In the past decade, the taxi industry has made long progress. The digital technology advancements that occurred over these years have completely changed the face of the transportation business.
The approach of Uber was an occasion that set off the change. Uber filled in as a case study for transportation owners, drivers and riders that a taxi business can be run like this way.
This idea is new for all. When the thought was out in the market, business visionaries from all the sides of the world hopped to take the main mover benefit. Lyft developed as the main boss adversary of Uber. Gradually other competitive players like Ola, Grab, Didi, Yandex and more developed and began administering in their regions accordingly.
From that point, the transportation industry has seen quick growth throughout the years due to taxi dispatch software. Furthermore, the trend appears to proceed in future as well.
Overview of Taxi Market
The figures for the years 2019-2024 state that the market of the taxi industry is relied upon to enlist 9.22% CAGR. The taxi dispatch solution has caught a 40% mammoth portion of the taxi market in 2017. There are numerous reasons which have driven taxi booking software towards this. The portion of these reasons are simplicity of booking, decreased fare, and some more.
With the expansion in smartphone entrance in such countries like China, India, Vietnam, and so on, the people have started inclining toward taxi services in a traditional way. This trend urged many taxi companies to grow their business on the taxi dispatch system. Not just that, it has helped them to hold their separate piece of the overall industry.
Over 70% of the worldwide bike and taxi, Asia-Pacific region that has taken a large lump of the market share. Generally, in the Asia-Pacific market - lower taxi fare and expanded traffic clog as contrasted with that of different methods of transportation are the driving components for the development of bike and taxi services with taxi dispatch software.
Related Read: Scope of Bike Taxis in Ride-Hailing Market
Trends in Taxi Market
1. Rising Demand of Online Platform
As referenced previously, the monstrous smartphone infiltration over the globe joined by the web exposure has made customers rapidly move from offline booking to online booking. One must not accept that smart phone and web exposure entrance are the main two reasons behind this raised demand.
Taxi booking software and its advanced features give different data to the riders such as estimated fare, taxi details, driver’s contact and location, etc. To exploit the benefits of the rising demand, lots of huge players like Grab, Uber, Lyft, Ola and a lot more are offering options of ride-sharing in which co-riders can split the fare on a taxi dispatch system.
Ride-sharing trend isn’t just restricted to the huge players, even the small scale taxi services are embracing this technique to increase some footing. For instance:
One of the main taxi industries is attempting to give ride-sharing services in the Mai Linh city of Vietnam is an attempt to defeat the test presented by high traffic clog and extension of populace. With the Kyyti Group, they do it by association.
Likewise, Ridealto began providing ride-sharing services to their users at membership in 2019. Moreover, the organization has its own SUV’s and fleet of drivers.
2. Taxi Trends for 2021 and Beyond
Autonomous Taxi Services
Association of TNC’s with Traditional Taxi Companies
Eco-Friendly Electric Taxis
Leading the Taxi Market
Especially, Asia-Pacific is where there has been a fast increase in the taxi service demand with a taxi dispatch solution. This is due to expanded ride-sharing service demand in Singapore, India, China and Vietnam. It’s the reason with regards to why huge companies such as Uber, Didi, Ola and a lot more are propelling or extending their past services. Also, in 2018, China’s Didi and India’s Ola introduced Australian market.
With the rise in the taxi service demand in the region Asia-Pacific, the government standards and guidelines in regards to the taxi business has straightened out, particularly in Australia and Vietnam. Let’s discuss a few cases which demonstrate this.
Ministry of Transform in Vietnam, executed the experimental program in 2016. The decision expanded the quantity of taxis operating under administrators around 78,000 for 2017. The Transportation Department in Vietnam made a choice to quit giving administrators a license under an experimental program in 2018. It was due to taxi dispatch system based taxi services that were causing undesirable competition with conventional taxi services. In addition, these were squeezing pressure on the traditional traffic framework.
In 2018, Australian government reported that they will levy AUD 1 on the ride-hailing services. These choices affected users as the taxi tolls climbed up by 12%.
Lately, many inventive technologies and taxi business models have been presented in different urban areas over the globe. And, these include ride-sharing services, online booking and payment services.
This digital solution acts as the on-demand taxi technology extension. Sharing economy fills in as an ideal platform of taxi booking software that creates it simply for the users to connect with and haggle directly with the taxi service providers. In addition, users are also given a high level of cost comparison in prior.
On a Concluding Note
In this post, we perceived how the taxi industry is developing by jumps and bounds. Also, we observed the effect of an on-demand taxi solution on this development. We analyzed the overview and trends of the taxi market in different countries and how it is molding transportation there. Moreover, we discuss some future trends in the taxi industry with taxi dispatch software that may become standard in the upcoming years. I hope this blog helped you to understand the current market scenarios and taxi trends for 2021 and beyond in the taxi industry with the advent of a taxi dispatch solution.