RideAustin cuts prices to be a penny cheaper than Uber, Lyft

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AUSTIN (KXAN) — Who will you be dropped off by when the Austin ride-hailing wars end?

The nonprofit RideAustin is hoping you choose them and even made a price cut to entice your business their direction. RideAustin has previously said they saw a 36 percent decline in business days after Uber and Lyft returned.

“Though RideAustin is the lowest operating expense rideshare – honestly – we were the last to lower pricing due to the impact on drivers,” said RideAustin CEO Andy Tryba. “However, it’s unarguable that extreme price sensitivity in the rideshare market exists and we had to match the new Austin market rates. Fortunately, due to our driver pay model – we will continue to pay drivers significantly more than Uber & Lyft.”

Last week, RideAustin told KXAN they had no plans to lower their rates.

“At this time we don’t have any plans for price changes because it’s playing the price war game or discount game against Uber and Lyft – it’s very hard to beat Uber or Lyft at their own game so we have to do something different,” said COO Marisa Goldenberg.

Uber and Lyft returned to Austin on Memorial Day, immediately placing pressure on other rideshare providers. Fare, another competitor, has already thrown in the towel.

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