Factors Affecting Customers Satisfaction of Mobile Application Based Taxi Service (The Case of RID)

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Addis Ababa University


This study deals with factors that affect customer satisfaction of mobile application based taxi service regarding Ride taxi which is the first and number one mobile application based taxi service provider in Ethiopia. A questionnaire was used to collect the data from 369 respondents who were selected using a purposive or deliberate sampling technique. The collected data was analyzed using SPSS version 25, employing statistical tools such as mean, correlation, and multiple regression analysis. The findings of the study discovered satisfaction affecting factors, Price, Application Convenience, Call Centre employees Responsiveness & Car condition have a positive relationship and effect to customer satisfaction except two variables i.e Time and drivers’ profession. All six hypotheses were tested to examine the effect of these variables have on customer’s satisfaction. The Multiple regression analysis result proved that four of the factors namely Price, call center responsiveness, car condition & app convenience have a positive and a significant effect on customer’s satisfaction while the rest two factors Time reliability and Driver’s professionalism have insignificant effect on taxi passenger’s satisfaction. The result shows that customers are satisfied with timely performance of ride however, it has not become a factor to influence their level of satisfaction currently. Overall, 78% of them are satisfied with the service that Ride has to offer. Furthermore, the results of the analysis showed that these independent variables collectively contribute to the 48% variation in customer satisfaction indicating that there are other unspecified variables (52%) that have influence on the satisfaction of customers. Recommendations are also forwarded to Ride company based on the findings.



Customer satisfaction, app based taxi service, service quality factor