Lyft drivers received $100 million in tips over the last 9 months

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Lyft drivers obtained $100 million in ideas over the past 9 months

Tags: Lyft, Lyft News

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Lyft is marking a milestone, saying that its drivers have received more than $200 million in tips over the earlier 5 years. What makes this attention-grabbing is that it took the company virtually 5 years to hit the first $100 million, nevertheless solely 9 months to double that.

“$200 million is a huge testament to the service our drivers provide every day, in cities across the country,” the company wrote in a weblog put up.

In an Economic Impact Study report launched in December, Lyft touted the benefits of its service for the financial system at large. On the time, it highlighted that drivers obtained $1.5 billion in earnings, along with $100 million in ideas. A company spokesperson confirmed that this was so removed from August 2012.

How a number of the next $100 million in ideas have been spurred by outside elements, such as a result of the #DeleteUber advertising marketing campaign or the controversies which have befallen its major U.S. competitor is unknown, nevertheless the reality that tip earnings have doubled in such a short time will likely give Lyft momentum as a result of it brings on additional drivers throughout the better than 100 new markets it launched on this 12 months.

Lyft believes that the rationale for its success is how drivers are dealt with by the company and the best way that impacts the rider experience in flip. Earlier this month, a poll by research firm Ipsos indicated that Lyft earned a reputation being nice, welcoming, cool, and dependable as compared with completely different ridesharing apps.

Within the current day’s announcement comes days after a U.S. federal select approved a $27 million settlement settlement between Lyft and drivers. Some drivers had sued with a declare that they should be categorized as employees and subsequently be entitled to reimbursement for payments. Beneath the settlement, drivers will proceed to be deemed neutral contractors.