On-demand services have completely changed how various industries operate. One such industry which has seen a huge overhaul in recent years is the taxi-service industry. Life for the traditional form of a taxi has drastically changed. It’s safe to say that they have almost been wiped out in favor of the on-demand nature of new-age services like Uber and Lyft. With the success of these companies, many similar such apps have propped up to be a part of this economic boom. Taxi app development has become a viable plan of action for budding entrepreneurs and seasoned vets alike.

Let’s take a closer look at the taxi industry to see what it’s all about and what we can learn from it.

Taxi Apps – What Are They And How Do They Work?

The functioning of a taxi development solution is pretty straightforward. A rider requests a ride by providing a destination and confirming their location. The app then matches that rider with the closest driver who can carry out the job. The driver then picks up the passenger from their location and drops them off at their destination.

While Uber has become the most visible of the ride-sharing apps, there are a lot more choices available in the market such as Lyft, Curb, Taxify, and Ola.

With a plethora of options available in the market, there has never been a better time to invest in taxi app development.

If you’re an entrepreneur, look into making a shrewd investment in a competent taxi app development company.

But how do you define such a thing? Well, any good taxi app developer should have an app with the necessary features. This is one of the criteria that separates a good taxi app development company from the rest.

Let’s take a look at some features that every taxi app should have

Must-Have Features Of A Taxi App

A taxi app solution can be basically broken down into three distinct parts. These are namely,

  • Admin Panel
  • Driver Panel
  • Passenger Panel

These are essential features that should be provided by any competent taxi app development company.

Let’s take a quick look at these features.

Admin Panel

Admin panel of the taxi app allows the administrator of the application to control and manage all aspects of the app.

Dashboard – Displays all the statistics such as earnings, list of users and rides, etc.

Reports/Analytics – The admin can view all the necessary analytics regarding their taxi app here.

Bird’s Eye View – Allows the admin to see the entirety of the process from the driver/ride details to ratings, etc.

Driver Panel

Drivers get the option to build their profile and get information regarding rides and payments.

Map – Allows the driver to view the pick-up location, the route to the destination, and traffic details, etc.

Push Notifications – Notifies the driver about ride requests, destination, ride details, etc.

Rider Contact – Provides the driver with the contact details of the rider so they can communicate with the passenger.

Fare Details – Updates the driver on details such as trip distance, the fare, etc.

Passenger Panel

Map – Like the driver’s side of the app, the passenger can also view a map showing the location of the driver.

Call The Driver – Allows the rider to stay in contact with the driver via phone call.

ETA – Relays the Estimated Time Of Arrival to the passenger.

Notifications – Riders get notifications about arrival, canceled the ride, and other messages.

Fare Calculator – Calculates the estimated fare for the rider and informs them beforehand.

Rating System – Lets the rider give ratings to the driver based on the service provided.

Now that we’ve seen some of the essential features that should be a part of your taxi dispatch software, let’s look at some of the challenges being faced by the taxi app development services.


Safety is the main concern for all riders but it’s especially paramount when it comes to female passengers. Surveys indicate that safety is the primary concern regarding ride-sharing apps for women of all ages. A good taxi app developer will build their app with the utmost regard for safety and will include features that will make the passengers feel safe and secure.

For example, a common safety feature in many ride-hailing apps that are included by taxi software providers is an “emergency” or “SOS” button. This feature allows the users to call for emergency services and notify the taxi service provider with the push of a single button.

Other Competitors

As an entrepreneur getting your feet wet in the taxi app development sector, you might find that there is a lot of competition around. With the success of apps such as Uber and Ola, many existing taxi services, as well as new ones have made the move to the on-demand model of taxi service.

But this is a concern that is present in any type of entrepreneurial venture that you choose to pursue. It is the nature of doing business in a free market.

The best way to mitigate this is to find yourself a niche and align yourself with a competent taxi app developer who can deliver the best possible software for your needs.

Overcoming these challenges is all about careful planning and navigation of the industry. With a reliable partner by your side, the entire process becomes a lot easier.

Who Benefits From Taxi App Development? Driver/Passenger.

Now that we’ve seen some of the many advantages of streamlining your taxi service to an application service, the question remains, who benefits more from a taxi app service? The driver or the passenger?

Well, the answer is simple. Everybody! 😊😊😊

On one hand, the advent of taxi app development has had a huge impact on the employment and sustainability of driving a taxi. Drivers who are part of an on-demand taxi service need not cruise around looking for passengers like in the years past. The app provides them with the opportunity of getting customers through the use of a single button. This aids in providing steady work throughout the day. The whole process is also streamlined and is more efficient. There is accountability and a continually updated track of all transactions so the drivers can stay on top of their game.

For the passengers, taxi app development has brought on a new level of accessibility and instant service that was previously not thought possible. They can avail the services of a taxi from no matter where they are, have it come straight to them while providing them with other details such as ETA, estimated fare, etc. The whole process of booking a taxi has become infinitely simpler thanks to the taxi app software industry.

In Conclusion

As you can see, the benefits of investing in taxi app development far outweigh the potential risks associated with it. The on-demand taxi service industry is poised to only get bigger in the upcoming years. In fact, the compound annual growth rate (CAGR) indicates that the industry will cross $15 billion in revenue by the year 2021. Reiterating, there has never been a better time to invest in taxi app development.

You too can be a part of this economic boom by partnering up with an experienced and reliable taxi app development company and building yourself the taxi app of the future!


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