Currently, ride-hailing is becoming very prevalent among commuters, and the marketplace has rapidly expanded. Consumers enjoy the convenience and cheaper rates than flagged cars. It is essential to identify the reasons for the loss of customer trust in the rides that are offered. The huge opportunity offered by such a market also presents many challenges today.

1. Drivers 

Drivers are critical to the success of any ride-hailing service. What drives people to ride-sharing businesses? Drivers of ridesharing cars are independent contractors and do not get the support of any one organization. The more apps the user registers, the greater the opportunity for exploration and, consequently, the more revenue they get. Winning over drivers is a key element for a ridesharing platform, and driver priorities tend to be the highest income and most flexible. In countries such as the UK and Australia, where most Americans drive their cars, some people may make more cash from Uber or Lyft.

2. Price wars

Price wars are a never-ending battle in the ride-hailing industry. They occur when two or more competing ride-hailing companies lower their prices, give free rides or promotions to their users to lure customers away from their rivals—or gain market share. Price wars can be very expensive because they reduce a company's short-term profit margins.

3. Growing competition

Kenya is a good example of a market that has experienced the introduction of various ride-hailing apps and services over time. The increase in population, the advancement in technology and infrastructure in this country have raised the demand for this service. Mobi Ride is the newest ride hailing service in the industry and poses real threats to other apps since it is fashioned to combat the issue of poverty among Kenyans through the earning of passive income.

4. Going an Extra Mile to Win Customers' Trust

Since the market is flooded with the ride haling apps and the customer is basically spoiled for choice, ride hailing companies must go an extra mile in order to attract and maintain customers. Adopting unique features such as value additions to their services is a good way of customer retention. Examples of these features include safety features, discounts to loyal customers, offers to new customers, referral programs, and advanced payment options. The mobi app has gone beyond these features and introduced various ways that its users can earn passive income through referrals.

5. Government involvement

Regulation authorities think disruptive businesses create both wins and losses. As a way of earning revenue, some governments may impose taxes and regulations do not favor neither the drivers nor the ride hailing companies. Such regulations include license registration, car inspection, and high taxes.

A Silver Lining for the Ride-hailing Market

While the current ride-sharing market has little to offer, its prospects are not bleak. The demand for ride hailing services is increasing and will continue to grow over the years. The main drivers of this increase are growing demand for mobility as cities increase and the demand for cars declines. In addition, growing smartphone and Internet use combined with tight emissions reductions are expected to continue driving the growing market for ride-sharing/ hailing.

1. Price and profitability 

The ride hailing industry is booming globally and will continue to do so in years to come. All ride hailing apps depend on technology, which has been well accepted by the people. The convenience of ordering a ride on one’s smartphone, tracking it and paying through various methods will never get old to its users. The advantage of having a private driver at a convenient price is also another factor that will see this industry grow and make huge profits.

2. New revenue streams 

With Mobi in particular, both drivers and passengers can earn money using the ride-hailing services. Using this app, anyone can generate an active or passive income. As a driver, you can do this and gain a commission when other drivers sign up to drive for Mobi. Additionally, they can recommend Mobi Ride to others and receive a 4% commission. For the benefit of the users, they can recommend the app to friends and family and receive a 4% commission on the total fare.

3. Expansion opportunities

The best way to take advantage of opportunities is to create them, but there are other options as well. Any ride-hailing company has a great deal of opportunity to expand to new nations. Any business could gradually become global with the right attitude, the right research, and the right investments.

Conclusion 

Ride hailing faces both opportunities and challenges in the market, just like any other business. How a business approaches challenges and seizes opportunities sets it apart from competitors.