In April we were excited to reduce uberX fares by 20%.
Every major decision we make is guided by data, and this was no exception. The decision to adjust prices was made considering past results from over 50 cities across the globe. We were confident that the price change would increase rider demand, and therefore increase driver-partner earnings (after expenses).
We wanted to share some of the results.
Despite uberX fares being lower, average driver-partner hourly bookings have increased by more than 30%. This has been driven by an increase in average trips per hour of over 40%.
The chart above is directly in line with our initial expectations. We have seen a significant increase in the number of Perth riders, initially fueled by the price reduction but continued by the hard work and customer service of uberX driver-partners.
We’re excited to be providing safe, cheap and reliable transportation options to more than 100,000 people in Perth.
This is a powerful example of how we are able to use data to make smart decisions. In this case, we used economic modelling to set a more efficient price, which in turn led to better outcomes for both riders, who now pay less, and driver-partners, who now earn more!
We look forward to sharing more interesting findings with you as we grow, increase the efficiency of the system, and learn more about how the people of Perth move around our wonderful city.
Uber Perth Team