The taxi industry has always naturally been cash driven. But the advent of the digital age means many companies are trying to change this and embrace other methods of operating. It’s an industry that is worth nearly £9billion in the UK, so it’s clear why savvy business folk may want their share.
How can taxis be digitised? Is it possible to convince all drivers to update? Some people think it is, and that’s why the taxi app has become a huge craze, supported by many different companies and bodies in the industry.
Hailo is a London-based taxi app company which brings together a number of taxi drivers and investors and allows black cabs to be sourced quickly and easily in the city. It’s hugely popular, but it does have its pitfalls, mainly in expense of black cabs compared to other transport means – they wouldn’t be many people’s first choice.
Less support outside the Capital
Outside London the thousands of private taxi companies are less convinced by the concept of a universal app. Sharing their profits isn’t something these companies are used to doing, and it’s easy to see why they may be worried about the prospect.
Experts believe that the future of the taxi industry is digital and will be dependent on firms all being offered a piece of software that connects them to a larger network. Google is marked as a key player in the industry, with their maps already utilised by many sat nav systems.
The Uber app in America has seen investment from Google and works along the same lines as Hailo – connecting smartphone users with drivers with a few simple swipes. It is big news at the moment, but whether it will take over the traditional telephone for a taxi method is yet to be seen.
Regardless of the changes to the industry new and existing taxi drivers can focus on the same basic principles. Ensuring they’re legally licensed, having the right level of taxi insurance and providing their fares with an efficient and affordable service.
Whether the digital age takes over or not the taxi industry isn’t likely to go into decline any time soon.