The market value of on-demand taxi businesses is augmenting like never before. Of course, Uber takes pride in initiating budget-friendly taxi rides along with providing the best user experience. Entrepreneurs who are willing to kick off their ride-hailing business started citing Uber’s business model. Though the number of on-demand taxi apps is intensifying, Uber still continues to sustain at the top position.
There are many reasons behind the sustainability of Uber in the marketplace. Here, you will know about how to commence a taxi business in the UK. alongside, we will analyze the reasons behind the sustainability of Uber.
The course of action for starting an on-demand taxi business
Sketch Your Business Plan
Firstly, you have to devise a plan for your business, which requires planning the objectives, knowing the audiences, future goals, region/country to start the business, competitors, and the demand for taxi services.
This business plan is the key operator of your business as it defines everything right from your objectives to scope prediction. Once you prepare the business plan, you must start accomplishing each of them. So, after this phase, you will head to select the business model.
Business Model and Niche
First, you need to study the different types of taxi services you can provide to your customers. Most importantly, you need to conduct research on the most preferred type of taxi service in the region in which you are going to start your business.
In the taxi business, you have different services like carpooling, ride-hailing, and P2P ride-sharing. Each of these services will have a separate user base. For instance, some customers will be convenient with the ride-hailing services while others may opt for carpooling, which will be a budget-friendly option. This method is popularly called identifying the niche of the business. Once you opt for the niche, you must select a business model in that niche.
You might be familiar with the two business models in the taxi business, which are individual and aggregator models. Choose the model that works fine for your budget.
On the whole, analyzing the customers’ preferences is a repetitive process throughout every stage of your business.
Choose the Cabs for Your Business
After planning the objectives, selecting the niche and business model, the next step is purchasing resources. For the taxi business, cabs are the resources. Employ different models of cabs in your business because each user will have a different choice in selecting the cabs.
Including a range of cabs will be beneficial for passengers as some may book economic cars for daily rides, while some may book luxury cars for business trips, etc. So, you need to add cars of different categories.
File Your Brand Name
Your brand name is the identity of your taxi business. So, you have to make it more catchy and unique. Remember, a catchy brand name and logo will help people recognize your brand. So, once you have tagged your taxi business with a suitable name and logo, the next step is to seek financial help.
As a taxi startup, you will need funds to set up the infrastructure for your business, hire drivers, and purchase cabs. Now, let us learn the types of funding you can choose for your taxi business. First, if you can manage with your own money, then it is called bootstrapping. Here, the need to approach a financial institution or a funding agency is eliminated.
The next case is where you will reach out to a funding agency. So, there are numerous finding types, which are classified as crowdfunding, seed funding, and bank loans.
Businesses employing resources like cars, bikes, etc., must definitely get insurance. Since the cabs are your assets, you must insure them so that in case of any mishaps, you can claim the insurance money and continue your business without any loss.
Again, in addition to getting insurance for your cabs, you can also consider getting insurance for your drivers. Both the cabs and drivers are your real-time assets. Therefore, you must highly work on getting insurance for both.
Developing the Taxi Application
The final stage is developing the taxi application based on your requirements. Now, let me ask you a few questions. Do you want your taxi app to developed within a few days or a year? Obviously, you will prefer to get your taxi app developed within a few days. Again, do you wish to invest less or more in developing your taxi app? Without any doubt, you will look for a budget-friendly taxi app development.
So, the Uber clone is a taxi app solution that accommodates all the above-said traits like less time to develop and requires a minimum investment. It is all because the app is a ready-made one, which is perfectly tested and approved for launch. You must not skip this section without knowing the features of the Uber clone app. Come on!
Highly Essential Features to be Added to Your Taxi App
Vehicle tracking – Through the vehicle tracking feature, you can guarantee your users that your services will be transparent. They can actually check the vehicle or cab’s location from the app’s tracking feature.
Estimated time of arrival – The app notifies your users regarding their cab’s arrival time instantly once they book the cab. Of course, it is necessary to let your users know how much it will take for your cab to reach them.
Fare calculator – For users, knowing the fare of the ride will be helpful. They are notified about the ride charges, and after that, users can decide to book or not.
Route optimizer – The app will take the location details, breaks them down, and gives the easiest route as a suggestion to the driver. So, your drivers can choose the easiest path and reach the spot without any lag.
On the whole, to launch a taxi app in the UK, you must undergo all the above-said procedures. Success is yours if you infuse flexibility in your business model and devise feasible marketing strategies.
Jennifer Atkinson is a technical writer and growth hacker for Uber clone product of Appdupe, a reputed app development company expertized in providing white-label app solutions. She helps new businesses and upcoming startups achieve better online visibility with unconventional marketing strategies.