Taxi Booking app development: Features and Challenges

5 min readFeb 10, 2021


However, almost everyone knows what Uber is. This app has gained insane popularity and inspired many people to think about launching their startups with a similar concept. Today we will talk about how to build a taxi booking app and what is required for its growth.

Challenges in Taxi Booking App Development

Without difficulties to overcome, no development process is possible. The following are the main challenges we have faced as a taxi app development company.

How to manage stops at the request of a customer and forced by traffic

On the request of the passenger, for example, how to treat stops if he wants to smoke. The driver may, on the one hand, suggest that. Our client prefers to automate this alternative, however.

Then we face the issue of GPS not stopping when a car stops. It shows it around a certain point as a movement.

On the other hand, we also need to repair it for traffic delays, so that a stop and charge passenger does not consider the sensor moving slowly in traffic congestion.

Inaccuracy in Geolocation

Google Maps is not a technology that is reliable enough to be implemented into taxi applications. Taxi drivers in Ukraine use the City Guide since it offers more precise coordinates, positions, and addresses. Their local geolocation systems should also be considered for other countries and tested against Google Maps to choose what is best.

GPS Testing

Testing should be done to make it correct since the taxi service is about riding according to some road. Either you should simulate it or you should take a real car and try it live. Calculation of Ride Cost

Automating the calculation of ride costs can be a difficult thing, particularly if it is long-distance, with several stops, or to another city.

Car park description

The driver app should be designed accordingly, depending on the business model you choose. There is no need to approve cars if you have your own parking lot, but if you follow the Uber-like model, the vehicles should be checked, their images are given, and some money should be deposited by the drivers to their accounts.

The total cost of creating a taxi app will ultimately be calculated by how all these problems are addressed and what features are incorporated in the solution developed.

For drivers and passengers, most businesses prefer different applications. So let’s see how both taxi users and car drivers can create a taxi booking app.

Let’s look deeper at the features of the taxi app in communication and notifications:

Essential features for any taxi application

Taxi booking app should include the following features:

  1. API
  2. Registration
  3. Maps, GPS, and routing
  4. Communication and notifications
  5. Payments
  6. Profiles and rating


The creation begins by explaining all potential scenarios for service contact with customers. They’re used for API planning and construction. We will start the development phase only after all the processes for automating your service have been carefully considered.

It will be simple for you to integrate new client apps with the API, regardless of the platform on which they are designed.

This technique enables you to save time and precious resources and allows in the future to painlessly scale operations.


You want to be secure and simple to use your app, so give a One-Time Password registration to your users.

A user just entering his mobile number for such registration receives a randomly created password, which is automatically inserted into the app’s input field to save time and simplify the process.

It takes only seconds for the whole process and the customer is authenticated and signed in for the rest of the time in the app.

It’s incredibly simple for a taxi service, as the main function we need to connect with a customer is the mobile number. A user can state the phone number only once with OTP registration from the very beginning and later it will be used for order confirmations, alerts, and driver contact.

Maps, GPS, and routing

GPS is used to locate the user’s current position. And users can easily locate their vehicles through maps and positioning. A routing server is needed if you need to measure the period of travel and build routes.

Communication and notifications

Developers of taxi apps will save users some time by offering them to choose their preferred type of car or other preferences. In order to discuss all the information, the passengers and drivers or managers should then be able to contact each other via private messages or telephone.

Ideally, the private data of users should be kept safe. Without disclosing the phone numbers, and introducing them.

And SMS and push alerts are used for notifying users of important events.

Although push notifications are simple to make, you’ll need to work with the communication service provider to incorporate SMS.


It is already a must nowadays to give users to pay for a taxi ride right from the app. Take care to give different payment options to your passengers for their convenience.

A taxi booking software development company will use systems such as Braintree, WorldPay, or Stripe for incorporating payments.

There is also a range of other options out there, such as bankcard payments from Payfirma.

Tips are also a vital thing to consider when making mobile applications for taxis and car bookings. You may allow users to add a tip to the trip value automatically or give them options for doing so.

Profiles and rating

Profiles and ratings are significant characteristics that help you to keep the group vibrant and happy. You will detect issues with customer satisfaction in the early stages by closely tracking the reviews of your drivers and vehicles. You can make this process even more valuable by making drivers rate passengers.


The taxi booking application market is more competitive than it is start-up-friendly. But nothing is impossible if you have a unique value proposition, bullet-proof project vision, and a reputable software development business.

You can use our feature list to create a taxi app for your city or ask our business analyst to pick features customized to your value proposition and business objectives.

Also, beware of possible pitfalls that may arise in the development of mobile apps.

While being a privately held company, the taxi app solution must comply with local authorities’ regulations.

Consider advice from your local transportation agency and guidelines for user data, privacy policy, and protection if you are about to create an app that offers public taxi services.

We are here to help if you are looking for advice on taxi app growth.

Let us know what your business idea is, and we’ll do our best to make it a reality.