Benefits of taxi dispatch software

Young man with suitcase running to taxi cab

The energy and time it takes to decide to go somewhere highly depend on your means of transport. Having private conveyance takes away the weight of uncertainty from your shoulders. No need to wait for an empty taxi or walk miles to get to the closest subway station. However, since the inception of the online taxi booking service, this luxury is no longer limited to car owners.

All it takes now are a few taps on the phone to summon a taxi on your doorstep, ready as your car. Online taxi service is currently operating globally in countries with moderate internet facilities. As a result, millions depend on this means of transportation for its reliability and convenience.

However, much more is going behind the curtains to make this service seamless to end customers. All online taxi booking platforms integrate taxi dispatch software to manage all affairs from start to end.

The article discusses the benefits of taxi dispatch software for the company and the customers.

Why Use a Taxi Dispatch Software

The biggest challenge of operating an online taxi booking service is managing the drivers efficiently while ensuring customers’ safety, punctuality, and affordability.

Using a real-time workforce to process every request and manual dispatching can result in mistakes, inefficiency, and ignorance of parameters. Moreover, hiring such a huge team of operators is an economically poor option for the company.

Secondly, the location of the driver and customer is a key parameter that cannot afford to be miscalculated. Managing it manually can cause confusion or unnecessary delay in a setting where a few seconds can cost you many kilometers to find the next U-turn.

Taxi dispatch software is a one-stop solution that assigns the nearest taxi to every customer while prioritizing the best drivers and providing them with the most optimum route in terms of distance and time. The benefits of taxi dispatch software stem from the complex decision-making algorithms running at the backend, seamlessly catering to hundreds of problems.

Benefits of Taxi Dispatch Software to the Taxi Company

Real-Time Taxi Tracking

The facility of GPS is the basis of taxi dispatch software functionality. Good taxi dispatch software utilizes advanced GPS tracking features to record every taxi in a certain radius, their movement, and their availability status. Similarly, the same GPS technology is used to locate the customer initiating the taxi request and runs complex algorithms to assign the best suitable taxi.

One obvious benefit of taxi dispatch software integrated with GPS is that it maximizes the matches between a customer and their ride. Secondly, it works as an invisible eye to keep track of the drivers and their activity during working hours. Lastly, it provides an unrestricted territory of operations where drivers are available since GPS facilities are available around the globe.

2. Integration of Various Payment Options

Setting up a separate line for each payment option is a nightmare for the finance and accounting department of the company. Using different applications and ensuring no downtime or unavailability of service is a daunting task, let alone maintaining referential integrity and updating overall accounts on every transaction.

The biggest benefit of taxi dispatch software is that it houses a range of payment options in one package. In addition, it connects various payment gateways connected to a single account to ensure reliability and bookkeeping.

3. Data Analysis

Another benefit of taxi dispatch software is that it becomes a data warehouse to help a business improve its practices by making suitable business decisions. Online taxi booking companies must be ahead of the curve to lead the competitive market. Companies make decisions to maximize customer satisfaction and their profits. Poor practice is to take such decisions as an experiment that can jeopardize the prospect and image of the company.

On the other hand, taxi dispatch software maintains a database of customer geographic, average ride distance, peak hours, driver performance, preferred ride options, etc.

The data increases efficiency by catering to customer demands to ensure peak performance.

4. Scalability

The ultimate goal of every online taxi booking company is to expand its services across the city, country, and the globe. However, this is not as easy as it sounds. Every taxi company starts small, and its growth depends on the feasibility of expansion. MoRide Mauritius is using taxi dispatch software that gives the company the flexibility of expanding without a hitch in the current services.

Since all the parameters are integrated into one software, adding another region to it will be as simple as growing the radius of operation, adding drivers to it, and giving access to service to the customers of that region.

5. Increase in Booking Frequency

Manually processing each taxi request, assigning a driver to them, and updating the status of every driver starting a ride or completing a ride can become a can of worms for the operators.

Adding the time delay to the equation, you might lose many customers who do not find their taxi in less than a minute. The margins are this slim in this competitive market.

Taxi dispatch software does the same job without delays, mistakes, or losing concentration. The software gives an overview to the customers of the available taxis cruising nearby and the best route from pickup to drop off. It caters to each taxi request within seconds, increasing the retention rate and customer satisfaction.

6. Monitoring Driver’s Performance

Monitoring drivers’ performance in driving manners, punctuality, behaviour, and fare is a vital part of online taxi service. Another great benefit of taxi dispatch software is that it can efficiently monitor driver performance in terms of the rides they complete in a day, distance travelled, punctuality of arriving at the pickup location, and their driving speed.

Also, the amazing feature of taxi dispatch software includes customers giving their feedback on every ride in detail. The latter covers aspects like cleanliness, driving, car smell, conversation, quality of service, and navigation knowledge in their feedback.

Such accountability keeps a check and balance on every ride. Also, it induces a sense of responsibility in drivers that one mess up can hurt their entire driving record.

7. Increased Profit Margins

Maximizing the number of rides while ensuring reliability and quality of service means building a greater community of customers. Also, taxi dispatch software performs the work that a team of thousands of operators cannot do efficiently while managing a country’s online taxi booking.

All these financial benefits come together to result in greater net profit for the company. Taxi dispatch software is why the service is operating so successfully and growing competitive, owing to its financial prospects to the company.

8. Cloud-Based Storage

Another benefit of taxi dispatch software is that it incorporates cloud-based storage. It releases the company from building physical data warehouse stores. Cloud-based storage uses servers rather than devices to store data, meaning that the data does not need a physical site to be stored.

The cloud-based storage feature is economical and provides flexibility during scalability since there is a need to establish a different storage site in the new region. All it takes is buying more cloud storage for efficient data management in one place.

9. Special Zone Management

Taxi cars standing in parking zone
Taxi cars standing in parking zone

The data stored by taxi dispatch software is also used to make real-time decisions. The concept of special zone management refers to the decisions made by the application based on certain circumstances. For example, in a pool of drivers in a certain region, the request is issued to the one with the highest ratings or who has been ride-less for the longest.

These decisions effectively cater to drivers’ concerns and create a fair system with incentives for good performance.

10. Regional Adaptability

Among the long list of benefits of taxi dispatch software, this one is particularly handy when a company is looking to expand its services in a new country. Consequently, the passenger market of every region varies significantly. Also, the economic situation, fuel price, and market competition determine the fare.

These aspects can be personalized in the same taxi dispatch software for the same region rather than creating a new one. In addition, regional adaptability in taxi dispatch software helps adjust the pricing and business operations between two cities or countries.

Benefits of Taxi Dispatch Software to the User

Concept of online taxi service. Video conference with dispatcher on laptop
Concept of online taxi service. Video conference with dispatcher on laptop

Quick and Quality Service

The biggest benefit of taxi dispatch software for the users is that it provides quick and quality service by reducing delays or sending you into a queue. Unlike manual taxi booking, where you must wait in line to connect to an operator on call to book a taxi, you can do the same thing in a few taps.

Also, here customers get a handful of information about their driver, its location, and the estimated time of arrival.

Multiple Payment Options

Customers of any taxi company can pay using a range of payment options such as cash, credit/debit cards, and crypto currency or add the bill to their wallet if they are out of money momentarily. In addition, they established a great example of utilizing taxi dispatch software to ease customers’ lives, which immediately gave them an edge in the competitive market.

Pre Booking & Scheduling

Taxi dispatch software comes with another practical benefit for the customers, allowing them to pre-book, schedule or buy regular ride packages to avoid the chaos of peak hours. E.g., if you need to go daily at 8 pm to drop kids to school, schedule the rides for the entire week and be carefree about one more thing.

Ensures Customer Safety

The safety of passengers must be the utmost priority of every e-hailing company. Taxi dispatch software allows real-time tracking of the car and warns the customers and company if the ride deviates from its regular route without reason. Also, the software connects the passenger with customer care by a safety warning button on the app to mitigate all safety concerns as is the case with a car rental software

Fare and time estimation

One of the greatest benefits of taxi dispatch software is that it addresses the issue of uncertainty. The uncertainty can be in the form of waiting indefinitely on the road to find a taxi or booking a taxi on call and having no whereabouts of how far it is currently.

A taxi dispatch software predicts the time the driver will take to reach your location and then the time it will take you to reach your destination. Also, the software gives a precise estimate of the fare of each class of rides. It is a great tool for customers to plan things accordingly, making the best use of time.

Last but not the least, the software gives a breakdown of the total fare to ensure transparency and accountability between the user and the company to grow their base of loyal customers.


Here is all you need to know about the benefits of taxi dispatch software. The article discusses in detail why taxi dispatch software is necessary and the benefits of the software to the company and the customers.

Many taxis around the world are using advanced taxi dispatch software and utilizing the benefits to improve their service. Their case study is a great blueprint for others to understand the plethora of benefits offered by the software.

How to choose the best car rental software


Car rental software gives automobile rental companies tailor-made tools to enable them to best operate their business, manage back-office tasks and employees. Typical features include vehicle history reports, car inventor customer database and payment processing. Modern products are even capable of identifying and communicating with auto repair shops, garages and car dealers thus facilitating the purchase of more rental vehicles. So, what are the benefits of the software? Read on.

How To Choose Your Ideal Car Rental Software

Reservation System

The software you settle for should enable your customers to make bookings through your website. Fortunately, all the latest versions come with a handy Reservation System through which your customers can make reservations at the comfort of their living rooms. Such a platform, besides reducing the burden on your users gives you comprehensive records on bookings and payments.

GPRS Tracking

Give preference to rental car software that contains fleet management tracking. This feature gives you vehicle data like location and direction and speed of travel in real time. The tool hence reduces instances of theft and provides details on how your employees are using your vehicle. It also increases the confidence of your clients knowing you are always on your constant watch.

Inventory Management

While when the business is small managing fleet inventory is not a difficult task, as it expands complexity increases. Let your vendor specify the number of vehicles at which the tool is most efficient. Settle for a system which is effective at your ideal customer number figure to avoid mix-ups about vehicle availability once your business attains that level. This capability is particularly important for firms with several fleet locations.

Intuitive Interface

Irrespective of the potency of car rental platform, if users have a hard time using it, you may not realize your objectives. So, make sure the system is easy to navigate lest your users get confused while trying to, say, book a car. Give preference to those that are easy to use not only for customers but also for you, the business owner. Those that accomplish communication, billing, and booking in a few steps are even better.

Benefits of Car Rental Software

Reduces operational costs

The software provides a very affordable means of running a car rental business. It also facilitates customer detail recording and as such offers vital information that can be used tailor services thus increasing customer satisfaction. Thanks to the fact it has zero implementation costs and instant accessibility, your operations costs diminish immediately you adopt it.

Tracks maintenance

Also called the fleet management system, the software not only reports on the efficiency of the vehicles but also reminds you about your scheduled automobile maintenance. The overall effect of this feature is reduced maintenance, fewer vehicle breakdowns, and high fleet utilization. The resulting reduced downtime leads to high business profitability.

Competitive edge

Adopting the software sets your business apart; it gives you a head start in the otherwise stiff competition. With the latest tools featuring revolutionary capabilities, the software will surely keep you ahead of the game. This feature increases user experience thus increasing repeat business and loyalty of customers to your company. The technology best handles consecutive bookings.


Car Rental Software addresses all the challenges that car rental business face. From the day to day operations to fleet management tracking the platform provides very many capabilities. So, use the above guide to identify one that meets all your requirements, acquire it and take your business to the next level. Your users will reward your efforts with repeat business and loyalty.

How to start a car rental business

A car rental business is ideal for you if you have an interest in automobiles, the driving experience, and the associated maintenance. Running it involves researching new car models, deciding about your fleet of vehicles and promoting among many other duties. So, if all these processes sound exciting to you, starting the business is a good idea. Like all other lucrative ventures, vehicle rental is very competitive. So, deciding on a business model, identifying a perfect location and building your unique fleet will go a long way. Below is all you need to know about a car rental business.

Register your business

Go through all the relevant insurance and regulatory requirements and do everything you can to meet them. Obtain the necessary work permit before renting out your cars. Register for taxes and get all the required licenses. If a surety bond is mandatory in your location of choice, have it in place. As you register a name consider using an eye-catching name that is short, appropriate and easy to pronounce. Finally, decide on the
business structure of your company; you can run it as a sole proprietorship,
partnership or even LLC.

Choose a business model.

There are many ways you can rent out your cars; you can do so per month, per week, per day or even per hour. You can also choose to rent vehicles for special events like bachelor parties or weddings. The business model you settle will determine possible income as well as your target market. Your budget dictates the types of cars you will rent out. While economy options are a lot easier to start, the income you get is lower than those of luxury
models and SUVs. Insurance charges also vary accordingly.

Choose a location

Conduct market research on existing competition. In most cases locating your business away from current rental companies increases your chances of success. That withstanding makes sure you settle for a safe, easily accessible and visible location so customers can have an easy time locating your business. A place close to hotels, train stations and airports are thriving grounds for car rental businesses. Balance these benefits with the
rental cost. Similar firms do well in suburbs and small towns due to the low competing.

Procures cars

The principal investment in this business entails acquiring the vehicles. Depending on the
size of your capital, you can purchase a few and increase the number gradually as your business gain traction. If you are working with a lean budget, consider acquiring used cars that are still in excellent conditions. Alternatively, start with economy cars and diversify to other models once your business grows. If you are sure there is high demand, explore the option of getting money from financial organizations.

Create a website

Finally, create a website and use it for operational and marketing purposes. On the site, mention the types of cars you have, your business model and the specific zone you cover. Make an effort to use a domain name that matches your company name. The best way to do so is to check the availability of a domain name before you decide the name of your car rental company.


Location determines, to a large extent, the profitability of a car rental business. However, your efforts while running it also play a role. So, always give your whole while running your business to realize its full potential. Also, endeavor to satisfy every customer through sound business practices. With the above, proven strategies and with adequate funding, you will grow your business to your dream size.

We are back again!

At arrowracingengines, we are opening the door to new products. It will deal with car rental hacks and how a booking engine affect the profitability of a car rental business. We are in a new era of doing business and the internet is gaining more and more power each day. Thus, businesses cannot remain insensitive to such innovations which in a way is set the process and collect the revenue.

The hacks will most of the time help visitors to this website save huge amount of money during their travel. They can thus spend the same money to cater for their enjoyment. If you came to us for renting racing engines, we are catering for your needs with the video below. Enjoy!