June 22, 2016

Uber for Business and Lyft for Work Becoming More Popular Among Business Travelers

According to a recent USA TODAY article, the number of business travelers using popular ride-sharing services doubled in the first quarter of 2016 compared to the same period in 2015.  The increasing popularity of ride-share companies such as Uber and Lyft seems to have come at the expense of the rental car and taxicab industries—10% fewer trips were taken in rental cars during the first quarter of 2015 compared to the first quarter of 2015, and taxicabs saw their market share fall from 25% in 2015 to 14% now.   

Uber for Business and Lyft for Work allow corporate travelers to automatically charge travel expenses to their employers, who receive the expense receipt along with the trip information, thus eliminating the need to process employee reimbursements.  Some business travelers tout the use of these companies is more time efficient, convenient, and less costly than other options.  

But, as the article notes, there are still traditionalists who prefer and enjoy taking taxis.  One executive said that he prefers taxis because they are regulated by law and can be easily contacted if something is left behind in the cab.

Cab drivers see the shift in business travelers’ preferences, voicing “concerns that Uber doesn’t offer the same protections, or pay the same fees, that are mandatory for cabs.”   

  
 

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