This Simple Rideshare Hack Can Make Sure You're Not Overpaying for Uber or Lyft

"As anyone who's ever put together a trip budget knows, daily expenses like rideshares, train fare, and refreshments can quickly add up to a staggering final cost. So it's worth making a habit of every little thing you can do to save cash while traveling. But according to a new study, most Uber and Lyft users skip a seconds-long step that could save them on every ride."

"The National Bureau of Economic Research (NBER) found that opening both Uber and Lyft before officially booking with either service ultimately gets you a cheaper ride. Researchers found an average price difference of 14 percent between the rides offered to users on the two apps. In fact, data showed that there was at least a $1 price difference in identical trips around 75 percent of the time."

"According to the research team, that 14 percent translates to an average of $3.50 per trip. That's $3.50 that could have been spent on a round of perfect cappuccinos, metro fare, or even a hearty meal in some destinations. And while some travelers may already play the field before committing to ground transportation, it turns out very few rideshare users routinely do the money-saving toggle. Only 16.1 percent of the riders sampled checked both apps, and that percentage was even consistent across incomes and age brackets."

Opening both Uber and Lyft before booking often produces a lower fare. The average price difference between the two apps is about 14 percent, translating to roughly $3.50 saved per trip. Identical trips showed at least a $1 price difference about 75 percent of the time. Only 16.1 percent of riders routinely check both apps, a rate consistent across income and age groups. The majority who do not compare apps could have collectively saved roughly $300 million on New York City rideshares. Neither Lyft nor Uber is consistently cheaper across sampled rides. Public rideshare and mobile usage data informed these comparisons.

Read at Travel + Leisure