Standard Bank is starting to roll out a digital taxi payment app that it believes will relieve the stress of having the right cash on hand for a minibus taxi trip. The app is also set to assist taxi owners in improving the efficiency of their minibus fleets.

Carrying cash comes with risks, explains Standard Bank main markets head Motlatsi Mkalala.

“And it isn’t as convenient as we might think. From waiting in line at the ATM to having a wallet filled with coins, cash presents its fair share of headaches. 

“For [taxi] drivers, it means having to do constant calculations, while being a possible target for theft.

“By going digital, drivers could save time and accept payments instantly. Taxi owners could benefit from valuable insights into passenger habits and preferences.

“No need to count your coins, do complicated taxi maths, wait for change, or feel vulnerable on your daily trips in and around town,” says Mkalala.

In short, Taxi Yam is a complete mobility platform that will help taxi owners and drivers connect and interact with commuters, he notes.

“Our goal is for the app to become a reliable part of the public transport system in South Africa and improve the lives of passengers, drivers and owners.”

At the moment, the app is only used in KwaZulu-Natal within taxis that have signed up for Taxi Yam, as part of a proof-of-concept programme.

“In the case of KwaZulu-Natal we have been working with Rolacel as an implementation partner,” says Mkalala.

How Does it Work?
The Taxi Yam app, available on the Apple and Android platforms, is linked to a Taxi Yam debit card. Commuters use their Taxi Yam cards to make payments, or they can also use their bank cards on the point-of-sale (POS) device in the taxi, explains Mkalala.

“You just tap the card on the POS device in the taxi. We’ll release other payment capabilities in the future, such as scan [the app] to pay.”

“Users don’t pay a fee to be on the platform,” adds Mkalala.

“But we do charge R149 for taxi-owner membership. This fee includes a POS device for owner vehicles; a fleet prepaid card that allow owners to receive fuel rebates; and a business account where all taxi fare payments will be received. 

“With this offering, taxi owners will be able to understand and track how much income is generated by their taxi fleet.

“Ultimately, when owners need to refinance a new fleet of taxis, the income they generate would be visible to financiers.”

The feedback from the proof-of-concept programme has been positive, says Mkalala.

“We are, however, aware that regions are not homogeneous and that each region may have its own nuances.”

The Future
With Taxi Yam, Standard Bank wants to provide commuters greater control of their time, says Mkalala.

“In the future, commuters can look forward to having the ability to see the taxis on their routes to allow for better planning. 

“Operators will also have a sense of the number of commuters on different routes, which will provide them with the ability to plan during off-peak periods.

“The platform will also provide the ability for commuters and operators to engage with each other.”

Future plans also involve updating Taxi Yam so that the app can alert commuters when taxis are unavailable, provide information on road accidents, and inform users what the taxi fare is on a new route. 

“The team is also working on a feature that will allow you to find and hail a taxi when you’re in a rush,” says Mkalala.