Posted On: Aug 9, 2024

Ready-Made Taxi Booking App Vs. Custom Development: A Guide for Startups

Did you know the taxi booking industry revenue will hit US$165.60 billion by the end of 2024?

This statistic indicates that the earnings in the taxi booking industry are substantial, but startup businesses must make a critical decision to ensure they achieve profitability. They must choose between a readymade taxi booking app and custom software development.

Both these approaches have merits and demerits, and the last choice depends on a clear understanding of the goals and resources of your startup.

Readymade Taxi Booking Apps

Readymade taxi booking apps, are often referred to as white-label solutions. These apps are quick and cost-effective options. Its development cost range around $5000-$10,000. Furthermore, ready-made apps come with built-in booking and payment systems, so you can start your service quickly and easily.

Pros of Using Readymade Taxi Booking Apps

Explore how readymade taxi booking apps are beneficial for you.

• Budget-Friendly Solution

Readymade taxi booking apps save more money as compared to custom development. You need to pay a one-time fee or avail monthly subscription to get the benefits. You would avoid the high upfront costs of developing an app from scratch. Furthermore, the readymade taxi app solutions come with regular updates and deploy quickly. This keeps your business affordable and up-to-date with the latest features.

• Faster Time-to-Market

With minimal customization, readymade apps can be launched faster than custom-built solutions. This lets you test your concept in the market sooner and improve it based on user feedback. They also include built-in features and support, saving time and resources on development and maintenance.

• Reduced Development Risk

With core functionalities already built and tested, you reduce the risk of technical issues during development. Hitting the ground running with a clean launch minimizes downtime, allowing you to shift gears and optimize user experience alongside marketing efforts. It results in a more effective business.

Cons of Using Readymade Taxi Booking Apps

Drawbacks of readymade taxi booking apps do exist. These limitations can affect the app’s ability to meet specific business needs or differentiate from competitors Have a look at the cons of using readymade taxi booking apps below.

• Limited Customization

The level of customization offered by readymade apps is typically restricted. You may be able to change the app’s colors, logo, and branding elements, but significant changes to features or functionalities are often not feasible.

• Boosted App Appeal

Your app might look similar to others, making it hard to stand out. To set it apart, add unique features, customize the branding, or offer specialized services. Try to integrate exclusive functions, design a unique user interface, or adjust marketing strategies to enhance its visibility.

• Vendor Lock-in

You become reliant on the vendor for updates, bug fixes, and future enhancements. This can limit your control over the app’s evolution and potentially restrict your ability to integrate with other booking services.

Custom Development: Building a Unique App Tailored to Your Vision

Custom development means developing a unique taxi app tailored to your vision. This provides complete control over the app’s design, features, and functionalities. You can effortlessly create a UI/UX that reflects your brand identity online. It costs $10,000- $35000, or more depending upon the features you want in the app.

Pros of Using Custom Software Development

Explore how custom software development helps you in your online taxi business.

• Feature-Rich App

Custom development allows you to add features like real-time fare estimates, secure payments, and loyalty programs. These features make your taxi booking app more convenient, secure, and engaging for your customers.

• Flexibility & Scalability

Custom apps can grow with your business and work with new technologies. They’re built to expand as your business grows and can easily connect with new tools and services. This makes sure your app stays useful and up-to-date as your needs change.

• Data Security

With custom development, you own and control your app’s data. This lets you set strong security measures to protect sensitive information and follow industry standards. Maintain full control over your data management and storage to prioritize security and compliance with regulations.

Cons of Using Custom Software Development

Custom software development comes with its challenges. Here are a few disadvantages of using custom software development.

• Higher Cost

Custom development is much more expensive than readymade solutions. Costs vary based on app complexity, features, and the development team’s location. Custom projects also take longer to develop and have higher maintenance costs, making them a bigger financial commitment.

• Extended Development Time

Developing a custom taxi app from scratch requires a lot of time. You need to plan, design, develop, test, deploy, and launch. The changes or any unexpected issues in the app can further delay the project, making it more time-consuming and complex.

• Development Risk

Unexpected problems or delays in custom development can affect your launch timeline and budget. These issues may lead to higher costs and longer development times, impacting your market entry and overall profits.

Make the Right Decision

Below are the steps that help you in the right decision-making and select between a readymade taxi booking app and custom software development.

• Outline Business Objectives: Define the unique value of your app and the problems it solves.
• Identify Target Audience: Understand your audience’s needs to shape features and user experience.
• Estimate Budget and Timeline: Set realistic financial limits and timelines for launch.
• Prioritize Apps Feature: List must-have features and consider future additions.
• Search Readymade Solutions: Check white-label taxi apps for features, customization, and pricing.
• Consult with Development Team: Get quotes and timelines from app developers, and discuss your vision and needs.

Summing Up!

Selecting between a ready-made taxi app and custom development depends on your business objectives, resources, and target audience. Consider the above-mentioned points carefully and make the best decision for your startup.

If you would like to opt readymade solution for taxi booking services, use TaxiOnGo app. It’s a white-label taxi app solution that helps you run your fleet target business and experience good growth.