App-based cab service platform Uber has decided to shut down its loyalty-free program Uber Rewards to give more attention to subscription-based membership. Uber requested its users to register for the membership plans Uber One to get discounts on rides and food deliveries. The ride-hailing giant is set to roll down its airlines-like rewards program, which includes benefits like priority pickups and price protection.
In 2018, Uber launched the loyalty-free program as a scheme that enabled riders to gain points for every penny spent on rides and Uber Eats deliveries. The points earned were used to gain discounts on rides and food deliveries. The more points a user gains, the better benefits they get.
Nonetheless, Uber One, the new paid subscription plan, can not be considered a backup for the loyalty-free program. There is no alternative option for users other than pay for an Uber One subscription to constantly gain benefits and discount offers, which Uber introduced as a backup option for the Uber Eats pass last year.
Uber commenced recommending Uber One in November 2021 for $9.99 monthly or $99.99 yearly. The paid subscription plans enabled members to gain benefits like a 5% discount on specific rides from highly rated drivers, a 10% discount on delivery orders, and limitless delivery fees on food orders above $15 and grocery orders above $30.
The Verge accessed an email that Uber sent to its customers. According to the email, Uber said that its users can still gain points through the legacy rewards program until August. Users can win back the points till 31st October. As per an update from Uber, on 1st November 2022, Uber Rewards Program will officially shut down.
The Uber Rewards Program enabled users to gain one point for each Uber Pool Dollar spent, double points for each UberX Dollar spent, and triple points for each $1 spent on Premium.
The number of points combined will put users in various categories of loyalty, from Blue to Gold and Platinum to Diamond. The latter comes with access to perks such as top-rated drivers, free delivery of three orders from Uber Eats, better access to customer services, and free upgrades.
Although mobile phone support will be available for Diamond users, purchasing a subscription plan is the only alternative option to get access to additional benefits and perks.
The existing reward users of Uber would get a one-month free subscription to Uber One. After a month, they will have to purchase the subscription plan and get charged for accessing all the perks. People ordering food from Uber Eats more than twice monthly can effortlessly break even with the Uber One subscription, but many users may not look at the money-saving perks while switching.
Uber did not reply promptly to simplify the reason behind shutting down the rewards program and favouring the subscription program. The ride-hailing giant might have overlooked the returns and user loyalty that it might have hoped from the rewards program and thought that the subscription scheme might give Uber good returns.
Read More : Tata Motors would purchase Ford India’s Sanand facility to increase the Manufacturing