Listen to this article
A smartphone application platform service provider company connecting riders and drivers. The passengers are allowed by the Lyft app to request a ride from a nearby driver picking them up in their car to reach their destination.
The ride-hailing app is a highly competitive market for transportation services with Lyft being one of the top competitors. The ride-hailing app business includes both traditional taxis and other ride-hailing apps such as Uber, Didi, and Grab.
The ride-hailing service market is experiencing highly tremendous growth over the past few years with factors such as increasing urbanization, the rise of the sharing economy, and changing consumer preferences.
Even though the market competition is strong, Lyft shares a significant market share, especially in the United States. According to the Second Measure report (February 2021), Lyft shares a market share of 33% in the US ride-hailing market as compared to Uber’s 67% share.
The US market for ride-hailing service is highly competitive where Lyft is competing with several other ride-hailing companies such as Uber, Juno, and Via.
The revenue is generated by taking a percentage of the fare paid by passengers, as well as from fees charged to drivers.
The Lyft app shows the estimated arrival time for the driver and the ride cost for the passenger before the request is made. Lyft operates in various parts of the United States and Canada.
In several Canadian cities, Lyft operated in Toronto, Ottawa, and Vancouver. Lyft launched its services in Canada in 2017. In Canada, Lyft competes with other ride-hailing companies such as Uber and local players like Facefrive, TappCar, and EVO.
One of the features differentiating Lyft from its competitors is the tipping offer features for the drivers in Canada.
The company is also planning to expand its services in areas like bike-sharing, electric scooters, and even self-driving cars.
- The Lyft app can be downloaded on both IOS and Android devices.
- The options for choosing different ride types such as Lyft Line (Shared rides with other passengers going in the same direction), Lyft with regular rides with up to 4 passengers, and Lyft XL with rides with up to 6 passengers.
- Several payment options are included such as credit/debit cards, PayPal, and Apple Pay. Even tips are included for the driver.
Source: Lyft