The Future of Ride-share Options

By Anonymous ; Posted Mar 14, 2018

A number of recent studies indicate that rideshare options are steadily becoming more popular, and this is happening at the expense of taxis.


In InOrbis’s home city of Calgary, Uber began offering rides in December 2016. So 2017 was its first full year of operation, and in that time, it gave about 2.3 million rides in the city.


Meanwhile, taxis are still the most popular ride-hailing option, with almost 6.7 million rides in 2017, but that doesn’t quite tell the whole story.


Taxi ridership has been dropping steadily for several years.



Naeem Chaudhry, the president of Calgary City Cabs, tells the Calgary Herald that the ever-diminishing number of rides for taxi drivers comes at the same time the city has issued more taxi permits.


“So that means the drivers are facing a very hard time to survive,” says Chaudhry.


Ridesharing for Business Travellers


The Calgary data echoes a North American report on business travel by an expense-management company called Certify.



Certify took a different tactic for measuring ride-share data; it analysed 50 million receipts from its clients’ expense claims to determine that Uber and ride-share rival Lyft account for 68% of all ground transportation expenses.


In fact, Uber was the most-expensed overall company. It made up for 9% of Certify’s receipts. The next nearest competitor was Starbucks at 4%. Clearly business travellers are embracing the idea of ride-sharing.


The report also noted that taxis are typically more expensive than ride-share options. The average cost of a taxi ride was $31.64 USD, whereas the average Uber ride was $25.10 and the average cost of a Lyft ride was $20.63.


Number of Cars on the Road


In New York City, perhaps both the taxi and ride-share capital of North America, the competition is growing more fierce.


There were 13,000 cabs in New York in 2016, where like most cities, they are strictly licensed. The number of Ubers in that city grew from 10,000 vehicles dispatched every week in 2015, to more than 25,000 vehicles in 2016.


While most transportation experts believe there will continue to be room for both traditional taxis and ride-share options for the foreseeable future, the complexity of the market will continue to increase, as autonomous ride hailing options become reality. In all the studies, the total number of trips, both taxi and ride-share, is on the rise.



Ready to try a new ride-sharing option? InOrbis Intercity offers luxury, sustainable transportation between Calgary and Edmonton. Book your ride today.




About the author: 


Bridget Brown


Bridget Brown is a Calgary-based writer. She runs Create That Communications, a marketing agency specializing in compelling storytelling. Bridget is an award-winning former broadcaster; she spent 15 years reporting and producing for stations across Canada.




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