As the ride-share company Lyft continues to face challenges, the company’s CEO, David Risher, is considering changes to help the struggling business.
KCBS Radio’s Bret Burkhart and Patti Reising spoke with Sergio Avedian, Senior Contributor at the Rideshare Guy, about what moves the company could make.
Reports have said that Risher is considering different options for Lyft’s bikes division, as it wants to get more riders to take taxi trips. Risher also told TechCrunch the Wait & Save feature, which allows riders in certain regions to pay a lower fare if they wait for the best-located driver, may end. Carpool rides have already been discontinued.
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“It’s possible that maybe we don’t need both of those anymore and that we can focus all our resources on doing a fewer number of things better,” Risher told TechCrunch
Avedian says that changes are almost inevitable, as Risher has been working to make Lyft profitable.
“Since Mr. Risher showed up as the new CEO of Lyft, he’s been trying to, for the lack of a better word, clean house” and get the company profitable, Avedian said.
Avedian says cleaning house includes getting rid of the company’s “money-losing operations.” However, while some think this means Lyft wants to get out of the bike-sharing business, Avedian disagrees.
Avedian says that even going off a recent tweet from Risher, he thinks a partnership is more likely than a sale.
“Cycling is growing like crazy. And for good reason: It’s a better way to get around and it’s better for cities. We’re looking at ways and responding to inquiries that help build on this progress,” Risher tweeted in response to an article about Lyft wanting out of the bike-sharing business.
Avedian pointed out that the moves Risher has made since taking over as the company’s CEO have helped reduce their costs, which has moved its prices to be on par with its main competitor, Uber.
“One thing I agree with Mr. Risher, even in our conversations, he wants to do one thing well, and really well. He doesn’t want to be 10 different things at the same time,” Avedian said. “He wants to do ride-share really well and compete with Uber.”
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