How to Make an App Like Uber and Estimate Its Cost?

Have you ever taken an interest in application development? Or maybe, inspired by the tremendous success of the ride-sharing giant Uber, you’ve dreamt of creating your own app? In fact, Uber is considered to be the best taxi application on a global scale, and despite the harsh competition, the company remains the dominant player within the ride-hailing market. If you also want to prosper in this field, you should know how to make an app like Uber and calculate its development cost.

Step#0. Prepare Yourself for the Challenge

The taxi booking industry has witnessed a huge surge in the last decade. The high demand for ride-sharing inspires entrepreneurs around the world to test how Uber-like apps could play out in local markets.

So, today, the timing for launching a taxi-hailing start-up seems perfect. But how much does it cost to create an Uber-like app? To answer this question, you should figure out how to develop an app like Uber in the first place. The six-step guide below will help you get the idea.

Step#1. Analyze the Uber App

The Uber app is available both for Android and iOS and is free to download, with drivers and passengers connected 24/7. To build an app similar to Uber, make sure you understand how it works. In fact, the majority of taxi-hailing apps share a five-stage process:

1) Request

Via the mobile app, a passenger submits a ride request, which contains the pickup location, the destination, and the type of car. The nearby drivers receive a notification.

2) Matching

A driver decides to accept or decline the request. If the request is rejected, it goes to another driver. 

3) Ride

In the app, the customer sees the estimated time of arrival and tracks the taxi. During the ride, the passenger can monitor the route and notify the system if anything goes wrong. 

4) Payment

Thanks to the fare estimator, the ride cost is quoted to the passenger in advance. In the Uber app, the final cost includes a base fare, cost per mile, when a taxi goes swiftly, and cost per minute, when it goes slowly or stops.

5) Rating

Rating is a key component of the Uber app business logic. It is displayed after each ride and is available both for the driver and the passenger.

Step#2. Think Your App Idea Through 

Valuable Service

To build an app like Uber, keep the above-mentioned stages in mind and develop your own application with unique features. Uber is considered an archetypal disruptive startup, and the Uber app model is universal: it works perfectly for the taxi-hailing market, food delivery, beauty services, and healthcare. 

To stand out among the competitors, analyze the Uber-like services in your area and find the segment which is vacant or needs upgrading. 

Target Audience

If you want to make an Uber-like app profitable, try to create it in compliance with the needs and preferences of your potential users. 

With the help of cross-platform development, you can launch a mobile app both for iOS and Android and attract more customers. In case you choose to target certain users or your budget is limited, native development will be a perfect option. 

Revenue Model

A revenue model is another aspect you need to determine for your Uber-like app. Uber makes a profit by collecting fees from drivers for the platform use. You may follow suit or select the ad-based revenue model. In the latter case, you'll get paid for showing ads within the app. 

Step#3. Plan the App Features for Drivers, Passengers, and Admins

If you are thinking of creating an app like Uber, you should analyze its structure. The Uber app includes three key elements: an app for drivers, an app for passengers, and a web-based admin panel that connects these two individual apps into one fully functioning system. Each element contains basic features and functionalities. Let's define them!

Passenger App 

• Registration 
• Geolocation and routing 
• Payment integration 
• Push notifications (via apple push notification service (APN) or firebase cloud messaging (FCM))
• Customer support and review 

Driver App 

• Driver verification 
• Navigation and advanced route optimization (via Google maps or core location framework)
• Trip alert 
• Push notifications 
• In-app messaging and calling feature 

Admin Panel for the App Owner

• Full management 
• Feedback check 
• Driver and user support
• Integration with Google Analytics
• Payoff review

Applying advanced features in addition to the basic ones will make your Uber-like app appealing and user-friendly. For the driver app, you may choose heat maps, preferred destinations, and a forward dispatch. The app for passengers can be improved by such options as fare splitting, booking trips for others, and ride cancellation within a set period of time.

Step#4. Find Experienced App Developers

How to make an app like Uber in the shortest possible term? Find an experienced development team! Depending on your aims and budget, you may turn to either freelance programmers or software development companies.

Freelance App Developers

Building an Uber-like app with the help of freelance specialists means lower expenses and direct communication with the developer. At the same time, it involves several risks, like poor quality, or the lack of proper management.

IT Companies

If you opt for a dedicated team of software developers, you'll enjoy certain benefits. Accountability, project management, high-quality service, and trustworthy relations provided by an IT company will make the app development process more effective. The only disadvantage is higher expenses, but most of the time it's worth it.

Step#5. Estimate the Development Cost 

So, how much does it cost to create an app like Uber? In reality, no one can tell you the exact number right away. The final cost of the Uber-like app development depends on multiple factors.

App Complexity

A set of features you pick for building an app like Uber is the decisive factor of its price. The development cost will vary depending on the number of basic and advanced features in the app. 

UI/UX Design

The Uber-like app development cost should involve design expenses. Ride-sharing services are client-oriented, so they have to come with an appealing and easy-to-use app tuned by an experienced UI/UX agency.

Number of Platforms 

The choice of a platform determines both the workflow of the app development and its final cost.  So, while choosing between native and cross-platform development, keep in mind that the technical specifications, architecture, and tech stack of an Uber-like app will entirely depend on the number of platforms.

Development Team 

To estimate the cost of developing an app like Uber, you should calculate the number of work hours required for the developers. The key factor which influences the hourly rate is the location of a development team. The rates of US-based programmers are much higher than those of offshore developers from Eastern Europe.

Roughly speaking, nowadays, the approximate cost for creating an app like Uber ranges between $60,000 (for native development) and $150,000 (for hybrid development).

Step#6. Launch and Monitor Your App

Since we've found out how to make an app like Uber, all that is left to do is to build an app, release it to the market, and gather feedback. Keeping track of the app's performance and analyzing the collected data will help to improve your Uber-like app and create a positive customer experience. So, don't miss out on this step!

Once you study the company’s approaches to technology and business processes, you’re ready to build an app like Uber. As you can see, ride-hailing app development requires thorough market analysis, flexible strategy, and large investments, but hiring a trustworthy team of developers will definitely simplify the whole process. 

Our company provides a high-quality service in the field of application development. If you want to learn more about creating apps like Uber, please, contact our specialists.