To boost demand during the winter slump, Uber is cutting prices for January rides in more than 100 U.S. and Canadian cities. With the cooler weather, many people will stay in — causing demand for rides to go down, according to Uber.
For certain cities, this is the third year that Uber has dropped prices in January. Driver earnings in those cities — such as Boston, Los Angeles, Minneapolis, Washington, D.C., Albuquerque and Memphis — continue to increase each year, says Uber.
But in other cities, driver earnings fell and Uber changed the prices back. For example, in Seattle, Uber ended up reversing price cuts when it was apparent that prices were already low enough, says the company.
“We’ve learned over the years that we do best when we test new things,” according to a news release by Uber. “With each new test — small or large — we learn more about the choices riders make, and how those choices impact earnings for drivers.”
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