It was only a matter of time until this “war” between decentralized car-sharing services and regular car drivers would lead to some positive news. Hailing a ride with a mobile application is not only convenient, but it also allows for automated payment processes. Most of Uber’s and Lyft’s success comes from the ability to get a ride by tapping your phone a few times. Now, in an attempt to stay competitive, New York’s yellow cab drivers will get their own hailing app very shortly.
Mobile Apps Causing a Shift in Consumerism
It is no secret that more and more everyday consumers are looking for mobile solutions to make quick and frictionless payments at every opportunity. While paying for bread and groceries through a mobile app might not happen anytime soon, hailing a cab from your phone or tablet sounds like a very intriguing idea.
Mobile devices play an ever-increasing role in the daily lives of consumers. People want to be connected to the world at all times, and carrying the tools to do so in a pocket or handbag has changed the way consumers behave in life.
While some industry experts see mobile technology as a way to make social creatures less sociable than they have ever been in history, it also opens up the door for technological innovation. Granted, not every piece of technology improves the everyday lives of consumers, but most of them want a new flavor of the month on a regular basis.
Consumers living in the city of New York have plenty of experience when it comes to hailing cabs — and sometimes failing miserably. Especially during rainy situations, no one wants to go out and try to halt a cab. With a smartphone or tablet nearby, a technological solution seems to be the way forward.
No More arm-Waving, Only Screen-Tapping
Arro is the name of this new mobile application, which allows consumers to halt a yellow cab with a few taps on the screen. This Arro application will launch at some point in September of 2015, and wants to compete with car-sharing platforms such as Uber and Lyft. Yellow cab drivers have fought tooth and nail to keep those services out of New York City, to little avail.
Similar to how mobile applications of competitors work, Arro will let customers pay for the ride through the app, even if they hailed a cab the “old-fashioned” way. Green cabs, which can be found outside of the Manhattan area, will also be supported by Arro. Eventually, the company hopes to expand its service to other major cities across the United States.
What makes Arro vastly different from Uber and Lyft, however, is the fact that this mobile application will not use “surge pricing.” Whenever there is an increased demand for Uber and Lyft rides, prices automatically go up. With Arro, this will not be possible, and yellow cab fares will be the same regardless of time, date, and place.
Developing a mobile application like Arro is one thing, but none of this would be possible without its partnership with Creative Mobile Technologies. Roughly half of the yellow cab’s payments systems are operated by Creative Mobile Technologies, and Arro is actively pursuing a partnership with cab payment provider Verifone.
The decentralization revolution is forcing the hand of existing companies and services to think outside of the box. One possible next step is the integration of Bitcoin payments to reduce overhead costs and giving companies and cab drivers the opportunity to earn more money on a daily basis.
What are your thoughts on Arro, and do you think this mobile app will be a success in New York? Let us know in the comments below!
Source: CNN Money
Images courtesy of Arro, Wikipedia, WPClipart