Apr 2, 2025

Share Quick note: We do lots of research for new ideas at Neighborhood Studios . In 2022 we began publicly sharing our research . We’ll pursue some of these ideas, but many we won’t. Either way we want more founders to build products to make our day-to-day lives better. If you are working on ideas around this problem, we’d love to chat — goodstuffnearby@neighborhoodstudios.com . In the race to redefine urban mobility, one big question remains: is ridesharing better when it’s personal? Peer-to-peer and affinity-based ridesharing platforms — Yelo , BlaBlaCar , Fetii , LUXY , and Via — suggest the answer might be yes. These startups are reframing who we ride with, how often, and why. While Uber and Lyft have become default infrastructure for cities, a new crop of platforms is emerging — not to replace them wholesale, but to fill in the gaps where corporate rideshare doesn’t reach or resonate. These gaps are shaped by context: college campuses, late-night group trips, luxury intercity travel, or micro-shuttles in underserved neighborhoods. And each of these gaps suggests the same thing: we might not always want to ride alone with strangers. We might prefer a peer. Landscape Ridesharing & Carpooling — Encompasses platforms that enable individuals or groups to share transportation, ranging from daily commutes to intercity travel. These services are increasingly tailored to specific communities, use cases, and vehicle formats. Uber : Founded in 2009, Uber pioneered on-demand ridesharing through its app-based model, transforming urban mobility globally. It introduced features like surge pricing, driver ratings, and Uber Pool, setting the foundation for the gig-driven transportation economy. Lyft : Launched in 2012, Lyft positioned itself as a friendlier, community-first alternative to Uber. With features like Lyft Line and later integrations into public transit, it emphasized shared rides and multimodal commuting experiences. Long-Distance & Intercity Ridesharing — Platforms that match riders and drivers for intercity trips, typically for cost savings, environmental impact, or community-driven experiences. BlaBlaCar : Launched in 2006, BlaBlaCar connects drivers and passengers traveling between cities. With over $565M in funding, it remains the gold standard in long-distance, peer-based carpooling, particularly in Europe. Microtransit & Public Transit Alternatives — Services that operate shared vehicles along fixed or dynamic routes, blending the flexibility of rideshare with the scale of public transit. Via : Founded in 2012 and backed by $1.25B in funding, Via offers dynamically routed, shared rides. It partners with cities and transit agencies to provide efficient, data-driven alternatives to traditional buses and shuttles. History of Ridesharing The way we get around has always been shaped by the people around us. Before algorithms, before apps, and long before gig workers became infrastructure, we rode with friends, coworkers, and strangers headed the same way. The history of ridesharing is less about Uber’s invention — and more about a return to a familiar logic: shared mobility thrives when it’s personal. This transformation unfolded in distinct phases, shaped by shifting economics, trust models, and access to technology. Phase 1: The Informal Peer Network (Pre-2000s) For much of the 20th century, peer ridesharing wasn’t called anything at all — it was just what people did. Coworkers carpooled to factories. Hitchhikers thumbed rides from strangers. Parents took turns driving kids to school. During fuel crises of the 1970s, “rideshare boards” popped up in offices and college campuses, helping commuters coordinate schedules and split costs. Some employers even subsidized carpooling directly. Trust was analog and local. You knew someone who knew someone. But scale was limited, and participation skewed toward those with flexible routines or generous coworkers. This was the social layer of rideshare — pre-digital, hyper-local, and entirely offline. Phase 2: The First Digital Peers (2000–2010) The rise of the internet opened the door to more structured, digital coordination between peers. Platforms like Craigslist and Zimride (2007) began connecting strangers for rides, especially on long-distance routes. Zimride — founded by Logan Green and John Zimmer, later the founders of Lyft — focused on university campuses, where trust could be anchored to student IDs and common destinations. Meanwhile in Europe, BlaBlaCar (2006) introduced an early version of “trust tech”: user profiles, ride preferences (e.g., music, talking), and reviews to build confidence between riders and drivers. It wasn’t just about moving people — it was about who you shared the car with. This phase proved that ridesharing could extend beyond friends, but still thrive on identity, community, and common context. Phase 3: The Gigification of Movement (2010–2020) The launch of Uber (2009) and Lyft (2012) marked a radical departure from peer-based models. Instead of connecting riders with drivers headed in the same direction, these companies created on-demand supply through gig labor. The magic was convenience — tap a button, get a ride — but it came with tradeoffs. Drivers were no longer peers; they were interchangeable. The system favored liquidity and reliability, not relationships. Features like UberPOOL and Lyft Line tried to reintroduce shared rides but mostly treated them as pricing optimizations. At the same time, new services like Chariot (shuttles), Via (microtransit), and private group transport apps tried to fill niche gaps left by 1:1 rideshare. Some succeeded in high-density zones; many folded under the weight of regulation or unit economics. This was the decade of convenience over context. It was also when ridesharing became less about community — and more about capacity. Phase 4: The Return of the Peer (2020s–Present) Now, the pendulum is swinging back. A new generation of platforms — Yelo, Fetii, and LUXY — are reintroducing identity, community, and trust into mobility. But this time, they’re armed with smarter tech, niche segmentation, and sharper GTM playbooks. Meanwhile, Via continues to partner with governments to fill public transit gaps, proving that community-aligned shared transport can operate at city scale. What’s different now isn’t just the model. It’s the product. Platforms are building around communities (students, professionals, event-goers), not around geographic zones or raw liquidity. And it’s working — because people still trust people more than platforms. Texture of the Problem Mainstream rideshare has three problems: Cost inefficiency — A solo ride across town can feel unnecessarily expensive, especially when you know others are headed the same direction. Lack of community — For many, hopping into a car with a random driver feels transactional. There’s no connection, and sometimes, no trust. Use-case gaps — Platforms like Uber XL stop at 6 passengers. Corporate ridesharing rarely works for college students or large event groups. As these pain points persist, new platforms are designing around context, not just convenience. Novelty: A New Generation of Peer Rides Let’s break down what’s emerging across five unique approaches: Yelo — The campus-native social rideshare Founded: 2024 Funding: $700K | 50%+ penetration on some campuses | Highest potential for true network effects. Overview: Yelo is students driving students. No commission, no strangers, and a clever twist: ride trends also show where the campus is going. With 100K+ students across 15 campuses and partnerships with nightlife venues, Yelo is less Uber clone and more real-time peer pulse. The monetization is clever — businesses pay to steer student demand. Fetii — Group rides at scale Founded: 2020 Funding: $7.7M (Mark Cuban-led) | Dominates frat travel | Asset-light scalability Overview: Fetii targets what Uber doesn’t: 10+ person rides. Think party buses, but with an app. It started with college groups and expanded via partnerships with fleet operators. You don’t even need to own a van to drive — Fetii will source one through partners like Bandago. LUXY — Luxury rides, affordable price Founded: 2018 Funding: $2.0M | Smart supply optimization play | Built for pros, not gig drivers. Overview: LUXY is matching high-end car services with travelers looking to save. They fill empty return legs of limo trips (85% of rides are otherwise empty), which reduces costs and emissions. The platform targets airport rides and corporate travelers, offering luxury at UberX prices. What’s Next? The future of peer ridesharing won’t be one-size-fits-all — it’ll be contextual, community-driven, and modular. Here’s what might emerge next: Affinity networks Think “restaurant workers driving restaurant workers,” or LGBTQ+ rideshares. Just like SOHO House carved a niche in hospitality, niche ride networks can offer safety, identity, and brand-driven belonging. Hyperlocal marketplaces In college towns or tight-knit neighborhoods, peer rides double as social infrastructure. Yelo proved that shared transportation can also be discovery — what if rides were how you decided what to do that night? Group travel as a default Fetii’s core insight — solving for >6 people — is real. Whether it’s weddings, festivals, or conferences, pooled group rides might become event infrastructure, not an afterthought. Final Thought: Peer Rides are a Product, Not Just a Market What makes peer rides compelling isn’t just lower costs or better margins — it’s belonging. You’re not just buying transportation; you’re buying context. A campus social graph. A trusted community. A curated travel experience. And in a world saturated with impersonal gig work, that might just be the edge. If you are a founder exploring any of these areas, we’d love to chat — goodstuffnearby@neighborhoodstudios.com. About Neighborhood Studios Neighborhood Studios is a venture studio that partners with tenacious founders to build hyperlocal startups from the ground up. If you are building a business in any hyperlocal space or if any of this really grabs you, we want to hear from you. Drop us a note at goodstuffnearby@neighborhoodstudios.com.