Rideshare vs. Taxi: A Comparison Guide to Choose Better

Rideshare vs Taxi

How is a rideshare service different from a taxi service? We get this question a lot. But, before we look at ride-share vs. taxi, it is important to note a few things. Firstly, both services are part of a common business model, which is to take a passenger from Point A to Point B. Additionally, both work on a hiring model where the passenger hires a taxi/cab/car to ride to his/her destination.

Rideshare is sometimes used interchangeably with ride-hailing. Essentially, it is a service that involves hailing or booking a private vehicle to go to a specific destination. 

Moving on to the ride-share vs. taxi, there are numerous differences between the two, most of which are not known to people. We have tried to elucidate a few below. 


A taxi driver works for a taxi company or owner, riding his vehicle through a fixed shift and picking up & dropping up passengers for a fare. Taxis can be hailed in the street or by getting a dispatch from the company itself.

Recommended: What is Rideshare? How Ride-sharing Works

Rideshare Vs. Taxi

Vehicle Ownership

In the case of rideshare, the vehicle driver is generally the owner as he/she rides his own vehicle to earn money by giving a paid lift to others. A taxi, on the other hand, is owned by a different person or group than the driver.


Rideshare vehicles usually have a company sticker or logo as an identifier. For instance, you can see the Lucky To Go sticker on all its partner vehicles. In contrast, a taxi will typically only have a ‘taxi’ sticker or sometimes a logo/sticker of the owner company.


Thorough background checks, vehicle condition checks, and other strict requirements are in place as requirements for a rideshare driver. This strict screening process coupled with a good rating system ensures accountability and better service to customers. 

Also Read: Safety Tips for Riders While Booking a Ride

Driver Training

Most ridesharing companies require their drivers to take a training course or class before they can start working with them in order to teach the various security precautions, rules, etc. Taxi services and drivers, on the other hand must be licensed by the city authorities in order to operate in a particular region.


Both rideshare and taxi services have middlemen. In the former’s case, the app owner companies like Uber, Lucky To Go, etc. are middlemen who charge a fee from the drivers’ earnings in exchange for their services. With taxi services, the taxi owner or union can be the middleman. They may charge a commission from the drivers for letting them use the vehicle/s.

Work Schedule

Taxi drivers usually work fixed shifts and do not have so much flexibility. Rideshare drivers, on the other hand, have the flexibility to work as and when they want.


Most of today’s rideshare/ride-hailing services operate through dedicated mobile apps, through which a passenger can book a vehicle. The driver is notified about it through the app and then, he arrives at the passenger’s location to pick them up. The passenger can also track the driver’s location on the app.

The Lucky To Go app allows you to find and book a ride in your nearby area. You can also select the type of vehicle you want and make payment online at your convenience. Moreover, you can also track your ride or share your location with others using the app.

On the other hand, taxi services generally operate through phone calls and direct hailing, where a passenger has to call a taxi company requesting to send a car to a given address to pick them up or has to wait on the road to stop a taxi for a ride. Taxis usually do not have a ride tracking or sharing feature.

Clearly, the ridesharing or ride-hailing option using a smartphone app seems more people-convenient, as you can book a vehicle at any time, anywhere. 

No need to wait for a taxi on the road, as now Lucky To Go rideshare is always available on-demand!


The cost of your trip will depend on many factors, including distance travelled, traffic conditions, and the time of day. While some of the rates are similar in structure and amount, there is one major difference: taxis charge per kilometre when moving, yet they charge per minute while idling. Lucky To Go’s service, on the other hand, charges per kilometre and per minute, regardless of whether they are moving or idling, with a few exceptions.

An estimated fare comparison between a regular taxi ride & a Lucky To Go ride from downtown Victoria to Butchart Gardens highlights the difference; estimated fare for the taxi is $54.94 and a Lucky To Go ride’s estimate fare is $41.00.