Over the duration of the second quarter, Certify, a travel management firm which handles corporate travel transactions, analyzed over 10 million receipts filed. After analyzing the data, it has been concluded that car rentals and taxis continue their downward trend as Uber and Lyft continues to rise as the choice of transportation for business travelers. The firm found the amount of money spent on car rentals and taxis fell two percent compared to the quarter prior. Rental car firms and taxis control 29 percent and eight percent respectively of the ground travel market for business travelers. On the other hand, Uber and Lyft each grew by two percent. Lyft now controls eight percent of the market while Uber controls the lion's share of 55 percent.
Robert Neveu, CEO of Certify said the revolution in ground transportation we're seeing today led by Uber and Lyft has far reaching implications for the future of corporate travel." Another way to view the impact of Uber and Lyft has on the ground transportation market is to view their market cap. Hertz is an international car rental company but it has struggled in the recent years. In the second quarter, Hertz has continued their plummet and lost $28 million. Their stocks, traded at a high of $125 in August 2014 is now currently being traded around $17.
New York City has been known for the taxi industry. Yet, the city's operators currently feel the burden of a tough competitor. In order for a taxi company to operate in New York City, the company requires a taxi medallion. Four years ago, such said medallion was sold at a whopping $1.3 million. Earlier this year, a medallion was sold for $241,000. The rise of ride-sharing can be associated with the price of the service. An average taxi ride cost business travelers $31.06 according to Certify. In comparison, the average ride charges for Uber and Lyft were $24.49 and $21.28. The convenience of ride-sharing is apparent too. While business travelers may have to worry about parking and the whole process of renting and returning a vehicle, a ride-sharing service removes all the inconveniences. Some has viewed the decline of taxis as the natural selection of evolution of the ground transportation industry.