Abraham Yousef · August 2024
MMM: Uber and Lyft Q2 2024 Earnings Results and Advertising Trends; Insurance App Advertising and User Growth Trends
Uber and Lyft saw strong growth in ride-share demand in 2Q24, with Uber focusing on rider acquisition and Lyft on driver engagement. Per Sensor Tower data, GEICO reduced US ad spend by 25% YoY in 1H24, while Progressive increased ad spend by 80% YoY in 2Q24, becoming the largest advertiser in the insurance cohort.
Key Takeaways:
Uber and Lyft reported double-digit YoY growth across key metrics in 2Q24, as ride-share demand remained strong
Uber’s MAPCs grew 14% YoY in 2Q24, in line with ST MAU estimates for the Uber app (+10% YoY), as it strategically shifted its social advertising efforts to prioritize rider acquisition, effectively increasing the proportion of power users
Lyft reported record-high driver hours in 2Q24, in line with ST data on user engagement. The data showed a 29% YoY increase in total time spent on Lyft’s driver app and a 21% YoY rise in total session count in 2Q24. This growth could be attributed to Lyft’s focus on targeting driver acquisition in its social advertising efforts
ST data indicates that GEICO was the sole brand to pull back on its US ad spend by -25% YoY in 1H24, with the broader insurance cohort increasing spend by 55% YoY for the same period. Progressive’s 2Q24 earnings highlighted the company’s commitment to advertising and ST data shows US ad spend increased by 80% YoY, making it the largest advertiser across the cohort with 27% paid share of voice
GEICO started to decrease its US digital ad spend in 2023 and has seen commensurate declines in both paid SoV and US MAUs, the latter of which declined consecutively on a YoY basis since 1Q21. GEICO is the only brand across the cohort experiencing such steady declines
For more information, request the full report from reports@sensortower.com.
