How to Create an App like Uber?: Complete Launch Process, Cost & Features

Create Uber Like Taxi App

The most common business model of any ride-hailing service is Uber’s model. The number of entrepreneurs approaching the ride-hailing services business sees a sharp increase. If you are joining the troop anytime soon, then you will acquire some fundamental ideas from this blog.

Uber’s business model and how it is galvanizing entrepreneurs?

Uber is simply an aggregator platform from which passengers can book rides by choosing their exact pick-up and drop-off location. Drivers will get information about any bookings through push notifications, and it is their willingness to accept the rides or decline. Moreover, the app performs location-based matching of bookings with the drivers. Only the nearest driver will get an alert regarding the ride-booking.

Overall, the algorithm used to map the rides with the drivers and the aggregator business model is the reason for entrepreneurs preferring Uber’s business model.

Uber and the category of value propositions to stakeholders

Uber gets all the attention from passengers and drivers due to the list of value propositions it provides. Also, this is another reason behind budding ride-hailing businesses replicating Uber’s model of business operations. Below is a range of value propositions provided by Uber for passengers and drivers.

  • Passengers are given the ultimate facility of getting rides within a very precise time.
  • When they get confirmation, they can track the location of the taxi.
  • No hidden ride fares. Passengers will get an auto-generated fare calculation, which will be based on the pick-up and drop-off locations.
  • Through the app, passengers can choose the cart type that suits their needs. 
  • Drivers are given flexible work timings, which is the foremost significance.
  • Their income is purely based on the number of rides they fulfill. So, better income is guaranteed if they accept multiple rides.
  • Drivers get automatic booking requests from the nearest passengers based on GPS technology. 

Different types of cars are available for passengers with Uber

Generally, Uber will list out the types of cars that are available, and from that list, passengers can select the type of car that is suitable for them. Interestingly, Uber has category-based cars like

  • Uber Black for premium or luxury rides.
  • UberBlack SUV for passenger count of 5.
  • UberX for budget-friendly rides and UberXL for the accommodation of 5 passengers.
  • Uber Car Sheet for children of the age of 2 and above.
  • WAV is a wheelchair-enabled car.

Right from usual car types to wheelchair and child seats, Uber covers different categories of car types.

Total number of stages for deploying the ride-hailing business 

Discover your target audiences

The first stage in starting out your business ideation is finding the target group of audiences. Whether they use on-demand ride-hailing services or traditional taxis on a larger scale will be the foremost point in your checklist. If you find them to use ride-hailing services, then analyzing whether they are content with those services or experience any pain points. 

Once you sketch out these pointers, you can start adding inputs to your business goals and head to the other stages.

Business model and competitors

If you are high on following Uber’s aggregator business model, then you must find out driving partners and hire them. Else, if you own fleets and driving partners, then you can directly head to the ride-hailing app development. Suppose you have chosen the aggregator kind of business model. You must also the car types that you will provide, like Uber. 

Once you narrow your business to a particular business model, you will have to make an in-depth analysis of the competitors following that business model. Study their user base/drivers, their demographics, and the features of their apps. You can carry forward these insights and add value to your business.

Value propositions

Before this, we discussed Uber’s value propositions, which are the reasons for their popularity and user base. Based on your target users’ pain points and the inputs procured from the competitor analysis, you can start working on the value propositions.

Legal procedures

Legal procedures associated with ride-hailing business include a license for your business and insurance for driving partners. Only after successful completion of these legal procedures, you have the right to deploy your business.

Ride booking app development

The final yet highly crucial stage is the app development for booking rides. Concentrate more on the interface of the app and the features. Similar to how entrepreneurs replicate the business model of Uber, mobile app developers replicate the app as a whole, which is called the Uber clone app development. You will get a similar set of features in the Uber clone.

Choosing this clone model is a great advantage since you can save time. Save time? Yes, the app is already replicated, meaning that it is ready-made or ready to launch. Another advantage of Uber like apps is the customization. Keeping your app different from other apps is necessary, and for that, you can customize the app’s interface or features.

After the entire completion of your ride-hailing app development, the app has to be submitted to the app stores (Play Store or App Store- the one you have chosen) for approval.

Since the topic is for educating you regarding ride-hailing app development, we have discussed the stages of development. Come, let us move on to the cost metrics involved in the app development and also the features of the app.

Metrics that occupy the cost of app development

  • Platform type – Based on your business goals, you can pick the type of platform you need for app development. Knowing your preferred platform, the app developer will determine the cost. Because developing an app for different platforms involves different tools and working hours.
  • Region– Make wise decisions while discovering your app development partner. The app developmental cost is not the same in every region. 
  • Customization – Suppose you opt for a certain extent of customization for your business. The time taken for customization and the tools/tech stack used for customization will determine the cost.


  • Push notifications
  • Estimated time of arrival
  • In-app chat
  • Ride status
  • Real-time tracker
  • Payments
  • Route optimizer
  • Admin dashboard

Summing up, turning the wide range of opportunities in the ride-hailing industry to your favor is possible if you take a closer look at the trends and demands of users.


IITSWEB is the Chief Business Development Officer at IITSWEB, a Magento design and development company headquartered in Redwood City, California. He is a Member of the Magento Association and an Adobe Sales Accredited Magento Commerce professional. Jan is responsible for developing and leading the sales and digital marketing strategies of the company. He is passionate about ecommerce and Magento in particular — throughout the years his articles have been featured on Retail Dive, Hacker Noon, Chief Marketer, Mobile Marketer, TMCnet, and many others.

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