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word on the street is taxis are about to cut there rates by 20%, will uber follow?
Yes it's now a race to the bottom on the streets of Melbourne
 

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How can you write crap like that when it's only something you (supposedly) "heard on the street". Aside from that GCatch has just raised its rates significantly, and that's a fact, not hearsay.

Just trying to start yet another vacuous thread with no substance ?
Why do you disciples of Max carry so much anger? Scottie is passing on some scuttlebutt that is getting around, so what's the big deal? Not like he's trying to sell state secrets
 

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Why do you disciples of Max carry so much anger? Scottie is passing on some scuttlebutt that is getting around, so what's the big deal? Not like he's trying to sell state secrets
No anger Graham, and I'm not a disciple of anyone. Its just something he heard on the street for goodness sake. GCatch have just increased rates (fact), so how does that fit in with the supposed "race to the bottom".
 

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Allready happening .
Read this.

http://taxi.vic.gov.au/taxi-reform/about-taxi-and-hire-car-reforms/price-notification

Obviously they've been testing the system in country areas first before bringing it to melbourne.
Taxi overheads will be lower now.Therefore taxi's can drop current rates a little.But they are not going to cut them to uber levels.Taxi companies are not like uber.They realize drivers still have to make a living.On the other hand uber doesn't give a s..t about drivers and their struggle to make a living.But i still dont think uber will drop their rates any lower.

Id love to see uber and cabs compete on a level playing field re; price.
but preferably by raising uber rates, not lowering taxi fares.
Be a win win for everyone.

(Not the general scumbag public obs)
Don't think this will happen.
 

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Taxi's could cut 10% now that they don't have plate lease costs, also it's going to be a world of pain if taxi numbers now increase due to the abolition of the taxi licences plate system that did limit numbers .

And there's no reason it won't.

Reading that link above it's possible fares will just be set by the taxi radio companys concerned.

Much like the UK minicab system.

Maybe the government will regulate street hail fares?

I dunno.
 

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Taxi's could cut 10% now that they don't have plate lease costs, also it's going to be a world of pain if taxi numbers now increase due to the abolition of the taxi licences plate system that did limit numbers .

And there's no reason it won't.

Reading that link above it's possible fares will just be set by the taxi radio companys concerned.

Much like the UK minicab system.

Maybe the government will regulate street hail fares?

I dunno.
We will have to just wait and see.
 

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How far below actual operating costs are they expecting uber drivers to continue to work for I wonders.

Since anyone with an average IQ or above won't work for a long term loss it's only gunna leave those with below average intelligence out there working for uber base rates..
 

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There are numerous benefits to the PNS:

  • Increased competition - like many aspects of the taxi industry reforms, the price notification system is designed to encourage more competition between operators and help to deliver better services to passengers.
An Excerpt from the above mentioned link by yogi bear

I find this kind of statement odd, because cheaper does not necessarily mean better. you only have to look at the discontent of drivers in markets where uber has cut rates already....
 

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The 5 of us heard Lucas at out meeting say the following.
If Melbourne taxis drop rates uber follow them.
Correct GrahamJ?
Correct and other metrics such as demand versus driver availability. While common sense tells me that rates can't go lower one has to look at history of previous rate cuts. They were all preceded with a massive "incentive" programme to bring on a truckload of new drivers then when they reach a magical number of drivers then they drop the rates. The last rate cut also coincided with the Uber fee increase from 20% to 25%!

So just take a look at the landscape that Uber have been preparing for a few months now! Massive incentives for idiot morons to sign their cousins and buddies up, introduce a very lucrative booking fee yielding $0.50/ride and they are able to drop rates without affecting their own bottom line. Classic Uber strategy where the only people who bleed are the drivers who will need to work more hours to make the same. By the way Uber recently increased their fee in Asia up to 28% so don't be too surprised if they take a crack at that here!
 
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