Difference Between Uber and Taxi: Which Offers The Better Service?

Are you also among the ones who think uber and Taxi are the same? Well Not. There is a vast difference in the way they function and render services to users globally. The budding entrepreneur like you who is out to make money within the taxi industry can’t go wrong with uber and taxis. 

Written below is a piece of information that will let you know the difference between uber and Taxi. Let’s begin!

The digitalization arena has brought a new sight to everything, and one of them is the taxi booking business. With traveling becoming a crucial activity for us, a comfortable experience is what users look for. Significantly, the ones who travel the most go for their duties daily, love outings, and so on. Here is where the innovation of taxis and uber came into the picture. Both taxis and uber charge fares based on the time taken and distance traveled, elevating the experience of the people who travel daily.  

This is why businesses globally are out to start their own taxi services or build Taxi Dispatch software to make profits. While both taxis and uber out to charge fares based on the time taken and distance traveled still vary in some aspects. This blog post throws limelight on the same. Keep reading to know the difference between Taxi and Uber in detail. 

Uber vs Taxi: Services Compared

Uber And Taxi Go Hand In Hand: Know – How?

In earlier times back in the 90s, Taxi was a common transportation service to move in and around cities. By just hiring taxis from the taxi service, you can go to your destination; the fare charged is according to the time taken for the distance traveled. But after the innovation of uber, the taxi industry has been wholly revamped. With modern features, automatic services, uber tend to provide users more convenience. 

While uber quickly began to rule the market, taxis, on the other hand, still held the ground to common transportation services for users. Uber has increased the choices for customers to get to the location where they want to be. 

Uber Vs. Taxi: Which is Better?

Both taxis and Uber are out to make traveling easy and convenient. But they are different in their way. Following is the brief difference between a taxi and uber features, functionalities, and how they work. Explore in detail!

Fare Charges $7 – $25  $15 to $18
Rating System Uber gives its riders and drivers the opportunity to rate the journey from 1 to 5 stars.  Taxis have no such feature of rating be it driver or a rider. 
Extra Charges There are no such additional charges.  It has fixed pricing at all times.   Extra charges in traffic and when booked in at night.
Safety Uber with real-time features and 24-hour customer support offers complete safety.   Safety at times becomes a question in the taxi as there is no feature of tracking. 
Booking system The vehicles booked are via an app automatically.   Taxis are booked by a taxi service provider or the person who owns a taxi. 
Cost calculation  Don’t charge based on moving or stop-and-go traffic.   Charge additionally based on rush traffic. 
Pricing system It works on a consistent pricing system regardless of time and occasion  It follows a dynamic pricing system determined by distance by time algorithm. 
Working It follows a complete framework in which all things are carried out in the process.   It does not follow any such framework and work   freely. 

How Has Uber Overtaken Taxis? 

One cannot deny the fact that uber successfully has managed to come at the top of the taxi industry. With an average of 289,000 rides per day compared to taxis, it is bringing the taxi booking service to the forefront. 

Since people are more inclined towards busy lifestyles, they need everything fast and furious. And the traditional taxi methods at times fail to fulfill the needs. In that scenario, uber, with its easy-to-use application, allows users to book taxis like a pro.

With Taxi taking time to book at times due to the absence of an application, uber, on the other hand, make it easy to book via the app. This is the reason uber is now everywhere. Moreover, with taxis, there is a limited option for the customers to book and go. And uber, with multiple riding options, the type of vehicle you want to book, and fare variation, offer extensive options to its users. 

Ways In Which Uber Really Makes Difference When Compared To Regular Taxi

Hope now you have got a clear overview of the feature difference between uber and Taxi. Still, wondering, What is the Difference Between Uber and Taxi? Keep on reading.Not only is the comparison limited to features and the way it functions, but it is also much more than that. Dig in detail:


Regulations for both uber and taxis are different. With taxi service providers having yellow cars for the customers, uber, on the other hand, doesn’t. Taxi with yellow car delineated with big red tape, whereas in uber there can be any car with no color importance. Uber is not constrained to such regulation, thus allowing drivers to ride cars the way they want. 


The biggest difference you will find in the inspection process of both uber and Taxi. Taxis are inspected before use on an annual basis. This is done to ensure they are safe to provide a secure ride. Talking about uber, they are also inspected, but after every six months, the rest depends on the driver. In both cases, without inspection, there is no allowance for drivers to get started and take rides.

Real-time tracking

Uber is a game-changer in the taxi business industry. With robust features and functionality, it has transformed the taxi booking service. And it all happened because of the real-time tracking that it features. Yes, uber uses GPS tracking for every ride where riders can track drivers and drivers can track users. Also, one can track the path the driver is taking you on the road. This feature is absent in taxis making it less admirable by the users in some aspects. 


Talking about the expensive model then uber is more expensive than a taxi but is transparent for their charges. They provide straight fare along with the charges giving every detail of the fare. With clear transparency, they leave it over the customers whether they want to choose them or not. On the other hand, taxis have no such and become affordable at times. But they charge an additional fee for the night bookings and also for the traffic area. 

Ready to get an edge within the taxi business?

While both taxis and Uber are booming in their own respective way, it depends on your choice what you want for your taxi business. However, Uber has a slightly more advanced pricing and revenue model of uber; Taxi lacks it. But it does not decline the importance of taxis. Both of them are rocking the market and tend to generate profits increasing the business scope within it. 

Are you ready to take advantage of business opportunities within the taxi industry? Don’t lack behind to get connected with the app development company that can offer you uber like app solutions. No more waits! Starting from today!

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