Benefits of taxi dispatch software

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

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

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.
Conclusion
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.