Millennials Spend a Bunch on Uber but Are Shifting Their Business Toward Lyft
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There are a lot of stereotypes thrown around about millennials. We’re lazy, in-debt, killing the napkin industry and love our avocado toast. And while there may be some truth in some of those generalizations, one thing’s for sure, we are increasingly using ride-hailing services like Uber and Lyft.
Money managing app Empower has compiled data on millennials’ spending habits when it comes to transportation. The company took anonymized transaction data from 50,000 of those aged 22 to 37, and found that some are spending more than $100 a month on Uber. However, the average person in the US spends about $62 a month on ride-hailing services (and that’s only counting Lyft and Uber).
These apps are getting significant business throughout the course of a year, Empower told TPG. The average Uber rider spent $691 on the service in the last 12 months while the average Lyft user doled out $638 over the same time period. It’s just another sign young city dwellers are ditching their cars and relying on the sharing economy.
We chose a handful of cities to highlight, and you can see that in more expensive, higher-density cities, Uber and Lyft are quite popular. Millennials spend more than $100 a month in San Francisco on Uber alone. Places where it’s more feasible to own a car like Phoenix and Austin have a much lower rate of spend.
|City||Average Spent on Uber||Average Spent on Lyft|
Spend on Lyft has increased significantly over the last 12 months, by a whole 36%, despite being “marginally more expensive than Uber.” This trend mirrors Lyft’s rapid revenue increase last year, which grew 2.75 times faster than Uber’s in the Q4 2017.
In the last month, the average price for a Lyft ride across the nation was $8.80 while Uber priced in at $8.50. Based on these prices, a person is taking Uber about 7 times a month and Lyft about 6 times per month.
Featured image courtesy of Uber.
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