Lyft’s CEO Says, ‘We’re the Good Uber’
Lyft CEO David Risher discusses the company's turnaround strategy, emphasizing customer obsession and improved driver satisfaction to compete with Uber. Risher argues that Lyft is gaining market share by focusing on service quality and competitive pricing.
Why it matters
The interview provides insight into the competitive dynamics of the ride-sharing industry and the challenges of achieving profitability in the gig economy.
STEVEN LEVY: Where are you on your turnaround mission?
DAVID RISHER: When I came in, we were losing share—Lyft was 26 or 27 percent compared to the other guy. We were losing money, $300 million a year. Things were not looking good. I went to the Jeff Bezos school, so when I came in, my whole focus was customer obsession. We spent quarter after quarter getting our cost position right, so that we could lower prices. We raised driver rates, because if drivers aren't getting paid enough, they tend to be very frustrated and don’t provide great service, and drop off the platform. We started to innovate again. So today, we’re profitable. We have some of the highest driver satisfaction rates we've ever had, and our riders are coming back. And our share is now up to about 31 points.
Yet your stock is down.
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