4 ms·
Not at all. Free storage and free image upload don't have a business model, it has no revenues stream while it has high infrastructure/bandwidth to cover. Taxi
by user5994461 8y ago
Not at all. Free storage and free image upload don't have a business model, it has no revenues stream while it has high infrastructure/bandwidth to cover.
Taxis apps are a very solid business model. 2 digits commission for every ride. There is hardly any costs or work involved to match a guy with a nearby taxi.
- deleted 8y ago[deleted]
- ghaff 8y ago>Taxis apps are a very solid business model. Subject to certain assumptions of how much customers are willing to pay, price/volume sensitivity, the geographic areas where the company can operate economically, customer acquisition costs, how much drivers need to make to work for you, fixed vs. variable costs, etc. I suspect that to survive the "ride sharing" app companies will end up significantly increasing prices when it becomes clear there's no magic bullet on the horizon. ADDED: Which means of course volume will go down and, almost certainly, valuations. But there is almost certainly a business model for some scale at some highish price in sufficiently dense areas.
- user5994461 8y agoTaxi rides is a 9 figures industry. Customers are willing to pay and they need an app to book their taxi. There is no question about that. That leaves 8 figures (over $10B) to be distributed between taxi apps (at least 10% fees). It's a simple business that is very profitable. There will undeniably be multiple competitors and they will vary per region, but that doesn't affect the viability of the market.