Lyft Inc has partnered with the U.S. unit of German rental car group Sixt SE to expand its in-app rental business to carless city dwellers eager to take a trip.
Lyft users can book a designated car through the ride-hailing app, add insurance and extras and directly pick up the car from the rental lot without waiting at the counter.
Lyft already runs a limited rental car program in Los Angeles and the San Francisco Bay Area without the involvement of any car rental companies.
The new partnership allows it to quickly scale while avoiding the costs and regulations associated with owning and operating a national fleet.
“COVID has caused a change in behavior and people need different transportation options,” Cal Lankton, Lyft’s vice president of Fleet & Global Operations, said in an interview.
While rental car demand has plummeted