How to Build a Cab-Booking App Like Lyft in 2023 (With Cost Breakdown)

Author Name
  • By Sandeep Kumar
  • |
  • clock 10 minutes MIN READ
  • |
  • calendar Updated: May 23, 2022

Developing a mobile app is necessary for on-demand businesses and taxi apps. Also, taxi app services are revolutionary inventions and lead the transportation sector.

The taxi industry has become a competitive edge for new entrepreneurs. They need to look for loopholes to remain in the competitors, and having a unique mobile app idea is a daunting task as it leads to research. The study includes how the app will move and the potential audience for whom mobile app developers develop the app.

Still, to surpass the competition, the most demanding is developing an app that gets users’ interest with more functionality and UI/UX design.

We all know about a popular taxi riding app, “Lyft,” Lyft has around 25 million active users and a considerable revenue in the market. In 2022, Lyft had 29% of the market share, which makes it the second-largest ridesharing company in the US after Uber. That is why there is an increasing demand for Lyft-like clone apps among entrepreneurs.

Thus, businesses are not only developing an app similar to Lyft but are trying to bring more advanced functionalities to achieve higher ROI.

Why has Lyft Become the topmost Ride-Hailing App among the audience?

Gone are the days when people prefer to travel by personal vehicle. With the changing necessities and traffic on roads, people prefer ridesharing apps at cheaper rates, with few on their smartphones enjoying their time sitting back to go to their destination.

Before Lyft, there were many competitors in the market. So, what makes Lyft notable and expands its share in the competitive ridesharing service industry.

Lyft offered myriad benefits to make its niche.

Inexpensive Ride Booking

Uniqueness is required to be ahead of competitors, and Lyft comprehended this and concentrated on rebuilding an app with alterations in the traditional ride apps. Lyft not only offered reasonable rideshare fares and the comfort of traveling, which improved the popularity of Lyft among users.

The average cost of a ride with Lyft is $12.53. The price has jumped up due to high demand and other factors. Further, the fee varies by city and category or class.


Lyft’s uniqueness is from furry pink mustaches called carstashes logo stickers on the front and rear windshields. And now, Amp is the user who sits on the driver’s dashboard, lights up in a beautiful shade, and gives notifications in the Lyft app, which is beneficial in the dark.

Problem Solving Approach

Lyft solved customers’ real-life problems, such as registering to carry medical beneficiaries in Arizona. This process has enhanced the credibility of the ride-hailing platform among customers.

How Does the Lyft Model Work?

Developing a Lyft clone app will depend on the app design, cost, architecture, features, etc. Thus, it is best to get familiar with Lyft’s business model and how it works before developing one. So, let’s first dig into the working of Lyft:

  • Requesting a ride by adding a starting/ ending destination. A user can get the exact pricing of the trip after persuing the journey based upon the Lyft categories.
  • A user needs to confirm the payment method, such as cash or card. Google pay, Paytm, etc.
  • Then comes verification of the trip, as a user needs to confirm the pickup location.
  • Once a user accepts the ride, the driver gets the notification, and they have the option to confirm/decline the request.
  • After the ride is complete, the payment is made per user confirmation.
  • Once all the things are confirmed, the rating part comes from both the driver and user-end.

An on-demand taxi booking app offers various benefits to passengers and drivers as passengers save on traveling using the ridesharing model, whereas drivers can monetize vacant seats through taxi sharing applications. Thus, overall there will be one mobile app for the customers and one for the driver, and both the apps are interconnected to the admin portal.

Lyft’s market size

Lyft was founded by Logan Green and John Zimmer (computer programmers) in 2012. They first founded a carpooling ridesharing organization for long-distance travelers named Zimride and sold it in 2013.

Now Lyft’sLyft’s car service is working in 644 cities in the US and 12 cities in Canada. In 2018, Lyft acquired 1.4 million drivers and 23 million users. And in September 2018, it completed 1 billion rides. In 2020, Lyft generated revenue of dollar 2.3 billion, and revenue per ride boosted to $45.40. Thus by 2026, the Lyft app market value will reach $150 billion.

Features of a passenger app Interface:

  • Registration/ Login

Signup is the process to let users access your app, but the developer gets the customer data control. With the help of an id and password, the users get access to use the fully-fledged app. Thus, it is best to give your customers the access to create an account quickly and securely through social media accounts.

  • Ride Search

Filters like preffered route, car type, driver rating, date and time, and driver’s gender will offer users varied options to book a ride.

  • Booking a ride

Once customers find an ideal option, they move ahead to request a ride and check the pickup and drop location and other customers’ names they are sharing a ride with.

  • Review of other passengers

While booking a ride, users has access to check the other passengers’ profiles and rating to drive safely.

  • Driver Tracking Through GPRS

Passengers can track drivers on the map in an app live and get notifications on where and when a driver is approaching.

  • Payment

With the help of an online payment option, users can register credit cards and e-wallets to make a payment within the app. You need to look for the payment tab; it’s located in the menu section.

  • Push Notifications

Users get notifications on the booked ride, car model, time of arrival, car number, and travel time.

  • Free call/ messages through the internet

This feature is essential if the user needs any clarification before the trip.

  • Rating & Review To Drivers

With the option, after the completion of a ride user can give a rating and remark to the driver in terms of safety, driver’s behavior, smooth driving, etc.

  • Travel History

It includes all the rides taken by the user with all necessary details like fare, destination, date, and car description.

  • Geolocation

The mobile app geolocation feature helps users determine a drop-in and a drop-off location.

  • Promo codes and coupons

Provide users with a good experience and let them feel they matter.

  • Support service

With the help of these features, customers can leverage customer support service to make complaints or question anything regarding their rides.

  • Panic Button

This button lets users ask for urgent help in an emergency.

  • Multilingual app

The app should be available in various regional languages for users who can’t understand English.

  • Ride cancellation

Users get access to cancel the ride or participation in the ride if they want by obeying the mobile app rules and guidelines.

  • Payment

It presents numerous payment options such as credit cards, cash, digital wallets, etc.

  • Favorite Destination

This feature lets users add their favorite destination to skip the pickup and destination process.

Features of driver app Interface:

  • Driver Profile & registration

This feature allows the driver to make an account using email, phone number, or social media accounts. And in the profile section, drivers can add all the required details like the driver’s name, age, health condition, car number, license, experience, history, and other details.

  • Status Update

This feature enables drivers to work conveniently by clicking on/off status in the profile.

  • Push Notifications

This option allows the drivers to know about the ride request given by the passenger, and their pickup and drop locations, to let them accept or reject the request.

  • Trip Details

Drive will get all the information regarding the customer’s pickup location, drop location, and other details about the trip.

  • Navigation & Route Optimization

This feature provides various options of routes, gives drivers information about traffic jams on the route, and gives directions if the location is unknown.

  • Messaging/ call option through the internet

Drivers get an option to message or call a passenger to clarify trip details.

  • Ride rejection/acceptance

The driver has the right to check passenger details and accept or reject their request.

  • Offering a ride

It comprises destination points, trip date and time, ride charges, pickup and drop-off location, and seats available for a ride.

  • Referrals

Drivers can refer their mates, making the app free of cost marketing and a growing employee base.

  • Receiving payments

Drivers can register their account number and wallet information to receive payment for their services.

  • Review/ Ratings

Drivers get access to review and rate customers once the ride is complete.

  • Customer Support

Like passengers, drivers can ask questions or leave complaints through messages or call through the in-app customer support feature.

Admin Panel Interface:

  • Dashboard

This feature allows business owners to know information regarding messages, number of users, revenue, management of drivers, passengers, ratings, payment, etc.

  • Real-Time Analysis

It lets you track the rides and get business insights.

  • Push Notifications

Push notifications about offers, discounts, referrals, etc.

  • Payments

Payment status along with earnings of drivers’ are registered here.

  • Passengers

When a passenger creates a new account, it will appear with ratings, contact details, and reviews in the passenger section.

  • Drivers

Managers approve drivers in this section, and driver ratings, details, and reviews are stored here.

  • Revenue analytics

In this section, managers can discover details about revenue, revenue growth, income by category, etc.

  • Service support

User requests are shown in this section and then converted into tasks for the support or technical team.

  • User Management

This permit lets app owners handle riders and drivers.

Design policies to make Lyft like a ridesharing app

An app with ideal features entices customers, and poor designs are a disaster. A good design and unique features are the key to success, and you must be on-point while designing and developing an app like Lyft.

  • The app must be user-friendly.
  • The UI/UX designs must be smooth.
  • There must be engaging visuals and graphics.
  • The app must have real-time functionality.

Languages used to build Lyft-like app:

Before developing, you need to look at the platform of the app Andriod/iOS. After this, you need to look for the backend, which requires Node JS, Python, Ruby on Rails, PHP, and Java. GPS for tracking, Maps, and payment gateways. Google Firebase and Apple Push for Android and iOS phones.


  • Cost of a ride.
  • Base fare booking fees.
  • Commission from the drivers.

Cost to develop Lyft-like app:

Developing an app requires a lot of hard work and technical knowledge. When developing a Lyft -like app, you need to ensure the platform as the cost of app development directly depends upon the platform(Android/iOS) and the features you want to add.

Besides this, the other cost factor includes:

  • Admin panel
  • Back-end development
  • Project management
  • QA
  • App interface

If we calculate the hours, backend features require 100-200 hours, and development requires 200-300 hours. It will entirely depend upon your requirement and the cost matter from country to country. If we talk about India, you can hire the mobile app developers at a lower price than in other countries, so if the hourly rate is around $25-$30, $100-150 in the USA, and $40-80 in Europe. Thus, India’s estimated development cost of launching an app will be $45,000.

How does Lyft, like ridesharing apps, make money?

  • Commissions

Apps like Lyft take a share from each trip and take 20% of each fare booked through its app.

  • Promotional partnerships

Consumers benefit from the marketing campaigns by other brands. For example, Lyft users in selected cities are given free trips in the BMW 7 Series to advertise the new car, and Lyft gets the money.

  • Referrals

Expand the number of referrals by a driver or rider, further improving riders and supporting apps like Lyft to make money.


While developing a ridesharing app, ensure three things; passenger, driver, and admin panel. Also, it is best if your app can provide a unique offering to customers with top-class security riders.

Furthermore, rates to develop an app will differ from country to country as you will get a team of higher-skilled developers, designers, testers, etc., dedicated to the projects to complete it within the given timeline. And we are ready to help you with it.

Entrepreneurship Offer:

Flat 50% off

Across App Development Services

Want to discuss your idea?

Hi I am Ryan, a Business Consultant at
RV Technologies. We are excited to hear
about your project.


Drop us a line and we will connect
you to our experts.

Let’s Get Started

We’re here to help you. Fill the form below and we will get you in touch with our experts soon.