A few years ago, I wished and started a taxi business with several fleets. Like other entrepreneurs, I would like to get more returns on my investment. I knew strategy is the key in the ride-hailing industry to get more revenue and customers. Although I plotted effective strategies and executed them in my taxi business, I failed to earn more.
I lost my loyal drivers also. They switched over to other taxi services. I thought I ended up with my business at an utter loss. Fortunately, I met my business consultant friend to get some ideas. After analyzing my business activity and reports, he told me that organizing skills and proper business objectives are the primary factors of business success.
We also found a lack of proper business objectives in my taxi business. Finally, I have found the mistake that I made. He suggests a taxi booking application to make my taxi service productive and help me to organize business objectives.
As per his advice, I did all the things. Now I expand my taxi business in the other three regions and have a plan to kick start the other four branches before next year. So, let me share with you how business objectives are important for the taxi business and how I pursue all the objectives with a taxi booking app.
What is a Business Objective?
The business objective is nothing but a measurable wishing/ aiming result or goal of a company. That helps to identify the strengths, and weaknesses of your employees and other entities of your business. Through that, you can plot effective business strategies to optimize your business flow.
Many firms are following the “SMART goals” method to define their business objectives. SMART is nothing but an acronym for Specific, Measurable, Achievable, Relevant, and Time-based. It denotes that a business objective should have the following standards.
Specific - The objective should be specific and focused,
Measurable- It should have any kind of evidence to measure the progress in the business,
Achievable - The goal should not be impossible to do.
Relevant - The objective should be compatible with the business values.
Time-based - The objectives should be achieved by a fixed date/ time. So, that you can scale yourself.
So, the objective of a taxi business is nothing but measurable goals of your taxi services. But initially, I was confused about the definition of goals and objectives. If you are also experiencing the same, let me explain the difference between these two terms.
How Do the Objectives of a Business Differ from Goals?
Knowing the difference between the goal and the objectives in your taxi business, you can define the objectives properly. That helps you to scale the progress of your business.
A business goal is nothing but a simple and broad statement of the desired result. For example, previously I mentioned, “ I would like to get more returns on my investment”. That didn’t describe how to gain money, the amount of money to earn, or the estimated time to achieve the goal.
On another hand, the objectives are specific, actionable goals/ desired results. It describes the goal and its measures. Previously I mentioned, “plan to kick start the other 4 branches before next year”. It is an example of an objective as it denotes the number of branches and the time to do the task. Simply, SMART goals are called objectives. Let’s know more about objectives.
Four Main Objectives of a Taxi Business
To set up proper objectives for a taxi business, you should explore the four common classifications of business objectives. Although you have many goals and SMART goals (objectives) for your taxi business, they can be categorized under the following four categories.
- Economic Objectives,
- Human Objectives,
- Organic Objectives, and
- Social Objectives.
Economic Objectives:
As the name suggests, the objectives of earning profit are called economic objectives.
Step- 1: Sustaining in the market by providing multiple services and offers is the first step to gaining your revenue. This is the initial stage of market penetration at which some losses may occur due to the low pricing strategy. But it can make a large number of customers.
Step- 2: Thereafter, you can start earning profit by increasing the price of your service. At this stage, you need to include more drivers, fleets, and others to improve your service quality.
Step- 3: Finally, by improving your taxi service quality, you can increase your prices simultaneously.
A taxi booking application can help you to measure and do these steps to complete the objective. The application can market your service through a referral program and attractive pricing officers. In the second stage, the application can engage your valuable customers by continuously providing seamless service.
It also helps you to introduce your new extended services like limo/ chauffeur/other luxurious cab services. So, with a single application, you can cover economic passengers and also business class passengers.
Finally, the application allows you to check the complete history and data insights of revenue you earned through an online taxi booking service. So, you can measure the economic objective easily.
Human Objectives:
It is nothing but the objective to maintain the employee retention rate and happiness. By doing this, you can hold skilled drivers with your network to attain their dedicated work.
Having skilled and loyal drivers is also a factor that defines the service quality of your taxi business. But finding a dedicated driver is hard. But a taxi booking application can help you to monitor the driver's activities like the number of rides they did, timely services, and other insights.
In addition, customers can write reviews and rate the service of the drivers through the application. It is also a matric that helps you scale the driver’s dedication. So, you can satisfy such drivers by providing additional perks.
To ensure the engagement of the driver more actively, you can conduct loyalty programs with the app. For example, you can show a leaderboard in the driver application (an element of the taxi booking app script), and the drivers can be motivated to complete more rides.
Organic Objectives:
Simply, this kind of objective comprises all other objectives like creating competitive advantages in the market, increasing customer base, and others for your taxi business.
Strengthen Your Customer Base - To know customer opinion, you can conduct in-app surveys. Through this, you can get reviews from your passengers directly. By rectifying the common difficulties that they have faced with your taxi service, you can increase the retention rate.
Optimizing Business Flow - The taxi booking application allows the admin (you) to manage your business online. Beyond this, with the help of an app development company, you can optimize the user pathway of your taxi booking application. The firm also helps you regularly update your taxi booking application. It helps you to drive your business updated with recent technologies.
Brand Resonance - Through the taxi booking app, you can connect with your passengers easily. It enables you to provide personalized service and offers to passengers. That makes robust business resonance for your brand.
So, for the improvement of the taxi business, a mobile application can play a major role in all aspects.
Social Objectives:
Last but not least, it can help you to do your social responsibility and make it as value for your brand. For instance, if you are providing EV cab service to help society to create an eco-friendly environment, the app can market this and project the same as your uniqueness and value.
Other than this, you can maximize the customers’ safety during their ride, you can provide insurance coverage and SOS option through the taxi booking app. So that many customers may demand your taxi service.
So, this is how a taxi booking application helps me to define my business objectives and also complete them. So, if you are facing difficulties in your taxi business, you can also try to develop a taxi booking app. It may cost you a high.
But fortunately, I saved money by choosing the ready-made taxi booking app script. You can get a customized taxi booking app clone script for your taxi business. That will be a perfect replacement for developing a taxi booking app from scratch. I used the Uber clone app script to improve my taxi business and complete these objectives.
Final Thoughts
Here, I shared all kinds of objectives of a taxi business and explained how they can be measured and completed by a ready-made taxi booking app like the Uber clone script. Hope this will help you to improve your taxi business with a taxi booking app like Uber.
But it should be developed by a top-rated mobile app development company to ensure its reliability.