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How can Uber and Lyft drivers complain and ask for more pay when these companies are unprofitable?

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NickBursickPhd
16
 Posted 4 months, 2 weeks ago

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Hello, folks at RideGuru.  Drivers or Riders.  I am asking this sincerely without any underlying tone or insinuation.  Just a dead honest question as to where the problem may be. 

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    RedANT
    1069 Rider Driver
     4 months ago

    Drivers pay 100% of the cost of our vehicles.  (and absorb 100% of the depreciated vehicle costs)

    We pay for gas.  (@ $3.50+ /gal)

    We pay for maintenance.

    We pay for insurance.  

    We do 100% of the work.

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    Uber maintains an app.

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    The above considered, how much do you think Uber should make per transaction?  10%?   20%?  30%?

    In reality, Uber routinely takes a MINIMUM of 35%, and it isn't uncommon for them to take up to 65%   On average, taxis charge approx $2.50 /mile, but the average rideshare driver gets paid 60 cents a mile, i.e. rideshare drivers make, on average, less than 25% of what taxis charge.  Personally speaking, if drivers are going to absorb all the expenses, I don't think that it's unreasonable for drivers to expect  at least 70-80% of fares paid.

    Do you think that's fair?  

    Driver pay has been slashed over the years, and what I make now is approx 40% LESS than what I d...

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    Drivers pay 100% of the cost of our vehicles.  (and absorb 100% of the depreciated vehicle costs)

    We pay for gas.  (@ $3.50+ /gal)

    We pay for maintenance.

    We pay for insurance.  

    We do 100% of the work.

    *********************

    Uber maintains an app.

    *********************

    The above considered, how much do you think Uber should make per transaction?  10%?   20%?  30%?

    In reality, Uber routinely takes a MINIMUM of 35%, and it isn't uncommon for them to take up to 65%   On average, taxis charge approx $2.50 /mile, but the average rideshare driver gets paid 60 cents a mile, i.e. rideshare drivers make, on average, less than 25% of what taxis charge.  Personally speaking, if drivers are going to absorb all the expenses, I don't think that it's unreasonable for drivers to expect  at least 70-80% of fares paid.

    Do you think that's fair?  

    Driver pay has been slashed over the years, and what I make now is approx 40% LESS than what I did just a few years ago.  Why is our pay lower?  It's because Uber and Lyft slash driver pay to subsidize rider fares to increase their market share. 

    How bad have things become?  In California, a large number of drivers are fighting for legislation that would make them MINIMUM WAGE EMPLOYEES.  If fast food workers had to use their personal vehicles for work, do you think that it wold be fair to pay them minimum wages?  

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      Uberserge
      1166 Rider Driver
       4 months ago

      Well done sir. Pax are in a subsidized fantasy land, they have no clue. They get ripped off by Uber and Lyft and they think drivers are swimming in cash not knowing UBER just took half what they paid. Of course no top.

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    JustSchmidt
    86 Rider
     4 months ago

    OMG.  He just went there. Commence the sh*tstorm.

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      Uberserge
      1166 Rider Driver
       4 months ago

      He has no clue about the economics of rideshare, not as a passenger not as a driver. 

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    Uberserge
    1166 Rider Driver
     3 months ago

    Uber will never be profitable as long as they chase a pipe dream of flying cars, self driving taxis and maybe if they didn't have over 100 lawsuits over 60 by state and federal AG due to their shady and illegal corporate policies, then maybe they may turn a profit. I doubt it though.

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    Uberserge
    1166 Rider Driver
     3 months ago  (edited 3 months ago)

    Ask yourself why they're unprofitable, not because of drivers. Would love to see how unprofitable they'll be when they own their own cars.

    I would study the economics of the rideshare industry, then figure out why the drivers are asking for more money.

    PASSENGERS ARE LIVING IN A SUBSIDIZED FANTASY LAND, all rides should cost at least double of what they are now, everyone will turn a profit, no one will complain then except maybe the pax.

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    CWalcutt75
    252 Driver
     3 months ago

    That's because the business model is broken. Uber is wasting money investing in things that have nothing to do with ground transportation and is charging way less than what people are willing to pay. (remember taxis? People used to take them.)

    Uber is evil.  They sacrificed the drivers' pay in order to force growth and to thwart the competition.  They really messed it up.

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    JimHemlock
    140 Rider
     4 months ago

    Uber wastes a lot of money on side projects like autonomous cars and Uber Airport (or whatever it's called)

    Not sure why Lyft loses money.  lol

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      Uberserge
      1166 Rider Driver
       4 months ago

      Because they are selling a 50 can't burger for a nickel. Passengers are in a subsidized fantasy land so is uber and Lyft. Their business model is flawed, they'll never make money.

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    Uberserge
    1166 Rider Driver
     4 months ago  (edited 4 months ago)

    Problem is that Passengers live in a subsidized fantasy land. The ride you pay $10 for should be priced at $25, albeit less than a cab by 25% not 75%. The winners out of this, top executives at UBER, early VC and the passengers. This is what happens when U/L are in a race to the bottom, sell a 50 cent hamburger for a nickel. 

    Don't come back with the typical, if you don't like it don't do it answer.