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Enjoy the $1.05 while it lasts. In older markets the rate then dropped to $0.70. It's the Uber market model plain and simple. Maybe before 2016 ends for the HBG market. The first step is flood the market with new drivers, we all have seen that recently. Then cut the rate only the disperate keep driving but it is enough for Uber.
In the near future Uber will start a new radio ad campaign and offer drivers new incentives to get their friends driving for Uber. When that happens, $0.70/mile is right around the corner. It is capitalism.
An employee at minimum wage will bring home more money then an independent contractor driving for Uber and personally maintaining their car and buying their own gas.
That's the system we are part of, only the most disperate will keep driving. It is enough for Uber.
 

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3,367 Posts
Enjoy the $1.05 while it lasts. In older markets the rate then dropped to $0.70. It's the Uber market model plain and simple. Maybe before 2016 ends for the HBG market. The first step is flood the market with new drivers, we all have seen that recently. Then cut the rate only the disperate keep driving but it is enough for Uber.
In the near future Uber will start a new radio ad campaign and offer drivers new incentives to get their friends driving for Uber. When that happens, $0.70/mile is right around the corner. It is capitalism.
An employee at minimum wage will bring home more money then an independent contractor driving for Uber and personally maintaining their car and buying their own gas.
That's the system we are part of, only the most desperate will keep driving. It is enough for Uber.
It is more than a matter of only retaining the most desperate. It isnt that simple. Some people are that hooked thanks to what they remember of the big surge, the big earnings. Also, the model will still work somewhat for the countless drivers who are very casual. Those drivers will be mostly frustrated by having theor casual work require them to give more thought, to less carefree, but they will keep going.

There are those who will be thought of as stuck and in that sense desperate, that might be someone who purchased or financed a new car to drive TNC. They could be stuck. As for those who are truly desperate and down on their luck, regardless of Uber, many of those people will likely be gone, it will be game over, they may default on a car loan or who knows what, but in this case, being desperate is also a kind of freedom if you are paying attention.

It is a strange gig they have created, in towns Harrisburg and State College have proven unusual. The rates cuts have been very slow to come. SC still hasn't been hit. Uber is about manipulation. Towns with sub dollar miles are still flooded with drivers. There is zero shortage of drivers in the markets residing in the basement.

So when you suggest " Then cut the rate only the disperate keep driving but it is enough for Uber." That is inaccurate Uber wants tons of drivers, always will, they simply feel confidant to be able to jerk you around. WHen convenient they jerk the pax around to exploit a drivers sense of greed, the driver base is built on greed. When they have you guys hooked, they make you pay it all back. ASAT
 
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