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Last Updated Wednesday October 18 2017 04:00 AM IST
Other Stories in Business Boom

The taxi app revolution

P. Kishore
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Uber taxi

Revolutions in taxi segments are either very quiet and or associated with a lot of sound and fury. From a few years ago when people were afraid to hire a taxi for even going to the hospital to the modern times when apps are ruling the business, the taxi segment has undergone a lot of changes.

Earlier, drivers used to charge a one-way trip with charges for the return trip. Now, you can receive charges for cab service on your mobile app. These days, call taxis are given a minimum time within which they need to reach you. Directed by call centre executives who locate the nearest taxi with GPS locators, these taxis only charge the distance you travel.

However, people in our nation are only getting used to taxis which use mobile apps. A travel that could cost you Rs 120 in an auto would cost you only Rs 80 in a taxi operated by a foreign firm. While the taxi service assures you that it would reach you within 12 minutes, they almost always reach earlier.

Many in IT services resign to become cab drivers. After the mandatory checks, the driver can earn about Rs 12,500 a week in addition to perks for extra hours. Such foreign companies have crores of rupees as venture capital funding. This no-interest money is used by such companies to expand their services. Even though Uber Taxi is making profits only in the US, they expect profits to accrue from other nations soon. Since the taxis charge only for the distance run and as the app carries the name and photo of the driver, safety and savings increase for the customer.

Along with taxis, car pooling companies have also been established in India. For example, Blah Blah Car focuses on car pooling. Already the firm has earned close to Rs 1,660 crores as venture capital and would soon expand with this money.

In India, those who opposed call taxis are now following the same path. Trade unions have figured out that traditional taxis which exploit customers cannot exist for a few more years and are making the switch.

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