Ride-hailing apps have revolutionized the way we commute. However, the current ride-hailing apps like Uber and Ola have some limitations that need to be addressed, and this is where blockchain technology comes in.
Are Decentralized Apps Replacing Centralized Ride-hailing Apps?
The ride-sharing market accounted for USD 182.12 billion in 2018, projected to reach USD 212.60 billion by 2026, per Ride sharing market, 2021.
Urbanization and infrastructure fuel the ride-hailing rise, but safety and fraud are concerns. Blockchain provides secure records and loyalty program tracking, letting firms focus on core business. Decentralized ride-hailing apps using open-source tech and real car testing can be both functional and innovative. This Blockchain-powered app disrupts centralized apps like Uber and Lyft and secure, decentralized features.
Here’s how our experts at Blockchain App Hub developed a trendsetting ride-hailing app solution on the blockchain!
Our Target Users
Our target users are both taxi drivers and riders/customers.
Problems Faced by Target Users
The current ride-hailing apps like Ola and Uber are centralized, meaning all the data is stored on a central server, making it vulnerable to cyber-attacks.
Taxi drivers often face low earnings, long working hours, and a lack of job security. Riders/customers, on the other hand, face issues like surge pricing, lack of transparency, and safety concerns.
In rural and semi-urban areas, taxi-hailing companies need more influence, and rides are unconditionally priced, leading to customer problems. In urban cities, prices are reasonable, but drivers face miserable, stressful lives due to their issues.
Trends and Challenges in the Taxi Industry
- Payment Preferences: Most taxi drivers prefer cash payments, while 50% of customers use pre/postpaid wallets, attracted by the offers.
- Driver Attrition: Over 40% of taxi drivers have left Ola and Uber in the past year, causing a 70% decline in ride growth rate since 2016.
- Costs and Income: Ride costs have risen 25%, while driver income has decreased 35% since 2016, leading to economic challenges for the taxi industry.
How Does Our Decentralized Ride-hailing App Help in Overcoming These Problems?
- Our ride-hailing platforms reduce commission rates and take only 9% for community purposes and confirmation payments.
- Customers from rural and semi-urban areas will be charged fairly for their rides due to decentralized payments and ride fare bidding.
- Drivers are not required to work full-time on the platform and can strategically use it to increase their earnings.
- Non-Uber and Ola taxi and auto drivers can use modern technology to boost their income.
- Our ride-hailing app on blockchain eliminates the need for customers to pay surge fees and wait long for taxis. There will be many drivers online, maintaining the demand-supply balance.
- The government can better track taxes paid by local taxi and auto drivers.
- Decentralization will lead to increased revenue for businesses.
Extensive Features That Come With Our Decentralized Taxi-booking Application
Our decentralized ride-hailing app offers several benefits over its centralized counterparts. Here are the features in our app to support the same:
Blockchain tech removes central authority from ride-hailing, storing data on a distributed ledger for less cyber-attack vulnerability and increased transparency.
- Fair Pricing
With a decentralized ride-hailing app, taxi drivers can set their prices, eliminating the need for surge pricing. This ensures that riders/customers pay a fair price for their rides.
Decentralized ride-hailing apps can use smart contracts to ensure that only verified drivers with a good safety record can provide rides.
Blockchain technology ensures that all transactions on the ride-hailing app are secure and tamper-proof, making it impossible for anyone to alter the data.
- Zero Commission
Users can shift to a subscription-based economic model for a commission-free ride-hailing experience that benefits drivers and riders.
- Market Dictated Pricing
Blockchain-enabled auction mechanism that lets drivers bid for rides, giving riders more pricing options.
- Incentivized Participation
Blockchain-based loyalty and incentive program using the native token to encourage drivers to provide better service and riders to use the platform more often.
- Open Governance
Empower drivers and riders to participate in decision-making, promoting a more democratic and fair system.
- In-App Wallet
Introduce in-app wallets for easier onboarding, increased transactions, and non-crypto accessibility.
- Vehicle Sharing
Cost-effective vehicle sharing with in-app QR code access, leading to more efficient vehicle use and a more environmentally friendly platform.
Open up core contracts for community review, contribution, and development to foster a collaborative and innovative ecosystem.
Introduce own crypto token for a decentralized and democratic system where token holders vote on network governance proposals.
PoM ensures safe and automated parking by creating immutable, shared data between parties, leading to a safer and more efficient system.
Existing Flow Vs. Decentralized Ride-hailing App’s Flow
Our Decentralized Ride-hailing App’s Flow
- The app notifies nearby drivers about the request, and up to four drivers can bid an optimal amount for the ride. The app displays all the bids for the user to review.
- The user selects a favorable bid, using the quick filter options to find the most convenient option. The user pays the confirmation fee to secure the ride.
- We have added bidding and crypto-payment processes to our app’s booking flow. To maintain a seamless user experience, we have introduced a quick ride request feature that keeps the payment and bidding processes hidden.
Key Takeaways From Our Ride-hailing App on Blockchain
- Drivers can receive up to 80% of the total taxi fare.
Uber or Ola Driver Earnings: The driver earning is 60% & total tax is 34.5% with 25% commission, 18% company GST(Net 4.5%), and 5% User GST.
Our App Driver Earnings: The driver earning is 80% & total tax is just 11% with 5% GST, 6% Radio taxi, and 9% community development & gas fee.
- Our taxi fares are 23% lower than existing fares.
- Users can choose from various reasonable price quotes for their rides.
- There are no surge fees or convenience fees.
- Crypto payments ensure fast and secure transactions.
Blockchain App Hub’s ride-hailing app on blockchain is a revolutionary solution that makes commuting safer, affordable, and more convenient. As a forerunner in the Blockchain industry with many successful projects, our latest addition is a readymade app featuring a decentralized tech stack and device connectivity. It’s a must-have solution for the future!