Lyft is a vehicle for hire mobile app which provides several transportation services. The company operates from San Francisco, California, and has existed since 2012. Apart from its primary service, it also offers motorized scooters, a bicycle-sharing system, rental cars, and food delivery. Lyft currently ranks as the company with the second-highest market share in the US.
Lyft initially started its services as Zimride. However, it later changed its name to Lyft in 2013. The company generated revenues of $2.364 billion in 2020. However, these revenues were a decrease from the $3.62 billion made in 2019. Although Lyft generates billions in sales each year, it has a loss-making business model. One of the reasons for these losses may include competition.
Lyft competes in a highly competitive industry due to its current alternatives. The company faces competition from various existing names in the market. On top of that, it also struggles against local competitors in potential markets for expansion. However, these competitors also provide an alternative to Lyft’s products, which users may prefer.
Some of the top Lyft competitors and alternatives include the following names.
1. Uber
Without a doubt, Uber is the most prominent name in the ride-hailing and vehicle for hire industry. The company started its operations in March 2009 long before Lyft. Currently, Uber holds the highest market share in the US for its current products and services. On top of that, it also competes with various companies in other markets. In terms of competition, Uber is the top name in the industry.
Uber has also expanded its operations to various other industries. For example, it also provides electric bicycles, motorized scooter rental, freight transportation, package delivery, and food delivery. The company also generated revenues of $11.139 billion, making it the largest name in revenues. For all companies within this industry, Uber is the name to beat.
2. Via
Via Transportation, or Via, is a global public transport, logistics, and TransitTech company. The company started its operations in 2012, around the same time as Lyft. Overall, Via uses a licensing model to license its technology to organizations to help build their transportation networks. It also operates in partnership with over 400 local governments in over 20 countries globally.
In terms of functionality, Via may differ a bit from what Lyft provides. The company focuses on delivering on-demand and pre-scheduled shared rides. Similarly, it helps in optimizing routes and providing multimodal and intermodal transit technology. It also has partnerships with some of the world’s largest public transportation companies. Therefore, it provides a decent alternative to Lyft.
3. DiDi Chuxing
DiDi Chuxing Technology Co, or DiDi, is a Chinese vehicle for hire company that operates from Beijing. The company provides app-based transportation services, such as taxi-hailing, private car-hailing, social ride-sharing, and bike-sharing. On top of these, it also has on-demand delivery services and various other transportation-related services.
DiDi is a prominent name in the Chinese market and one of Lyft’s competitors. The company has over 550 million users and millions of drivers. While it primarily operates in China, it has extended operations in Mexico, Japan, Brazil, South Africa, Russia, and other countries. When it comes to these markets, the company provides a valuable alternative to Lyft and other brands.
4. Ola Cabs
Lyft hasn’t entered one of the most prominent markets in terms of users, India. One of the reasons behind it may be Ola Cabs, a local competitor that competes with it. Ola Cabs is an Indian multinational ride-sharing company that offers vehicle for hire and food delivery services. Currently, it operates from Bengaluru, Karnataka, and primarily serves the Indian market.
However, Ola Cabs also has extended operations in Australia, New Zealand, and the United Kingdom. Ola Cabs has been operational since 2010, existing before Lyft. It has the advantage of being one of the oldest names in the Indian market, making it well-known. Overall, Ola Cabs provides a decent alternative to Lyft in this market and the others mentioned above.
5. Curb
Curb is another company that provides similar services to Lyft. However, it aims to bring technology to the taxi experience. Some media sources term it Uber but for taxis. The company operates under the Verifone brand from Long Island, New York, United States. In terms of competition, Curb provides a decent alternative to Lyft and its services.
Curb operates in the same industry as Lyft but may not be a direct competitor to it. Instead of hiring drivers, the company provides software application that connects taxi drivers to clients. Overall, the company has gone through several iterations to come to its current brand. It also ranks among the top apps in the “Travel & Tourism” section in the Android and iOS markets.
6. Google Ridesharing
Google is one of the most prominent names in the technology industry. Initially, the company started with a search engine, which is still its primary product. However, it has also expanded its operations to several other industries, including the ride-sharing market. Google Ridesharing is Google’s answer to the ride-sharing market, which falls under its Google Map feature.
Google Ridesharing allows users to plan, schedule, and route their journey. It also provides a robust and powerful API capability for further competition. Furthermore, users get the flexibility to develop their own custom routing scheduling application using its core functionality. Apart from that, Google Ridesharing has seamless integration within Google Assistant.
7. Gett
Gett is an Israel-based technology platform that focuses on Ground Transportation Management. Through this service, the company focuses on transporting corporate ground transportation. Similarly, its platform helps businesses manage all their ground transportation spending in one place. Although in the same industry, Gett and Lyft have minimal overlap when it comes to market shares.
Overall, Gett’s products include its software and mobile app. On top of these, it also provides Software as a Service (SaaS) and ride-sharing services. Initially, the company started its operations as GetTaxi in 2010. Today, it operates from London, where its headquarters are. Gett primarily focuses on developing an enterprise SaaS solution focused on corporate ground transport management.
8. Grab
Grab Holdings Inc., or Grab, is a Southeast Asian technology company that operates in Singapore and Indonesia. The company provides transportation, food delivery, grocery and parcel delivery, e-commerce, and financial services. Through its Rides feature, Grab operates in the vehicle for hire industry and serves Lyft’s competitor.
Grab also operates in various other markets, including Malaysia, Myanmar, the Philippines, Thailand, Vietnam, and Cambodia. Overall, it serves over 400 cities and metropolitan areas. The company has been one of the leading competitors in those markets, with low competition. Over the years, the demand for its products and services has also grown in these markets.
9. Yandex Go
Yandex is the largest technology company in Russia and the Commonwealth of Independent States. The company provides several products and services that involve an e-commerce business model. One of these is Yandex Taxi, also known as Yandex Go. Yandex Go is an international company that operates taxi aggregation and food tech businesses in several markets.
Yandex Go provides significant competition to Lyft in several markets. Overall, it offers ride-hailing services in more than 1,000 cities. It operates in several countries, including Russia, Belarus, Moldova, Uzbekistan, Estonia, Norway, Finland, and Israel. This service has been operational since 2011. Since then, it has become one of Russia’s leading ride-hailing services.
10. Cabify
Cabify is a Spain-based ride-sharing company that operates in the vehicle for hire industry. The company offers a smartphone app, which allows users to order rides. Similarly, it works in various markets, including Portugal and Latin American, besides its primary Spain market. Its services classify into two categories. One is for businesses while the other is for individuals. Cabify has been operational since 2011 and currently serves in over 38 cities in the selected markets.
Cabify provides significant competition to Lyft in its current markets. Similarly, the company offers similar services to Lyft and other ride-hailing apps. One of its prime selling points includes its focus on user safety. Besides that, it emphasizes a transparent and clear system for pricing. Apart from its primary services, it also provides several other services related to the same industry.
Conclusion
Lyft is a vehicle for hire company that offers various transportation-related services. It is the second-largest company in the US due to its market share. Overall, Lyft makes billions in revenues but is loss-making. One of the reasons behind its losses is the company’s competition. The list of the top 10 Lyft competitors and alternatives is available above.
