With competition from app-based transportation services such as Uber, now is a time that taxi firms are having to embrace the latest digital technology in order to stay in the game and secure their share of customers. One such development is the taxi hailing app Hailo and other similar services, but there are developments currently in infancy which may have an even more significant impact on the taxi industry.
Though the technology isn’t quite yet ready to invest in, it’s worth taking a little time now to consider how Bluetooth low energy (BLE) beacon technology may benefit your taxi firm in the not too distant future.
What are BLE beacons?
Bluetooth or BLE beacons are essentially small transmitters that use Bluetooth low energy to communicate with smartphones and other enabled devices. Similar in nature to ‘classic’ Bluetooth, this new version uses far less energy than its counterpart, as the name would suggest. This makes it perfect for applications which require a device to be permanently ‘listening’ for information being transmitted, rather than being a power-draining feature switched on occasionally when needed.
A BLE beacon then is a transmitter which is permanently switched on and ready to transmit any information it contains to compatible devices in the local area surrounding it. When somebody enters the effective radius surrounding the beacon, their phone will display an alert which tells them that the information is being transmitted, and they can then either choose to receive it or ignore it. The information itself could be virtually anything, and that’s where it gets interesting for taxi businesses.
Though it’s not in widespread use yet, BLE beacon technology has been around for some time, with Apple’s iBeacon technology debuting two years ago. The main sticking point for wider uptake has been the fact that these beacons only work with Apple devices. Fortunately, Google has entered the fray with its own open source ‘Eddystone’ BLE technology, which is compatible with both iOS and Android devices.
What are the potential applications for taxi firms?
The limits of what kind of information is transmitted by a beacon is constrained only to what is imaginable and useful. For taxi firms a range of uses suggest themselves, and we’d like to take a look at some of these.
Gaining additional customers – As Search Engine Land recently pointed out, “let’s say you’re on vacation in another city, and you want to find out if the bus stop you’re standing in front of can take you to your destination, or if you should hail a taxi, The sign for the bus stop itself could potentially be a beacon in disguise that could emit this information to your cell phone in the background… instead of just the bus schedule, it might be able to tell you whether the bus was on time, show what traffic was like, or link you to alternative modes of travel.” Such links could bring customers in need directly to the doors of your taxis.
Advertising your services – In the not too distant future, BLE beacons may well be prevalent on the streets of towns and cities throughout the world. Imagine the scenario – someone is walking away from the high street having just finished their shopping, their feet are tired and they’re ready to put their feet up with no extra hassle. Your beacon-transmitted ad pops up on their phone with details of your fares and services, so they click through to hail one of your cabs, transporting them swiftly home and earning you valuable extra custom.
Broadcasting special offers and discounts – Forget coupons that you have to cut out from the newspaper – the future is electronic coupons beamed directly to a customer’s phone. Simply by walking through a certain area of town, a potential customer could receive a discount voucher or information about your special offers, encouraging them to use your services in future.
Sharing useful information – Beacon technology could enable you to publicise information such as how many cabs you currently have in the local area.
Displaying licenses and other driver details – Many people like to know as much as they can about their taxi driver, particularly that they have the necessary license and insurance. With a beacon installed in the cab, details of things like the driver’s license, taxi insurance and a small but reassuring personal profile could be transmitted to the passenger before they even enter the car.
Issuing reminders to drivers – It’s not just customers that could benefit from information beamed directly to their phone. An unobtrusive beacon located within the cab could remind taxi drivers when things like their licenses or taxi insurance policies are due for renewal. It could also relay more day to day yet equally useful data, such as what shifts are available, and what the weather and traffic conditions for the day will be.
Selling in car advertising – It’s common for cab firms to make a little extra income by selling advertising space on their vehicles, but this is limited by the amount of space available. In the future it may be possible to sell advertising in a variety of forms which is beamed directly to passenger’s phones, whether its information about a local restaurant or entertainment venue, or a prompt to download an app. It might even be possible for smartphone users to specify their preferences so that they receive adverts which are specifically tailored to them, creating further opportunities to gain extra income.
Automating fare payment – It’s also possible that in the future payment could be made virtually automatic through the use of beacon technology. Because the beacons can receive information as well as transmit it, it’s wholly possible that payment bank details could be sent to a taxi’s beacon. This process could be as simple as an amount popping up on the customer’s screen when the journey is complete, and them pressing a button to authorise the payment. One of the clearest benefits of this is that taxi drivers would no longer need to drive around with large sums of money, thus making them a less attractive target for would-be thieves.
These are just some of the ways that BLE beacons could affect the taxi industry in future. Of course, we can’t say for sure what will come to be, but we can help you to get the best deal on taxi insurance here in the present. Get in touch with Park Insurance to speak to one of our specialist advisors.