How to set up a successful and profitable taxi company with the Uber model in Nigeria?

Ridesharing is a new trend that is fast growing through technology in the world. Now we have companies like Uber, Bolt (formerly known as Taxify), and Lyft making great sales from being the forerunners of this wonderful technology. What do we mean by ridesharing exactly? Ridesharing implies that you get to share a car with someone who is going your way to take them to their destination.

A company like Uber is now available in over 60 countries, and more than in 600 cities with about 14 million Uber trips completed every day. They have also completed over 10 billion trips worldwide, and in 2018 alone they made a total sum of 4 trillion NairaNaira. Just in Nigeria alone, Uber has over 10,000 drivers with about 267,000 monthly passenger base in 2018.

All these and more make you realize that the ridesharing business is doing very well. Now the question is, how do you exactly get on board. Bear in mind that there are different aspects of the business for an on-demand or rideshare business. Therefore, know the one you plan on joining. Do you want to be the rider/customer in ridesharing?

There are other examples of rideshare niches; apps like GrubHub, instacart, doordash, provide deliveries between shoppers and merchants. You also have the bike hailing app options which serves as another niche. The apps include Bird, Gokada,

Max and Gokada are indigenous apps that have carved a name for themselves in the ride-hailing industry.

Photo by Victor Avdeev on Unsplash

However, you can decide to deviate from the norm and build your own app that focuses on laundry, pharmaceutical, petrol deliveries and so on. But note that the success of the app might be determined by what the established players have put in motion wrongly or what they aren’t doing at all.

Related: check out this definitive guide on how to grow a successful transportation business prepared by Onde.

At the point of identifying what you want to do, you are to carry out a market study. The market study should include finding out if people need the services you’re about to render, do you have any chance of succeeding, is it a profitable venture, and more importantly will the target customers pay for it?

Another factor to consider is the importance of a quality app developer that’s going to build the app. This is significant to the progress of your venture as it is the very first thing that your customers come in contact with.

Your app cannot afford to be bad or have silly mistakes, as that might make or mar the entire business. For instance, the Uber app has used over 360 million Naira to develop and maintain the app. Do not fret; you do not have to spend that much. Now we have different app development companies that can either build from the scratch or give you a pre-built option for a good price.

Once the app is set and ready for use, get a workspace where you will be actively working on. You can either choose to get a standalone office or shared workspace like Capital Square, Ventures Platform Work Bay, Workstation, etc.

After all, these are set, recruiting drivers is the next thing. Make sure you carefully choose your drivers as they are very instrumental to the growth and progress of your ridesharing venture. Teach your drivers how to deal with customers and other basic etiquettes of business. Your customers are very important too. You can offer incentives to both your drivers and the customers to get loyalty from them. Drivers mean your customers can get to their destination, customers mean payment, and so you have to take care of both.




MONDAY LINES: Nigeria Without Police
A state well-defined is where law and order reign. And it is not difficult to have a country of degraded, disappearing statehood. We already have it. We say when the roots of a tree begin to decay, they spread death up the stem to the branches. Across the south-west where I live, the police are on work-to-rule. If you travel from the coasts to the northernmost part of Southern Nigeria, you are not likely to see a single presence…

How Years Of Underfunding Health Sector Affected Nigeria’s Response To COVID-19 (Part 1)
In 2001, African heads of state met in Abuja and agreed to appropriate not less than 15 per cent of their annual budget to healthcare. But ever since, Nigeria has failed to inch any closer to the agreed percentage, leaving the country’s healthcare system grossly unable to respond to outbreaks…

Weekly Review: Nigeria’s COVID-19 Infections On The Rise Again
Nigeria’s new COVID-19 infections increased again last week, Tribune Online analysis shows. Last week, the 46th week of the pandemic in Nigeria, the country recorded 1,206 new infections (November 8 – 14), an increase when compared to the 923 cases recorded the previous week…

How Pfizer COVID-19 Vaccine Find Affected Petrol Price —FG
The Federal Government has linked the recent increase in the cost of petrol to the announcement of the development of a COVID-19 vaccine by Pfizer. Minister of State for Petroleum Resources, Timipre Sylva, disclosed this while fielding questions from State House correspondents after his routine meeting with President Muhammadu Buhari on…

Germany Cancels 80% Of Christmas Markets Over COVID-19 ― Official
At least 80 per cent of traditional Christmas markets in Germany have been cancelled over the COVID-19 pandemic, the German Retail Federation (HDE) said on Monday. The federation cited a study by consulting company CIMA and the Association of City Marketing and Town Centre Management Germany, which polled 1,400 municipal officials, representatives…

Rumpus In INEC After Handover By Yakubu
VARIOUS powerful interests bent on hijacking the leadership of the Independent National Electoral Commission (INEC) are currently locked in an intense supremacy tussle after Professor Mahmood Yakubu stepped aside at the end of his five-year tenure on November 9, 2020…

You might also like

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. AcceptRead More