How Will The Market For Ride-hailing Services Grow In The COVID-19 Crisis?

As the 2000s gave way to the 2010s, there was excitement in the air. Uber was creating a trend. People were convenient with booking taxis over the smartphone rather than waiting for yellow cabs. The success of Uber meant one thing – digitization is inevitable. Ten years later, the COVID-19 pandemic is proving just the same. Supply and demand are moving far away from each other. Reconstruction is a possibility but only through the online medium. 

As a tiny pathogen wanders across the world, people are left stranded within the four walls of their homes. However, the tension in the air relaxes for the time being, with due credits to people adapting to the ‘new’ normal world – the world where social distancing and safety regulations gain the center stage. With the situation returning to normalcy, people will prefer safer taxi rides over congested public transport services. 

An entrepreneur’s dream of building a taxi empire begins with launching a highly reliable ride-hailing app. So, how can an entrepreneur tackle the COVID-19 situation and scale greater heights with a taxi app? Will the market regain its position post-COVID-19? What are the strategies that can lure the audience towards the taxi platform? Let’s dive straight in to find out.


Foundation matters – Gathering resources

Let’s assume you’re an entrepreneur eyeing your chances of venturing into the taxi market. The initial step involves identifying the vision and gathering resources to attain it. Some of the fundamental questions that can provide clarity in thought include, 

  • What are the steps involved in developing the taxi app? 
  • What is the unique selling proposition of the platform?
  • What is the tech-stack needed to build the app? 
  • Who can build a top-notch taxi app? 

Overall, identifying what it takes and equipping the necessary resources can help you avoid hurdles in the future. Resources are divided into technical requirements, financial constraints, and business needs. Gathering resources is the most crucial step. 

Visualize the end-product – Knowing the workflow

One can visualize the final product after identifying the necessary resources. Almost every step in development aims at enhancing user experience and providing a seamless workflow. Analyzing the workflow before development can boost the chances of success. Let’s analyze the workflow of a taxi app here, 

  • Both riders and drivers register with the app. While passengers can log in via their social media handles, drivers need to upload valid documents for verification.
  • Upon registering, riders enter the pick-up and drop destinations. The app displays the available type of cabs in the vicinity. Users select their desired cab, based on the fare, ETA, etc.
  • Drivers near users’ locations get user requests. Drivers can either accept or turn down requests based on their availability.
  • Upon booking confirmation, both the parties share details regarding the ride. Users track the cab in real-time using the in-built GPS functionality.
  • Users avail of the ride services and, after commencing the rides, they pay for the services through multiple payment options like credit/debit cards, digital wallets, etc.
  • Both drivers and users rate and review each other based on their ride experience. 

Attracting the audience – Bringing uniqueness

You cannot expect people to switch from existing apps to your app without bringing something unique on the table. While customers rely on taxi apps, they expect only the best services from these apps. Enhancing customer convenience can pave the way for an Uber clone app to scale greater heights. Some of the unique elements worth considering include, 

  • An in-app wallet to enable riders to pay for their trips instantly. 
  • An emergency button, wherein riders can reach out to the support team during emergencies. 
  • A split fare option to let users share their total fares with friends and family. 
  • A multi-lingual support system, paving the way for users to access the app in the language of their preference. 
  • A favorite driver option to enable users to request rides from top-quality drivers in the future. 

Understanding the current scenario – The COVID-19 saga

These are tough times for the taxi industry. The demand for taxis almost dried up in the first two quarters of the year. However, taxi giants like Uber, Lyft, etc., are returning to provide services, with most governments lifting lockdown restrictions. According to a recent report by Research And Markets, the taxi market will recover with a CAGR of 6.5% from 2021, growing in numbers to reach a significant value of $94.4 billion in 2023. 

Entrepreneurs needn’t hesitate to invest in this evergreen taxi market, as the predictions clearly state that the market will regain its position in the upcoming years. 

Making necessary amends – Gain the trust of customers

As mentioned earlier, people prefer a private cab ride over congested public transport. For a taxi platform to flourish even amid the pandemic situation, all it takes is to gain the passengers’ trustworthiness. An Uber clone app, with the highest safety standards, can gain popularity and revenue in no time. Some of the safety strategies worth implementing include, 

  • Restricting the passenger limit: A safe taxi ride involves social distancing between passengers. Limiting the passenger count to two or three based on the locality can make a taxi app reliable. 
  • Face mask recognition software: Incorporating a face mask recognition software will verify if the drivers are abiding by the safety standards by wearing gloves and masks. Only those drivers that equip themselves with PPE must take up rides. 
  • Safety ratings and reviews: Providing users with the final say can help in gaining trustworthiness as well. Ensure that your users rate and review the safety regulations of the taxi after the ride. This way, those drivers that do not abide by the community guidelines can be removed. 
  • Go online checklist: Passengers and drivers are equally responsible for maintaining the community’s safety. Hence, make sure everyone takes up a questionnaire related to COVID-19 symptoms before providing/availing services.  

Conclusion

The market for ride-hailing services will continue to be an entrepreneur’s delight even after the pandemic situation. People’s increased dependency on taxis will make this sector profitable and beneficial for years to come. 

Integrating safety add-ons into the platform can enhance users’ trustworthiness, boosting profits. Identify your unique functionality, reach out to an app development company, integrate COVID-19 safety add-ons, and launch the app right away! 

yash
I am working in digital marketing .Now a days Online platform is best to increase your business. so i can help you out with this.

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