The increasing amount of traffic and lack of parking space has increased the demand of taxi apps like Uber. Higher demand for on demand taxi services has motivated the entrepreneurs to make an app like Uber and launch it in the local market or worldwide as per their convenience.
The market for on demand taxi booking applications has never been so full like in the past few years. New apps keep coming up in the market with the intention to achieve tremendous level of success like Uber.
Uber is a global success, therefore, it will always act as an inspiration for all those who want to develop a similar app. Before you get into the details of costing to make an app like Uber, it is necessary to understand how Uber works.
How Does Uber Work?
If you plan to build an app like Uber, you need to know the general app performance. Here are 5 simple steps explaining the working:
Request – The customer requests a cab immediately or schedule a pick up for later on via the app. These requests are received by the drivers nearby.
Matching – The driver has an option to accept or reject the ride. If the request is rejected, request is sent to another driver.
Ride – The customer can track the taxi approaching and know the estimated time of arrival.
Payment – Cashless payment method and display of estimated price before the trip makes the process smoother for both parties.
Rating – It’s a key aspect of Uber’s business model which enhances its service reliability.
We hope that you are clear about how Uber works. Let’s come to another important point of discussion.
What Factors Influence the Taxi App Development Cost?
There are a few things that you should take into consideration before you plan to make an app like Uber. Here is a list of factors that can affect the cost of development before we get to the final price.
Features
When you plan to create an app, the set of features to be included are a decisive factor of its price. The mobile app development cost will depend on the basic and advanced features that you want to implement in the app.
For example, Uber and Lyft both began with Minimum Viable Products of their services and gradually scaled up.
Your Company Type
Another important factor that affects the cost is company type. Are you having an established taxi service or planning to launch a startup company? In the first case, you might want an application that is developed keeping in mind your business processes.
In the case of a startup company, building an app is along with building the business itself. There is a certain extent of flexibility here but also a tight budget.
Each company type will require a different level of investment.
App Platform
Which platform to choose? It is an age old question for many entrepreneurs. The answer to this question is very simple – if you want the application to be used by a larger audience then choose both iOS and Android.
If you have budget constraints then you can develop an MVP based on either platforms depending on the preferences of your target audience.
Technology
In most cases, it is more sensible to develop a native app rather than a hybrid one. Difference between them lies in architecture, programming languages and many other aspects.
If you don’t have a technical background then it is a good idea to consult a renowned taxi app development company before taking a final decision to build uber like application.
We hope that now you are pretty clear with what goes behind the making of an uber like application. Here are the cost and development insights to make an app like Uber!
Let’s guide you through the development of basic and advanced features of the drivers and passengers application.
Features of the Passenger App
Geolocation & Routing
It is the first basic feature to take into consideration when you want to develop an app like Uber. In general, the GPS technology is used to detect someone’s location. In a taxi booking application, GPS will allow the user to know the drivers’ location once he has accepted the request.
When it comes to knowing the distance and routes, routing server is required. So, from the moment customers start using the app to the moment they get dropped off, the routing engines work hard. The distance and time between pickup and drop location is calculated using routing engines.
Routing and matching mechanisms are the key to Uber’s flawless services.
Payments
It is another basic feature you need to think about when you are planning to make an app like Uber. Modern technologies have made straightforward financial transactions possible between all the concerned parties. It’s a benefit for both, the customers and uber drivers.
Uber provides its users with a fare calculator that gives almost accurate estimation in the app itself. The fare rates depend on the service you order and the city you are in. To estimate the fare of a ride, Uber makes use of four main criteria:
- Base fare
- Cost per mile
- Cost per ride
- Safe rides fee
Do you want to integrate cashless payment system in your Uber like app? The first thing to take care of is that the payment system integrated in your application ensures the safety of customer’s financial data.
If you plan to store and process credit card data, then you need to meet all the requirements like PCI compliance. Once you are PCI certified, you can integrate cashless payment system.
Another option is to rely on payment gateway providers which ensure fully supported PCI compliance solutions such as Braintree or Stripe. While selecting a payment gateway for your app, pay attention to the following things:
The payment gateway should be specially created for mobile devices as many app providers use the web view approach.
Service should be easy to use and allows quicker user data extraction.
Allow users to link several credit cards with their accounts to make their lives a little easier!
Registration & Profile
Registration and profile are the basic features of any application. It’s necessary for two reasons – you can keep a track of your user base and they can get access to full fledged services. For an app that involves mobile payments, this feature is an absolute necessity!
Offer your customers a quick registration option via their social media accounts or Email. The profiles can contain a minimum number of functionalities or can be feature rich.
Moreover, it is an excellent idea to add a review and rating system. It will make your on demand taxi application a little more client centric. What’s more? These reviews will help you improve on your quality of services.
Communication & Notifications
The communication feature need not be mentioned separately in taxi booking application but you can find ways to make it more convenient. Uber enables its users to contact the driver without leaving the application.
Key part of communicating with the customers is keeping them informed. SMS, email or push notifications can keep them updated about the trip status. Following tools can be used to make an app with flexible notifications:
Apple Push Notification Service (APN) for building an Uber like application for Apple devices
Firebase Cloud Messaging (FCM) for building an app to run in Android devices
SMS notifications need an additional integration step in the application. You need to contact the telecommunication service provider to grant you such possibility.
Fare Estimation
In order to provide this feature, your developers need to create an algorithm that estimates the price based on user’s pickup and drop location.
If you are planning to follow the Uber model and provide your customers with multiple car options, then you need to consider fares for each type.
Schedule a Ride in Advance
Scheduling a ride beforehand was one of the advanced features introduced by Uber a few years ago. Customers can book their ride beforehand and plan their trips more precisely.
Ride scheduling can turn out to be a good feature for the app’s MVP and build an app with broader functionality by adding other advanced features too.
Book a Ride for Other People
Just like scheduling a ride in advance, booking a ride for others is an advanced feature for uber like app development. It means that a user can book a taxi for a relative or friend with his own account. As soon as the booking is done, friend or relative will receive the details via SMS.
Split a Fare
It is an advanced feature worth taking into consideration if you are thinking of different strategies to make an app like Uber. This feature will allow the users to split the cost of the ride with people travelling with them.
UI/UX Design
A portion of app development costs is always spent on designing the application. On demand taxi booking services are client oriented so they should come with a beautiful and easy to use UI/UX design.
A lot of things are said about designing the user experience, but simplicity and clarity in design is what works best in most cases. Stick to these two principles to craft an amazing design for your application.
Features of the Driver App
Driver Report
This feature is designed keeping in mind the safety of both – driver and the passenger. The report contains brief details about driving style of the driver for a certain timeframe. If careless driving incidents happen frequently then you can ban the driver who violates rules.
Advanced Route Building
If you are planning a taxi service business, then investments in route building functionality are inevitable. Better optimization of routes will increase the efficiency of your drivers. Increased efficiency of drivers will ultimately result in an increased rate of customer satisfaction.
Driver Destinations
The driver destination feature is to enhance the overall experience of drivers who partner with your application. Drivers will have the option to choose a preferred location and get customers who want to travel in that direction. In this manner, drivers can effectively combine work and personal affairs.
Free Cancellation within 2 Minutes
This feature is built keeping in mind the prevention of loss in terms of time and money in case a customer cancels or delays a booked ride. Free cancellation feature can be considered an absolutely necessary feature as it minimizes risk for drivers as well as the business.
So, how does the feature work? First two minutes after the arrival of car are free of charge for the passengers but if it takes more time to get to the car and begin the ride then additional charges will be applied. In case, passenger cancels the ride after the decided timeframe then they will have to pay a fee equal to the base ride fare.
Heat Maps
Last but not the least! Heat map is a feature crafted to simplify the life of drivers. The feature will enable drivers to locate parts of the city with the highest demand of the service and earn more profits for themselves as well as the company.
The development time of this feature is dependent on multiple factors and it’s hard to define a timeframe without precise details of the project.
Conclusion
As we have already mentioned that a taxi app development cost depends on multiple factors. Thus, taking into consideration all the factors that we have mentioned here, the cost of Uber like application development will begin from $6000 USD.
The team of people working on your project will include business analysts, project manager, UI/UX designer, Android/iOS developers, backend developers and QA specialists.
| Deliverables | |
| Passenger App | Android, iOS |
| Driver App | Android |
| Admin Panel | Browser-Based |
| Development Time Duration | 3 Months |
| Free Support & Training To Staff | 1 Month |