The urban population is growing day by day and it is said that over 80% of the world’s population will move to the cities by 2030. With this increase in population, the mobility of people is also increasing immensely. Hence, it is important to provide the people of large populations with a cost-effective, efficient, and reliable mode of transportation. The mass transportation system of buses, trams, and subways is the widely used mode of transportation around the world. But long travel times, inaccessible areas, and time restrictions make them less reliable and less used in metropolitan areas.
However, the taxi cab service provides various benefits in terms of door-to-door services, lesser travel time, comfort, and affordability for the people. The taxi industry of the US was documented as a 40 billion dollar industry as of 2022. It is one of the widely used transportation systems all across the United States and is preferred by millions of people. A taxi driver can make up to $30,000 annually, which contributes to the country’s economic system. Creates employment opportunities for various people within the city.
E-Hailing and Ride-Sharing Taxi Services
E-hailing is the process of booking vehicles or taxis through smartphone applications. The app sends out the location of the passenger to a nearby driver and they have the option to either accept the ride or reject it. If they accept the ride, the passengers can monitor the location of the vehicle in real-time heading toward them. If they reject the ride, their request is transferred to other available drivers nearby. Other information such as the number plate of the vehicle and the driver’s name is also available on the app. The cost of e-hailing services is in accordance with the distance traveled or the kilometers covered by the vehicle.
Due to the hike in petrol prices, ride-sharing or carpooling services are becoming very common. The ride-sharing service works by people sharing a vehicle traveling on a certain route. Each person has different pick-up and drop-off points and hence if the driver is traveling on the same route as other people. They can collaborate with each other and meet at the nearest points. It makes it convenient for both the driver and the other passengers in terms of cost and time-saving. There are over 1.7 million users of ride-sharing services across the United States. Many register themselves on applications such as Uber and Lyft.
E-hailing Rides Effect on Traditional Taxi Services
Ever since online taxi-cab applications such as Uber and Lyft came into existence, the traditional taxi service in the US was severely affected. The yellow-painted vehicles once rode around the city in masses. People would simply raise their hands if they saw one and travel wherever they wanted with ease. Once the ride was completed, you could only pay the driver in cash and the cash was calculated by a taxi meter. We at Paradise Taxi aim to provide you with the best Taxi services in Santa Rosa Beach.
Then came along the smartphone apps, which were cheap, you could pay with your credit card and it was easy to find a driver from anywhere. The drivers were attracted to the service by being told about how much money they could make off of it. There was no limit on how many drivers could register themselves on the app as compared to traditional taxi services. You could easily find a driver from the comfort of your home, office, or any other location you were present. The vehicles registered on the app were owned by the drivers themselves and they could work flexible hours. This caused a severe downfall to the traditional taxi services but it eventually got better after the end of the Covid’19 pandemic.
Are Traditional Yellow Cabs Shifting to Online Services?
We have discussed earlier how e-hailing services such as Uber have taken over the taxi industry, being the largest transportation network in the country. In response to this loss, they have taken various steps in order to make improvements for the people. For example, the Taxicab Commission in Los Angeles decided to put their fully licensed taxi cabs on e-hailing apps. This will reduce the cost associated, with waiting times and the drivers are accountable through an app-based feedback system. In Seattle, yellow cabs have created its own e-hailing app in competition with other e-hailing services. Although the online payment method was not introduced within the app, later updates could fix this problem. Hence, people are working on improving traditional cab services and making them more convenient for people.