Travelore News: Uber Cuts Prices In More Than 100 Cities

(Photo: AP)

Was your ride home a little cheaper than usual this weekend? If you're an Uber user, you're not imagining things.

Uber lowered prices in more than 100 U.S. and Canadian cities starting on Saturday, according to a statement on the company website.

The price cuts are an effort to boost rides in the "winter slump," when business slows down, the ride-sharing company stated.

For some cities, this is the third consecutive year that Uber has lowered prices in January.

"Seasonality affects every business, and Uber is no exception because when people hunker down at home, demand for rides drops," the company stated. "Fewer trips are tough on drivers, many of whom want to save money and pay off their holiday credit card bills now that January is here."

The size of the discount depends on the city.

"While pricing is a science, every city is different: different economic circumstances; different regulations; different competition," Uber stated, noting that in the past, price cuts haven't always worked.

"Last year, for example, earnings fell in some cities and we changed back," Uber stated. "In Charlotte, for example, we pulled a 40 percent price cut back to 29 percent, and earnings for drivers grew by nearly 20 percent in 2015. And in two cities, including Seattle, we ended up reversing the price cuts entirely when it became obvious that prices were already low enough."

Uber also made headlines this weekend when San Francisco's biggest cab company filed for bankruptcy, partially blaming Uber for taking a large percentage of its customers and a number of its drivers as well.

Source:  Natalie DiBlasio, USA TODAY