Tag Archives: Pricing

Uber Starts To Play That Stupid Surcharge Game

What’s next, charging for a carry-on bag? From the S.F. Gate: UberX to charge $1 fee for passenger safety (More on Uber here) Uber has just jumped the shark. Today they announced a new $1 add-on fee for “Passenger Safety”, claiming … Continue reading

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Not The Best Pocket Watch 340,000 Swiss Francs Can Buy

Time doesn’t exist. Clocks exist. From Digg:  Why Does This Pocket Watch Cost $400,000? This is an appealing pocket watch, but I have a few concerns: It has an “Oil Change” indicator on the back, reminding you to get it … Continue reading

Posted in Economics, Positional Good, Pricing, Technology, The One Percent, Veblen Good | Tagged , , , , , , , | Leave a comment

A “Pricing Strategy Consultant” Talks About Uber and Surge Pricing

 So, how much were you looking to pay? From the Harvard Business Review:  Why Uber Needs Clearer Pricing Rafi Mohammed is a “Pricing Strategy Consultant” and blogger at HBR.  He offers some clear thinking on Uber and surge pricing.

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Uh, Oh. Did Uber Artificially Restrict the Supply of Drivers on Valentine’s Day to Force Up Rates?

Uh, oh. From The Verge:  Uber kept new drivers off the road to encourage surge pricing and increase fares I keep hearing rumors about possibly nasty things Uber has done to claw their way to the top of what might … Continue reading

Posted in Barriers to Entry, Economics, Network Effect, Pricing, Taxis, Winner-Take-All Market, You're Not Helping | Tagged , , , , , , | Leave a comment

Swapping Transit Tickets Mid-Journey To Reduce Fares

 Let’s meet in the middle (From Medium.com: How To Hack Subway Fares Using Fare Arbitrage) I’m glad somebody took the time to look at this.  It turns out that in some circumstances two passengers on two different journeys on BART trains … Continue reading

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How Uber Uses “Surge Pricing” to Balance Supply and Demand, and the Psychology of “Gouging”

They won’t leave you stranded (From BusinessInsider.com: Uber Asked Customers — Including TV Host Michelle Beadle — To Pay 8 Times More Than Usual Last Night) Uber partitions each city they serve into zones and when the demand for rides in … Continue reading

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The Economics of Thai Bar Girls

A paradise for small entrepreneurs In the few short days of my vacation, I’d become a regular at a pub near the Nana SkyTrain Station in Bangkok’s Sukhumvit neighborhood.  I liked sitting outside, drinking sparkling water, watching the world go by and … Continue reading

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Concert Promoters Prefer Market Pricing While Claiming They Don’t

From the NYT:  Concert Industry Struggles With ‘Bots’ That Siphon Off Tickets No satisfaction The Background: Only a concert promoter can complain of too much demand for his goods and services and beg for prosecution of his most eager customers. … Continue reading

Posted in Economics, Price Discrimination, Pricing, Reservation Price, Technology, Ticket Reselling | Tagged , , , , , , | 2 Comments

More on Web-Based Price Discrimination

From The Economist:  Online Prices: Caveat Emptor.com Follow-up to a previous post:  It looks like the word is getting out, along with advice on avoiding higher prices.

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Why Some Negotiated Prices Are Not Revealed

From the WSJ: The Secret Price of a Jet Airliner Why are some negotiated prices not revealed? If each purchase is of a one-of-a-kind good with hundreds of pages of contractual details and comparison shopping is difficult (perhaps intentionally by … Continue reading

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