About IT spending by cab aggregators
Cab aggregator model is the fastest growing cab service model in the organized taxi market. Aggregator model requires low capital expenditure and innovative cab service delivery system, which provides enhanced cab service experience to cab riders. App-based tax provider companies are globally recognized for their unique offerings to cab riders, which are forcing radio cab service providers to change their business model by adopting app-based cab services. Cab aggregator companies are expanding their portfolio by introducing an app for several category of business such as food and courier delivery services. Cab aggregators such as Uber and Ola are using predictive analytical tool to measure the significance of demand and supply of cab services to increase their profit margin by utilizing optimum level of resources.
Technavio's analysts forecast the global IT spending market by cab aggregators to grow at a CAGR of 3.4% over the period 2014-2019.
Covered in this report
The report covers the current scenario and the growth prospects of the global IT spending market by cab aggregators for the period of 2015-2019. To calculate the market size, the report considers the expenditure on IT hardware, software, and services by cab aggregators, and their revenue is calculated based on their funding value and profit margin. The market is divided into the following segments based on IT spending by cab aggregators:
Technavio Announces the Publication of its Research Report – Global IT Spending by Cab Aggregators 2015-2019
Technavio recognizes the following companies as the key players in the Global IT Spending by Cab Aggregators: deCarta, Exotel, Google, iCabbi, Microsoft, Paytm and Twilio
Other Prominent Vendors in the market are: Authbridge, American Express, Citrus Pay, iTrans, Knowlarity, MapmyIndia, Paypal, PayU, Suntelematics, Tata docomo, Zaakpay and Zendrive
Commenting on the report, an analyst from Technavio’s team said: “The number of app users is rising globally. This is encouraging app-based companies to expand their service portfolio in categories like food, grocery, and courier delivery. Extending a service portfolio through app-based platforms requires application development solutions that provide a user interface compatible with Android, iOS, and other mobile operating systems.”
According to the report, cab aggregators are required to maintain transparency and accountability in their billing systems. Ola has been criticized for what was considered an inefficient payment system and refund policy. Its refund policy came under scrutiny when it was observed that it was charging customers more due to technical errors in the billing system. Its pricing mechanism and fare structure is also under surveillance from the government because of complaints registered for unfair pricing policies. Cab companies require reliable technology solutions for their payment systems to charge accurate cab fares.
Further, the report states that cab aggregators operating in India have to pay high taxes. This might eventually force them to raise fares, which will then an impact on revenue. Earlier, cab aggregators in India were not liable to pay service tax, but the Government of India has stated that the aggregator’s business model is considered a service and that they would have to pay service tax.
deCarta, Exotel, Google, iCabbi, Microsoft, Paytm, Twilio, Authbridge, American Express, Citrus Pay, iTrans, Knowlarity, MapmyIndia, Paypal, PayU, Suntelematics, Tata docomo, Zaakpay, Zendrive