Surge Pricing: What You Need To Know As A Consumer

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Surge Pricing What You Need To Know As A
Consumer
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• When you have an essential task on a special or
  rainy day, you book a taxi using your favorite
  app. However, youre surprised that the cost is
  much higher than usual. How did you feel in that
  situation? This situation occurs due to surge
  pricing or dynamic pricing, and its the reason
  behind your unexpected reaction.
• This blog will help you grasp the idea of dynamic
  pricing more easily.
• Okay, we can begin now.

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• WHAT IS SURGE PRICING?
• Surge pricing is when a company raises its prices
  on a festival day, rainy day, or during busy
  times (when many people want their service). They
  do this to control the number of people using
  their service and to use their resources more
  efficiently.
• Many well-known brands also use the idea of
  dynamic pricing.

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• TOP BRANDS USING SURGE PRICING
• For ride-sharing Uber and Lyft.
• In food delivery DoorDash, UberEats, and
  Grubhub.
• In travel Airbnb, Kayak, and Expedia.
• For ticketing StubHub, Vivid Seats, and
  Ticketmaster.
• In retail Amazon, Walmart, and Target.
• In the Airline Industry American Airlines, and
  United Airlines
• Event venues such as Madison Square Garden,
  Ticketmaster, and StubHub.

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• LETS SEE HOW UBERS SURGE PRICING WORKS
• Uber wanted more drivers to work on busy or rainy
  days, so they introduced surge pricing. Without
  this pricing system, drivers didnt want to work
  on those days.
• Ubers dynamic pricing helped to solve
  transportation issues in real-time.
• It was a successful way for Uber to get drivers
  to work on special days.
• HOW DOES SURGE OR DYNAMIC PRICING WORK?
• Dynamic pricing becomes essential when many
  people want something (like booking a taxi or
  renting a house), but there needs to be more of
  that thing available.

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• Many people want to book a taxi during rush hours
  or special occasions. However, at that time,
  there werent many taxis or drivers around in
  that area. So, the company increased the price to
  make fewer people book taxis.
• ADVANTAGES AND DISADVANTAGES OF SURGE PRICING
• Advantages
• You can reach your destination quickly, even
  during busy times or special occasions.
• Drivers can make more money because of dynamic
  pricing.
• Business owners can earn extra money and use
  resources better.
• It can help reduce traffic jams.

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• Disadvantages
• Only some people are willing to pay a lot of
  money.
• Its hard to predict when surge pricing will
  happen.
• It can make customers less loyal.
• It can harm the companys reputation.
• Some customers might switch to a different
  service or app.
• TYPES OF SURGE PRICING
• Time-based pricing This happens during busy
  times like rush hour or midnight.
• Weather-based pricing Occurs when the weather is
  terrible, leading to higher costs.
• Geographical-based pricing Prices increase in
  areas where many people want the service.

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• HOW TO AVOID SURGE PRICING?
• Dont book during busy times, special occasions,
  or crowded areas.
• Plan your rides or stays.
• Try different apps or services.
• Share rides with others using carpool or
  ride-sharing options.
• The suggestions above can only partially stop
  dynamic pricing but can help you deal with high
  prices better.

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• In conclusion
• Some companies use surge algorithms to raise
  prices automatically when theres high demand,
  like during lousy weather, festivals, or busy
  times every day. It helps suppliers and business
  owners, but you might have to pay more if you
  need their service as a consumer.
• I hope this blog explains surge or dynamic
  pricing well. Thanks for reading. Goodbye!
• To Connect With Us
• Skype Abservetech Support
• WhatsApp [phone]
• Email ID support_at_abservetech.com

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