5 Tips to Drive Higher User Retention for Ride-Hailing Apps

The fast-paced lives today have sucked the energy out of people. Service-based industries are flourishing after every passing day. There is so much to do yet there is less time for almost everything.

Hence, people have started shopping online and ordering groceries from various apps. The same way even commuting industry has also completely changed.

The millennial’ generation prefers to hire a cab. You do not have to invest and maintain a car. Instead, you can always hire one at your doorstep.

User Retention for Ride-Hailing Apps: How to Attain?

User Retention for Ride Hailing Apps

There are various cab apps in the market; and hence, they are obviously competing with each other to attract customers. If you also own a ride-hailing software and are struggling with catching the user’s attention, then read on.

A lot actually goes behind the scenes of regulating an app. The market is cluttered with discounted options and it takes a lot to sustain in this competitive world. The main struggle is to actually deliver quality service to the customers with cost-effective rates.

The industry sees a new ride-hailing mobile app every other day. This just shows that competition is increasing after every passing day. To keep getting more customers, you need attractive and engaging strategies.

Read on to find out tips that will help your taxi booking software.

Make the customer the prime object

These taxi apps do not have a targeted age group or a particular set of clients. You have diverse clients who will prefer to order a cab for going from one place to another. Hence, you must keep your interface as simple as possible for the user.

It is important to understand that not everyone who is using the app will be a technical expert. There will also be users who might have just started using smartphones like senior citizens. Hence, this is an important factor to understand.

The whole point is to limit the friction points as much as possible so that your users do not drop off the ride. You should focus on creating an interface that takes them to the fastest path of booking a ride.

Apart from that, there should be a very simple and convenient onboarding procedure for clients. The entire app experience should be completed like a cakewalk. You should offer them multiple payment options with a ride scheduling option. Only then will your taxi-hailing app development will be a success.

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Have a Referral Program

Well, this one works for sure. For the uninitiated, referral code is a code that is generated for each unique account. Hence, your existing customer can refer to that code to a friend and ask him to download the app and book a ride. Once the ride is completed, your existing customer and his friend will get cashback or discounts.

Well, the strategy is upon you to decide. But, having a referral program surely helps. In this way, you can reach out to a lot of potential clients. You might have to give the first ride at a discount, but in that way, they will experience your service. If they like it, they will surely come back for more.

You will also gain acquisition in the form of various app downloads with the referral program. You need to design the referral marketing campaign in such a way that it does not look like a discount gimmick. Instead, it should look like a relevant incentive with a value-added service.

While designing the referral campaign, you must remember to personalize it. You can work on the landing pages. Also, make sure to create in-depth analytics to understand the amount of invites a particular person is sending. In that way, you can stay at the top of your marketing strategy.

Include the geo-location targeting feature

This is really important while designing a taxi booking software. The whole reason behind using a particular taxi app is that the customer wants to go from point A to point B. Accurate geolocation data is really significant for your application’s success.

The geo-location helps your drivers understand the location better. In that way, they can reach faster to the location and your client does not have to wait there while the driver finds the location.

The geolocation feature will help you create customized marketing campaigns for certain clients. Hence, you can use this data for creating different strategies as well. You can run push notifications or in-app message campaigns with geolocation data.

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The data will actually ensure that your communication is established with the targeted audience who are more likely to convert into customers.

Ask for feedback

Well, reading feedback can be harsh sometimes. However, feedback is the only thing that helps you improve. The customer is king and thus, if you listen to what your customer is saying, you can succeed. In ride-hailing software, feedbacks play a critical role.

You can rectify the issues happening with the drivers or on rides. Also, having a feedback column means that the customers will feel important. They will feel that they can reach out to someone if they have encountered a bad experience. You can collect reviews through in-app messages in real-time.

Also, you will get positive feedback as well. This will boost your confidence and keep you going.

Instill a multi-channel marketing strategy

Give a multi-channel experience to your users if you want your ride-hailing software to be a success. For example, if a user books a ride, choose to give a confirmation via SMS. You can also give an instant push notification. After the ride is completed, you can again send an SMS. You can choose to send a complete invoice via email.

Apart from that, a push back notification for feedback as soon as the ride completes is also a good idea. You need to set up powerful multi-channel marketing automation for success.


These are some of the tips that you can keep in mind in the early stages of taxi-hailing development. You need to design the app by keeping in mind your user and you will surely succeed in catching their attention.

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