On-demand Taxi Apps Address The Challenges Of Offline Cab Business

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By: Sagar Sharma

On-demand Taxi Apps Address The Challenges Of Offline Cab Business

The transportation industry is getting extremely competitive across the globe due to the emergence of on-demand taxi service providers like Uber, Lyft, Hailo, etc. These market leaders have developed robust on-demand taxi apps that allow passengers to book cabs using the handy devices.

Conventional taxi businesses are not entertained by customers anymore! Most of the passengers hire cabs from on-demand taxi service providers like Uber who promise for reliable pick-up and drop services. They also provide assurance about the safety and security of the riders. Are you still running a conventional taxi business? It seems like you are not interested to increase your business bottom line.

Search out a driver’s contact number and give him a call to book a taxi that is too old-fashioned. The on-demand taxi service providers have made the cab booking simpler by connecting passengers and drivers in real-time through next-generation mobile applications.

If you really want to explore why your taxi business is not gaining a competitive edge, then don’t miss to read this blog.

Challenges Addressed by On-demand Taxi Apps

Lack of Productivity

Through an extinct taxi booking business, you cannot have a clear idea about what your drivers are up to. You cannot measure the efficiency and productivity of the drivers. So, there are chances that the business suffers from under-utilized resources. Eventually, it affects negatively on the ROI.

With the GPS integration in your on-demand taxi booking apps. You can track the location of drivers at any point in time.

Manual Processes In Place

Taxi booking via phone calls is a manual process that requires staff to maintain back-end processes. Here, you may face challenges with effective resource planning. On the other hand, adopting the latest mobile technologies, the contestants constantly move ahead to win the competition. If you ignore the importance of technology advancements, you will not survive in the race for a long time.

A taxi booking app connects customers with the driver by allowing them to make a call to the driver using the app. Thus, it helps you to save costs to set up any backend staff to manage the calls and data of the customers.

Adoption of Obsolete Taxi Booking Technique

Today, we have tech-savvy customers who don’t like to book a taxi by making calls. Secondarily, they are not sure about the kind of service you are delivering. The passenger makes a call, then you confirm the booking and there goes your cab. The entire process takes a few minutes to book a cab. Why will customers take the pain to wait till long when they can hire a taxi in a few seconds? This way you can keep losing the passengers every time.

Developing an on-demand taxi booking application, you can allow customers to book the cab in seconds that not only help you in delivering quick scan services but also maximize your revenue through maximum utilization of resources.

No Connectivity Amongst Drivers and Passengers

You may have a reliable staff of professional drivers, but if passengers are not aware of it, then what’s the benefit of offering good services. If you have not listed your on-demand taxi service on online platforms, the rider will not come to know that your drivers are available to pick up them from various locations. Here, you can miss several opportunities to win the customer’s trust.

Allow customers to experience your quality services by enabling them with feature-rich taxi app solutions. Help them in reaching their intended destination by booking the ride in a few seconds by offering safe and on-time pick-up and drop services.

Poor Customer Experience

Cab booking via phone calls eventually becomes unreliable. It contains manual processes that are very time-consuming. Passengers need an instant response in terms of booking confirmation and on-time pick-up. If you cannot match these criteria, you may lose the customers forever.

If you offer an on-demand taxi service, then your drivers can receive the customer requests in real-time and respond to those requests on an immediate basis.

Lack of Reliability

If you are not available on online platforms, customers cannot check out the reviews and ratings of your cab drivers and services. It creates discomfort in the mind of passengers if they hire your service. There are chances that the journey leads to a bad experience that hurts the reputation of your company.

In the app, customers who have taken a ride with your driver can share their experiences in the form of reviews and provide ratings to your services. It creates a trust for your services and company across the other customers.

On-demand Taxi Services Requires to Build Three Cab Booking Apps

Passenger Application

Passenger can download and install the app from Apple’s App Store and Google’s Play Store. To access the app, they have to register and sign up. Once they enter into the app, they can see drivers available at nearby locations. It requires just one touch to book a taxi.

The app also enables passengers with the interactive Google Map where they can continuously track the current location of their cab. Additionally, customers can make a payment from the app itself using a credit card. So, no need for cash exchange and tips.

Driver Application

Drivers need to register and sign up with the app. They can receive the booking requests on the go from the passengers located at nearby places. The passengers get the confirmation for pick-up within almost 40 seconds. When drivers receive pick-up requests, they can either accept or reject the requests according to their availability.

Well, the solution also allows customers to pre-schedule a ride for a particular date, time, and city. The app will send the reminder to drivers as well as passengers in advance in case of pre-booking.

Web-based Application

It’s a master admin panel that is designed for the cab business owners where they can manage drivers and their taxi fleet. App owners can view and track the drivers in real-time and manage them more efficiently. Apart from it, they can check out drivers’ rating, reviews, history, etc.

How Does On-demand Taxi Booking Application Add Value to Your Business?

  • Overhead cost-cutting
  • Streamlined and automated business operations
  • Increased driver productivity
  • Greater better revenue and profitability
  • Enhanced customer experience by offering quick on-demand taxi services

The taxi apps solutions are completely customizable as per the tailored requirements of clients. Develop custom mobile applications for both iOS and Android platforms that help you in business enlargement in the most cost-effective manner.


Developing a robust taxi booking solution, you can easily beat the competition, attract new customers, and retain old buyers by facilitating them with WOW experience. If you are already using a taxi booking application, then share your experience and insights in the below comment box.

Frequently Asked Questions

How much does it cost to build an on-demand taxi app?

The cost of a taxi booking app relies on the number of functions and features you want to consider in the app. However, roughly a simple cab booking app with basic features costs you around $10000 -$18000 while if you want to build an app with advanced features then it can costs you more than $100000.

How long does it take to develop a taxi booking app?

The development time of a taxi app solution is based on the features you want to incorporate into the app. The more features and functionality you want to add in the app, the development time will exceed. A simple cab booking app can be developed within 6-7 months. While an app with all the advanced features takes up to 1 year.

How do taxi booking apps make money?

To monetize your taxi booking app, you can charge registration fees from drivers, you can run paid advertisements and enable customers with in-app purchases.

How do the taxi app solutions work?

The taxi booking application will be a platform that connects cab drivers with the customers. The riders can set the pickup and drop location with help of GPS system. They can see the charge and pay it online. Drivers can use the Driver App where they can see the customers’ requests for the ride. They can accept or reject the ride requests as per their availability.

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