Due to the Covid-19 pandemic, everyone adopted new normalcy by following strict adherence to social distancing norms. Therefore, there is an inevitable need to avoid human contact in public spaces. This has resulted in the massive growth of the cashless economy.
It is of no point in maintaining social distancing to prevent the spread of virus transmission without initiating contactless payment. As contactless payment is clean and hygienic, it helps to eliminate physical currency exchange. Most importantly, it is a secure way for payment transactions.
Amid the global pandemic, social distancing and contactless payment are considered as the most important things. It would be better if people avoid traditional ways of payment, i.,e, cash payment, for a while. This way, they can live safe and meet their daily needs without any fear.
What are the perks of contactless payments for the ride-hailing business?
As of now, we have seen the necessity of contactless payment in general. Let’s see a few of the perks of contactless payments for the ride-hailing business. If you are already in the ride-hailing industry, considering incorporating the Contactless Payment feature in your app. If you are the one who wants to enter this industry in 2021, make sure you add this feature when proceeding with ride-hailing app development. Here are a few of the reasons why this feature is important for your business.
Billing transparency
Whenever the passengers avail themselves of the taxi services, they can have the option to pay online via the app using a debit card, credit card, UPI, and wallet system. Meanwhile, the passenger app generates an invoice once the ride is completed.
The fare transparency helps to gain more potential customers. With this automated billing process, you can eliminate paperwork. In return, you end up saving time and cost.
In-app marketing
Upon implementing the contactless payment feature, you can even provide offers and discounts to your potential customers. This makes your existing customers to avail themselves of your ride service again and again. It is one of the most effective ways to retain existing customers. Meanwhile, you might end up getting new customers at times.
Apart from these, the scheduling ride service option will have a positive impact on your business. With this feature, customers can book a ride at their convenient time. As a result, you get positive reviews, higher booking rates, and gain loyal customers.
Sense of safety
Contactless payment is an excellent way to ensure a high level of safety and security. Customers are more conscious about their health. So, if you are concerned more about your customers, there is a high chance of gaining customer loyalty. Notably, businesses that are adaptable to the recent trend will help to withstand the highly competitive industry.
Various payment options
Upon enabling the contactless payment feature, you have to offer various payment options so that the customers can choose from them at their convenience. Digital payment options include in-app wallets, Amazon Pay, Google Pay, PayPal, credit card, debit card, and so on.
There is no necessity for customers to carry currencies in their pockets every time. Instead, they can prefer using the digital payment options as it is hassle-free.
Revenue management
An integral part of any business is that revenue management. Therefore, incorporating the cashless payment feature during ride-hailing app development makes the income management process seamless. By doing this, you can track the cash flow of your business virtually.
Besides this, you can initiate a timely payroll process for your drivers and you can manage the earnings accordingly. One of the revenue-generating streams to integrate into your app is the commission fee, as it is the primary source. Once the drivers complete the ride service, the passenger/rider makes a payment online. Then, you can charge the drivers a certain percentage of the income they earned. Upon deduction, transfer the amount to the drivers.
Using the drivers app, the drivers can track their earnings daily, monthly, or yearly. Even at times of uncertainty, there will be no payments like pay by the hour. However, drivers earn only when they achieve their productivity. So, you can encourage your workforce to achieve productivity and in return, it boosts your business.
Customer satisfaction
The success of the business relies on customer satisfaction. A quick and streamlined means of payment will help to improve customer satisfaction. A digital payment requires nearly 15 seconds to process as it saves more time. This is beneficial for customers who have a tight schedule.
Wrap up
In the beginning, people choose the digital payment option as it is more convenient. Nowadays, it becomes necessary for every business, including the ride-hailing business. Amid the pandemic, a business that incorporated this feature is efficiently coping with the competitive edge.
With this change, one has to adopt this new technology to gain a customer base and boost your business. If you haven’t started a taxi booking business yet, approach a mobile app development company for ride-hailing app development.
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