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How Will Ride-sharing Change and Grow Stronger in the Post-COVID-19 Era?


— August 19, 2020

The evergreen taxi industry segment is emerging from its losses rapidly. A ride-sharing app with the perfect safety standards can scale greater heights in the shortest possible time.


COVID-19 is brutal. Let’s accept it and get on with our lives. Industries are forecasting signs of recovery, but it is too early to predict the resurgence rate. The taxi industry has been one of the worst-hit due to the pandemic. Even the giants of the industry, like Uber, Lyft had no way out but to cope with the losses. The news that several nations are lifting lockdown norms has pumped the fuel for taxis that were standstill for the most part of the last three months. 

The ‘new’ normal as experts call it will have safety at its epicenter. People will move out of their hibernation zones and reach their offices. When talking about people’s movement from A to B, taxi apps play an inevitable role. With people considering safety as their paramount, ride-sharing apps are the ones to watch out in the next few months. In this blog, let’s look at the role and resurrection of ride-sharing platforms in the post-COVID-19 era. 

The fear-factor 

People can either prefer economical public transport or safer private transport. While one cannot ensure the safety standards in public transport, more reliable and cost-effective rides are possible with a ride-sharing platform. Stressing on safety regulations throughout the entire network can attract a large audience towards the taxi app. 

Simple measures like providing safety gear to drivers, integrating a face recognition software, etc., can go a long way in enhancing a platform’s sustainability. With people inclining towards precautionary strategies, it is high time taxi platforms adopt and implement them in their system. 

Be the change by gaining trust 

Launching a ride-hailing app with perfect safety conditions can be the game changer. The competition in the market, at least for now, is little. Besides, the COVID-19 pandemic has granted a level playing field, wherein the reconstruction phase for every app begins from step one. All it takes to be successful is to gain the trust of the audience. If a platform can ensure trustworthiness, the economy will find a way to reach the entrepreneur’s pockets. 

Safety. Convenience. Cost. In that order

Detroit Nurse Shows Gratitude to Frontliners Combating COVID-19
Photo by Daniele D’Andreti on Unsplash

For years altogether, the economy was a primary constraint among people. While the elite class considered convenience as a significant parameter, a majority of the population placed the cost of transportation over any other. But the COVID-19 pandemic has tweaked the system considerably. Safety in commuting has topped the charts among people. Integrating safety standards can make the rides more convenient for people. When safety and convenience are ensured, people will go the extra mile of paying a penny more than public transport. 

Responding in the form of Strategies 

Amendments to the existing rules and regulations are more likely to happen in various nations across the globe. Introducing safety protocols throughout the taxi network has become the need of the hour. Some of the strategies include, 

  • Safety ratings and reviews: Both parties can assess the condition and take rides only if proper safety standards are maintained throughout the system. This way, the platform can remove those individuals who do not comply with community guidelines. 
  • Restricting the passenger count: People prefer taxis for commotion-free rides. Besides, the chances of contracting the virus get enhanced when people are exposed to several people in close proximity. A taxi platform, restricting the passenger count to two or three, can provide a hassle-free and secure ride. 
  • Incorporating the face mask and gloves recognition software: A platform can’t assess each person of its community for safety guidelines. With advancements in modern technology, a face mask recognition software can help identify individuals who aren’t wearing masks and gloves. This automation of the system makes the process seamless and efficient. 
  • The ‘Go online’ checklist: The community’s safety involves the indispensable role of every member. The carelessness of a single member can pave the way for community spread. To avoid such circumstances, drivers and passengers need to answer the questionnaire based on COVID-19 before providing/availing services. 

Uber and Lyft are recovering 

It’s better to analyze the giants of the industry rather than local competitors. Let’s look at how these taxi apps are coping with the pandemic situation here, 

Uber’s food delivery platform to the rescue

With a steep decline in taxi services, Uber forecasted a $2.94 billion loss in the first quarter of the year. The recovery phase is on, but slow. However, the on-demand delivery services sector saw massive growth ever since the onset of the pandemic. People fearing virus contractions prefer doorstep deliveries. The food delivery platform of Uber, UberEats, saw an increase in sales throughout April, May, and June. 

Uber’s business in the Hong Kong Market recovered by almost 80% of the pre-Coronavirus era. This surge is mainly attributed to the merger of Postmates with Uber. 

Lyft’s American market is showing signs of positivity 

Unlike Uber, Lyft is predominantly providing taxi services and, that too, on the American continent. The platform witnessed a net loss of $398.1 million in the first quarter. The taxi app is gaining positive growth in some US cities. Lyft is experiencing a surge in rides, especially on the weekends. The company expects that the second quarter’s loss will not exceed $325 million, as the recovery graph shows positive signs. 

Things to keep in mind before investing in a taxi app 

Developing and launching an Uber clone is simple. But prevailing and establishing the brand among the audience demands a cutting-edge approach. Here’s a list of things to keep in mind before investing in an on-demand taxi platform. 

  • Do not restrict the services: With multiple on-demand sectors gaining increased popularity, a taxi platform needs to provide more than just taxis. For example, providing doorstep deliveries can be an efficient way to retain customers and increase user engagements. 
  • Decide on the revenue streams: It is pointless to provide a safe and hassle-free commute at the stake of revenue. Hence, entrepreneurs need to decide on the different types of revenue models in their platforms. Be it in the form of advertisements or subscription charges, a clear picture can eliminate running out of funds in the future. 
  • Overnight success is rare: It takes time for a taxi platform to build trust among the audience. Entrepreneurs needn’t leave their business halfway due to less reception. Maintaining and managing the entire system can turn the fortunes towards a taxi app. 

Clone apps can come in handy 

When compared to developing an app right from scratch, clone app solutions are productive and economical, especially amid the COVID-19 situation. Entrepreneurs needn’t make hefty investments in the platform. These solutions come with numerous advantages, including, 

  • Cost-effective solutions: A taxi app is extremely pocket-friendly for entrepreneurs. They can make the necessary modifications and launch the app in no time. 
  • Time-conserving: For entrepreneurs eyeing to launch a taxi app in their locality instantly, app solutions is their one-stop destination. Modifying and launching the app is a piece of cake. 
  • Highly reliable: It is the industry experts who craft these app solutions. Hence, they are highly scalable and dependable. 

Wrapping up, 

The evergreen taxi industry segment is emerging from its losses rapidly. A ride-sharing app with the perfect safety standards can scale greater heights in the shortest possible time.

Reach out to an app development company, modify the taxi app, implement the safety strategies, and launch the taxi app right away! 

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