Taxi Dispatch ,

Custom vs white-label for taxi companies: Know what's best for your business

Custom vs white-label for taxi companies: Know what's best for your business

Updated on August 23, 2024
13 min read

Confused between the custom taxi software solution and white-label taxi software? You have probably read tons of blogs, seen numerous videos, seen many of your competitors and taken suggestions from your colleagues or friends in the same business but still are unable to decide the best option for your business. Then you have come to the right place.

Every word written in this blog is not just written with a random research or blog that you have seen or read on the internet. It's a masterpiece crafted after talking to business owners like you who were in the same state of mind as you are right now.

Indeed, the choice is not just about the software but about the future of your business. It’s about seeking the assurance that the solution you choose will meet your needs, integrate seamlessly with third-party tools and your existing systems, and provide the support necessary to thrive.

In this blog, you will read a detailed comparison of custom and white-label taxi software. By the end of this blog, you will be able to decide on choosing the right software that will best support your business’s growth and success.

Understand the custom taxi software solution

Custom taxi software solutions offer uniqueness and flexibility. Designed from the ground up, custom software can be tailored to meet the specific needs of a taxi business. Here are some of the main advantages of custom software:

A custom taxi software is a solution designed from scratch keeping all your unique and specific needs in mind. It requires your complete attention, time, and massive investment like hiring taxi app developers, setting up the infrastructure from the ground, and more.

The custom software comes with both - advantages and disadvantages. First, learn the advantages of customer-built on-demand taxi software:

Advantages of custom taxi software development

Explore the custom software development benefits and see what it has to offer.

advantages-of-custom-taxi-software

You get the taxi solution of your choice

Custom taxi software allows you to develop a taxi solution that meets your business’s exact requirements. From unique or Uber-like features and 3rd-party integration capabilities to any specific feature you want to overcome challenges that only face - can be developed easily.

Get full control of the taxi system

It requires a skilled manpower of software developers, designers, and other technical professionals to build taxi software.

Plus, you also will have to establish an infrastructure so you have everything in-house with total control over developers, servers, source code, designs, deployment, etc.

This total control allows you to make changes whenever and wherever you need.

Set apart and acquire a competitive advantage

You can set a high bar to beat for your competitors by creating software with unique features and capabilities.

With the custom-built taxi app, you can have a unique USP, features, functionalities, and more that provide more reasons for your customers to choose you over your competitors. This will help you gain a competitive advantage.

However, the grass is not always green when it comes to custom taxi booking app development. Custom software has disadvantages too.

Disadvantages of custom taxi software solution

There is a dark side to it too. Here are some potential challenges/disadvantages that also come with custom taxi software solutions.

disadvantages-of-custome-taxi-software

Expensive compared to ready to use white label taxi software

Developing taxi software from scratch requires massive investment in terms of both - time and money. The cost to build a custom software requires;

  • Skilled developers
  • QAs
  • Designers
  • Advanced infrastructure
  • Server
  • CTO or CEO-level technical expert
  • Maintenance experts
  • Perks for employees and more…

These all expenses are mandatory for custom software development. This often leads to budget overruns.

Longer development time

Developing taxi management software from scratch requires research, planning, execution, development, testing, deployment, maintenance, and more in between.

Hence, it is a time-consuming process and may take months or even years.

During this development time, you may miss out on trending market opportunities and lose the option of establishing yourself as a brand and earning more.

Taxi software maintenance and updates

As you buy a car and maintain it properly ensure the car is in good shape and ready to serve passengers on request.

In the same way, after the software is built, you will have to continuously maintain and update the software so it can run smoothly and securely.

Maintaining and updating the software requires a dedicated resource which further becomes a significant ongoing expense.

Also read: A complete guide to white-label rideshare app development

Now that you know about the custom taxi software, its benefits and disadvantages, let us explore more about the white label software.

Understand white-label taxi software

The white-label taxi software solution is on the other side of the spectrum. It is a ready-to-use platform that you can easily customize based on your brand name.

The customization in the white label taxi dispatch system means you can change;

  • Logo
  • Color
  • Theme
  • Name, etc.

Along with this, explore some of the benefits of white-label taxi software listed below.

White-label taxi software benefits

The White label taxi software offers several benefits to taxi operators and ride-hailing businesses.

benefits-of-white-label-taxi-software

Let’s explore what it has to offer to you.

Cost-effective taxi software

There is no need to build this software from scratch. You do not have to perform all the above mentioned activities for the taxi app development from scratch.

It is a ready-made SAAS-based taxi software that is more affordable than custom-built. It often comes on a subscription-based model where you just have to pay when you use it - simple.

All the cost that comes from custom-built taxi software becomes zero for you as the solution provider takes care of all these and provides you with a ready-to-use taxi management platform.

Hence, the white-label software solution is cost-effective and every local taxi business owner can leverage its benefits.

Quick deployment on your brand name

The software is all ready to use. It's a prebuilt product. All you have to do is partner with the ready-to-use white-label taxi software provider and launch on your brand name. It hardly takes 2 to 3 weeks.

It means you can start offering your taxi transfer services online like Uber right after the launch. The early launch will help you start operations quickly and generate more revenue in a matter of weeks and not months.

launch-your-taxi-software-cta-01

More reliable than custom software

The white label taxi software is already tested and many taxi businesses like yours are using it.

It means the software is all ready to help you, solve your problems, and empower you to offer Uber-like taxi transfer services.

If you think Uber is more reliable than any other software but is expensive, you can opt for the Uber clone app that will cost you 10 times less than its original costs.

To better understand how white-label software is more reliable than custom software, read this success story.

How a taxi transportation company became the fastest growing ride-hailing service provider with ready to use white label taxi software.

Long-term support and maintenance in the subscription price

The white-label taxi booking solution provider offers ongoing support and maintenance till you use its software.

They take care of speed, service, servers, security, and more while ensuring the system remains stellar so you can offer uninterrupted services to your customers.

In simple words, the software solution provider takes care of the technology so you can focus on growing your business.

Disadvantages of white-label taxi software

Despite these benefits, there are some benefits like limitations to white-label software. Here are some of them.

disadvantages-of-white-label-taxi-software

Less customization

The white-label solution may offer less customization. But it is still a benefit rather than a limitation.

It focuses on core functionalities with some advanced features that every taxi business needs to operate business smartly in this digital era.

This less customization also prevents your team from getting overwhelmed with unnecessary features or configurations. Dependence on the provider White-label software indeed comes with dependency on the solution provider. And it is especially for updates and support.

But the best part that is unknown is it frees you from the burden of managing and maintaining the taxi software.

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The providers have the resources and expertise to keep your software running smoothly. And this is why they say - “Focus on expanding your business, let us take care of the technology.”

Finally, you now know the core difference between custom and white-label taxi software. You might have even decided now what’s best for your business.

However, if you are still confused or scanning the content and have not read it thoroughly then here is a table for you with clear comparison points.

Comparative analysis

To help you make an informed decision, here's a side-by-side comparison of custom and white-label taxi software solutions.

FeatureCustom taxi softwareWhite label
CostThe higher initial cost to establish the infrastructure. Ongoing expenses for development and maintenance.More affordable. Lower upfront costs and ongoing maintenance.
Time to marketLonger development time. It can take months or even years to years to launch.Rapid development and deployment. The software is ready to use within weeks.
CustomizationExtensive customization. The software is tailored to specific needs and features.Limited customization. The software is pre-built with basic branding options.
ScalabilityCan be designed to scale. But may require additional development work.The software comes with the in-built scalability potential that handles growth efficiently.
Maintenance and supporRequires internal dedicated resources or third-party developers to maintain the software.Completely managed by the provider including updates and technical support.
Flexibility in featuresFull flexibility to add or modify features as needed.Fixed features with some flexibility for minor tweaks.
User experienceUnique and tailored experience that is optimized for your business.Standardized experience that your passengers love.
Risk managementHigher risk due to development complexity.Lower risk as the software is pre-tested and maintained by the provider.
Compliance and regulationYou will have to get the software compliant with the industry regulations with additional charges. (Charges may be yearly).The white-label taxi software often comes with built-in compliant features.
Market trends and updatesUpdates and trends need to be manually integrated by your in-house development team.The software solution provider offers regular updates for free.

The table shows that white-label taxi dispatch software offers more advantages than custom software. However, you should still decide based on what you think is best for you.

If you are looking for the best white-label taxi software to automate your business and streamline operations without making a massive investment, you can opt for Yelowsoft.

white-label-software-in-3-weeks-cta-03

Real-life success stories of the taxi business

Yelowsoft helped one of the taxi companies in shifting to a white label solution from the custom software. Have a look in brief.

The taxi company based in India used 2 different types of software to manage taxi operations.

  1. Custom-built taxi software
  2. Ready-made taxi software script

With both types, the taxi company failed to offer better taxi services and started losing loyal customers.

Here is when they turned up to Yelowsoft.

Explore the glimpse of the results they got with the solution provided by the Yelowsoft:

  • The number of trips added from 5000 to 35000 compared to their old software
  • The customer retention ratio increased to 90% from 50%
  • Recorded constant revenue increase every month
  • More drivers wanting to get onboarded with the company

Read the full success story and explore how taxi transportation company became the fastest growing ride-hailing service provider.

Conclusion

In the custom vs. white-label taxi software debate, there is no one-size-fits-all solution. Both have their pros and cons. The right choice of software depends on your business-specific needs. If you do not find any white label software that can solve your specific need then going with custom will be the right decision.

And if you have found a ready-to-use software that fulfills all your business needs then the white label software is a good option. However, there are other factors as well to decide which one to choose. The factors include features, functionalities, industry compliance, budget, scalability, and more.

However, the majority of taxi companies find white-label taxi software cost-effective, scalable, and reliable which can be deployed quickly and easily. If you are searching for reliable taxi software, explore the potential and benefits of Yelowsoft’s white-label solution and see how it can help your business thrive in the competitive taxi industry.

white-label-taxi-software-cta-04

FAQ's

A white-label rideshare app is a pre-built solution that taxi and transportation businesses can use to launch their own branded rideshare app without the need for extensive development. It comes with all the essential solutions like a customer app, driver app, vendor and admin panel with all the necessary taxi dispatch system features like ride booking, real-time tracking, and payment integration.

A white-label rideshare app is ready-made and comes with standard features. This makes it faster and more affordable to launch. On the other hand, a custom-built app is tailor-made to suit specific business needs.

While white-label apps are ideal for taxi businesses looking for a quick solution. And custom apps are better suited for those with unique requirements and a larger budget.

The benefits of using a white-label rideshare app offer several benefits. It allows taxi businesses like yours to enter the rideshare market quickly and cost-effectively by saving time and money on development. The app has essential features and can be customized to reflect your business's branding. It also offers scalability that allows you to grow and expand your operations as needed.

The development time for a white-label rideshare app depends on various factors. This includes customization requirements and the provider's turnaround time. Generally, white-label apps can be deployed in a matter of weeks. Whereas, it takes months or even years to develop a custom app from scratch.

The ongoing costs associated with a white-label rideshare app may include licensing fees, subscription plans, and maintenance costs. It's essential to factor these costs into your budget to ensure the app remains operational and up-to-date with the latest features and security updates.

author-profile

Mushahid Khatri

Mushahid Khatri is the Chief Executive Officer of Yelowsoft, one of the leading taxi dispatch and on-demand delivery solution providers. He is a visionary leader who believes in imparting his profound knowledge that is leaned on business and entrepreneurship.

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