Uber expands 'Flex' service to more cities in India, embracing user-driven pricing

Uber is rolling out its innovative 'Flex' pricing service across several tier 2 and 3 cities in India, in a bid to broaden its customer base and offer commuters a unique bidding experience for their rides.

The service, named Uber Flex, made its debut in India last October, marking a departure from Uber's conventional pricing structure. Initially launched as a trial, this unique service has now reached cities like Aurangabad, Ajmer, Bareilly, Chandigarh, Coimbatore, Dehradun, Gwalior, Indore, Jodhpur, and Surat, among others, as reported by TechCrunch.

"We are piloting this feature in some of the tier 2 and 3 markets in India currently," an Uber spokesperson said.

Not limited to India, Uber Flex is also undergoing trials in Lebanon, Kenya, and various regions in Latin America.

In contrast to Uber's traditional pricing approach, Flex allows passengers to set their desired fare from nine distinct pricing points, with a default price preselected. This model empowers riders to choose a fare, which is then shared with nearby drivers. These drivers, in turn, have the autonomy to accept or decline the ride based on the offered fare. Moreover, drivers themselves have the liberty to propose their rates to the user, presenting passengers with a choice to select the offer that best suits them before confirming the ride.

The concept of user-driven pricing isn't entirely novel. InDrive, another ride-hailing app, permits riders to manually input a specific fare. Last February, inDrive secured a substantial $150 million in funding, expressing intentions to utilise the funds for customer acquisition, retention, and continued expansion.

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