The advent of Uber and similar services has apparently left intensely bad impact on taxi industry. The market share of Uber and Lyft in ground transportation is over 72%, as reported by Certify. Rest of the share does not only include taxi services but car rental and other rideshare services too. In the market currently dominated by Uber and Lyft, the taxi business owners can still attract customers outperforming on-demand rivals.
Implementation of following strategies ensures reoccupation of a significant percentage of market share in any region.
Execute Taxi Marketing Ideas
Marketing is the single most crucial aspect in any business of the current times. It enables your potential customers to understand your business and how would it assist them. While there is a range of practices that taxi business owners can employ, cultural integration and publicizing the fulfillment of social responsibilities are significant ones.
Research indicates that passengers are more likely to seek services from a business which integrates with native cultures. Religious and traditional festivals famous in a region are vital occasions for business branding. Although the core branding including logo and color scheme remains consistent, yet slight modification in logo for temporary period works wonders.
Current business landscape presents multiple opportunities to fulfill social responsibilities without spending excessive money. For instance, some of the taxi and ride hailing services broadcast their efforts for mitigation of climate change threat while others use social media to create awareness regarding traffic rules. These might only be small steps but work well as successful marketing strategies.
Identify Consumer Behavior
Enabling your customers to know you does half the job. The other half of marketing rests with your knowledge about the potential customers. What can you do to determine the challenges that your customers currently face? Besides, is there a way to evenly distribute your taxi fleet so that each region gets the number of taxis corresponding to the demand?
Consumer behavior analysis enables you to address both challenges along with other taxi business requirements. It is notable that this analysis is performed using the historical data of previous rides. Each of the past rides reveals the magnitude of demand in various areas and trends of customers toward taxi and public transport.
In essence, you need to offer need-based operations depending on the prevalent trends. However, be sure that the trends change over the time as you execute marketing campaigns.
Incorporate On-demand Taxi Services
You do not need to entirely replicate Uber’s business model to incorporate on-demand taxi services. Instead, a passenger side app would be enough to augment taxi business. The app for driver along with dispatch panel would ensure a remarkable growth. Nevertheless, passenger app alone also creates notable difference.
A number of taxi services worked with CabStartup to incorporate on-demand technology and the results were incredible. For instance, Georgia-based Alianza Taxi used CabStartup platform and attained a significant increase in profit margins. Freddy Drive, Go Wey, T Transit, and Insta Drive are some of the other success stories reflecting innovation in taxi services.
Increase Online Presence
Most of the customers would not even know if your company existed if it does not have an online presence. Developing a website offers no assistance as long as the website is not discoverable. In essence, thousands of search results appear when a customer makes an online query on search engines like Google. Your website would not appear in top results if it is not optimized as per the rules of engines.
Beside search engine optimized website, you also need to have an extensive social media marketing (SMM) strategy. It is highly unlikely that an individual born in 1990 or later is inactive on every major social network. Social media provides a platform to publicize your marketing and branding campaigns.
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Taxi business requirements vary from one region to another. However, the aforementioned strategies are region-independent and ensure remarkable expansion in business. Apart from being promising, these strategies are cost-effective too. The cost to benefit ratio is incredibly low as the return on investment is remarkable. We invite you to use our platform without any charges for as many as 14 days.