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Date posted 12-Mar-22
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Taxi App Development Cost and Advanced Features

taxi app development cost and advanced features


Taxi App is a type of service that enables users to plan, book and pay for multiple mobility services through a single digital channel. This concept represents a shift away from the individual proprietary means of transportation and the movement as a service provided. Nowadays, when did the development of the taxi app begin to outperform traditional taxi services? People are starting to move towards personalized transportation solutions as a service.

That's why online Taxi booking software is in high demand these days. Statista predicts a 2.5% increase in taxi app users and a 60% increase in revenue for the ride healing segment in 2021. This article will show you how to develop a taxi app and give you a brief overview of how much it costs to develop a taxi app.

Features and monetization for taxi app development

For starters, in developing a taxi app, creating a local app is the recommended method. It enables the development of customized apps for each operating system, ensuring high performance, speed, security and access to built-in smartphone features such as geolocation and mapping. A traditional taxi app solution includes three separate but interconnected components: a driver app, a passenger app, and an admin panel for managing business operations.

Basic and innovative features for a successful taxi app

We've compiled a comprehensive table of features, both basic and modern, that you should consider when designing your taxi app.

Passenger App Features

Driver App Features

Admin Panel Functionality



Secure login


Driver profile and status

Locations and fare management

Taxi booking

Trip alerts and information

Driver and passenger management

Fare calculation

Receive and track earnings

Booking management

Driver tracking

Navigation and route optimization

Vehicle management


Driver delivery reports

Review driver’s orders and payoffs

Push notifications

Push notifications

Check ratings and reviews



Notification management

Driver rating and review

Passenger rating and review

System content management and FAQ

Travel history

Booking cancelation

Driver and user support

Customer support (SOS button)

Driver destinations

Integration with Google Analytics

Passenger App Features (Advanced)

Driver App Features (Advanced)

Admin Panel Functionality (Advanced)

Pickup location

Quest earnings

Manage dispatchers

Ride cancellation

Waiting time

Dispatcher panel

Split payment

Heat maps

Manage refunds

Interactive map

Forward dispatch

Promotion and discount management

Future ride


SMS alert settings for specific trips

Book for someone else


Future ride settings

Favourite locations


Country and currency settings

Gamification, discounts, referral rewards


Heat map

Voice recognition


Surge pricing

Waiting list


Flat pricing

Hidden passenger phone number



Taxi app monetization

You want to monetising your Taxi App while you're working on it. There are many ways to make money from a mobile app, but they vary depending on the type of app and its features. Let's take a look at the possibilities for monetization for ride healing applications.

  • Commissions from tours Benefit from travel: This is an automatic option. It's about the taxi industry as a whole, rather than the app's monetization. This means that business owners receive a certain percentage of the driver's income. Passengers pay a slightly higher percentage without any commission, but the driver's compensation structure may vary. The driver can be paid the full fare and then a portion of the money can be refunded to the company, or he can be paid net income at once. For example, let's say an app has a driver balance option. In the first example, if a customer pays $ 10 for a drive, the full $ 10 goes to his bank, and at the end of a certain period of time, he returns a certain percentage of it, leaving $ 9 on the balance. When the first one has a balance of only $ 9, the second option is available.
  • Driver's fee for using the app : Payment may be a fixed percentage or a fixed amount depending on the application. Depending on the company's policies, the driver usually pays it once a week or once a month.
  • Cancellation fee : This revenue is usually generated by the traveller, but some apps will choose to provide this feature for the driver.  If a passenger or driver refuses to take or give a ride, money must be deducted from their account in all cases.
  • Advertisement : This is one of the most popular ways to make money with technology. In the case of mobile applications, it is very easy to integrate. The owner of the product advertises in an app and charges a cost-per-click or cost-per-impression commission. However, you should be careful when using this technique. Consider where in-app ads are placed, how many are there, and how relevant they are to the app's content.
  • Subscriptions for additional services : If you can think of them, you will be monetizing premium deals. If you can do things that your competitors can't do, make it a source of income. Of course, not all special features need to be charged, so those who opt for a standard subscription on a premium subscription will find the Taxi app the same. You may want to consider using the freemen model. This allows users to try out some additional features before deciding whether to pay or not. When it comes to premium features for your cab healing app, use your imagination and try to imagine what travelers want and what they are willing to pay. Due to the ongoing excitement, your visitors may find features that save them valuable time - for example, subscribing to their frequent special tours. You may also have secret phone numbers, high-speed taxi deliveries and other services.

Taxi app development process

Before going into the cost of taxi app development, it is important to understand how app software is created. This process is divided into a few global stages, which are as follows:

  • Discovery and market research phase
  • Development - involves testing and deployment processes.
  • Restoration and support
  • Marketing and promotion (digital marketing and SEO services)

1 ) Discovery Stage

Although it does not seem so, the stage of discovery is as important as the stage of others. Some people think it's not worth the money, but it ultimately saves a lot of lives. During the discovery process, a customer and a service provider collaborate to create a common understanding of potential apps and specific guidelines. A business analyst, a project manager, a product owner and a designer are all actively working at this level. During the discovery phase, designers aim to visualize what other team members verbally explain, and during production, they design the entire Taxi Booking App Development. They create graphs, maps, wire frames and make-up as needed.

2 ) Developmental stages

Software goes through the same steps regardless of the SDLC model, but some methods are more versatile than others. Consider the word "active." This has proven to be a reliable and trustworthy approach.  Customer relations are its main focus. Agile provides a deviation from the basic plan to meet the needs of the client. Unlike the Waterfall model, for example, Agile allows experts to improve the layout of the app in the middle of production.

During the development process, a taxi app development company sends a trial version of the app to various platforms to see how it works.  As a customer, you'll see it and tell the development team if anything suits you. If so, they'll publish the final version on the AppStore, and support, maintenance, and updates will begin.

3 ) Support, maintenance, and updates

At this stage, minimal customer involvement is required. During the support, repair and upgrade stages, the service provider team is in charge of everything. It starts immediately after the product launches and lasts for years. Our experts will update the Taxi app regularly, fix any bugs and fix them.

Taxi app development cost and timeline

Production team is the first and most important factor of price. The experts who build your team will be determined by the details of the project. Developer salaries are not the only factor involved in determining the final price, but they are an important factor. The following is a list of key team members:

  • Business analyst
  • Project manager
  • UX / UI Designer
  • Back and front end developers
  • QA specialist

During the pre-development phase, the project timetable is estimated.  When the experts have met all the criteria, they will call the expected period. It depends on the features of the Cab app. We can only guess at the time frame because we know nothing. It can take up to three months for the driver app, two months for the passenger app and one month for the dispatch panel. From these figures you can estimate how much money will be spent on wages. 

We will provide the final estimate number for those who do not want to guess anything. Depending on whether you choose the hybrid app or indigenous method, the price may vary. Let's take a look at the raw numbers, the advantages and disadvantages of which are discussed.

  • In case of local development: An MVP with basic functionality will cost approximately $ 40k per platform. 
  • More sophisticated apps with better functionality - $ 100k- $ 150k per platform
  • In case of hybrid development: An MVP with basic functionality - $ 45k

Taxi app with advanced functionality - $ 125k- $ 175k

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