

Creating a seamless, personalized experience is just as critical as having a great product or service, if not more so — it's the key to winning customers and keeping them loyal.

Real Estate

Why Real Estate Professionals Should Prioritize Social Responsibility

Integrating social responsibility into real estate can foster community change, build trust and drive long-term business success.

Franchise

McDonald's $5 Meal Deal Will Stay — And a New 'McValue Menu' Is on the Way in 2025

The McValue Menu is slated for a January 2025 debut and will feature a selection of budget-friendly items, allowing customers to customize meals at a lower cost.

Business News

Here's How Much Money You Need to Make in Order to Be 'Successful,' According to Each Generation

A new survey by Empower outlines how Americans of different ages define success.

Starting a Business

Why Are So Many Course Creators Struggling if It's 'Such an Easy Business'? Here's the Truth Behind the $800 Billion Industry

Creating an online course is so easy — at least, that's what many "gurus" would like you to believe. There's a lot of potential in the $800 billion industry, but here's why so many course creators are struggling.