Uber, one of the country’s most popular online cab service providers, has introduced a subscription model for its driver partners.
The company started this model two weeks ago and has now rolled it out across the country. This new plan will benefit Uber drivers.
The subscription model applies to all car, auto-rickshaw, and motorcycle drivers. Similar cab aggregator companies like Rapido and Ola already follow a subscription system.
Under Uber’s new plan, drivers no longer need to pay a commission on every ride. Instead, they can pay a daily or monthly subscription fee and keep their full earnings from rides.
Why Did Uber Make This Change?
The main reason for this decision is increasing competition. Rapido and Ola had already launched subscription models, and these attracted a large number of drivers.
Many drivers prefer paying a one-time fixed fee rather than sharing a commission from every ride.
As a result, more drivers were shifting to Rapido and Ola, which could have caused losses to Uber. To stay competitive, Uber has now also introduced this model.
Drivers Welcome the Subscription Model
Previously, Uber charged drivers a 15–20% commission on each ride, which reduced their earnings.
Drivers often complained about this system. With the subscription model, however, they only pay a fixed fee (daily or monthly) and then keep the full amount they earn from rides.
This model allows drivers to earn more than before, making it more attractive. That’s why many drivers now prefer subscription-based plans.
Uber has launched both daily and monthly subscription options to meet drivers’ needs.
