Corp Comm Connects

Lyft, Uber’s ridesharing rival, launches Toronto service
Lyft calls its service similar to Uber on price and time, aims to win over Toronto customers with enhanced ‘experience.’

Thestar.com
Alex Mckeen
Dec. 12, 2017

San Francisco ridesharing company Lyft launched its service in Toronto on Tuesday, making it the first mobile app available here that directly rivals Uber.

The apps work in much the same way. Users input their desired pickup and drop-off locations into the app, and they’re connected with nearby drivers who agree to the trip for a certain price. Rates fluctuate depending on demand and distance, and each app has its own premium options for hailing larger or more luxurious cars.

Even though Lyft is new to a market that has had access to Uber since 2014, the company plans on winning customers with a more people-centered experience, said Tim Houghton, Toronto general manager of Lyft.

“We believe that we’re at parity with the competition in terms of (estimated times of arrival) and pricing,” Houghton said. “Where we really set ourselves apart is how we treat people. So whether it’s a passenger, a driver, or regulators, we really go out of our way to make sure people are treated well and fairly.”

Lyft’s focus on treatment of people may be a reference to the alleged ruthlessness of rival Uber, including accusations that the company’s former CEO Travis Kalanick allowed a toxic work environment to fester prior to his resignation in June.

Uber spokesperson Xavier Van Chau said in a statement Tuesday that the company was proud to have “paved the way for ridesharing in Canada.”

“We welcome competition that encourages the use of more transportation alternatives,” Van Chau said. “More options can help reduce congestion and pollution as consumers increasingly make the switch from driving their own car to using shared mobility services.”

The Lyft Toronto launch included the announcement that the company would be allowing all users to opt into a “round up and donate program” for the month of December, whereby riders’ fares will be rounded up to the nearest dollar, with the difference donated to the Hospital for Sick Children.

Toronto Blue Jays pitcher Marcus Stroman spoke in favour of the initiative before taking Lyft Toronto’s first ride with Hospital for Sick Children patient, Antonio Albino.

“I love the city of Toronto,” Stroman said, calling it extremely warm and welcoming.

“Sick Kids holds a special place in my heart . . . Any time I have the opportunity to give back to the city I’m going to.”

Lyft now operates in an area spanning from Hamilton to the west, Oshawa to the east and Newmarket to the north.

Houghton declined to give details about the number of drivers signed up to use the service, but said the company was “very comfortable” with the interest they’ve seen so far.

Toronto is the first city outside of the U.S. to which Lyft has expanded, a decision Houghton called a “no-brainer.”

“It’s the fourth largest city in North America, we believe we share a lot of values with the city and we also know there’s demand here,” he said, nodding to the city’s emphasis on diversity and inclusion.

Mayor John Tory acknowledged the entrance of Lyft to the Toronto market Tuesday.

“I hope (Lyft) compete fairly and that people understand they have a greater choice as to how to get around the city which is, I think, nowadays a very good thing,” he said.