Starbucks Pricing Model For Uber

Fuberal

Well-Known Member
Sturbucks has become a household name more than a couple of decades ago. When they achieved scale, they started consistently raising their prices the past twenty years, did they lose any customers? Hell no, they kept their market share in the face of a lot of other competitors like Dunkin and Coffee Bean. When they raised prices as market leader the other were happy to follow. This is with world coffee commodity prices going down over the past decade in general.

Why can't Uber apply this model to rideshare? They've achieved scale, they have huge market share and Uber has become synonymous with transportation and a necessity. If Uber raised their prices every year going forward, even to the same level as a cab, no one will blink an eye. It has to be gradual and the other competitors will follow.

If you're willing to fork over 5 bucks a day for a latte, I'm sure pax wouldn't mind paying more for a safe and clean ride.

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somedriverguy

Well-Known Member
Sturbucks has become a household name more than a couple of decades ago. When they achieved scale, they started consistently raising their prices the past twenty years, did they lose any customers? Hell no, they kept their market share in the face of a lot of other competitors like Dunkin and Coffee Bean. When they raised prices as market leader the other were happy to follow. This is with world coffee commodity prices going down over the past decade in general.

Why can't Uber apply this model to rideshare? They've achieved scale, they have huge market share and Uber has become synonymous with transportation and a necessity. If Uber raised their prices every year going forward, even to the same level as a cab, no one will blink an eye. It has to be gradual and the other competitors will follow.

If you're willing to fork over 5 bucks a day for a latte, I'm sure pax wouldn't mind paying more for a safe and clean ride.

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The size of a tall coffee is $2.00?
 

uberer2016

Well-Known Member
Starbucks must taste better than their competition, right? How is an Uber's ride different from a Lyft's ride?
 

JustStef

Well-Known Member
Sturbucks has become a household name more than a couple of decades ago. When they achieved scale, they started consistently raising their prices the past twenty years, did they lose any customers? Hell no, they kept their market share in the face of a lot of other competitors like Dunkin and Coffee Bean. When they raised prices as market leader the other were happy to follow. This is with world coffee commodity prices going down over the past decade in general.

Why can't Uber apply this model to rideshare? They've achieved scale, they have huge market share and Uber has become synonymous with transportation and a necessity. If Uber raised their prices every year going forward, even to the same level as a cab, no one will blink an eye. It has to be gradual and the other competitors will follow.

If you're willing to fork over 5 bucks a day for a latte, I'm sure pax wouldn't mind paying more for a safe and clean ride.

View attachment 154380
They get it. They keep giving themselves raises at customers and drivers expense. Booking fee raises? Check! Upfront pricing(customer pay the maximum it should cost) -( driver is encouraged to take the shortest )= Difference goes to Uber ? Check!
Driver (steady decrease in compensation). How much does it cost Uber? Nothing!.....Priceless
 

The Gift of Fish

Well-Known Member
Sturbucks has become a household name more than a couple of decades ago. When they achieved scale, they started consistently raising their prices the past twenty years, did they lose any customers? Hell no, they kept their market share in the face of a lot of other competitors like Dunkin and Coffee Bean. When they raised prices as market leader the other were happy to follow. This is with world coffee commodity prices going down over the past decade in general.

Why can't Uber apply this model to rideshare? They've achieved scale, they have huge market share and Uber has become synonymous with transportation and a necessity. If Uber raised their prices every year going forward, even to the same level as a cab, no one will blink an eye. It has to be gradual and the other competitors will follow.

If you're willing to fork over 5 bucks a day for a latte, I'm sure pax wouldn't mind paying more for a safe and clean ride.

View attachment 154380
I never go to Starbucks. McDonalds coffee used to be undrinkable but they improved it to compete with the "designer" coffee bars, and now it's better than Starbucks etc and only costs a buck.
 

Travis -k

Well-Known Member
Starbucks must taste better than their competition, right? How is an Uber's ride different from a Lyft's ride?
No stupid pink mustache less rapey drivers

But honestly imagine if Starbucks was an app where you could stop by people's house and grab a cup of coffee and they just billed the drinker and charged a clean cup fee,

In no time at all they would lower the price of coffee to a nickel a cup and refund every drinker that said the coffee was cold

They'd also encourage coffee makers to give free donuts and allow them to use your crapper.

Mean while pax would demand chrome cast so they could cast their favorite TV shows and if you don't have free toast or scones
 

The Gift of Fish

Well-Known Member
No stupid pink mustache less rapey drivers

But honestly imagine if Starbucks was an app where you could stop by people's house and grab a cup of coffee and they just billed the drinker and charged a clean cup fee,

In no time at all they would lower the price of coffee to a nickel a cup and refund every drinker that said the coffee was cold

They'd also encourage coffee makers to give free donuts and allow them to use your crapper.

Mean while pax would demand chrome cast so they could cast their favorite TV shows and if you don't have free toast or scones
Lol. Also, the coffee drinkers can take their dog into your house. In case they need emotional support inside.
 

UberThisMK

Well-Known Member
They get it. They keep giving themselves raises at customers and drivers expense. Booking fee raises? Check! Upfront pricing(customer pay the maximum it should cost) -( driver is encouraged to take the shortest )= Difference goes to Uber ? Check!
Driver (steady decrease in compensation). How much does it cost Uber? Nothing!.....Priceless

BINGO!

Just like Starbucks, Uber has been raising prices even as the commodity prices it pays have fallen. Drivers are to Uber what coffee beans are to Starbucks - a commodity. Over time, Uber has figured out how to pay less for a ride and resell that same ride for more. They have already implemented the Starbucks model.
 
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