Trends in the development of taxi services

The taxi-hailing industry has been steadily growing over the past few years. With services expanding, customers are more inclined to opt for emerging companies, which in turn positively impacts the growth of the target market. According to insights from the marketing company Mordor Intelligence, "The taxi market size is estimated at $275.94 billion in 2024 and is expected to reach $423.59 billion by 2029, with an average annual growth rate of 8.95% during the forecast period (2024-2029)."

Market growth may lead to increased competition, driving companies to enhance their services and utilize innovations to retain existing customers and attract new ones. Hence, the development of taxi services is crucial for boosting competitiveness and ensuring sustained market growth. In this article, we'll delve into the evolving trends in business development, taxi apps, and vehicle fleets for both startups and established companies.

Introducing artificial intelligence into the rapidly evolving economy is imperative. According to Gartner, by 2024, approximately 60% of data used for AI purposes will be artificially generated to mimic reality, forecast future scenarios, and mitigate AI-related risks—an exponential increase from just 1% in 2021.

Introducing artificial intelligence into the rapidly evolving economy is imperative. According to Gartner, by 2024, approximately 60% of data used for AI purposes will be artificially generated to mimic reality, forecast future scenarios, and mitigate AI-related risks—an exponential increase from just 1% in 2021.

This suggests that companies are actively integrating AI into their operations, reaping significant benefits. For instance, AI can analyze trip data to uncover trends and patterns, or be utilized to develop chatbots for customer interaction and information dissemination, reducing the workload on operators and streamlining customer service. Moreover, it can generate content for your social media platforms, including writing texts, crafting images, or translating languages.

New tariffs. A recent trend is the introduction of specialized tariffs, aiming to appeal to new segments of the target audience. For instance, you could introduce a "child" tariff, including amenities like child seats for those traveling with kids. The "intercity" tariff might cater to clients frequently journeying between cities, while an "economy" tariff could offer budget-friendly travel options. This diversification in tariff types can help attract a broader audience and drive demand.

Environmental sustainability. With growing attention to environmental issues, taxi companies are beginning to implement measures to reduce emissions and adopt more eco-friendly vehicles. Taking steps to increase the environmental friendliness of taxi businesses not only contributes to environmental preservation but also can become a competitive advantage in the market. Customers who are environmentally conscious may prefer companies that offer greener services.

At Taxi-Master, you'll find everything you need to automate your taxi business. Our apps will help streamline communication with both customers and drivers for efficient operations.

In today's world, taxi-hailing apps have become an indispensable part of our daily lives. It's anticipated that between 2020 and 2025, the online taxi booking market will see an average growth rate of 10.08%. The widespread availability of the internet and smartphones worldwide is driving up the number of customers opting for online payment methods. Moreover, the convenience of features like real-time driver tracking, upfront trip pricing, driver contact details, and vehicle information only adds to the appeal of online booking for clients. Yet, technology marches on, and taxi apps are continually evolving to deliver even higher-quality services to their users.

One of the key trends in the development of taxi apps is the integration of multimodal features. Today's taxi apps go beyond just booking rides; they offer users a range of additional services. Examples of these extra services include:

• Delivery: Taxi companies can team up with restaurants and cafes to deliver meals to customers. With this option, customers can send or receive small packages. The driver will simply pick it up and drop it off at the designated address, whether it's home or the office.
  
  
• Accompaniment: This service is perfect for escorting a child to school or an elderly person to the hospital. The driver will meet the passenger, drive them to their destination, and even see them to the door if needed.
  
  
• Pre-order: Customers can plan their rides in advance. This feature is great for companies arranging transportation for employees or organizing event transfers.
  
  
• Cargo taxi: Need to move furniture, office equipment, or personal items? Arrange delivery with small trucks right from the taxi app.
  
  
• Tow truck: This service covers transporting a vehicle either by loading it partially or fully, or by towing it.

Integrating multimedia functions and extra options makes the service more versatile, convenient, and beneficial for users, giving them access to all essential amenities within one handy mobile app.

Another key aspect of developing a taxi app is keeping it regularly updated. This helps keep the app relevant and competitive in the market. With each update, developers strive to make the taxi booking process smoother and faster for users, while also adding new useful features.

For instance, in the latest update of the TaxoPhone 16 mobile app for clients, we've introduced over 25 functional upgrades. These include new tools for taxi company and user convenience, such as: fare bidding, allowing customers to set their own price for a ride and negotiate with drivers; displaying free and paid waiting time for trips; the option to share trip details with a single click; flexible settings for promo codes and bonuses; the ability to contact the driver through trip history; mandatory feedback comments for negative ratings, and much more.

The taxi fleet is a vital aspect of the taxi business, ensuring its smooth operation and facilitating interaction between drivers and customers. Let's explore the trends in the development of a taxi fleet, focusing on its key components: vehicles, drivers, and dispatchers.

One of the primary trends in taxi fleet development is the upgrade and modernization of the vehicle fleet. Today's vehicles need to meet safety, environmental, and passenger comfort standards. Taxi fleets are shifting towards using more modern car models, like hybrids and electric vehicles. This shift helps cut down on harmful emissions and enhances passenger service quality.

Another significant innovation in the market is autonomous taxis—an advanced technology allowing vehicles to operate without human intervention. This technology relies on sensors, cameras, radars, and other devices enabling vehicles to perceive their surroundings and make navigation decisions. Currently, autonomous vehicles are undergoing testing in various countries, including the USA, Europe, and Asia. It's anticipated that autonomous vehicles will become a common sight on roads in the future.

Furthermore, another noteworthy trend is the integration of modern technologies into vehicles. Taxi fleets are implementing navigation systems, vehicle monitoring, video surveillance, and traffic regulation enforcement systems. These measures enhance passenger and driver safety while reducing the risk of accidents.

Drivers are a key component in the operation of a taxi fleet, directly impacting the quality of passenger service. Key trends include: automating driver work through a comprehensive mobile application. For instance, drivers can independently apply for work, start and end shifts, register at parking lots without operator intervention, utilize maps, and process shift payments online.

Another prevalent trend, though not groundbreaking, is the enhancement of working conditions: streamlined employment processes, flexible scheduling, comfortable vehicles, access to modern technology, training opportunities, and support systems. These initiatives collectively aim to boost driver motivation.

Taxi dispatchers play a crucial role in the operation of a taxi fleet, coordinating drivers and ensuring timely order fulfillment. In recent years, there's been a growing trend towards automating dispatch processes.

Taxi companies are implementing:

• Automatic order distribution systems that take into account driver location, road congestion, and passenger wait times.
  
  
• Automated notifications to alert drivers about accidents and inform customers about their current order status, discounts, and bonuses.
  
  
• Web offices for remote operators who work outside the office.
  
  
• Self-service web offices for corporate clients.
  
  
• Order exchange platform between other taxi companies.
  
  

These trends aim to improve the efficiency of taxi fleet operations, enhance customer service quality, and optimize resource utilization. The functionality for automating driver and dispatcher tasks is available in the Taxi-Master software suite.

For the development of taxi business in a small town, it's essential not only to attract but also to retain customers, gaining their trust and loyalty. You want people to immediately think of your company when they need a ride. Achieving this requires top-notch service, which includes:

1. Prompt order processing and car dispatch. If customers wait more than 15-20 minutes for a car, they'll turn to another company. Utilizing mobile apps for business automation can speed up the process, making taxi bookings a matter of seconds, automatically assigning the nearest available car.
   
   
2. Courtesy from both operators and drivers. Even small details matter and can tarnish your reputation. Staff should maintain a professional tone, even in challenging situations. It's crucial to listen to passengers' requests and accommodate them whenever possible, like adjusting windows, music, or air conditioning.
   
   
3. Cleanliness and comfort in the car. Ensuring cars are clean and comfortable is vital for taxi companies. Dirty or cluttered seats, smoke smell, or broken features signal poor service. Even if only one car is like this in your fleet, it can turn customers away.
   
   
4. Choice of additional options when booking. Providing various extras, like child seats for passengers traveling with kids or spacious trunks for airport rides, can enhance customer satisfaction.
   

With Taxi-Master software, you can efficiently run your taxi business, whether it's in a small town or a bustling metropolis. We'll seamlessly integrate the program and customize it to fit your taxi operations. Automate customer and driver management using TaxoPhone and TMDriver apps, and track your business performance in the analytics dashboard.