With so many amazing technological advances and a rise in the “on demand culture” where everything is readily available at our fingertips, it is unsurprising that so many industries have been transformed in recent times. Smartphones have completely changed consumer behaviour and businesses need to adapt and consider new models in order to stay afloat.
The Impact of Uber
Perhaps the most notable industry that has been shaken up is the taxi industry. Ride-hailing app Uber arrived and made it much easier and cheaper for people to get to where they need to go, so the cab industry has had to change in order to survive. Many thought that the arrival of Uber would be the end for taxis, but they have adapted, introduced new technology and are developing new business models.
One of the key ways has been to develop their own apps so that customers can easily book a cab without having to make a call. In order to persuade users to their app, they have enticed them with discounts, referral benefits etc. Additionally, some taxi firms have signed up to cab comparison websites which allows users to find cabs with the best prices, vehicles and reputation.
Another way that the taxi industry has changed is through improving their vehicles to appeal to customers more than a typical Uber automobile. Purpose built cabs from places like Cab Direct come with a host of impressive features to enhance the passenger experience, including important tech upgrades. This includes card machines so that cash does not have to be carried.
New Business Models
Embracing change and looking for ways to appeal to customers more than Uber will be crucial over the coming years. In addition to using apps, it is likely that taxi firms will need to work together instead of against each other to compete. They may have to adopt Uber-like business models as consumers now demand this, but this is certainly possible. One benefit that taxi drivers have is their excellent knowledge of the UK roads – this is not associated with Uber drivers and is vital in getting from A to B as efficiently as possible.
It is an intriguing time for the taxi industry as the introduction of Uber has forced significant change. We are now beginning to see this with new technology, improved vehicles and firms looking for new business models, which will breathe new life into the industry and improve the experience for the consumer.