Divvy ups its rates 30-60%

Yikes!  This is a bite.  Divvy announced today they're increasing their annual membership to $99, formerly $75.  That's a 33% increase.  They will bill you $10/month (ok, $9.95) rather than pay the hundred upfront.  That works out to be $120/yr or a 60% increase. 

I love Divvy and I've been a supporter since they started.  But geez, who's in charge of the finances over there?  

I am going to have give Divvy a second thought when it's time to renew my membership.  I fear they may be pricing themselves out of their market.  

** mp **

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Permalink Reply by daWillinChi on December 30, 2015 at 9:02am

On one hand, I'd agree that this blows, especially for yearly subscribers, like myself. On the other, I think a $9.95/month membership works out well for most people. It is cheaper than $7/day.

After being in operation for a couple of years, I think a price increase would be in order - given that they have mostly fulfilled their planned deployment.

Their next plan of operation should be to sell FOBs at selected brick and mortar stores. So people can subscribe on demand.

Permalink Reply by Jared on December 30, 2015 at 12:00pm

The monthly plan still requires a year long commitment.  A tourist cant simply buy a one month plan, nor can someone only join for the nice weather.  You'd be stuck paying $9.95 a month in January whether you take a ride or not.

Permalink Reply by Anne Alt on December 30, 2015 at 10:46am

I'm glad that they're offering a monthly payment option for annual membership, which I think will make Divvy affordable to a LOT more people.

We've seen major growing pains in the last year. They haven't been able to maintain anywhere near the same quality of service they did previously. I would much rather pay $99 per year if it means that they're able to maintain equipment better (eliminate the problem of broken lighting and hubs, which has been a BIG issue this year) and do a more effective job of rebalancing so that bikes and docks are available where/when we need them.

I certainly haven't gotten my money's worth this year. Lack of availability and broken equipment have been the reasons why. Having few or no bikes available in the Loop after 5 pm has eliminated many of the potential Divvy trips I would have made. Lack of open docks where I needed them has eliminated a comparable number.

If this increase allows Divvy to return to higher quality, more reliable service, it's well worth it. 

Permalink Reply by Jeremy on December 30, 2015 at 11:21am

I am glad they are offering a monthly payment option for those who prefer that.  I wish they would increase the trip time from 30 minutes to 45 minutes to go with the price increase.

Permalink Reply by Yasmeen on December 30, 2015 at 1:57pm

Great point. Let's hope they answer the feedback and increase the trip time to 45 minutes. 

Permalink Reply by Jim Reho on December 30, 2015 at 1:30pm

Admittedly, that's a large increase percentage-wise.  In absolute terms, though, it's not so bad.  If I were a Divvy user, I wouldn't complain about getting a yearly membership for the cost of ten daily passes.  Divvy is and should be subsidized, since it's a form of public transportation.  But Divvy also has to raise some significant percentage of its operating costs itself, or it won't be around for long.  If Divvy can hold the line for a couple years at the new rate, they'll be doing OK.  

Permalink Reply by Bill Nedza on December 31, 2015 at 3:20am

I'm sorry, but an increase of $3.75/month, if you choose the monthly billing, to use Divvy and have them remain a viable transportation alternative is still a great deal.  $3.75 is roughly the cost of Starbucks (although I don't personally go to Starbucks for coffee) Grande Caffe Latte.  It's $3.25 for the Flag Pull rate on a cab.  A beer in a tavern will cost you more than $3.75 (okay, if you drink PBR maybe you can beat $3.75).  Two rides on the EL total $4.50.  Annual maintenance and parts on your own bike is going to probably cost more than $100, plus storage, and locking it up so it won't get stolen (good luck).  How much do you spend per month on other things?  How much money do you earn in one hour of working?

Le'ts be serious, people, unless you choose walking, Divvy at $120/year is still incredibly heard to beat.  

Permalink Reply by Anne Alt on January 4, 2016 at 5:00am

Agreed.

Permalink Reply by Paul Lazzaro on December 31, 2015 at 5:24am

I only use Divvy occasionally.  On a per-ride basis, it's probably more expensive for me than CTA.  But it's often more pleasant and convenient than CTA, so I consider having the option to grab one whenever I want worth the price of the annual subscription.

Permalink Reply by Bill Seliger on January 1, 2016 at 2:32pm

I think this is a reasonable increase considering the capital it must have taken to expand their network.  It would be nice to get 45 minutes instead of 30.  It would also be nice to have some cargo bikes in the network for running errands, even if they're 'unicorns'.  

Also, I must have seen 15 Divvy's on the Lakefront Trail late this afternoon - much more than on a typical 30 degree day.  

Permalink Reply by Not too hip on January 3, 2016 at 4:53am

This is a serious question. I have a bike(s) so why would I Divvy? If I have to go anywhere in the city, I take my bike with me.

Permalink Reply by Marc-Paul Lee on January 3, 2016 at 5:02am

For me, even though I bike to work daily, I like the idea of Divvy and I want to support them.  The initial membership fee was reasonable enough so I joined.  I find it convenient when I want to take a cross town jaunt but don't want to worry about locking up my bike at my destination.  Or if I'm with a friend I can take my bike and let them use a Divvy bike.  A female co-worker uses Divvy to bike home.  She doesn't bike in because of the usual concerns over hair, makeup, etc. but she enjoys biking home.  

Now that the fees have increased so much I'm not sure it still makes sense for me.  Although if I use it just once a month it pays for itself so I'll likely renew anyway.  

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