Uber is introducing a new feature called "Surge Drop" for all iPhone users this week to help people find cheaper rides.
Uber, popular mobile application that connects passengers with drivers for quick rides, announced a new feature for iPhone users that will notify them when surge pricing drops around them. The new feature, which was first introduced at the Launch Festival in San Francisco by CEO Travis Kalanick, will be available in most cities by the end of this week. Passengers can take advantage of "Surge Drop" notification to get lower rates when available, in addition to the usual instant rides that sometimes require surge pricing.
Uber users can enable push alerts that will notify them when the surge pricing ends and a lower fare becomes available. Uber's surge pricing rises when the demand increases. If a user looks for a ride during a surge, the app will notify them about the price increase. Users will have the choice to go ahead and book the ride for the higher fare or choose the new option, "notify me when surge ends." This new feature will be available only on updated Uber apps on iPhones that will send push alerts when surges end.
If users opt for surge drop notification, the request will only last for 30 minutes, which means users will need to re-enable their push notification request every half hour.
"We'll stay true to our pledge to get you the fastest ride available, and sometimes that will require surge pricing to get more drivers on the road. But at those times when your schedule is flexible, you can hold out for a ride that's as affordable as it is reliable," the company said in a blog post, Monday.
The surge pricing feature was first introduced in 2011 that set higher fares during peak times. This helped Uber to get more drivers on roads to manage demand and supply. This move was criticized by users, especially during occasions like New Year when the rates are much higher than the normal fare. The introduction of surge drop notification will give an option for users to tackle demand spike.
Uber did not reveal if the changes will be applied to Android users, but it is unlikely for the feature to miss the most dominant mobile platform. The Uber app can be downloaded for iPhone users from the Apple App Store.
