[LISTEN] Uber's surge pricing to be in place on New Year's Eve
Uber sub-Saharan Africa GM Alon Lits explains pricing decisions on New Year's Eve.
CAPE TOWN - It's New Year's Eve, and the responsible thing would be to not drink at all, or to get a designated driver, but for many people, the next best option is to make use of a ride-hailing service.
But as we've seen in previous years, demand can exceed supply and tariffs soar, and sometimes there is also a shortage of lifts available.
Alon Lits, General Manager, Sub-Saharan Africa at Uber explains pricing decisions to avoid anyone being shocked.
"The key thing about surge pricing is that if it is in effect it will be very clear in the application...there are no surprises."
It will clearly show the additional multiple being added to the fare.
He explains that surge pricing works off an algorithm based on a supply and demand dynamic.
"It comes into effect because we would rather give people to ride at a higher price than leave them stranded."
Listen to the audio above for more.