Lyft Launches $9.99-a-Month Program With DoorDash Membership
Lyft Inc. is launching a new loyalty program that includes a DoorDash Inc. membership and credits toward future rides or delivery orders, setting it up to be...
(Bloomberg) -- Lyft Inc. ( LYFT ) is launching a new loyalty program that includes a DoorDash Inc. ( DASH ) membership and credits toward future rides or delivery orders, setting it up to better compete with rival Uber Technologies Inc.'s subscription offering.
The Lyft Go With DashPass program gives riders 8% back in the form of credits that can be used toward future trips or DoorDash orders, according to a statement Thursday. The plan costs $9.99 a month, or $96 yearly, and replaces a similarly priced Lyft Pink membership. Current members will be transferred to the new one automatically at no charge.
Notably, the new Lyft Go membership won't include any free access to bikes and scooters that Lyft operates, such as Citi Bike in the New York area. The existing Lyft Pink All Access tier, which will remain an annual $199 subscription, will be the only program that will offer free unlocks and other bike and scooter perks.
Lyft is also offering a $4.99 monthly loyalty option. Dubbed Lyft Go Core, it will offer 5% back in credits redeemable on rides.
The move represents a deepening partnership between Lyft and DoorDash, which have teamed up since 2024 in offering discounts for their respective services. Uber has pointed to subscriptions as an important engine of financial growth: The 55 million members of the Uber One subscription contribute to more than half of that company's total gross bookings, the ride-hailing giant said during earnings remarks on Wednesday.
Since Lyft doesn't operate a food delivery service, adding a DoorDash membership that waives delivery fees could make a Lyft program more comparable to an Uber One subscription, and attract ridership.
Uber One, which is also $9.99 a month, offers 5% back on rides in the form of Uber credits, zero delivery fee and discounts on orders.
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