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Salzburg is testing a new flat-rate pricing model for taxis via the Freenow app.
Passengers in Salzburg can book their taxi rides at a fixed price via the Freenow app effective immediately. The amount is already displayed at the time of booking and remains binding for the ride. This way, users know before the trip what costs will be incurred.
Pricing within a defined corridor
The fixed price is based on the shortest available route and takes into account current factors such as traffic conditions and demand. Depending on the situation, the price within a defined corridor can be up to ten percent above or below the expected taxi fare.
"The fixed-price model makes taxi driving in Salzburg more transparent and competitive," explains Alexander Mönch, President of Freenow by Lyft Germany and Austria. "The price is calculated on the basis of the shortest route, taking into account current demand and traffic conditions to ensure the best possible price," he adds.
Transparent Costs and More Efficient Utilization
The model aims to provide passengers with greater cost transparency and, at the same time, optimize the utilization of the vehicles. Through planned pricing, drivers will benefit from more balanced demand.
State-level Legal Basis
In Austria taxi tariffs are set at the state level by ordinances of the state governors. The state of Salzburg allows the use of fixed prices, enabling the implementation of the model by Freenow by Lyft. (Source: Freenow)
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