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Uber Tests A New Bundled Subscription For Rides, Eats And JUMP

July 30, 2019 Sarah Cavill

uber

Uber, like many tech companies, is turning to subscriptions to increase recurring revenue streams and awareness of additional products. The latest opportunity for users to streamline their bill paying and make one-touch decisions easier than ever is a bundled service from Uber. For now, it’s called Pass, and it allows users to pay $24.99 a month for access to discounted Uber rides, Uber Eats and JUMP bikes and scooters.

“From meals to wheels and everything in between, we’re always looking for ways to make Uber the go-to option for your everyday needs,” said an Uber spokesperson in a recent TechCrunch article about the new subscription service.

The New Uber Bundling Service Is Only In Limited Cities

San Francisco and Chicago are being offered different versions of the $24.99 Pass, while other cities where the plan is being tested are getting an iteration that offers a lower-priced pass with some limitations on free delivery from UberEats or limited discounts on rides. When and how Pass will roll out broadly hasn’t yet been disclosed.

Pass Isn’t Uber’s First Subscription Plan

Uber, like Lyft, previously launched a still-active subscription plan called Ride Pass which offers protected pricing on certain routes regardless of traffic or time of day. The monthly subscription is only for UberX and Pool rides, but Uber promises users can save up to 15% in savings every time they ride. Lyft’s All-Access Plan offers passengers a certain amount of rides per month for a monthly fee with auto-renewal.

Bundled Services Can Enhance Product Awareness For Brands With Multiple Offerings

Like the subscription plans for Lyft and Uber ride services, bundled plans can limit brand or product hopping. Once a consumer is locked into a monthly payment plan, it’s less likely they will price surf or alternate between products. Bundled services are popular with car subscription services, offering consumers one-stop options that take the hassle out of car repairs and insurance coverage. Marketers can capitalize on bundles with partnerships and add-ons that increase the brand profile of all the involved brands and generate customer loyalty — even from customers that might not stick with the subscription in the long term. Insurance bundling is also a growing trend, with companies finding that satisfied consumers are more likely to buy additional policies when bundled services have met their needs. It remains to be seen if Uber will stick with their bundled Pass, but for companies in competitive markets in need of brand loyalty and additional revenue, bundled subscriptions may be the answer.

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About the Author

Sarah Cavill

With more than 20 years of writing, editing and reporting experience, Sarah Cavill brings to Digital Media Solutions (DMS) a fine-tuned and diverse set of skills. Her work has been featured in notable publications including The Daily Muse, CBS Local, Techlicious and Glamour magazine. Sarah has a passion for current events and the deep-dive research that goes into the content development and brand identity of DMS Insights. In her role as Senior Marketing Communications Writer, Sarah contributes to the pitching, researching and writing of multiple stories published each week surrounding digital and performance marketing innovations in pop culture, news, social media, branding and advertising.

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