Why Uber And Lyft Rides Got So Expensive
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- čas přidán 21. 08. 2024
- According to Rakuten Intelligence, the cost of a ride from a ride-sharing app like Uber or Lyft increased 92% between January of 2018 and July of 2021. Many riders have also noticed increased wait times for rides, and a recent driver shortage is likely to blame. In early July 2021, Uber and Lyft drivers were about 40% below capacity. The companies have taken notice of this driver shortage, and are investing millions worth of bonuses and base rates to convince drivers to return. But will it be enough to get drivers back on the roads?
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Why Uber And Lyft Rides Got So Expensive
I arrived at Austin Bergstrom Airport recently and needed to get home (about 20 mins away). I was trying to order an Uber/Lyft which was gonna cost about $60 and was a 15-20min wait (not to mention a laborious walk to the pick-up spot).
Instead, I took a taxi that costed about $25 and was ready as soon as I walked out the airport.
We’ve come full circle…
Unbelievable. Last time I took a cab at an airport the airport fee alone was $15.
Here in LA you can't even get a cab (not at airport). They say they don't have anyone or it will be an hour wait.
Reminds me of cable to streaming. Now we have to buy streaming bundles, which is basically the same thing as cable. Gotta love that circular innovation! 🙈
@@jayc222 at least with streaming services you can choose the channels you want. That was the main complaint about cable, back in the day. Not the price.
For example, if you wanted Discovery Chanel, you had to purchase a bundle of 50 other channels that were mostly useless to you.
@@sierrasouthwell9237 Streaming isn’t all that different. You get all kinds of content you’ll never watch. I know people who sign up for a service to watch one show.
When my passenger showed me his ride was $92 with a $40 surge charge and I only made $27. I messaged Lyft and they said my calculated rate is what I received. And the surge fee isn’t my concern. Was when I saw how greedy they’ve gotten. And it’s getting worse
Look companies that are run without a phone number to call them in case of a problem is all you need to know about these gig apps. How this non sense is legal is way beyond me. Oh and those referrals ... yeah the ones you will never get paid for and when you call them out of on it.... you get crickets.
Any tolls included?
Absolutely appalling! Gosh, our companies just don't know nor care one bit how bad they treat our employees. This is why lots of people don't want to work and why turnover is so high in all lower level employee positions. It's our crapanomic system driven by greed~!
Surprised Lyft/Uber drivers/customers don't just create a black book and do direct cash and call their phones direct. Use Uber to network then go all cash money.
@@nagasako7 I think you pay before you can call a vehicle to pick you up.
Knew this for a long long time. When you fully understand the costs, you know why taxis were so expensive.
well, part of the reason was also the ridiculously expensive licences. But yeah, it was clear that Uber was undercharging even if you leave out the licence fees.
Not really, Uber just has a shitload of overpaid employees and fancy offices that keep it from being profitable.
Correct. Taxi companies also had in house mechanics and that’s priced into cost. These drivers can’t afford to keep their car up to the demand and puts the public at risk.
@@GameFuMaster I think the expensive medallions are unique to NY.
@@lewizzrocks no lol
It's really not profitable enough for drivers to maintain it as a living. I did it too a few years ago, but $200 a day is drastically reduced when you have to pay $50+ to refill your tank at the end of the night. And then you have to factor in the wear and tear on your vehicle, where instead of driving the average of 15,000 miles annually, you're now looking at closer to 50,000 miles, plus all the maintenance to keep up with it, and the increased insurance rates.
That why I stop driving uber just working for a company with peace of mind,,,😝😝😝😝👎🙏
I completely agree. IMHO, the rideshare industry business model relies on the murkiness of the true cost of driving people around in YOUR personal vehicle. Most drivers (understandably) do not understand the deep math of the costs (fixed and marginal) of operating a vehicle beyond what gas and tolls.
@@treesnmoguls Very true. I did food delivery service and did the math. After gas and expenses. I barely broke even.
there's a reason why people sell their cars at the 100k mile marker. Because the cars needs to be refresh and retuned again to last another 100k mile marker. New belts, fluid flushes, control arms replacement, clutch replacement, alternator replacement, new starter, and so on. Yeah, you can still drive with it reaching 150K, but you will lose much more value of the car at that marker. Selling it at 100k miles, you'll at least get half the money back.
@@harryvuemedia5106 Depends on the car and how it was maintained and driven. Toyota or Honda versus Ford/GM/Fiat (New Chrysler)
There is a shortage of people willing to use and depreciate their own equipment while making low pay.
I don't make low pay. I am not making what I should be making. When a new company I am watching comes to town I will be working for them and doubling my pay.
Just get a regular hourly job , your car is used to commute to work , not use it for work unless there paying you hourly plus taking care of the car repairs and maintenance on your car and paying you milage reimbursement
And pay commercial car insurance, and cover 100% of the maintenance, and fuel. Oh and if your car gets too old or has too many miles then you get to stand in line with the ex-bus and subway riders who are all buying cars right now and get pwned on a used car purchase! Great gig, Uber!
Bull's-eye. 🎯
not to mention trying to scam out of paying stuff like workers comp because your a """contractor"""
When I seen the expensive prices I said to myself "You know what walking or catching the bus doesn't look so bad after all."
Haha fareal 😂 a bus pass where im at only cost 50 dollars per month and you get unlimited rides wherever you need to go within your bus agency witch covers pretty much a whole county where im at , even having a car to me is to expensive I've saved money on gas registration fees insurance maintenance and car repairs and whatever else money you spend on a car ,
@@geekedmaxx I have seen monthly bus passes well over $200 a month. It all depends on who is paying the real bill the riders or the tax payers who don't use the bus.
The problem with busses is you can only use them where they happen to go. Also it can take you a good part of the day to take the bus where I can go on the same exact trip in my car in under an hour. What is your time worth to you? I was in an accident where my doctor would not let me drive. It litterly took me all day to take the bus and train to go to my doctor's appointments and get home from them. Once I was allowed to dive again it took me about an hour each direction to take the same trip.
@@Donkeyearsa Well good public transportation does cost and might need to be subsidized but there is more to it really.
The US public transportation system used to be better until the Car manufacturers bought the respective companies and or purposefully lobbied to run them into the ground.
Many decades later the US has been built into a cardependent nation where often can´t even really walk anywhere anymore. There is hardly any public transportation and there are hardly any trains left too. Some might call riding in their car freedom but is that really freedom? People are getting fatter and fatter from it. You rarely find many bike lanes (especially safe ones). Walking is usually too far and sometimes there aren´t even sidewalks.... (for the ones that want to inhale the exhaust of others). Generally the environmental cost as well as the cost to protect that cheap gas abroad isn´t factored in either.
Driving around all day to pick up a few people is inefficient. Of course paying them a decent wage as well as giving them the benefits that are common elsewhere can´t be paid by that. People ought to bring their own car and phone that depreciate in value too.
I recommend the channel "Not just bikes" to anyone interested in learning about why the US is so car dependant as well as general US but also world wide city planning.
@@Donkeyearsa what bus passes are 200 hundred dollars ? The city government buses are cheap , yea it takes awhile but your still saving thousands of dollars , just bring your phone with you and watch TV and movies on your phone yea it takes a long time but it's still worth it , your paying taxes for public transportation so use your tax dollars !
train & mobile ev vehicles like bikes & skateboard might be the move.
Since Uber & Lyft went public, they threw drivers & riders under the bus to please their share holders (that's why drivers' earnings decreased while ride prices increased).
Not exactly. I am uberdriver and I have seen raise in earning, relatively speaking, and less idle time. Before it was a nightmare waiting for any call
@@mysteriousjz good to hear , God bless our taxi, Uber & Lyft drivers ❤️
@@mysteriousjz
Nah I live in DC and they tied me to the train tracks when the pandemic hit.
They dropped me after working for them for YEARS over nonsense right when I needed them the most.
They basically dishonored their agreement with my states "State of Emergency" policy 4 months after they agreed to it.
After that i couldn't trust Uber anymore. I cant drive for a company that cares so little about its money makers.
@@syriouskash537 I am hearing drivers getting deactivated but I read no explanation what happened. Do you care to elaborate what happened in your case?
My wife took a LYFT this weekend. The rate was quoted at $30, which she agreed to. Looking at the credit card expense, the charge was for $45 + driver benefits of $0.75 (which we know drivers or “independent workers” as they know conveniently categorize them receive none). Seems like a ripoff nowadays.
Uber and LYFT are lying about their take rate. They are keeping 50% of the total fare minimum. When I complained I was told I was paid based on My Rate Card, plus Streaks and Bonuses and that my pay had nothing to do with what they charge for fares. Yeah they are that full of beans.
Yes, they can legally keep whatever they want as long as you are getting what YOU AGREED to. I think your focus should be on fighting for RATE increase (rate = time ($/min) X distance ($/mile). Not what they charge the rider.
💯💯💯
More like 70%
I was a driver and I agree. Basically Uber applies the old surge multiplier to riders but applies the new surge multiplier to drivers where they make significantly less than before. Uber basically takes everything.
Thats right. Your pay has nothing to do with what they charge.
Here in Vegas the Uber was a great alternative to taking expensive Cab rides now its cheaper to take the Cabs.
that was their model, drive taxis out of business then lift prices toward profit. they're just the same scum as the other scum
True, but only going from casino to casino. Last time I tried to take a taxi cab home (because I didn’t want to wait for the Lyft) he charged me $75! For a 20min ride, about 10 miles away. And he even had the audacity to try and take the streets when is all freeway to my place. Imagine if I had allowed him to do that, probably be over $100. Ridiculous
What's expensive, what is that statement even based on.
Except for holidays….I only looked into taking uber/Lyft after new year’s for a trip down the strip and it costed like $150 so I decided just to walk it.
@@johnl.7754 The driver would have gotten like 15 bucks of that.
The problem with Uber is they went public. Now they're expected to generate profits and it came at the expense of the driver. A recent 10 mile drive cost me $65 but the driver only got $17 of that amount BEFORE payroll taxes. Uber shares less of the surge price and in the end the driver gets screwed.
"Now they're expected to generate profit" ... as opposed to what?
@@veleronHL Other than *lies* , perhaps.
@@veleronHL As opposed to keeping the company private where there's more of the pie to go to a much smaller group of private investors. Now there's billions of shares owned by people who expect a return on their investment. The original investors now have a minority investment and if they want the returns they had when it was private then they're not going to want their holdings to diminish in value.
It wasn't turning a profit before it went public, but was operating at a loss to build it's market share. Then 2020 hit the world like a ton of bricks and it's only going to get worse for a long time to come for that virus thing just isn't goin to stop effecting everything and everyone anytime soon while the corporations and wealthy take advantage of the situation. I have a most deep gut hunch this isn't going to end well.
They were losing money before the went public 🤣.
This is a seminal moment in the life span of the US employee. There's so much leverage, leverage not seen since the days of unions. I hope people use the power wisely.
Uber is a scam! Lyft is a scam!
Talk to me about this Abel.
It might start off positive like Uber did for busting taxi monopolies but it inevitably ends up with greed. Not for all drivers but most will run it into the ground, take a look at Airbnb. It was something good in the beginning, now it’s even more expensive than hotels with exorbitant taxes and service fees.
@@datazndood SCAM!
This is the right time for every industry workers to unionize. From the fast food workers to advance research scientist should all unionize!
so let me guess, by the time these companies make money they are charging the same as taxis?
WHO COULD HAVE SEEN THAT COMING???
Well gee gee gee There is a reason taxis charge what they do.
Not CNBC or KRAAAAAMMMMMER!
@@peredavi Kramer is well aware of how bloated the payouts at those companies are.
Even at the same price point, Uber is still better than Taxi as a service, remember you had to stand on the street for 15 minutes before some a*hole cut in front of you and take your ride? Or the cab driver refuse to take credit cards, or they take the longer rout on purpose just to scam you for more fare?
@@walterwang2011 Taxis have always been their own worst enemies.
Uber and Lyft take between 40-50 percent on each ride nowadays. You can see drivers posting their receipts on Reddit.
exactly this
I drive for them ,you are right
These companies are parasites.
When the plastic melts, the rides may
not be so profitable....
They take a lot more than that, its around 50-60 percent. Big company is being too greedy, hurting the economy greatly.
Uber charges drivers more than 40%… for what?!.. they don’t help with the insurance coverage nor car maintenance nor gas…
I don’t mean to defend Uber, but they are charging for their platform.
App development and executive salaries.
They actually provide decent insurance on every driver. Youre covered up to 1 million while driving + uninsured motorist and 2500 deductible. One of the few hard cost in a digital business that lost -2.5 billion on 6.8 billion last quarter
They started paying drivers less.... they claim they're paying us more.
and how much tax you pay every week?
@@omnigar9611 a lot
as a Luxury Driver for Lyft in Las Vegas, i can guarantee now its dead... you be lucky to make $50 whole week... now they came up with Priority mode ? so for a 8 mile trip... driver make $4 ? ... its about $32.. they're stealing $28... end of year..lawsuit will come.
Simple. Capture market share with cheap prices and raise prices once there are no/little competitors. Predatory pricing 101.
Did you even watch the video?
Communist Economic Policy 909.
Just like Amazon. Thank god Amazon is going to get antitrusted in court for this.
@@RicePho what?
@@TheBooban amazon records sellers data and if they see them selling well they will copy it at a lower price until that person goes out of buisness or sells their company to Amazon at a loss.
I took a 13 min ride and uber charged me $13.95 and the driver informed me that he is earning only $5 from that ride. So, ubee makes $8.95 from that ride.
That’s true they supposed to take 20-25% of the whole fair .
In other words, Uber and Lyft drivers rely on tips like resteraunt workers.
@@gregnulik1975 that makes no sense at all. All the food, space, advertising, management etc. At restaurants is the responsibility of the owner. In the case of uber it is the driver who owns and maintains the car, pays for insurance and other regulatory fees etc - they should not be relying on tips.
It's all about tips. I hope you tipped the guy lol.
I’m driving Lyft and a few days ago passenger told me that he paid $22 for a ride. I showed him how much I got from it. Shocking $6!
There are some decent bonuses but that’s a little gamble.
People also are so so. Very offer rude and demanding. Gas prices are also up. Nothing exciting about the business
My wife and I travel to Las Vegas a few times a year. We've noticed HUGE price increases over just the last few years. Imagine paying 28 dollars for a 1.3 mile drive. I've found that if you are travelling for more than one day, it's now far less expensive to just rent a car at the airport. You also don't have to wait over an hour for your ride as well.
Yeah, I completely agree. It’s insane! The prices that they are charging nowadays is astronomical.
Their strategy is to hold on the drivers until they have fully autonomous self-driving cars on the streets. The moment that happens, all those drivers will be discarded.
Tesla ftw.
THIS
Uber sold their self driving division. Lol
NO .. because there biggest expense will now just transfer from driver to Uber.
@@samlee8690 What self driving? lmao
I rarely drive for Uber now. If you aren’t getting surge pricing it’s not really worth it. It’s crazy to drive 16 min for a 10 min ride and of course they don’t pay you travel there. And that .50 premium pick up is a joke.
Yeah it stinks, and 10 minutes is only about 4 dollars in my market. 25 for 4 bucks... terrible
Why would you accept any long pickups in the first place?
@@bftjoe who said I did. Did you not listen to the story she said it’s less drivers so of course they will make people do longer pickups.
@@shyguy1630 They can't force you to accept a ride. It is irrelevant.
Uber is a scam! Lyft is a scam!
They never lied it was always in their name. Uber expensive and Lyft the price.
The Puns...
Nice
💀💀💀
Uber is a scam! Lyft is a scam!
Still less than half the price of a taxi. I wouldn't invest in either company at the moment, But I'll use them as long as they remain this cheap. 😁
I have a feeling that when the dust settles that Uber and Lyft will end up as expensive personalized taxis. They will not completely disappear bit they also won't be dominating like they might have thought. Growth will be tough, unless they purchase established but underperforming livery companies
In 5 years they just replace driver to self driving car.
@@ayushsingla1038 Hopefully it gets cheaper.
I thought about being a driver for lyft or uber , my friends said don't do it. Still hesitant, I called my insurance company for a quote, they said don't do it, it's not worth it.
Amazon did the same thing, they were cheaper and once they drove other businesses out of business they raised prices. Now Amazon often costs more than Walmart, Home Depot, Target you name it.
im so done with this used to be less expensive with low or no overhead costs now for the convenience its more and often way more expensive ebay same way
no Amazon generally is cheaper than box stores. what the heck do you buy?
@@jamisonmunn9215 why tf are you marking it up twice the price?
some items are a little pricey but others u cant find them, depending where you live its probably cheaper to shop at amazon.
I canceled my Amazon prime ~6 mo ago and double check prices at Target, Walmart, etc for most purchases. I’ve saved $$. Waiting an extra day or two for the delivery is not really inconvenient.
I haven’t used Uber since 2016… I pulled up the app a month ago and it was $40 forth and back FOR 7 MILES !?!?!? I hopped on my bike and was on my way
Uber was great before the pandemic, just don’t have enough drivers now
@@RAJohnson713 soon there will be no customers and zero drivers
The driver got maybe 5 bucks of that.
@@thatamerican3187 Sad reality
@@billbandoh5818 True story and LYFT sent me an email saying my pay was based solely on my rate card. Get this it was a self evaporating email.
Wear and tear on car, maintenance, fuel surely eat into the driver’s share.
In pakistan we have now alternative of uber which Is "indriver".
In this service both rider and driver can agree upon a mutually decided rent.
Like a normal cab before uber.
Scam.
And I’m Iran we have snap
Why is there a need for a company, it seems like the normal cab we've all been using before uber and the rest.
@@UzomaANwosu Because MOST losers don't seem to know WHAT 'ride share' actually means, & what a Taxi DOES!
Uber and Lyft are taking all the price increases. Drivers aren't seeing any of that increase.
Price in crease 100% and 10% went to drivers lol
Yes..my earnings went down dramatically over the past few months…they are fing us badly
Exactly.
True👍🏻
So why do they take that much and why has nobody called them out about it to their faces? To the ceo?
What’s interesting is a company built on other people (non employees) doing most of the work and literally taking on all the risk still can’t turn a profit ? Maybe someone is hiding the money. Wouldn’t be the first time a major corporation has done that
because proces people pay are subsidised by Uber and Lyft. The actual price of the ride wasn't ever this cheap.
Their executives make millions and millions of dollars. Taxi companies never paid their CEO 50 million dollars a year. LYFT AND UBER are lying to shareholders about spending.
@@VFPn96kQT The rides may have been cheap at first but they went up a lot.
Even if they charge $7.99 for a 4-5 mile ride, they pay the driver $2.62 and pocket the rest ($5.37).
As a driver the risk/reward curve has shifted. Consider the cost if I were to lose my car. With current vehicle prices I'd be beyond upside down
Uber used to pay 1.20 a mile , now they pay 62 cents a mile give or take depending on location.. Theres no shocker as to why drivers wont return in this worker economy .. If you take a minimum trip ( a very short trip with the customer , unknown distance to get them ) , you get paid 2.85 and uber makes 3.12
For once,’its the job seekers that have the advantage. No more settling for jobs that dont offer a liveable wage.
Agreed and also nice profile pic.
Dude go work for MCdees..
yea, while you wait and take the tax payers check....youll wait forever in that situation. nah ill skip the next job too
@Mastodon1976 why? Are you a bootlicker?
I'll just lay flat like they do in China. My neighbor made more money staying home watching breaking bad than I did working full time at 17 am hour. Not fair at all
Yep, Uber and Lyft are making Taxi’s look cheap
Not for long they will be double in the next few years once they take over .one man will make all the money and that won’t be the driver !
They're still half the price of a taxi here in the southeast, but i'd prefer using these services over taxi's if the price were equal. A taxi will sometimes take 20-30 minutes to arrive. An Uber arrives in 1-5 minutes. (Still wouldn't touch them as an investment though)
@@snickle1980 there investing in taken over the whole market .you worry about taxi prices trust me you won’t in a few years time you will be begging for them back when Uber is hiking prices .in London we want them gone but they paid our mayor off
It's still as expensive
@@kieror583 That's absolutely their game plan. Song as old as time.
Yet There's very little I can do about it. For the time being, I have to go with what's most affordable, and Uber is still half the price where I am.
"It's hard to see how these companies are profitable" ??? I have to say it's hard to imagine why these companies aren't more profitable? I mean what do they do? Are they paying for fleets of vehicles along with their maintenance? No? Are they paying for gobs of employees that get paid whether they work on not? No? Other than making sure the software on the app is working what exactly is their expense? Ok maybe they have to pay for insurance, that's the only thing I can think of.
Lol, I would like someone to answer to this to answer the question
Fixed overhead for high paid employees who screw the drivers.
Maybe it's going into developing that driverless car.
I used to use Uber and Lyft alot, but I don't go out to bars, clubs or drink anymore. 🙏
I use to use Lyft/Uber on the daily basis to get every where! Know I use my public transportation in my area! And I use Lyft once in a while. But then having to go through getting canceled roughly 5 times until I secure a car 🚗 for my ride !!
@@eduardofernandez3236 yes! Getting a vehicle even if it's a certified pre-owned is an amazing thing better than Uber and Lyft saving money that way 👊👊
how do you get chicks nowdays then?
@@generalshepherd457 he beats his meat
@@generalshepherd457 Library, malls, bookstores, target, Whole Food stores other places you know?
Yeah, they were clearly not paying enough to have their drivers make a long term profit at the prices from a year or two ago.
Drivers need to buy and maintain their vehicles, the ride share companies were never paying enough form them to pay for the upkeep.
The drivers are also carrying nearly all the risks of swings in the economy.
As Fat Joe Said “Yesterday’s Price Ain’t Today’s Price!”
😂
link
czcams.com/video/Ai_7Gr0VVvs/video.html🥰
No it sure isn't... But lots of us are taking much less money while our rising rents apartments just get worse. Hey we all need to get mad here in America.
They don't mention how the incentives can and will be dropped at any time. Or the bonuses/peak expenses the passengers pay are often siphoned off and the driver never sees it
I drove for years (Orange County), and whenever 'peak' areas popped up near where I was, they conveniently disappeared as I grew close.
'Bonuses' which came in 'consecutive rides' were nearly ALWAYS 'missed' by one. And just minutes after it expired, rides would chime in. I think I achieved a 'bonus' maybe FOUR times over 2+ years of driving 4-6 days per week for 6-8 hours a day.
Actual earnings were always closer to 50-60% of fares (I often told this to people and they didn't believe me until I showed them with my phone--they were shocked but still rarely tipped lol). 💪😎🤟
#SLAVERY
Gee, who would've thought that cutting corners over ordinary taxi service would drive away workers ... it's almost as if people realize their labour is worth a lot more. And then there's the taxes, the cost to maintain the wear and tear on the vehicle, etc. Who thought it would be a fun idea to repeat the mistakes of the 20th century? Because this "new" and "revolutionary" business cycle really sucks.
Says another guard at the USA Gulag Archipelago..
@@thatamerican3187 Har har. You drive for them? I wouldn't unless they paid $2 per mile FOR EVERY MILE I DROVE at their command (even to pick up passengers).
Thankfully, most people can't do any arithmetic, and UBER and Lyft rake in the money.
They take 55% from drivers. I USED to work for lyft
Ask the customer how much they paid then look at how much you made. You’ll get a percentage
@@freddieayee on short trips this is fact ! longer trips they take less.
Minimum fare in Tampa Bay area was $7.15 for the customers and the drivers made $3.19 for a standard model vehicle.
Sometimes more than 55%.Thats why I stopped driving for f***g Uber
It's more than that where I live.
I did a few Uber rides and made like $80. Then got a flat tire in-between rides. The tire cost me $75. I stopped driving after that. I could have just stayed home.
They should give an extra $10-$20 to the driver for every trip made. Then, drivers will return
I can tell you why they aren't out there because Uber and Lyft take too much off the top they don't leave anything for the drivers and gas prices have gone up considerably without a raise to the drivers
exactly. uber/lyft driver here in Chicago. I'll tell you that those crazy surge prices being charged to the customers won't get paid forward to the average driver.
I assume it's because the money is going to those gamified driver bonuses and incentives but not all of us can afford to engage with that tomfoolery, we have to EAT.
Will never use rideshare at these crazy prices. I’ll rent a bike for a few bucks instead.
Those higher ups at Uber and Lyft never failed to pay themselves.
Uber and Lyft don't care about drivers. One time this jerk threw up in my backseat and I didn't discover it until the next day. They refused to grant me a cleaning deposit because they said I waited too long to report it. Will never drive for rideshare again.
$150 a day is still slave wages with all of the expenses.
in most of the country you need at least $150 per day after taxes to live a decent life.
Without a doubt. $75 goes to taxes. $40 for gas. That's $35 left... And you still have to pay yourself and put money aside for maintenance
Technically a slave wage is $0 since a slave makes no money. This case they can make more then minimum wage.
@@Mr.DMZ. you are right... These arent slaves... Slaves don't get wages and don't have access to debt-instruments. These are "indentured servants" ! Thanks for helping to keep our metaphors historically accurate 🙄
Yep, that's life in a major urban area so I'm outta of here at the month for I can't keep up on the rents so I'm not signing another lease nor shopping for another apartment even though I could put down deposit and first months rent still yett. I'm going where apartments are $400 and houses $500 to $700 in the Heartland. While I didn't enjoy the Heartland Midwest as a kid for it was boring and too backwards in logic, I guess it'll have to do for a guy in his 50's to work part time and live to watch the world on the internet.
Prices are as high as ever. Wait times are longer than ever. Definitely not a sustainable business model. Why the rideshare companies keep trying to make the math work when it doesn’t befuddles me. All the time and $$ spent on lawyers fighting labor laws could be reallocated to hire product and business strategist to fix the business model!
The math works to keep the investor money flowing which is all that matters.
hi cutie
Rideshare companies don’t care about their drivers and are now shocked why drivers are leaving
Goes both ways. Having spoken to many Uber drivers, they will go with whatever company pays better, however many also hate the companies lol.
Uber has no drivers so no they don't care
@@gustavoaragon866 suppose it depends on where. London has loads still.
I don’t think drivers want just money, they want benefits, healthcare, mileage and such
Those things are not existent in TRANSITIONAL employment. Its really quite simple. Selling lemonade or delivering the paper where never meant to be career choices and so it is with Uber, Lyft and numerous other jobs available today.
@@SouthWestIron how is delivery transitional? How would you get your food at the supermarket?
@@SouthWestIron transitional employment is a crock, a scapegoat for sht business models. In many many countries, including most european, you can live comfortably on “transitional employment” .
which basically... is money, lol
@@GameFuMaster professional truck driving with a CDL and driving a passenger car around are not the same thing.
Ridiculous. And the food delivery services are even worse
I understand that delivery person has to be paid and their labour time is expensive. But the cut to these companies is just crazy otherwise...
There is no driver shortage but need justification to charge high prices. What they need is healthy competition. Please support your local Taxi companies in your cities. It's literally half the price or less than what these corporations are charging.
yes, the problem is that none of these companies have a profitable model. Although there may have been some inefficiencies with traditional cab companies, much of the price difference could be explained by the cost of providing the service, which included wages sufficient to retain full time employees.
It's just the convenience of not having to call or wave a local taxi
STFU. NO ONE IS GOING BACK TO THE TAXIS. NEVER AGAIN.
Thanks bro
@@big.r5550 yes they are goofy mog
They take a lot more than that, it's around 50-60 percent. Big companies are being too greedy, hurting the economy greatly.
@5:32 "we pay your salary you ***hole!" -in reality, the drivers are the ones actually providing value to the company. The drivers aren't the parasites of Lyft. Lyft is the parasite of the drivers. Just because they've been underpaying the drivers doesn't mean the drivers should be appreciative of it.
they always gave service UNDER cost price. And because investers want to see profits they raised the prices. they can do that because they lured in al these people who liked the cheap service 5/6 years ago
The problem is that they cut the drivers take at the same time. The contract says driver is supposed to take 70%, but they'll be lucky if they see %40-%50 these days. Shady AF
Customers are unhappy, drivers are unhappy and Uber is far from profitability. Looks like the app based taxi is an expensive proposition compared to yellow taxis
I remember back in high school when Uber was still starting off my ride would be 7-13 dollars max 😭😭
how cute. you're a baby
Because Uber is taking more than 50% of the fares. That’s why it’s so expensive. People think the driver is getting the majority of it, when Uber takes 50-60%.
I drive Uber. Uber takes 20%, I keep 80.
@@danielaramburo7648 you’re making that much now! Before the pandemic Uber and Lyft were taking much more--and Uber and Lyft vary from city to city.
@@JazzMaestra in don’t know where you Uber, but I been doing it 5 years. Since my first day, it’s been the same contract, 20% for them, 80 for me. I started in San Diego California, now I still do it part time in Dallas area.
@@zmadam maybe because I’m under the old contract?
Beware of Paid TROLLZ
Also, the goal was to fire all the drivers with robots. Didn't happen. Those driver now deliver pizza while the VCs are funding that pump and dump.
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I drive from time to time but I kinda. feel bad for passengers. I want to get paid but still. If only we could get rid of the middle man. Drivers and passengers would be better off
Don't feel bad if they couldn't pay they wouldn't have rode. Make your money.
@@RayanMADAO we appreciate those words, thank you
@@vucub_caquix I'm an uber driver too I know how it feels having to charge too much but you realize most people can afford it and just worry about yourself. It's fine to be selfish sometimes.
@@RayanMADAO I'm a Chicago uber driver, I Understand
Haggle for cash if you suspect uber or Lyft taxed them hard. Them handing you $20 is better than them paying $26 and you getting $13, which is super realistic right now with U/L crazy tax
Why no asking why Uber and lyft take over 65% of the ride money that's the most serious question. A lot of drivers love driving but at the same time this big 2 are just running people down to ground, no support at all.
Work for Amazon. Yeah it's hard work but you'll make $15/h at least.
A judge in CA just overturned that the proposition that made app based drivers contractors.
So Uber isn't making a profit for investors, and they aint paying their drivers?
At least one of them is lying.
yes the drivers, they could just stop if they didn't want the job.
@@bertlammens4392 another bot.
There's a third possibility: it's all going to management in bonuses and salaries.
@@tanjimpurno2560 yes someone not possessed by socialist ideology must be a bot
@@bertlammens4392 Didn't you watch the video? There's a driver shortage bc they are leaving
Whatever formula Uber and Lyft are following is actually ruining the ride-share model.
Total mouth frothing Millennial Greed..
Or there never was a model...
@@_Ekaros tHERE WAS A MODEL, FROM START TO FINISH EVERYHTING WAS PREDICTABLE BUT cOVID19 . THAT MESSED THEIR LITTLE MONEY GRUBBING PLAN UP.
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The price has to drop DRASTICALLY. Otherwise it's useless, you might as well take a cab or buy an electric bike if you are in town.
The missing cost " car depreciation per mile" is 0.08-0.15 depending on type of vehicle. $24hr an hour isn't $24 an hour. 10000 miles at 0.10 per mile is -$1000 in depreciation of your own personal vehicle .
The prices were unsustainably low.
When you factor in Uber/Lyft's cut, gas, wear-and-tear on vehicle, etc....No one is making money. There's a reason taxis have to charge what they do.
Yea taxis charge what they do because it's a business and they need to make a profit and pay there drivers to live and support themselves, Uber and Lyft and all these garbage apps will fail one day
@@geekedmaxx Exactly. It's an indictment on the economy when businesses that actually make money are at a disadvantage compared ones that run deep in the red but are propped up by VC.
@@Jeff-hn8iy yup banks and vc finance these garbage companies because there big and Uber and Lyft put out these smaller businesses like taxis because they get funds from banks because there a larger company and have connections it's pretty sad actually that these large companies swoop in and destroy small businesses that actually pay there workers a good wage and have better job security
@@geekedmaxx Still too expensive.
Gosh. I think I learned at about 10 or 12 years old that if the pay wasn't worth the effort, I could just say no and find something that paid what I considered a fair wage.
Or like not rely long term on a gig job.
You think that's how the jobs market works?
You must still be 10 or 12.
@@Gambit771 Yes. Its worked for me my whole life. If you can, explain how I am wrong.
@@Gambit771 Yea. Unskilled labor and gig jobs pay less than a job requiring education or training.
@@kcgunesq Or you could explain how you're right.
Passenger enjoy paying cheap for years not even tipping and full of complaints while Uber keep kicking out and deactivating drivers. Basically the fundamentals are self explanatory itself.
Uber is a scam! Lyft is a scam!
@@BadDriversOz what's worse is that Uber and Lyft keep hiring new drivers to keep the cheap prices even cheaper with no regards for the drivers who already drove for 3 to 4 years with car beating up.
@@MurangShaBu_MahalNaBiGas Scam proven!
There is no shortage of drivers. The drivers are not being paid enough to make this a viable economic endeavor. I was an Uber and Lyft driver during the pandemic. I quit and started my own livery service with two employees. Uber and Lyft are completely dead in my location. No drivers at all.
Some people complain that workers/drivers don’t get paid enough. Then act so surprised when prices go up 🙄
Exactly fn idiots
My question is why are these ride shares paying the drivers a small amount like they own the vehicle.
Nooooo.
Driver gets 70% and company gets 30% .
Not the other way
Uber get 19 % , it was shown in the video
@@johnsamuel1999 thats crazy, these drivers are owner operator's. They get a big cut. They risk it all
@@DanielGarcia-zz9eg true but uber and lyft get the drivers cuatomers and provide the tech to make the customer experience better . They also help handle the payments and provide cusyomer service in case of disputes .
Therefor i think 19% is justified
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@@johnsamuel1999 Uber takes WAY more than 19%.
By default, they take 25%.
Then they charge about $2.50-$3.50 in fees to the passenger that the driver never even sees. It by goes straight to Uber.
Year 2000: don't get in car with strangers
Year 2020: damn, I really need to get in a car with a stranger
Uber is a scam! Lyft is a scam!
Uber and Lyft needs to be thoroughly checked by the regulators for artificially jerking up prices even when there’s no surge, more so just to pay drivers way less than 50% of the ride pay.
Nope, "jacking up" helps drivers in the end
Old politicians are so clueless on all of this new technology
Uber and lyft are charging more and passengers are paying more but driver’s are paid the same
They take a lot more than that, it's around 50-60 percent. Big companies are being too greedy, hurting the economy greatly.
Not really. They did raise drivers rate, but may not have raised it proportionally though
You think the investors don’t want their money back for paying the bill all these years?
Uber and Lyft quadrupled fares and did they pay the drivers more? Hell no is the answer, in fact driver pay decreased.
Here's the fact; drivers only get less than 40% of what riders pay.
They are scamming the customers and the drivers! Every driver I talk to they all said no matter how much they increase the prices they’re not benefiting from the price surge at all! The prices are ridiculous and I’m tired of the hidden fees. Hurricane Ida I was charged $200 to get home which was only 20 blocks away!!
It’s nuts. 20 dollars just to go 2 miles!
i wouldve just ride a bike
You…. Could…. Walk.
@@shasmi93 plus the value of exercise
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It's called surge pricing. Otherwise that shouldn't cost more than $8.
Lyft became a joke, they raised the prices for passengers but lowered it on drivers to became as profitable company! Drivers will eventually leave like me.
And that's the reason why I don't drive for rideshare much.
Uber's CEO cut drivers wages at the same time increasing fares. LOL He wants his cake and eat it too. Its a pay shortage not a driver shortage. Any driver that takes rides getting paid $4-6 an hour minus vehicle expense is insane. Most drivers like myself quit and are working other better gigs!
They should let the drivers decide their own price-per-mile.
Ah yes, the business model of pricing a private chauffeur below what the actual cost is. The reality comes crashing down hard when people suddenly don't really want to be private chauffeurs and investors come banging on the door demanding profits.
Not going to lie, Uber did a pretty good job all things considered.
Private chauffeurs are low productivity industry. You can at most drive a few people, usually just one paying. Now calculate travelling to pick up and time spend with fuel and wear and tear and depreciation... Ofc, it is not cheap, unless there is VC money involved.
finally someone addressed this!!!!
Funny how all this higher price stability is for profits & doesn’t even give drivers better income
Drivers do not deserve better income, they must EARN it. The company exists to make profit. If driver doesn’t like it, they can LEAVE. The entitlement mentality you guys display is pathetic…
@@EnderViBrittania well they're leaving, and now the one being entitled and upset is Uber/Lyft
@@EnderViBrittania that is LITERALLY what is happening lmao
@@Luis-ef2zn Good, this is freedom. Let’s see what happens next.
@@tinyturquoise94 Good, this is freedom. Let’s see what happens next. I was responding to the highly voted comment that shows entitlement mentality… I was not responding to the fact some drivers are leaving.
I don't understand how they're not profitable, it's only an app and they're simply taking a large percentage of each ride. They have no real expenses.
So you don’t think operating an service app across multiple nations doesn’t get expensive 🤦♂️. You have a lot to learn about operating such a massive business.
I live in LA I was going 8 miles the ride was $59 I was in shock I said this is insane Decided to catch the bus to dodger stadium cost $8 🤦♂️😆WTF
As a rideshare driver it’s getting harder to earn a profit. After paying for insurance gas for the day and and calculating all the expenses for the vehicle it’s getting harder to break even.
Not to mention the expenses are getting more expensive. Because of shortages we have to pay more for maintenance cost than in the past. Don’t forget there’s just simply isn’t enough passengers to justify the gas expense. Are used to have the ability to pick up 130 riders in a week. Keep in mind that I do drive a luxury vehicle so my maintenance expenses are a bit more than a standard vehicle. An average week I would pick up 65 to 75 riders and that’s just for an average week. Now I’m lucky if I even pick up 30 people in a week. That’s saying that it was a busy week. Now in a busy ridiculous week I’ll pick up maybe 50 passengers. Again that doesn’t even compare to a average normal week.
I like how CNBC didn't even mention gas prices have doubled and that might be a reason why Uber and Left drivers would leave. That would reflect bad on their president so lets not talk about that.
anyone who is driving for uber in 2021 needs to get a ev.
@@fwefhwe4232 Yup by an expensive EV car just to drive Uber or Lyft. Yeah right.🙄
You forgot to add how much uber and lyft spend fighting government regulations and politicians
They will simply charge the passengers more to pay the drivers more, they recruited drivers with exorbitant perks and now shirking away from paying the same amount as VC funding has dried up
I’m buying a car now- it’s not worth these rides anymore
In Atlanta, November 2021, I notice as a driver, that Uber and Lyft are making more then the drivers with the booking, service fee and other fee, which Uber and Lyft are charging their customers. We as driver aren't receiving any of the extra revenue from the increase fares.
I started driving for both in 2018 and they weren't bad before they went public and started answering to shareholders. They went from easy to reach to impossible to reach for support. The bonuses they offer me aren't "we'll give you X amount if you come back" it's "do 100 rides in 5 days to earn X" and if you do the math you'd make X anyway so it's not really a bonus. I switched to deliveries prior to the pandemic and have never looked back.
I recently drove for Lyft for two days and didn’t make any money. I did a 28-mile trip and only received $5 for it.
Sometimes it's just cheaper to take a taxi in NYC. I once took a three-and-a-half mile Lyft ride from Fort Green to Bushwick in Brooklyn for $76 plus tip! That's crazy high!!
Why would you tip?
@@Gambit771 I'm a good person who always tip people who serve me food, drives me somewhere, cuts my hair, delivers my meals or groceries, etc. You know, a good person.
Was there an event going on in that area and was there a surge rate taking place?
@@brandonsavitski it was the weekend, but still.
One night I picked up three guys from a fancy Buckhead Bar and took them roughly 5 minutes to their home and they told me the were charged $50 for the ride. At the end of the trip Uber paid me only $3.75 for that ride. After driving for Uber for three years I quit after that night. Greed is destroying these companies. Year after year they have cut the milage pay rate which was close to $2 per mile when I started to around $.60 cents a mile now. The income after expenses is below minimum wage at this point.. THIS IS THE REASON FOR THE DRIVER SHORTAGE.
In the UK drivers spent 4 years campaigning to have full employee contracts despite signing up to be independent contractors in the first place (which is Uber’s business model for cheap rides). A law has passed this year that drivers get more employee rights including holiday pay. Shortly after I noticed frustratingly long wait times and ridiculous prices. They got what they wished for. Just take a black cab. It’s like £5 more, but competent, smart, less rude drivers + quality service