Uber SA is reviewing its recent decision to cut fares by 20% in cities across the country. On Monday, 6 June, the company will announce if the prices will stay at the reduced rate or revert to the older prices.
The reason for making the service cheaper, Uber said at the time, was to increase demand and decrease downtime for drivers.
There was some backlash from drivers as they said they would now have to work more for less money. However, Uber said it would guarantee drivers would make more money than before. If not, the company would reimburse drivers the difference in income.
Alon Lits, Uber SA GM, said at a press conference yesterday that the company has made true on this guarantee and paid out to some drivers who earned less.
He did not say if the price cut has been a success, but said Uber is monitoring it closely.
"If there isn't a clear increase in ride requests during the price-cut period, we will rethink the strategy.
"The only thing we will consider when deciding if the prices should stay the same, is if the drivers are making more than they were before," said Lits.
Cab clashes
The last few weeks have seen an increase in intimidation attacks on Uber drivers by meter-cab taxi drivers.
Last week, Uber cars were stoned by meter-cab taxi drivers outside the Gautrain station in Sandton.
Addressing the recent attack, Lits said this was an isolated incident with only a handful of drivers affected.
Lits noted he was grateful for the quick response from police.
The strategy at the moment when dealing with meter-cab drivers remains broad-based engagement, he added.
The company is talking to as many meter-cab drivers as possible to try and get them to use the Uber platform themselves.
"As we have always said, our technology is open and pro-choice and we are keen to offer it to a broad number of taxi drivers to boost their occupancy rates and chances for profit.
"In fact, many metered taxi drivers are already using our technology to boost their incomes and we would welcome more who wish to join their colleagues. We do not feel it should be about Uber or taxi but rather Uber and taxi."
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