Lyft has today announced its new monthly subscription plan to offer users easy access to the ride service as well as a nice price cut. It won’t likely improve its value compared to its bigger rival Uber who saw a possible IPO value stretch into the 12 digit realm…
Lyft’s Post car model
This launch comes after Lyft challenged users in various cities to go without their cars for a month by footing the bill itself.
Lyft’s new subscription option is called the All-Access Plan and costs a flat $299, a 33% discount. For that price, users get 30 rides of up to $15 each for a 30-day period. Users can cancel the plan at any time.
Keep in mind that rides don’t roll over from month to month. However, Lyft does offer 5% off any additional rides in a 30-day period beyond the 30 rides.
Lyft estimates that the All-Access Plan can cut transportation costs for users up to 59% versus owning a car. With the new plan rolling out now, Lyft says all US users should see the option this week.
Uber vs. Lyft
Notably, Lyft has beat Uber to the punch here, as it doesn’t offer a monthly subscription like this yet.
The press release also teases more innovation to come:
Lyft previously announced that it will be offering free rides to the polls for voting next month and is a free download from the App Store.
Meanwhile, the WSJ reports that Uber may be worth a $120B IPO.
Interesting then that Uber sees more than half of its rides being on scooters and bikes in the near future.
The WSJ has also reported today that Lyft is looking to get ready for its own IPO with an estimated valuation of around $15 billion. JPMorgan Chase & Co. and Credit Suisse are said to be leading the offering that is expected to happen in the first half of 2019.
- Lyft offering free and discounted rides to the polls on November 6
- Lyft offers $550 credit to prove city-dwellers can live without a car
- Lyft challenges people in 35 more cities to live without their car for a month
