By optimizing driver incentives, Lyft can encourage drivers to drive in areas with the highest demand for rides.

Lyft Optimizes Driver Incentives with Gurobi

Kaelyn Barron
(909) 359 4782
Gurobi Optimization
kaelyn.barron@gurobi.com

Gurobi Optimization, LLC, the leader in decision intelligence technology, is now the solver of choice for Lyft, one of the largest rideshare and micro-mobility networks in the U.S. and Canada.

Lyft uses a variety of driver incentives to signal where and when to meet riders.

“As a rideshare marketplace, our role is to help riders and drivers find each other at the right price at the right time. We’ve found that drivers trust financial incentives as the most reliable signal about where to find riders. Using Gurobi has helped us optimize our use of incentives so that we can make them more efficient. Because they are now more efficient, we can offer more incentives—which is better for drivers and thereby better for riders,” explains Chris Sholley, Senior Director of Lyft Driver Earnings.

Since making Gurobi their primary solver, Lyft has reduced their time spent per linear problem by 80% and improved their overall end-to-end time by 92%. Those efficiency gains allow the team to adjust to market changes more rapidly.

“One thing that has been easier to do with Gurobi—mostly because of the speed-ups—is that we can pre-populate multiple scenarios, and plan and revise with shorter timelines,” explains Sameer Manek, Senior Staff Data Scientist on Lyft’s Driver Earnings team.

The Lyft team has also found that Gurobi is easier to use compared to other options.

As Abbas Bozorgirad, Data Science Manager on the Driver Earnings team, explains, “We have some new products that we are still in the process of launching, and we can very quickly and easily prototype optimization algorithms for those using Gurobi.”

Gurobi is proud of the impact their technology has had on Lyft’s operations.

"We are thrilled to see how Lyft has leveraged Gurobi's optimization capabilities to transform their incentive strategies,” says Duke Perrucci, CEO of Gurobi. “With faster computation times and better overall efficiency, Lyft can offer more dynamic incentives that help promote timely, reliable service.”

To learn more about how Lyft uses mathematical optimization powered by Gurobi to enhance their efficiency and react quickly to market changes, read the full Lyft case study.

About Gurobi Optimization

With Gurobi’s decision intelligence technology, customers can make optimal business decisions in seconds. From workforce scheduling and portfolio optimization to supply chain design and everything in between, Gurobi identifies the optimal solution, out of trillions of possibilities.

As the leader in decision intelligence, Gurobi delivers easy-to-integrate, full-featured software and best-in-class support, with an industry-leading 98% customer satisfaction rating.

Founded in 2008, Gurobi has operations in the Americas, Europe, and Asia. It serves customers in nearly all industries, including organizations like SAP, Air France, and the National Football League. For more information, please visit https://www.gurobi.com/ or call +1 713 871 9341.

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