How to Setup your Own Taxi App?

Taxi apps are quite the rage these days. In developing economies like India, taxi apps are more popular, just as Uber is quite popular in USA. The convenience and safety that taxi apps have to offer makes it the trending favorite for many. And with there being more middle class individuals than ever before, it makes perfect sense to create your own taxi dispatch software.

So, should you go ahead and create one?

With apps, one can now call for a taxi from any part of the city and be assured that it will find you. In fact, the driver and the passenger will find each other in the age of the GPS. Uber’s revolutionary taxi-hailing app has been hailed as the game changer as it has led to a plethora of start-ups with the same idea. It also provides people with a means to get back home or their point of destination.

This article will discuss the how of building a taxi app for yourself and the feasibility research that needs to be undertaken.

Now there are two types of taxi apps. One which is an extension of its transport service, like Uber. They have their own fleet of cars. Or as a taxi aggregator. Diverting passenger requests to respective taxi providers depending on the availability of cabs and the distance it is from the current location of the passenger.

So what basically Uber does is marry technology with a fast and efficient mode of transport. The ubiquitous taxi. Currently valued at GBP 15 billion and available in 45 countries, UBER is a behemoth everyone wishes to chase. So let’s see how to go about creating your taxi dispatch software?

Research before you Start:

The investment will be massive starting from the time the app will need to be developed to managing your fleet of cars. Remember to study your competition. By the now the market is quite agog with similar transportation choices. So understand where you would need to place yourself. Your business model needs to be tuned as per your vision and the revenue model needs to be set in. Uber does give the passenger to pay online through online wallets or virtual wallets, but there have been some controversies regarding the metering of Uber. Rules and regulation in regards to Uber metering have come up for criticism.

Once you have tackled these nitty gritty, let’s get down to the basics. You want to be just an app developer or travel the whole hog of the entrepreneurial spirit and become the transport provider. You can choose to be both. Of course being the former will cause you lesser issues if things do not go accordingly. You can develop the app and then team up with a local taxi company and localize your model, one city at a time. However, here your role will only be limited to handling the app in return for a percentage of the income from the taxi company. If you want to go the full Monty, then build a robust app and then start inducting cabs from several sources at a rent or commission. Remember, you will not only be dealing with a car but also drivers working on commission.

Research before you get into phase two:

Study the supply and demand market. Does your supply of transportation fulfill the market’s demand or is the market already facing a glut of providers? In that case how different will your model be?

Think long term. Think about your line of investment and rate of cash burn. What will be the rate of return on investment in this venture? Look for a market where you will get the maximum of Smartphone users. Look for laws governing the said city and state and the country and ensure you comply to their rules.

Starting a business like Uber is fine as long as the practicalities are kept in mind. With the advent of technology, the seemingly mundane activities tend to have become more exciting. And a whole lot easier. With the increasing number of smartphones circulating hands, something as simple or dreary as hailing a taxi has become routine and easy. And you can create your own successful taxi application very easily!

Author’s Bio:

Ritesh Patil is the co-founder of Mobisoft Infotech that helps startups and enterprises in mobile technology. He loves technology, especially mobile technology. He’s an avid blogger and writes on mobile application. He works in a leading android development company with skilled android app developers that has developed innovative mobile applications across various fields such as Finance, Insurance, Health, Entertainment, Productivity, Social Causes, Education and many more and has bagged numerous awards for the same.