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How to Verify User Identity on an On-Demand Platform? Part One of the User Journey Series

This is the first part of the 8 part series called ‘User Journey on an On-Demand Business Platform

For there to be any transactions on a platform, the customer needs to be able to trust the platform to provide him/her with a product or service that is promised, and the service provider needs to trust the platform to provide them with genuine customers who want to consume their service. For example, incidents of passengers hacking into Uber’s system to get free rides or using unfair practices aren’t unheard of. All the same, Uber has also been taken for a ride by scammer drivers wanting to earn more profits. The primary method of being able to source that trust is to establish the ‘user identity’ or the identity of the stakeholders. We have attempted to touch on various aspects of user identity that should answer the questions you may have in mind about this module.

Defining a Unique User 

From a platform owner’s perspective (your perspective), it is essential that the same person isn’t linked to more than one account. This is essential so that no one person benefits unfairly from using the app, for example, repeatedly redeeming offers exclusively for first time users. For each user, the following must be unique:

  1. Phone Number
  2. Email ID

This means that the same person won’t be allowed to create another account with the same phone number and email id.

User Identity Verification on On-Demand Platforms

Ways of Verifying User Identity

The first step to establish user identity is asking the stakeholders for their personal details. Verifying these personal details is where things get complicated. The following methods are being used for verification:

Customer Identity

Phone Number Verification

OTP (One Time Password) : One of the simplest methods for verification is to use a one time password that is sent to the respective phone number. The user needs to enter that one time password to start using the application. As SMS is more quickly read than email, OTPs are generally used where a user’s mobile number is mandatory to make an account.

Flash Calls : To confirm that the phone number provided by the user is correct, a flash call is placed to the user. The app can detect the call received and verifies the user account as genuine.

Email Verification

Users give their email ids more readily than their phone numbers, so many platforms send a verification link to the user’s email ids. Upon clicking on the link, the account is verified.

Social Media Login

Users also have the option to login with their social media profiles. While this makes manually filling in details redundant, it also gives the app access to important personal information like a person’s name, date of birth, email id and friend list. Several ridesharing applications have a mandatory social media login as each rider can browse the social media profile before accepting other riders to share the ride with them. In this way, leveraging the identity already established by the person on the social networking site, the platform can source trust to other users and service providers. 

Captcha

To ensure that a person is filling in the required details to make an account and it isn’t a robot or via an automated procedure, a captcha is introduced. It can be in the form of a complex code in an image that the user has to read and replicate or a simple puzzle. For eg., users might be asked to fill in the answer to (10 + 2 = ?) or identify desserts from photographs of food items.

We need an identity verification API to verify user identity on the platform. Some popular examples are:

Email Verification : Mandrill, Sendgrid, Amazon SES

Phone number Verification : Sinch, Nexmo, Twilio

Social Login Verification : Facebook, Twitter, Google, LinkedIn SDKs

You can also integrate additional verification features on your platform like Flash Calls and Voice Verification. Read more here. 

EXAMPLE OF APP SCREENS DURING CUSTOMER VERIFICATION

Verify User identity in on-demand economy

Identity of Service Provider

In addition to the above methods, it is imperative to have a more stringent verification process for your service providers because as the platform owner, you are responsible for the quality of service. For example, Uber received a lot of flak with its verification procedure when issues started to emerge, like drivers misbehaving with their customers, though Uber employs a three-step screening process in the US to vet the quality of service providers coming on its on-demand platform. AirBnB too started verifying user identity to end anonymity in the on-demand economy , as an important method to verify people coming on the platform. Background checks or verification of service providers could be done in the following ways:

Manual Verification

You can manually verify the documents uploaded on your platform. How extensive the check is depends on your business vertical. For example, you may need freelancers to upload their resumes and proofs of educational qualifications on a crowdsourcing platform whereas a more stringent check like pulling out criminal records might be necessary for drivers on a cab on demand platform.

Verification by APIs

It is possible to evaluate background reports for users by integrating an identity verification API with your app. These APIs help you verify a user’s national and county criminal records, driving history, SSN verification, previous addresses and are verified against a variety of databases including Medicare, Credit Bureau, Property File, Electoral Roll, consumer records, Driver License Registry, national databases etc. The APIs we currently use for background checks are:

Background Verification : Checkr, Onboard IQ, TrueHire

EXAMPLE OF APP SCREENS DURING SERVICE PROVIDER VERIFICATION

Verify User Identity On-Demand Economy

Protecting User Identity

Personal information is captured when a customer signs up on your app and they may not want those details to be shared with a service provider or vice versa. To enhance security of user identity data, we can add another layer of safety by integrating the following feature in your app:

  • Number Masking : At times when a service provider has to get in touch with the customer or vice versa, number masking has to be implemented in order to safeguard the privacy of the person. VOIP (Voice Over Internet Protocol) APIs enable customers to interact with service providers and vice versa from within the app without revealing their number.

Go to Part 2/8 : ‘Know the Tech behind the Scheduling Methodology of your On-Demand Platform’ here >>>

 

If you are looking to build a platform for an on-demand business where you can verify customer and service provider identity without any hassles, get in touch with us today! 

 

Want to get the business model of your On Demand Idea right?
Download the free eBook ‘On Demand Economy Business Model 101’ now!

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79 Comments »

79 Responses to “Want to develop an app like Uber? Know the cost and other details“

  1. Shaw says:

    Need a übe type app

  2. Ajay Deep says:

    Hi Shaw. Thank you for your interest. Our sales team has sent you an email. You may take it forward from there. Cheers!

  3. I wan’t uber like platform but for another kind of business. real estate?

  4. Pac says:

    Hi, I need app like uber but with little changes

  5. shane says:

    Uber like app for delivery service

    • Ajay Deep says:

      Hey Shane,
      Uber like app for delivery service seems to be a great idea. Someone from our sales team will be in touch with you through email. You may take discussions forward from there.
      Cheers!

  6. Antoine says:

    Hi Ajay – What assurances one has that the app developper would not simply take an inovative idea and create its own app? An NDA, despite its loopholes, is a legal instrument that prevents the “Disclosure” not the copying or the taking over of an idea. Your open mindness on this delicate matter is appreciated.

    Cheers,
    Antoine

    • Ajay Deep says:

      Hi Antoine,

      We value intellectual property very highly. As and how it may be required, we are open to discussing transparent and clear clause/s that would prevent us from developing similar application for a time period. The developers working at our organization are hired after a verification process and are legally bound not to indulge in any such activity. Further, we have sent you a copy of our NDA. You may go through that and reply to the email. Rest assured, Juggernaut will be your best choice to develop an app like Uber in any industry segment. Let’s take it forward.
      Cheers!

      • Ahmed says:

        Hi Ajay, I came across your articles…I really like what you write about on demand tech..very helpful and inspiring…about this point specifically I’m so interested to know more.can you send me a copy of your NDA.
        We might discuss something even more interesting starting from this point

        My regards,
        Ahmed

        • Ajay Deep says:

          Hi Ahmed. Glad that you liked our content. We focus on providing value to our readers. Our team has sent you an email. Just reply back to take the communication further.

  7. tony hakim says:

    you guys are world class

  8. Milind Shah says:

    Hi Ajay,
    I need an app same as Uber. what will be the cost? and can you show me if you have any such app on itunes?, so that i can download and try.
    Milind

    • Ajay Deep says:

      Hi Milind,
      Being a leader in on-demand space, we have developed a number of apps in various business verticals for both android and iOS platform. Our sales team will get in touch with you through email and provide you with all the required info.
      Cheers!

  9. Wafir says:

    Do you guys do projects for the Middle East?

    • Ajay Deep says:

      Hey Wafir, of course we do!
      In fact, the Middle East region is booming with startups in the on-demand sector. We’d love to work on your project. Just sent you an email to initiate the conversation. Let’s take it forward through that.
      Cheers!

  10. nitesh says:

    hi need a app like uber let me know

  11. Subomi says:

    Hi,

    Need an app like Filld On Demand Gas Delivery.

    But with no payement option for now since that needs a lot of security and will be expensive. I’m bringing Filld’s business model to Africa.

  12. Parul Singh says:

    Are you guys involved in developing all kinds of apps or its just limited to the apps like uber?

  13. Jesse says:

    Hello, I would like to get more information on developing an app similar to Uber but for providing a standard service. It is a very saturated industry and simplifying access to such service I think can very well find its way in the mobile App world. As like previous comments left I too am concerned and question if my idea can be taken or copied.
    Thanks for your time and eager to hear your response.

  14. Can you send me a copy of your NDA? I am most concerned with this and how it works and what is the time line of the NDA?

    My idea revolves pretty much around UBER and but is not related to rides.

  15. william says:

    Hi AJAY or juggernaut , am interested in developing an app which is as complex as uber or a little more complex but nothing like uber. would like to get in touch with you via email. so reach out to me lets discuss. thanks.

  16. Peter says:

    Hey Juggernaut, I’m interested in developing a service within the On-Demand economy, with some added variables that could prove difficult to navigate, but can definitely be done with the right expertise. Really in the ideas stage at this point, but I can definitely see a road to success and I’d love to talk with you guys regarding my options and so on. Thanks.

  17. please give the ideology and working of the app,and how to develop an app like uber for autos and taxi which could be affordable for all class of people

  18. King Spesh says:

    Hello Ajay, I have an idea for a transportation app but have no finances nor the expertise to pull it off, I have made a thorough research on it and its big, please contact me via email to discuss it.

    Kind regards,

  19. Amaro says:

    Hi Ajay:

    Do you have a uber alike plataform already? I’ll be interested on getting such a service from you and your team

    Thanks

  20. Daniela says:

    Hi Ajay,
    I am looking to outsource (hire or partner) the development of a new business idea that can use this kind of structure. Would your team shoot me an e-mail so that I can assess whether Juggernaut may fit into the picture? Thanks!

  21. Jon says:

    Hi Ajay,

    Looking for a Uber like app in RSA, also have concerns about NDA, costs and durations.
    Please could you send me a copy of your NDA and any other info that may assist me in my choice of Developer.

    Please also send me through a direct contact so that i may contact by telephone if possible.

    Thanks Jon

  22. sudheer says:

    Hi, i want to start a business on GPS based. It likes UBER r OLA but not in transportation mostely deals with FMCG. Can u please email me the details.

  23. Thanks for this….i also like to develop Uber type of apps. Please inform me what is the exact cost to develop in India.

  24. i need an app developer just like uber..
    can u help?

  25. Daho says:

    I would like to have an estimat for uber like platform thanks

  26. Carlos says:

    Hi im interested in an app with similar UBER features

  27. Jordon says:

    I need to be able to have clients send their location to a computer at our office so we can send a car to them,

  28. Sunny says:

    Would like to make an app please contact me

  29. Joniel says:

    Hi Ajay, I have an app in my mind same as Uber and I would like to discuss it further. Hope to hear from you soon.

  30. Tim says:

    What are your rates and can you refer me to a source to develop a solid NDA and IP lawyer before we get the ball rolling?

  31. MJ says:

    I’m interested in an uber like app. Can you help? Thanks!

  32. hasan says:

    I need a app like uber county base

  33. Ami Khan says:

    Hi Ajay,

    I have a business idea/proposal and need to work out how much it will cost to develop an app like uber (but also maybe have some sort of video link too). I plan to pitch to investors by Q316 so am working on the Financial model now.
    What credentials do you have in this field and could you also let me know what guarantees you can provide in terms of ensuring that any plans I share with you are confidential? Thanks in advance!

  34. Chris Dre says:

    Interested in UBER-like app with some changes. Please contact me with NDA. Thank you.

  35. Mark says:

    Thank you. Very informative and well-structured article. I think it would be helpful for everyone. Maybe you should try to add it to the Wiki page about Uber: http://getsmall.link/6eb1a0e8

  36. Rigoberto paz says:

    We are in los angeles trying to start ul a bussiness like uber can you guys helps out.

  37. Barkaat Ahmad says:

    Hi

    We like to get an estimate on an Uber like app. Would you be able to email me a ball park estimate on development cost, timeframe and on after sales service/enhancements.

    • Ajay Deep says:

      Hi Barkaat,
      Thanks for reaching out. Our sales team will be in touch with you through email and you may take the discussions forward from there.
      Cheers!

  38. mugambe ramathan says:

    hi,am in east africa, am planing on setting up abusiness more like uber hope we can discuss more

  39. Stephanie says:

    Hi Im interested in developing an app like uber for another service but same concept as uber can you please provide me with costs thank you

  40. Amr Gadalla says:

    Hi Team,
    I want to ask about the details of a program like Uber, but of course on a much lower scale (10-20 cars), including the cost and the maintenance fee , and if there is any fixed sets to be fixed in the cars.

  41. Akshay Kumar Dixit says:

    Hi I also want to know about the cost of making such an app

  42. Aditya says:

    Hi Ajay
    I am thinking to make website like uber but it will be little different then uber. It will be like pre reservation in app and customer can track their car. It will be limousine service but all pre refer action through app. Nothing else.

  43. Mohamed says:

    We are in NJ. And we like to start company like Uber or lyft can u guys helping out by telling what the cost for the app and start the company

  44. David says:

    Please call me to discuss my concept for development.
    David
    9173646218

  45. Sayo says:

    Hi
    I will like to get an estimate on an Uber like app. Please email me a ball park estimate on development cost, timeframe and on after sales service/enhancements.

  46. Hello,
    I am looking to develop an app similar to Uber but will carter a totally different service.
    I like what I read on this page and will love to touch base with somebody in your company.

  47. Pathrose says:

    We would like to get an estimate on an Uber like app. Would you be able to email me an estimate on development cost, timeframe and on after sales service/enhancements.

    Reply

  48. Jignesh patel says:

    Hi
    We like to get an estimate on an Uber/ola/porter like app. Would you be able to email me a ball park estimate on development cost, timeframe and on after sales service/enhancements.

  49. Jignesh patel says:

    i need to detail about this uber/ola/porter application
    who make this type of application?
    its application total estimste and how to operate?

  50. Nuria says:

    Hi I need help trying to making a app like the uber app but we have our taxi company already it will be more easy if we have an app can you help please

Leave a Reply

Want to develop an app like Uber? Know the cost and other details

How much does it cost to make an app like uber

How much doest it cost to make an app like uber

How much does it cost to develop an app like Uber? We come across this question almost always when we think about app development for building apps like uber. The answer always is – It depends!
Uber’s business model has given rise to a large number of On-Demand Platforms being adapted for different verticals. The demand for taxi apps like uber and uber clone app has grown eminently in the recent times. Many entrenched industry value chains stand to be disrupted. The online-offline nature and involvement of multiple stakeholders make these platforms difficult to design, master and scale for uber like app development for your business.
Related Reading – The Uber Business Model 
Entrepreneurs and enterprises looking to build uber like apps for different verticals often find this analogy easiest to articulate and hence the genesis of the question. There are several variables associated with getting to a correct estimate to make an app like uber. Let’s have a quick look at these variables to understand what goes into designing an Uber for X platform. I am confident this will also lead to a better appreciation of why we as Juggernaut took a modular approach and designed an MBaaS (Mobile Backend as a Service) architecture to create a winning value proposition for entrepreneurs/enterprises looking at making an uber like app / uber clone for their business.
Generally the cost for the initial MVP for an app like uber is upwards of $100k-$300k, however while taking the Juggernaut approach it can be as low as $40k – $80k. Read more to learn how :
A) Is your business model exactly like Uber? If not, how does it differ from Uber?
Uber for X can be best described as a platform looking to deliver a product or provide a service On-demand with demand being aggregated online and serviced offline. But there are so many variations that can come up when we start analyzing different implementations in this field.

When we talk about an app like Uber:

  1. We can assume – supply is loosely bound to the platform and we are merely aggregating the supply.
  2. Demand is not scheduling the product/service for a time in the future and everything is instantaneous.
  3. Demand is not choosing the service provider and he is being allocated the one based on his choice and other variables.
  4. Service/product that we are talking about has a standardized flow and doesn’t involve customer making a selection across lot of different variables.

Clearly, for most of the entrepreneurs their business model will have many stark differences from Uber’s business model cited above. These considerations have a direct impact on how you deal with decisions related to identity, scheduling, matching, payment, etc. while designing the product and thus the cost associated with defining the MVP.

Related Reading  On-demand startup in mind? Success depends on these planning factors – Venture Beat

If you are in the process of defining the contours of your business model and making these design choices and are looking for a more exhaustive take on the topic – download this free eBook that talks about how to finalize the business model for your On Demand Startup – Ebook: Understanding the On Demand Business Model

B) What is the business vertical you are trying to target?
Is it a taxi app like uber business or an On-Demand platform designed for some other vertical? When you are trying to find a solution to help your existing taxi/limo business with an Uber like application development experience, there are many companies providing white label solutions. When you start going broader to say, ground transportation (shuttle/event/hailing solutions directed at children/senior citizens/corporates etc.) or beauty or home services or delivery and so on, things start becoming more complicated and it is difficult to find a script based approach that works.

We have been grappling with this problem for the last 24 months and have come up with a top down approach as a solution. The basis is that there are certain modules – matching, scheduling, tracking, payments, reviews, notifications, aggregation and signup that form the backbone of any such platform. So we have created backend code blocks or an MBaaS based architecture structured to take care of most of the use cases that can be thrown by an On Demand Business Model. For more information on functional choices that go in defining each of those modules – download this eBook that talks about the Building Blocks for On-Demand Technology.

The underlying premise is that the front end needs to be custom developed. Leveraging the proven backend architecture ensures that we are not reinventing the wheel when it comes to deeper customizations/corner cases.

Uber like app development

Uber like app development

C) Evolution of On-Demand Platforms
When we talk about an app similar to Uber, it is helpful to keep the general evolutionary framework associated with all startups in mind. It is a fact that all business apps like or unlike Uber have to go through the 4 stages mentioned below. But the fact that most On Demand platforms are associated with network effects/playbook evolution/solving the initial chicken and egg hurdles, etc. the case for a clear understanding of these stages is much more important. Question then becomes are we looking to validate the business model that is doing less than 1000 transactions a day or are we talking about a system that has already scaled to multiple geographies built on top of a highly optimized logistics framework.

How to make an app like uber

How to make an app like uber

Focus areas during different stages of platform evolution are different. The first hurdle is getting a functioning product to the market that aces the core interaction. Once the MVP is launched its often a race towards achieving that product-market fit which in itself might span multiple sprints. Once the product market fit is in sight, the next hurdle is getting the unit economics (Customer Acquisition Costs/Lifetime Values) right while constantly improving cohort data. This phase generally involves lot of focus on building the analytics capabilities.

Total cost of developing an on-demand app like Uber:

By now it should be clear that the cost of making an app like Uber depends on numerous factors. But here’s an attempt at the estimate. Building an MVP for an On Demand Platform involves creating web/mobile interfaces for both supply and demand. Add to this the fact that native experiences are the expected norm leading to parallel development efforts if we chose to build both for iOS and Android. The other important component is the nerve center/admin panel that doubles up as a CRM and a Dashboard to control some of the critical operations. Everything is glued together by the APIs that operate on top of central databases and control logic – part of the backend framework that runs on cloud.
Assuming the platform architecture is scalable and is able to handle 500-1000 transactions a day right away we are looking at an upwards of $100k-$300k effort for an initial MVP. Variations in the ball park primarily are on 3 accounts –
1. Number of stakeholders
2. Number of platforms that are part of the initial launch
3. Complexities in the business model
4. Geography/ Region out of which your development team operates or engineers the product. Per hour rates vary from $20 -$60 (parts of India/Eastern Europe/South East Asia) to $80 -$150 (parts of Western Europe/US)
With a modular approach that takes advantage of pre-built IP, we at Juggernaut are able to reduce the time and cost involved by around 30%. In addition, since Juggernaut’s engineering teams are based out of India we bring a huge cost arbitrage to the table while still ensuring smoothness in communication generally associated with in-house teams. The engagement processes have evolved over more than 5 years of distributed product development. All in all the costs for an MVP while taking the Juggernaut approach can be as low as USD 40k to USD 80k. But more than the cost advantage the bigger value proposition that we bring to the table is experience drawn from doing more than 50+ On-Demand Platform in different geographies and domains. This makes the approach consultative wherein at every step, we draw from the playbook of many successful implementations that we have been associated with directly and indirectly.

Want to get an accurate cost for your own idea? Get in touch with us now!

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