Uber’s Scandals allow Lyft to Triple Revenues


(Preet) #1

In January, Uber signaled what appeared to many as their intention to profit from a protest stemming from a protest in response to President Trump's executive order banning refugees and immigrants.

Social media responded with disgust, and the #DeleteUber movement was born. Uber lost 200,000 customers in just one weekend.

In February, former engineer Susan Fowler published scathing details of the sexual harassment and gender bias she experienced while at Uber. Scandal after scandal then continued to rock Uber.

In June, after the investors revolted in response to the ongoing scandalous revelations, Travis Kalanick resigned as CEO.

In the rideshare company rankings, Uber was the leader by a mile. Unfortunately or fortunately depending on how you look at it, their scandals allowed their immediate competitor to benefit from their struggles.

The Information, a technology industry media outlet reports that Lyft more than tripled their revenue while Uber was besieged by scandal.

The revenue for the first half of this year is reported to be $483 million compared to $150 million over the same period last year.

Regarding losses, Lyft has also seen an improvement. They went from$283 million to $206 million. In comparison, Uber's losses went from $1.06 billion to almost $1.5 billion

Uber is attempting to polish up their image by hiring new players like Bozoma Saint John as Chief Brand Officer. Lyft in addition to the financial benefits has rolled out things such as 24/7 phone support, faster online assistance, and Spanish language support to capitalize on their newfound image of being the nicer, friendlier ride-hailing company.

Both companies are also seeking additional funding for expansion.


Lyft shakes up executive team, aims for lower driver costs and faster decision making
UberWait--New Cheap Uber Ride Still Under Wraps