Gold Coast Cabs takes latest shot at Uber’s price surging “bill shock”

A QUEENSLAND cab company will tonight introduce flat fares in an attempt to battle “bill shock” from private taxi company Uber’s surge pricing.

Revellers wait to catch a taxi to go home from Cavill Avenue.

GOLD Coast Cabs are fighting back against the rise of Uber by introducing flat fares from Cavill Avenue to three popular suburbs on Friday and Saturday nights.

The company hopes the flat rates will appeal to customers put off by Uber’s “surge” pricing, which increases fares at busy times.

The taxi firm is offering revellers who line up for a cab at the southern end of Cavill Avenue between 10.30pm to 5am on Fridays and Saturdays a flat fare of $60 to Upper Coomera, $35 to Nerang and $35 to Robina.

A screen shot of the Uber taxi app in Brisbane.

Gold Coast Cabs acting CEO Benjamin Lee said the new fare structure, which begins tonight, would provide more consistency to taxi users.

“We think it’s something that our customers like and want, we can provide them with some consistency so there’s no Uber bill shock,” he said.

“We also want to be competitive in the marketplace as well.”

The flat fares apply to all sizes of taxis — including maxi cabs which seat up to 11 people — to any location in the three suburbs.

But taxis hired at the flat rate will not make stops at multiple locations in the destination suburbs.

Uber’s headquarters in San Francisco, California.

“No, it is to a single destination in those suburbs,” Mr Lee told the Bulletin.

Mr Lee said if the flat fees are successful more pick-up and drop-off locations could be added.

“We’re absolutely looking to expand once the initial rollout goes live,” he said.

“We will continue to explore any areas we think there will be value in deploying something like this.”

Mr Lee said the taxi drivers who work for the company are on board with the plan to battle Uber.

“Absolutely we have a committee we meet with regularly and they’re all for it,” he said.

An Uber spokesman said customers should not be concerned about “bill shock” because the company was upfront about fare estimates for users.

“We provide upfront fare estimates for riders before they request a trip in the app, so they have certainty around the price they will pay before booking,” he said.