Lyft Line Riders Can Now Pay & Get 35% Discount With Commuter Benefit Cards

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(Brandon Bhangoo) #1

How Lyft raises consumer awareness to Line

One of the biggest thorns in Line rides are their unpopularity due to the nature of passenger interactions and the need to be patient when waiting to be picked up and dropped off. Quite a few incidents have been reported of passengers venting their anger on other passengers, leading to bloody fights and arrests, which made Line unpopular, even though they are significantly cheaper than a standard ride.

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Now Lyft hopes to solve this issue by introducing a pre-tax dollar initiative where customers can pay for subsidizing Lyft Line rides through benefit cards. The current cards supported by Lyft are WageWorks, Benefit Resource, Commuter Benefit Solutions, Navia, Zenefits, and Ameriflex.

The use of benefit cards will reduce the Line costs by a further 35%, which Lyft hopes will make this unpopular method of transport a more viable option for many commuters. However, commuters would have to wait longer to get a Lyft Line ride because as a commuter you could only use the benefit card when six or more people can travel in the same car. So, commuters would only get access to cars that can seat 6 or more riders, which is rare.

At the moment Line operates in 18 cities around the US, and around 42% of all Lyft users use Line, which is impressive. It points to a simple fact, 42% of Lyft customers live and work around 18 cities in the US and use Line services. Lyft also introduced Shuttle, which is a Line offshoot that transports people on a defined route.

Lyft is planning on increasing its daily hold on the US TNC market, and hitting the pockets of commuters is the best way to improve market share.


(Andrew Martin) #2

Finally, a chance to take a subsidized ride and expand the influence of Lyft. This is perhaps the best way Lyft can attack Uber and if they continue to work towards customer satisfaction, they will grow exponentially. Essentially, customers want to ride for free, so that is a target to aim for! Mind you, once a ride is free, who pays the driver and how much does the driver owe?


(Steve Mann) #3

The only problem with reducing fees is the drivers income ratio. What does Lyft pay its Line drivers that use these discount cards? Does anyone know?