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How Distance Fees work on GeoWise.ai
How Distance Fees work on GeoWise.ai
Written by Sami Hamdi
Updated over a week ago

At GeoWise.ai, we've implemented a system to fairly compensate service providers for the distance they travel to reach their customers. This guide explains how distance fees work on our platform and how you can set and adjust these fees.

1. Understanding Distance Fees

Distance fees are additional charges that service providers can apply to bookings based on the distance they must travel to a customer's location. These fees are added in addition to the service price you set.

Distance fees are priced per mile, and can be configured by you from the ''Areas served'' screen.

You can choose not to charge distance fees if you feel your customers would respond better to all inclusive pricing, its totally up to you!

2. How Fees are Calculated

The distance fee is calculated based on the distance between the provider’s center of their serving area and the customer’s location. This calculation is done automatically by the GeoWise.ai system using precise geolocation data.

3. Setting Up Distance Fees

To set or adjust your distance fees, go to the 'Areas Served' screen in your GeoWise.ai app settings Here, you can enter the amount you want to charge per mile. This rate should reflect the cost of travel, considering factors like fuel, vehicle wear and tear, and the value of your time.

For example, let's say your ''Price per mile'' is £1.50, and a customer 8 miles away requests a ''Adult's haircut'' which you charge £40 for.

The customer will receive the following bill breakdown before confriming the booking:

Service price: £40
Distance fees: £12

Total price = £52

4. Why Distance Fees Matter

* Fair Compensation: Distance fees ensure you are fairly compensated for the extra time and resources spent traveling to farther locations.

* Operational Efficiency: By implementing distance fees, you can maintain operational efficiency, especially if you frequently service a wide area.

5. Tips for Setting Distance Fees

* Consider Local Costs: Factor in local fuel prices and other travel-related expenses when setting your rate.

* Competitive Pricing: Research what is standard in your industry and area to stay competitive.

* Clear Communication: Ensure your distance fee policy is clearly communicated on your booking page to maintain transparency with customers.

6. Conclusion

Distance fees are a vital part of managing a mobile service business. They ensure that you are compensated for the full scope of your work, especially when serving customers in distant locations. By setting up and managing these fees in GeoWise.ai, you can ensure a fair and transparent pricing system for both you and your customers.