Christmas Calamity as Ride Service Prices Expected to Surge

Placie

Aussie rideshare users are being advised to check their options before catching a ride service this festive season after warnings they could face up to 140% surge increases to their fare from 1st December.

On a typical day, Sydney sees the highest average spend per 5-10 km trip of $33.61, whereas Adelaide sees the cheapest, coming in at $21.68. Brisbane ($28.11) was the second highest, followed by Melbourne ($27.88) and Perth ($24.56) respectively.

According to Placie, the app where users can compare and book from Australia's largest network of ride services in one place*, this pricing could see Australians face fares of up to $72 from a typical $30 trip, a steep increase based on recent surge pricing data for major events and festivities.

Last year, the app experienced average demand increases of up to 35% and average price surges of over 25% for the Christmas period in 2021.

"Ride service price surges are an inevitable part of the festive season. Last year we saw demand spike by as much as 35% and average price by 25%," says Candace Ngok, Head of Growth at Placie. "The Christmas car crunch is set to be even greater this year, as people return to gatherings and celebrations after years of lockdowns and bad weather," she adds.

Based on last year's data, the biggest surges are set to be between 4pm and 8pm on Saturdays and 12am to 4am on Sundays during the first three weeks of December as the Christmas party season hits its height.

People in WA and NSW were observed to have the largest average increases in price over the festive period, with surges of up to 40% and 20% respectively.

Recent data shows that Aussies are looking for a less financially taxing Christmas this year, with recent data showing average Christmas budgets are down by 5% to $425. Ex-rideshare driver and Australian Idol, Casey Donovan has partnered with Placie to help Aussies beat the Christmas car crunch:

"Christmas is a time to celebrate with friends and family. So after a challenging year for Aussie bank balances, the last thing anyone wants is to be hit with unexpected costs when getting a ride to buy presents, go to parties, or get to gatherings. It's always best to look for a bargain, even with ride services," Casey Donovan says.

A review of rideshare and taxi journeys in 2021 shows that consumers should check their options in real time, adds Candace Ngok.

"Ride services are affected by a huge number of factors, from traffic closures and bad weather, to big events and petrol prices, so it's hard to know when the best time to travel is.

"Equally, not all services react to these factors in the same way. It's not uncommon for one provider to price surge, while another doesn't. That's why it's best to have as many options as possible in one place for quick comparisons when you need them."

In more bad news for NSW, Sydneysiders also paid the most on average per KM for rideshares ($4.53) and taxis ($5.39). Adelaide paid the least at just $2.95 for a rideshare and $3.90 on taxis. While the other states varied:

  • Brisbane: Rideshare $3.79 and Taxi $4.28

  • Melbourne: Rideshare $3.24 and Taxi $3.93

  • Perth: Rideshare $3.00 and Taxi $4.17

"After a year of price pressures and adjusting to life after lockdown, it's finally time to celebrate the summer, Christmas and New Year with friends and family. Finding a fairer fare allows Aussies to save their time and money for the ones they love this festive season," added Candace Ngok.

To start comparing and booking with Australia's largest network of ride services in one app*

/Public Release. This material from the originating organization/author(s) might be of the point-in-time nature, and edited for clarity, style and length. Mirage.News does not take institutional positions or sides, and all views, positions, and conclusions expressed herein are solely those of the author(s).