If you are thinking about investing in a consumer-facing company or starting one I would really study how Lyft handles customer acquisition, conversion, and retention. They are one of the best in the business! When we invested in Lyft in 2014 many people were saying it was going to be a rout but slowly people are realizing there is enough room for more than one player and it’s actually turning out to be quite the legitimate rivalry (in the USA).
Remember investing (or raising capital) is very similar to the steps of the scientific method:
1. Define the Problem (taxes are terrible and 95% of the time cars are just sitting around and can be better utilized).
2. Form a Hypothesis (They dream of a world where carpooling in driverless Lyfts is the norm, personal car ownership is obsolete, and cities have been radically redesigned to best accommodate human beings rather than automobiles.)
3. Research and collect data (listen to its founder speak and all he gives you is data)
4. Experiment (they expanded their coverage area to 95 percent of the USA, more than doubling its number of rides year-over-year to 375.5 million).
5. Conclusion (they are the fastest growing rideshare company in the USA and recently gained more than $2 billion in fresh venture funding and valued over $11bn!)