On-demand Taxi App Development

On-demand Taxi App Development

The days of hailing taxis by waving are long gone. Having to wait so long for a taxi is the worst kind of frustration. The technologies developed in recent years have been able to alleviate this problem.

Our work has been simplified by the addition of on-demand taxi booking apps due to smartphone capabilities. We can easily book a taxi in a few minutes using the number of apps available on the market. A taxi will be waiting on your doorstep in no time to pick you up after booking.

Isn’t that cool? In addition, you do not have to direct the driver along the route. All you have to do is enter your location and destination when you book. Online taxi booking has proven to be a highly profitable infrastructure for transportation providers. The on-demand apps development solutions are increasing the revenues of several mobile app development companies.

Here is a list of the Top features for developing on-demand taxi booking apps to overcome this dilemma.

What Is an On-Demand Taxi Booking App?

Recent years have seen a shift away from traditional taxi services and the introduction of new methods for booking transportation. Several on-demand taxi booking apps are gaining popularity due to the features that entice people to utilize them exclusively. Mobile app development companies have grown because of the hard work and perseverance they have put in. If one wants to book a ride for themselves, one can fully depend on them.

It is time for us to find out how these apps work. They are easy to use. To get started, users must install these apps. The choice of the app depends on many factors, such as its availability in a certain location, the reviews and rankings of the app and services that are available, and its service offerings.

Once the app is installed, users can register and save their location, so that they can book a taxi with the click of a button. Additionally, they can choose the type of car they want to take. After calculating the distance and time of the commute, the app will also let users compare the prices of the different cars. Lastly, you can book a taxi and figure out how long it will take. Once that is done, your ride will be waiting outside your door. It is that simple!

On-Demand Taxi Booking App Benefits

Cab booking applications reduce the waiting time, the hassle of finding a cab under the sun, and several other issues on the road. This service can be used in a variety of ways. It has numerous advantages for both passengers and drivers. Below are a few benefits:

For Drivers

  • Their time is better spent searching for riders in the city rather than wasting their gas. In the meantime, they can simply wait for a booking to arrive and then leave the place where they stopped.
  • Online banking or mobile wallets are mainly used for payments, so drivers do not have to carry large amounts of cash or change with them.
  • Every passenger has the right to receive ratings and feedback from the driver. If there is a mischievous rider in their car, they may rate him appropriately so that the other drivers are spared the terrible experience.
  • These apps use GPS to locate their riders, so drivers do not have to wander around asking for assistance rather than asking strangers.
  • The driver only moves his car to the exact location when the booking has been made, so there is less chance of wasting time.

For Passengers

  • Passengers receive information on the exact location of the cab and the estimated arrival time in the app. Therefore, they can utilize those minutes elsewhere.
  • As passengers can book their rides remotely, they do not need to leave their homes.
  • Passengers enjoy the convenience of not having to carry cash around with them because the payment method is quite convenient. The app also allows users to pay online via debit or credit cards and digital wallets.
  • It is more transparent with the app since passengers can review and rate the driving performance of the cabs.
  • There is no need to wait on the streets for cabs.

Taxi/Cab Booking Mobile App Business Models

The following are the two primary business models for on-demand taxi booking applications:

1. Dedicated Taxi Booking App

An app that is made for a taxi business or a person who owns a fleet of cars is considered an existing taxi app. Getting a custom app made just for them and launching it in the app store is all they need to do. Boosting the popularity of these apps and getting more requests for taxi services will require marketing efforts. The company enjoys having its existing customers, and by adding new users, it can grow even more.

These apps allow users to book their taxis, and taxi owners have to ensure that the users are informed of the company’s time, location, and price and make it possible for the users to use the service in the shortest amount of time.

2. Aggregator Taxi Booking App

Apps like this one are similar to Uber and Ola, which are taxi booking apps. Various taxi companies and individuals can utilize these apps to arrange taxi rides. Owners of taxis must register their cars with these apps before they can use them. With one car, a person can also earn money by letting his car act as a taxi. The user will need to install the app and make the booking from the app. They will need to determine where to pick up and where they need to go. They will be prompted to pay the fare once the ride is complete, and the app will calculate the fare.

Monetization Opportunities for Taxi Booking Mobile App

1. Commission

The drivers are the source of this income. Owners of the apps charge drivers a commission based on the amount of money the drivers make on each booking, which varies between 20 and 25 percent. Additionally, the aggregator apps charge users/passengers a service fee for using the apps and booking a taxi through them. It is hidden from the user and added to the fare itself. Lastly, these apps make money by charging cancellation fees. As a result, users are responsible for paying a certain amount of money as cancellation fees for cancelled rides.

2. Advertisement

Ads on your application are one of the most common ways to generate revenue. Third-party promotion is especially useful for long-term survival. Collaboration with different brands can help you promote their products on your app’s home page. It is possible to earn through other means, such as cost-per-click or cost-per-mile, if you do not charge these third parties any money.

A Taxi Booking App Should Include the Following Features

For Passengers Panel

  • Login/Signup with social media
  • Creating and managing profiles
  • Booking a taxi on-demand
  • View the estimated waiting time for a taxi
  • Real-time tracking of vehicles
  • Payment options and billing flexibility
  • Push Notifications, emails & SMS alertsPush Notifications, emails & SMS alerts
  • Provide drivers with feedback and ratings
  • See cab options and rates
  • Make advance reservations
  • Automated bill generation
  • Pay with in-app currency
  • History of bookings

For Driver Panel

  • Update availability for customers
  • Accept/deny booking requests from customers
  • Push notifications
  • In-app call and chat with customers
  • Navigation via a live map
  • View reviews and ratings
  • Calculate fares automatically
  • View the trip routes
  • Accept online/offline payments

For Admin Panel

  • View/Manage drivers
  • Schedule and manage cab availability
  • View trip routes
  • Manage rate cards and surge prices
  • Managing discounts and offers
  • Track cabs
  • Driver feedback and reviews can be viewed or managed
  • Create daily revenue and transaction reports
  • Managing geolocation boundaries

Taxi booking apps should include these advanced features

There is tough competition in this field, so one must always strive to get into the competition. A unique and advanced feature, however, can help you keep up with the competition and increase the number of users. Look at the advanced features your app needs to include to reach the top.

1. Driver/User Authorization

A driver can get authorization for driving the car by using this feature. A driver can also connect to the mobile application and take bookings with this feature.

2. Software for automatic dispatch

As a result, this feature makes it easier for drivers to manage all their bookings with one app. They no longer have to go from one place to another, but only need to keep track of all of them at one time. As well as giving them appropriate instructions about the location, it facilitates the process of making a booking.

3. Driver Queue Algorithm

Taxi service owners can use this one to view all the available taxis and drivers in one place so that they can offer the most appropriate option to users who are looking to book a taxi. The entire process takes no more than two to five minutes, during which the user must intimidate the taxis in the area within two to five minutes.

4. Surge Pricing

A taxi owner can increase the price on certain days when there are not enough taxis available because of high demand, so they earn more money.

5. Zone Pricing

A city may have different zones with different laws, roads, and timing restrictions. As a result, the price for each zone may differ. This helps taxi proprietors make money appropriately.

6. Heat Map View

This feature will allow app owners to locate which cars are providing service during the busiest periods. The result is that more vehicles and drivers can be redistributed.

7. Phone Number Masking

Those who do not wish to share their contact information with drivers, or those who wish to keep their information confidential, should know that the app allows them to do so. You can protect your number from being revealed by using an in-app call feature.

8. A loyalty program

Offering loyalty programs to your drivers and passengers, such as offers, discounts, and coupons, could be a fantastic way to keep them interested. The presence of this feature lures users back to the app, encouraging them to use it repeatedly.

9. Real-Time Analytics

App owners can access this feature to see how many taxis are in service and where they are located. As they get to know about the user who is making bookings through the app, they get a better idea of how well it is performing and how many people are using it at any given time.

10. Multi-Lingual Support

It is the best feature because it allows people from other countries to book taxis without having to communicate with strangers or ask someone to book the taxi on their behalf. Travelers especially benefit from it.

11. Automate Driver Payment

This feature allows users to link their bank account or digital wallet directly to the app and have all deductions taken directly out of their accounts. They can eliminate the need to carry wallets and cash by using this.

12. Multiple payment methods

There are many advanced methods for booking a taxi on these apps, including payments through mobile wallets, online banking, or cards. The app has become very useful.

13. Push Notifications

A user would receive a push notification once the booking has been made. Once the cab arrives at the destination, he would be intimidated by the driver. As well as alerting users of any latest offers or discounts, push notifications are also used by apps to contact users.

14. Social Login/Sign-Up

Each user must register himself or herself before using the services since each user needs to have his or her account. The user can add payment methods here and save his or her favourite locations. Including social media accounts in the signup process is a good idea. Thus, the users would not have to enter all their information again and again, saving them a lot of time.

15. Fare Calculation

Using this tool, users can estimate how much they will spend on a single ride. A person can find out how much the ride would cost before confirming their agreement to take it.

16. Splitting the bill

Do you have the ability to split the bill into two payments and make each payment from your account? Well, yes! A ride and the bill are likely to be shared by two people. This feature lets them pay their share separately without compromising transparency.

17. Making multiple reservations

Those days are gone when one account could only be used to make one booking. Apps of the next generation enable customers to make multiple bookings at the same time for themselves, their family, or their friends.

18. Book Cab for A Friend

A friend at a different location can use this feature to book a taxi for them. It is just a matter of entering the pick-up and drop-off details of that friend.

19. In-App Call

A regular call to the driver is not possible since the user is in a hurry. They can simply tap the icon to connect with the driver using the built-in call feature.

20. Emergency Contact

Emergency contact can be saved in the app so that in case of an accident, they can reach them.

21. Live Tracking POP Mode

With this feature, the user can track the location of his taxi in real-time by sharing his booking status with a family member or friend.

22. Smartwatch Access

It is now even possible to book a cab with a smartwatch, which is the newest accessory everyone wants to wear. The apps can now be used from your smartwatch, and payments and bookings can be made seamlessly.

What is the cost of developing a taxi booking mobile app?

Taxi booking apps are robust applications. They should work across multiple devices and platforms. From the beginning, one needs to pay close attention to the budget allocated to the application, as exceeding the limit might lead to losses and an incomplete project. To determine the app development cost, you need to understand the factors that affect the cost.


Before determining your budget, you must consider the complexity of your app. Complex apps will take more time; consequently, human resources will be required for a longer time, therefore a higher budget will be needed as compared to a less complicated app.


The amount of work that goes into an iOS app will be different from that of an Android app. A cross-platform app would cost more than the one mentioned before if you plan to develop one.


Will you be including many features at the outset of your project? You should prepare to spend a significant amount to do so. It is always advised to develop MVPs before jumping into a game.

Region Of Development

Considering the app development teams, availability of resources, etc., a different price might apply for app development in each country and city.


A taxi booking app developed by an app development company will enable you to have fully functional and enhanced features. It is best to hire experts to handle all the work, so you can sit back and relax while they handle the entire job. Create the best taxi booking app and stand out from the crowd by competing against the competition.