Lyft, the ride-hailing company, announced on Tuesday (Oct. 16) that it has launched a new subscription plan that it is calling its All-Access Plan.
In a blog post, Lyft said that with the new subscription plan, passengers pay upfront every 30 days to lock in a set price for their rides. As of Tuesday (Oct. 16), passengers can subscribe to the plan, which will be available to everyone in the U.S. by the end of this week.
With the All-Access Plan, customers get 30 rides (up to $15 each) when they pay one monthly price of $299. The subscription service can be canceled at any time, Lyft noted in the blog post.
"When you spend less time driving (and parking), you have more freedom — and more savings. Americans who use the All-Access Plan for all of their personal car needs can save up to 59 percent per month compared to owning a car," Lyft said in the blog. "This is the first step toward delivering on our goal of making car ownership optional, and we’re constantly looking for more ways to provide passengers with the easiest, most convenient options possible."
In addition to getting 30 rides for $299 a month, users get 5 percent off additional rides, Lyft noted in the blog post. If the ride goes above $15, the customer pays the difference.
While the new plan is geared toward individual riders, its business service is also booming. In August, Lyft said it experienced 221 percent year-over-year growth between Q2 2017 and Q2 2018 in the corporate travel arena; Q2 2018 alone saw 25 percent quarterly growth in this segment. One-quarter of Fortune 1000 companies use Lyft Business (including most of the Fortune 50 companies). Lyft pointed to several initiatives that have helped to expand its corporate travel presence, including its recent partnership with American Express Global Business Travel, as well as T&E firms like Concur and Expensify. Lyft’s rewards program is also driving business adoption, and provided 25 percent of the segment’s quarterly growth. The program provides $5 in Lyft credit for every five rides taken under a Lyft Business profile.