Uber Eats increases courier earning rates — promises no price hikes for customers

Uber Eats has increased the rates per kilometre earned by delivery drivers by 5% in South Africa, without price hikes to customers and merchants.

Uber said it believes the rate change would positively impact delivery drivers’ earnings, especially on the back of pressures resulting from rising costs.

Uber Eats Sub-Saharan Africa head of operations Charles Mhango said the company constantly monitored and reviewed fees to ensure the “right balance” for all users.

“It is through the regular roundtable discussions we host for delivery people that we get to understand these pressures more intimately, so we can implement appropriate interventions to help support their businesses”.

Uber also implemented a 10% increase in the per-kilometre rate in April 2022.

Charles Mhango, Uber Sub-Saharan Africa head of operations

Uber’s delivery drivers in South Africa typically use motorcycles and cars, so they have been impacted by the massive petrol price increases implemented in the past year.

Fortunately, Uber’s roughly 15% rate hike is higher than the amount by which fuel prices have increased since the start of the year.

In January 2022, the inland price of a litre of 93 unleaded was R19.36, compared to the R22.06 drivers are paying in October 2022. That is an increase of roughly 13.9%.

Current indications show that petrol and diesel prices are set to increase again in November 2022.

According to the latest data from the Central Energy Fund, the retail prices of unleaded 93 and unleaded 95 will increase by roughly 48 cents and 38 cents, respectively, while wholesale diesel prices are currently trending towards a roughly R1.55 increase.

Uber has also collaborated with MotionAds, providing delivery drivers an opportunity to earn additional revenue through top-box advertising in South Africa.

“These brand placements are expected to increase delivery people net earnings by approximately 10%,” said Uber.


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Uber Eats increases courier earning rates — promises no price hikes for customers