Uber Expands Ride Pass Monthly Subscription Service to 20 US Cities
The program lets Uber riders lock in lower rates for a flat monthly fee.
Uber is expanding its Ride Pass subscription program to more United States cities and metropolitan areas. The program, which gives users unlimited rides at a discounted rate, launched in five U.S. cities late last year. It's now available in more than 20 cities, according to Uber.
Ride Pass plans start at $14.99 a month in cities where Uber only offers ride-hailing. Users pay consistent lower rates for an unlimited number of rides in the city where they purchased a subscription. Drivers get the same pay, leaving Uber to cover the difference. In cities that have Uber's bike-sharing and scooter-sharing services, the rate jumps to $24.99 a month, but riders can get up to 30 free minutes a day, according to Uber.
Uber launched Ride Pass in October 2018, but only in Austin, Denver, Miami, and Los Angeles. The company is adding the following cities: New York City, Dallas, San Diego, Seattle, San Antonio, Las Vegas, Phoenix, Orange County, Baltimore, New Orleans, Nashville, Portland, Raleigh-Durham, St. Louis, Jacksonville, and Memphis.
Ride Pass is an attempt by Uber to keep pace with rival Lyft. The smaller ride-hailing company launched its own subscription service last year, albeit using a very different model. Uber also has an airline-style rewards program called Uber Rewards. It allows customers to accrue points that can be redeemed for discounts and points. Lyft has discussed launching a similar program, but hasn't pulled the trigger yet.
Programs like these help keep customers loyal to one company, rather than switching back and forth between the two. Uber and Lyft are looking to bolster their ridership numbers as they each head for an initial public offering (IPO) this year. The Uber and Lyft IPOs will be a major test of the long-term viability of ride-hailing companies.