Here's everything you need to know about the changing taxi industry

The top of a taxi

The taxi industry has changed drastically over the last few years and it’s all linked to how quickly technology is evolving. It’s hard for local cab companies to stay afloat when a business like Uber is on the rise. It’s becoming rarer for people to order taxis via phone or by getting in one at a taxi rank. But why is that exactly and what can you do for your business to help it stay successful? We’ve compiled a list of the essential things you need to know as well as tips on how to anticipate the ever-changing digital taxi industry.

Everything is digital!

Yes, it really is that simple, everything has gone digital in the last five to 10 years. This includes the taxi industry. If you compare technology to a decade ago you’ll see that we’ve swapped flip phones for iPhones. As well as this, we’ve swapped cash for contactless payment cards. We can check all of the important things in our life from work-related things to checking our money with online banking – we cannot escape it.

Some cab companies such as Addison Lee have taken advantage of the online world and created an app so that we can order private hire cars via our electronic devices. They have invested well and offer customers money off vouchers and allow customers to pick their own vehicle and also give them fixed prices for their journeys in advance. If you want to invest in your taxi business, we recommend creating an app where customers can order vehicles in advance and also offer them price estimates for their journeys.

Card or cash?

Going back to the point we made earlier, all of our banking is available online. We also have debit cards with contactless payment and Apple pay. These are often a preferred method of payment as they’re quicker and more secure. You know exactly how much you’re spending and you can see what is going through your bank account at all times. One company that has used this to their advantage is Uber. Uber allow their customers to get estimate fare prices in advance and also add their current account to the app. This means that you can pay for your Uber journeys via card and not have to think twice about it. When you compare this to traditional methods of paying by cash you can see why paying by card is easier. For example, if you don’t have cash on you, you’d have to find a cash point and take cash out before your taxi journey.

There is A LOT of competition.

With all the above considered it’s no surprise that there is some competition in the taxi industry. Our prime case study for this is Uber. You can pay by card, or order your cab via an app. You know how much your journey will cost in advance and there is a certain level of safety to reassure customers. All customers have to rate their driver which means that people are being driven by reliable drivers. So, how do you compete with that? We suggesting investing in creating an online presence for your local cab business.

If you would like to book a service with us, please use our quick, easy and FREE online booking tool!