cost to make an app like uber - Zenkdoers

How Much Does it cost to make an app like Uber?

Introduction

Large urban cities often face parking issues due to which people prefer to use ride-hailing apps. These apps have made it easy for people to travel to their desired destination while cutting their fuel costs making them both budget-friendly and convenient. With just a few taps on a smartphone, users can request, track, and pay for their ride. The high demand for development services of Uber-type applications has made entrepreneurs consider how to create such an app and successfully launch it in local markets. But the question is what are the necessary features of an Uber-like app and how much does mobile app development service cost to build an app like Uber?

So Let’s break down the cost and the features you need to know before launching your ride-hailing app.

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A Small Brief About Ride-hailing Apps

Ride-hailing apps have become quite a famous means of transportation in the industry. They provide a convenient platform for users to find and book rides right from their smartphones. These apps offer a range of vehicles, from economy to luxury, different countries and areas have distinct local factors that influence the growth of the ride-hailing sector. For example, in many countries, these apps have unique ride offers such as motorbikes and other local mini-transport services catering the diverse customer preferences and budgets. Not only the customers but they are the source of steady income for many people who register on the app and provide the transport service.

The growth of ride-hailing apps has been fueled by their ability to provide reliable and affordable transportation options. Uber, in particular, has achieved global dominance with its user-friendly interface, reliable service, and innovative features like Uber Eats, delivery service, and more which have set it apart from traditional taxi services. The emergence of electric and self-driving cars is an important development in the ride-hailing sector. As environmental concerns increase and technology progresses, ride-hailing businesses are gradually introducing electric and self-driving vehicles in many countries. Understanding what makes Uber successful is key to estimating the cost of building a similar app.

Current Market Demand For Ride-hailing Apps

All the stats below are based on the Statista report. 

The COVID-19 pandemic impact has also pushed the demand for safer, contactless transportation choices, which ride-hailing apps have rapidly responded by offering improved safety protocols, cashless payments, and ride-tracking features. The ride-hailing market is expected to experience substantial growth on a global scale. The estimated user penetration rate is 23.1% currently, with users predicted to reach 2.31bn by 2029, the ride-hailing sector is expected to see a notable rise in terms of user count. The average revenue per user is estimated to be around US$93.59. The global ride-hailing market was valued at around $113 billion in 2020 and according to projections, the revenue in this market is expected to reach US$167.60bn by the year 2024. With a projected income of US$59,560m in 2024, China is forecast to generate the most revenue in the ride-hailing sector, ranking first in global comparison. 

Current Market Demand For Ride-hailing Apps - Zenkoders
Current Market Demand For Ride-hailing Mobile Apps

Main Features Of Uber

Customer Features

The app has a range of features for costumes to keep them engaged and satisfied. Some of the must-have features for customers include.

 

User Registration and Profile

In any application, the onboarding feature is extremely important, and Uber has made its registration simple and easy. Users can register using their email addresses, phone numbers, or social media accounts. This process includes confirmation of the phone number and other profile customization including pictures and others.

 

Different Taxi Types Booking

Uber has various types of services that it offers they have considered multiple factors including users’ budgets and requirements. What is particularly noteworthy is that they offer services from basic carpooling to luxurious services catering to all sectors in terms of affordability. This range of options appeals a wide range of people, which promotes customer retention. The availability of numerous choices of bookings may lead to increased costs and technical challenges in the development of the app.

 

Multiple Rides Offer

The Multiple Rides Offer factor aims to increase the flexibility and options for the customer by allowing them to receive offers from multiple drivers when they request a ride. The app does not directly assign the customer to a driver, but instead, it displays offers from multiple available drivers nearby, each with their own proposed fare, time of arrival, and vehicle type.

 

Real-Time Tracking

Once a ride is booked, customers can track the driver’s location in real-time. This feature relies heavily on GPS technology and provides an interactive map view, so the customer will never be left waiting. Developing real-time tracking requires heavy investment in geolocation services, data management, and backend infrastructure.

 

Payment Integration

Payment integration is an essential aspect of the ride-hailing application. Uber supports multiple payment methods, including credit cards, digital wallets, and cash payments. The implementation of an in-app payment option needs to be PCI compliance to prevent fraud and to protect the customers’ credit card info which may impact the development cost.

 

In-app Messaging

When it comes to communication between the driver and the passenger, Uber has an in-app messaging feature. This makes it possible for users to interact with drivers without having to share their personal contact details, to maintain the privacy of the customer. Development of this feature entails integrating a real-time interface for chat with encryption, which might be costly.

 

Add Stop(s)

Uber provides ease to customers by letting them add multiple stops during their ride, this flexibility offers convenience to customers. To implement this feature you need to have a thorough knowledge of dynamic routing for the right calculation of fare.

 

Customer Support

Uber provides users access to customer service for help or complaint processing at any time of the day. This feature requires a large database to cater customer queries, and the use of chatbots all of which add to the overall development costs.

 

Feedback

Customer feedback plays an important role in maintaining the credibility of the app and addressing any issues promptly. After each ride, uber let customers to rate their experience and provide comments. They use this data to maintain high service standards. 

Rider Features

Rider Features Of Uber

The app has a range of features for riders to earn money and build their businesses. Some of the must-have features for riders include:

 

Driver Registration and Profile

To register as a driver one needs to submit documents like a driver’s license, vehicle registration, and insurance details. Once their identification is confirmed, they can begin taking orders for rides. Building a secure registration system that verifies documents and protects personal data is important and can be costly to develop.

 

Trip Acceptance

Drivers must have the option to accept or decline a ride based on their location, or other factors. Along with it, the driver must have a feature to display their status of availability. 

 

Navigation and Routing

The app must offer maps to guide drivers on the best routes to pick up customers, as well as to drop them off. This feature is based on map integration, which requires regular updates to maintain accuracy.

 

Trip Cancellation

Drivers can cancel trips under certain conditions, such as no-show passengers or personal emergencies. Implementing a fair cancellation policy where passengers or drivers are fined a certain amount involves complex logic to be developed.

 

Daily Summary Report

Drivers must get a daily summary report at the end of every day including their earnings, completed trips, hours worked, and customer reviews. Developing this feature involves creating a thorough reporting system that gathers data from many sources, and safely stores it in the database.

How Much Does it Cost to Make an App Like Uber?

Multiple factors influence the development cost of a ride-hailing app like Uber, including.

 

App Design

The design of the app directly impacts user experience. Your app should be user-friendly and aesthetically pleasing to attract larger numbers of audience. The price of designing an app can change based on how complicated it is and how skilled the designers are. App design includes prototyping, wireframing, and final designs for the app.

Estimated Cost: $4000-$10,000

 

Platform Selection

Another important factor is the platform. Before developing your application you must decide on the platform either iOS/Android, or both. Each platform has its development requirements and costs. Developing a native app for both iOS and Android can be more expensive than a cross-platform application. 

 

App Size/Features

It can be expensive if you wish for an app with similar features as Uber. An app like this needs more time and effort. You can still stick to your budget if you only choose the most important features first and extend the features as your user increases.

 

Development Cost

Hiring developers, project managers, and quality assurance testers are all part of the development cost. Other than that, an app like Uber has some unique and must-have features that are complicated to integrate and may affect your development costs. These include (real-time chat, dynamic pricing, multi-stop routes, tracking, driver navigation, and route optimization). To develop these features, an expert team of developers is needed, and hiring them can be expensive but the cost can vary depending on the team’s location, and experience.

 

Basic Ride-hailing App 

$25000 – $50,000

Mid-Sized Ride-hailing App

$50,000 – $80,000

Complex Ride-hailing App

$100,000+

Zenkoder specializes in ride-hailing app development!

We have a team of professional developers who are experts in implementing all the must-have features.

Additional Costs

Apart from the costs mentioned above, there are additional expenses to consider, such as:

  • Maintenance and Updates
  • Marketing 
  • Launch
  • Hosting and Server Costs

Conclusion

Zenkoders a mobile app development company in the USA offers top services to develop modern apps like Uber. We work collaboratively with your team to develop fully-functioning applications that include all the must-have advanced features.

While you think that many competitors have entered the market, it may not be the best time to develop a ride-hailing app. But still, the ride-hailing industry has many opportunities for growth and success. Creating an app like Uber may be expensive. Yet, using the right approach, you may design an app that fits user preferences and stands you out from the competition.

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