In an effort to cater to price-conscious consumers and fend off competition from rival Lyft, Uber Technologies has announced a range of new initiatives at its GO-GET annual event. The San Francisco-based ride-share and delivery giant aims to sustain its growth after a successful 2023, during which it reported its first-ever annual profit.

One of the key initiatives unveiled is the introduction of Uber Shuttle, a shuttle service that allows users to reserve up to five seats in advance. The Uber Shuttle buses will operate in high-traffic areas such as airports, concerts, and sports events. To ensure smooth operations, Uber will partner with local fleet operators and utilize vehicles with a capacity ranging from 14 to 55 seats.

Additionally, Uber revealed that users will now be able to schedule shared rides, providing more flexibility for passengers. The company also announced a student discount on its Uber One membership, further incentivizing young consumers to use the platform.

Expanding their partnership with membership-only retailer Costco, Uber will now offer additional discounts and benefits to Costco members who use Uber Eats for their food delivery needs. This includes exclusive discounts on orders as well as a standing offer of 20% off on the annual Uber One plan.

While Lyft does not offer shuttle services like Uber, it recently introduced a Transit mode feature, which enables users to access schedules of nearby shuttles, trains, and ferries through its app. Lyft has been intensifying competition with Uber, particularly by eliminating surge pricing as ride-share demand increases with the return of employees to offices and the holiday season.

As the North American market approaches maturity, both Uber and Lyft are actively seeking new avenues of growth, such as advertising and subscription services. Market research firm YipitData notes that fares for UberX and Lyft Standard ride-sharing products have remained largely unchanged over the past two years.

Uber's latest initiatives have been positively received, with shares closing up 2% at $66.62. With the introduction of Uber Shuttle and the expansion of its delivery partnership with Costco, Uber hopes to appeal to budget-conscious consumers and maintain its market position in the face of increasing competition from Lyft.