{"id":14112,"date":"2016-05-30T09:00:51","date_gmt":"2016-05-30T13:00:51","guid":{"rendered":"http:\/\/www.Centives.net\/S\/?p=14112"},"modified":"2016-05-31T11:20:27","modified_gmt":"2016-05-31T15:20:27","slug":"the-behavioural-economics-of-surge-pricing","status":"publish","type":"post","link":"https:\/\/www.Centives.net\/S\/2016\/the-behavioural-economics-of-surge-pricing\/","title":{"rendered":"The Behavioural Economics Of Surge Pricing"},"content":{"rendered":"<p style=\"text-align: center;\"><img loading=\"lazy\" decoding=\"async\" class=\"\" src=\"http:\/\/www.Centives.net\/S\/wp-content\/uploads\/2016\/05\/052816_1750_TheBehaviou1.jpg\" alt=\"\" width=\"640\" height=\"427\" \/><\/p>\n<p>As Americans return from Memorial day barbequeus they&#8217;ll likely be wincing at Uber&#8217;s surge pricing. Keith Chen, head of economic research at Uber, spoke with NPR about some of the intriguing things he&#8217;s found in an analysis of Uber&#8217;s surge pricing data:<\/p>\n<ul>\n<li>Passengers are more likely to agree to Uber&#8217;s surge pricing, if the amount of surge is 2.1, rather than 2.0.<\/li>\n<li>The reason is because when it&#8217;s 2.1 passengers think that there&#8217;s a complicated algorithm deciding the amount of surge. When it&#8217;s 2.0 it looks like Uber is just doubling prices and may not have put a lot of thought behind it.<\/li>\n<li>Passengers are also more likely to accept surge pricing if their phones are low on battery \u2013 probably because they don&#8217;t want to risk waiting and trying again in 15 minutes to see if surge pricing disappears.<\/li>\n<li>One way for Uber to assuage passenger anger about surge pricing would to be boost the base fare, and instead of adding a surge during busy periods, offering a discount during non-busy periods.<\/li>\n<li>But while this may help placate passengers, drivers would probably then become angry at the idea of driving for a discount during non-busy periods.<\/li>\n<\/ul>\n<p>The full podcast is interesting. You can hear it <a href=\"http:\/\/www.npr.org\/2016\/05\/17\/478266839\/this-is-your-brain-on-uber\">here<\/a>.<\/p>\n<p>Source: <a href=\"http:\/\/www.npr.org\/2016\/05\/17\/478266839\/this-is-your-brain-on-uber\">NPR<\/a><\/p>\n<p>Via: <a href=\"http:\/\/qz.com\/687231\/people-are-more-likely-to-take-uber-at-2-1x-surge-pricing-than-2x\/\">Quartz<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>As Americans return from Memorial day barbequeus they&#8217;ll likely be wincing at Uber&#8217;s surge pricing. Keith Chen, head of economic research at Uber, spoke with NPR about some of the intriguing things he&#8217;s found in an analysis of Uber&#8217;s surge pricing data: Passengers are more likely to agree to Uber&#8217;s surge pricing, if the amount [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":14111,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-14112","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-daily-bulletin"],"jetpack_featured_media_url":"https:\/\/www.Centives.net\/S\/wp-content\/uploads\/2016\/05\/052816_1750_TheBehaviou1.jpg","_links":{"self":[{"href":"https:\/\/www.Centives.net\/S\/wp-json\/wp\/v2\/posts\/14112","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.Centives.net\/S\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.Centives.net\/S\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.Centives.net\/S\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.Centives.net\/S\/wp-json\/wp\/v2\/comments?post=14112"}],"version-history":[{"count":3,"href":"https:\/\/www.Centives.net\/S\/wp-json\/wp\/v2\/posts\/14112\/revisions"}],"predecessor-version":[{"id":14125,"href":"https:\/\/www.Centives.net\/S\/wp-json\/wp\/v2\/posts\/14112\/revisions\/14125"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.Centives.net\/S\/wp-json\/wp\/v2\/media\/14111"}],"wp:attachment":[{"href":"https:\/\/www.Centives.net\/S\/wp-json\/wp\/v2\/media?parent=14112"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.Centives.net\/S\/wp-json\/wp\/v2\/categories?post=14112"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.Centives.net\/S\/wp-json\/wp\/v2\/tags?post=14112"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}