Competing For Your Business: The Cab And Car Wars That Drive Down Transportation Costs

With the recent surge in drivers who operate nice, clean vehicles for independent companies, traditional cab companies are a little more than irate. Much of the issue with these independent drivers has to do with the fact that cab companies are regulated and are required in many cities to pay for operator's licenses. Independent drivers do not. The war between the cab companies and the others is complicated, and in many ways may not be all good for them. It is, however, all good for you and other consumers of cab and driver-type services. Here is why.

Independent Drivers Drive Ride Prices Down

Because independent/freelance drivers offer rides for far less than most cab companies, and because people can schedule rides through an app, they are more popular with consumers. To get ahead of these competitive rates, cab companies lower their rates and/or change their rate schedule and options menus. The independent drivers are essentially driving down the prices of the cab companies, which is really good news for everyone looking for discount cab fare.

All Types of Drivers Show up to the Airport

It used to be that when you got off a plane, cabs would line up all the way down the street to collect people exiting the airport. Whatever cab was available, that is the cab you rode for the fare you rode. Now, all types of drivers, cars and cab companies show up to the airport. You have several more choices and more opportunities for cheaper ride fares. Some cab companies are even willing to offer rides for less when they know what the independent drivers are charging. It is like an auction for rides the minute you exit the airport, which makes the selection very cost-effective and fun for you.

Additional Discounts Offered to Loyal Customers

If you do not mind riding with just one cab company, you may be rewarded for your loyalty. Some cab companies are starting loyalty programs which provide discounted or free rides after a certain number of rides are taken. It is one way to undercut the independent/freelance driver business, since the cab companies have ongoing rewards and the other companies and drivers can only offer new customer discounts at the moment. You can keep track of your cab loyalty rewards on a punch card presented to you by the cab company. If these programs are offered from your local cab companies, be sure to read the fine print before you begin using the program and attempting to get free or reduced fare cab rides.