New driver bonus increase???

fairsailing

Well-Known Member
Rates here continue at their all time lows. We are still at our "temporary" rate reduction from last winter. But cars continue to increase, mostly eliminating any rush hour PT. In this environment Lyft just increased their sign up bonus from $200 for 30 rides in 30 days to $750 for 200 rides in 45 days, assuring minimum wage daytime driving for existing drivers after car expenses.

Lyft is limiting this promotion to the first 1,000 drivers, so that is new drivers for 200,000 rides that they are willing to spend $750,000 extra on in this metro area that ranks only 16th in size. Most of these rides to be completed by the end of the year I would think.

Lyft appears to be very deliberately using a driver churn and burn strategy to compete in an environment where they can't appear to raise rates.

Are other markets seeing this?
 
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