Why Taxi Booking App Should have an Automated Driver Billings and Payouts?
The advent of taxi aggregator apps like Uber and Lyft has transformed the entire taxi industry forever. As we all know how easy and convenient it has become for a customer to book a cab, but the questions is, are the benefits of taxi management software only limited to customer and drivers? No, it’s not. There are numerous taxi companies’ which are using cab booking app to make their operations smooth and efficient. So, with the help of automated driver billing payout, you can manage all your finances efficiently, and now the question is why it is so important to have the automated driver billing?
Use automated driver billing?
We are living in an era’ where most of the things around us are digital and automated. So, the emergence of cab booking apps is a clear indicator, where most of the features and functions of the Taxi Booking Apps are automated to have effective taxi/cab Management. Likewise, the automated driver billing and payout options are helping us to manage all the financial concerns, and it is also helping us to assist the owner and drivers to see the requests from the customers, or to use GPS for tracking the real-time scenarios. Besides, it also helps to calculate your profit in your taxi business.
Below are the given challenges a taxi booking app without an automated billing system has to face:
Difficulty in commission procurement
Gone are the days’ when taxi business owners used to collect commissions from drivers manually. So, now being an owner of the large taxi business if you continue to collect commissions manually will cause a headache. So, when you have a large group of drivers, it is impossible to go to every driver for collecting money. Therefore, this traditional way of collecting commission is highly challenging because when the count reaches to a large number, then it can become difficult to handle or collect the commissions.
The burden of Paperwork and risk of errors
If you follow a traditional way for commission collection, then it requires a lot of paperwork’ where you have to maintain a record for each of your driver, and hence paperwork will become more difficult to handle in this situation. So, due to huge paperwork, it can even lead to human error, and this error can be your direct loss. So, to overcome all those concerns, you can make use of automated drivers billing system in your taxi management software.
Difficulty in implementing any incentive programs
Procurement or the collection of commission is not the only issue, which automated driver billing solves. There are various companies, that have rigid incentive structure to motivate there drivers to work more. For example, there is a driver who needs to pay $100 as commission and $25 his incentive then the total commission the driver needs to pay is $100-$25=$75. Therefore, the calculation looks easy’ when there are few drivers in your company, but if there are several drivers’ then it will take time to calculate, and the whole process will become time consuming. So, by incorporating automated driver billing and payment feature will help you to make your work easy and fast for your taxi companies.
Below are the given solutions to a taxi booking app with an automated billing system:
A taxi booking app, have an automated billing system which includes two sections: first is driver wallet and another driver settlement. So, let have a look on below section work and solve all the issues associated with the manual payment system:
Driver wallet
Driver wallet is a feature integrated into an every cab booking app to collect the incentive and commissions of the drivers. So, each driver will have a driver wallet. Therefore, the functioning of the driver wallet has two options.
· Option 1
Here in this option, the driver has to load his wallet with a certain amount. For instance: Driver X loaded his wallet with $100 in his wallet, so when the ride finishes, they will receive the commission automatically. Besides, the driver wallet will be verified as per the owner convenience’ like the end of the day or the week or month.
· Option 2
Here in this second option, a driver doesn’t need to load his wallet in the beginning. So, the initial wallet balance will be zero. Therefore, after each ride’ the commission will be taken at the end of the month, suppose the total commission is $1500 at the end, the wallet balance will be -$1500. Thus, the driver should load the total commission amount to his wallet to maintain the initial zero balance if we say in simpler words, then the first option is similar to prepaid service and the second one is postpaid service.
Driver settlement
Given feature consists of 2 sections
· Payout
· Pay in
· Payout
Payout is the paying out the total amount to the driver after analyzing all the factors such as commission, penalty, and many others at the end of the cycle is called payout.
· Pay in
Here in Pay in, a driver should pay the amount to the owner after considering all the factors at the end. The primary use of this driver settlement is the proper management of all the plans. Therefore, it helps to manage the finances in your own way. In this app, if the customer pays cash payment, then the driver will get money in hand, whereas in card payment, the money will directly be paid to the company. If it is cashless payment, then the total commission amount’ the driver needs to receive will be in the payout section, and the driver will receive the amount at the end of the cycle. Besides, an admin can also control the flow of money by using this driver settlement feature.
So, for wrapping up above are the given benefits why every taxi service app must have an automated driver billing system and how this billing and payout options work in all the taxi riding app.
