Uber to scrap free loyalty program in favor of membership – TechCrunch


Ride-sharing giant Uber is shutting down its free loyalty program, Uber Rewards, so it can focus on its Uber One membership.

Uber first launched the rewards program in 2018 as a kind of loyalty program that allowed riders to earn points for every dollar spent on rides or Uber Eats deliveries. These points could then be used to get discounts on future rides or deliveries. In November 2021, Uber began introducing Uber One, which for $9.99 per month or $99.99 per year offers members benefits such as 5% off certain rides or delivery orders and fees $0 unlimited delivery on food orders over $15 and grocery orders over $30.

In an email sent to customers that was retrieved by The Verge, Uber said users can still earn points through the legacy rewards program until the end of August, and can redeem these points until 31 October. Uber Rewards will be officially closed on November 1, 2022, according to an update released by the company.

The Uber Rewards program allowed users to earn 1x point for every Uber Pool dollar spent, 2x for every UberX dollar spent, and 3x for every dollar spent on Premium. The number of points accrued would place members in different loyalty castes, from Blue to Gold to Platinum to Diamond, with the latter offering benefits such as access to highly rated drivers, free delivery on three Uber Eats orders, l access to better customer service. and free updates.

While phone support will continue for Diamond users, the only way to get additional benefits with Uber will now be to purchase a membership. Existing Rewards members will receive a free one-month subscription to Uber One, but access will then be charged. If you’re someone who orders Uber Eats more than twice a month, you can easily break even with the Uber One subscription, but many users might not see the economic benefits of the switch.

Uber did not immediately respond to clarify why it is closing the Rewards program in favor of Uber One membership. Perhaps the company hasn’t seen the user feedback and loyalty it would have expected from the program and thinks a subscription offering will provide better returns.

Tech

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