Economics of the taxi industry: How to create an efficient ride sharing business like Uber?
The term transportation is so closely interconnected with world progress. It has always been alongside human history and evolved consistently throughout these years. Even this 21st century has witnessed some great progress in commuting as well. The emergence of Uber into one of the world’s most influential business has proven the desperacy of the world for a more convenient, advance mode of commuting. Moreover, the disturbing rise of world population demands more advanced and innovative ideas to meet the commuting needs of the population. This growing interest towards future transport is a sure sign of great business possibilities.
Global Taxi Market – Analyzing the Existing Market Conditions with Facts and Figures
The global ride-hailing market is growing rapidly and is expecting to exceed $285 billion in the next 13 years. It has eaten alive the conventional taxi businesses. The current estimate of global taxi industry is $108 billion. In this, the contribution of digital taxi businesses is $36 billion which is exactly one-third of the global taxi market. Predictions state that with this rate of progress this market size can grow triple the size in the next 13-15 years.
Apart from the revenue share and the market size, another significant factor that might shed light on to the future commuting possibilities is the ‘number of overall trips used by the customers”. We have taken a total of 15 million rides globally, which is expected to hit the 97 million bar by 2030.
What does it Takes to Launch a Taxi Booking Business like Uber?
The most fundamental thing when it comes to a business is planning and defined goals. One should also require a clear idea of what the market really demand and how it is possible to come up with an innovative solution. Here mentioned the major aspects, where you should focus on while stepping into your dream business.
A winning Go-to-Market Strategy
The perfect example of a successful go to market strategy is Uber. It was launched in the year of 2010 and has managed to reach about 6000 users within the first 6 months. It has provided about 20000 rides as well. The market intrusion strategy of uber was to focus on the tech community from San Francisco. Uber has offered free rides and offers for them to spread the word about this new venture. And guess what! It worked. Today, Uber has 40 million dedicated customers from all around the globe.
The first step is to have a clear marketing strategy to create brand awareness and to get the initial push. However, you need to think on a new strategy, as the old ones won’t bring any difference in here. Develop a buzz around your business, provide offers to attract potential customers, keep an eye on customer-behavior and satisfaction, make the best out of your taxi booking business. Here’s a beginner’s guide to start a ride-sharing company.
A smart Taxi Booking Portal to Move into Digital Taxi Business
The most crucial thing which you need to be aware about is the importance of an efficient taxi booking app in successfully running a taxi business. Uber controls, manage and run their global-level business through an app. Hence and so, the initial step is to create a taxi app like Uber. There are certain crucial features, that you must include in your application in order to ensure an efficient and seamless booking experience.
One of the major attributes, that should be associated with any taxi app. This helps to identify the user’s device location. Besides, it aids you to define the geographic regions and monitor a device’s movements as it crosses defined boundaries. It helps the driver with right directions and delivers efficient navigation as well.
Authentic Admin Panel
This represents an essential element in a taxi booking app. The admin panel or dashboard allows businesses to manage and organize the process efficiently. Besides, it stores database and manages user as well as driver activities.
Integrating genuine payment gateways are important. Payment gateways like Paypal, Zazpay etc are preferable as they are known for their flawless functioning. Besides, you can incorporate digital wallet to promote cashless transactions.
Peak Hour Charge Calculation
Precise fare calculation during normal as well as during peak time is inevitable. This comes under the factors that influence the overall credibility of the business.
Automatic Fare Estimation
A dynamic built-in functionality performs automatic fare calculation, it improves the efficiency and it eradicates the usual waiting charge gripes.
Integrated Google API
Users can obtain a clear picture of directions, distance and time via the app’s connection with Google API.
Include history pages for both users and drivers to access the previous ride history. It can be a reference for future if needed.
An Uber-like Taxi App- Cost of Development
When you create a business like Uber, you should need to build two applications. One for Users and the other for drivers. And there are different phases of the development process, which specifically demand cost and individual efforts.
- iOS and Android native app development
- Backend development
- Web development
- Project management
- Quality assurance
According to the studies and the estimates, the average time takes to build a taxi booking app is 5000 hours. The cost of development depends on several factors like your service professional’s rate, attributes integrated and so much more.
Turn to Agriya’s Ready-made uber clone script
Not everyone can afford to build a cab booking application from the scratch. The process needs a considerable amount of time, effort, and money. Moreover, it requires sheer expertise to successfully develop the application. Agriya’s tailor-built Uber clone script makes it extremely easy for entry-level businesses, they can employ this clone script and easily set up a taxi booking application right away. The intact software script incorporates all the necessary attributes and thus guarantee an excelling taxi booking experience for their users. Besides, it consumes comparatively less amount of time, require very little effort and the money included in the process is relatively small too. Through frequent and value-added updates, Agriya will constantly support your efforts to excel in the business as well.
Building a business empire like Uber is not the easiest thing to achieve. It takes great preparation, determination, and grasp to succeed. However, we have touched some of the crucial areas of modern-day taxi booking business, we have shared the idea of building an app and employing a ready-made app as well. Anyhow, there are several other factors which influence the success of your business. We recommend you perform thorough research on the market as well all other aspects of taxi business for sustained results.