5 actions that anticipate change in the people transportation business

5 actions that anticipate change in the people transportation business

By Leonardo Gannio, Founder & CEO of MAGIIS


“Never let a good crisis go to waste” goes the popular saying. We are living through unprecedented times, but instead of focusing on the threats and what is no longer possible, let’s do the exercise of finding those opportunities in the winds of change.

The people transfer industry has been one of the most affected sectors during this pandemic. Although we know that this situation will pass, it is essential to be creative to position ourselves successfully in preparation for the new normal.


4 new worldwide trends

In China, the United States and Europe, passengers are:

  • Favoring remote work and reducing their exposure to public transportation, ridesharing, and carpools to minimize the probability of infection.
  • Significantly increasing the hire of transfer services for individual use or for sharing only with close family members.
  • Training in digital technologies —more than 30% of the population are experimenting this for the first time— or increasing the use of applications available on their smartphones or laptops.
  • Using multiple mobility modes, prioritizing those that comply with sanitary and safety protocols, inspire confidence, and offer a quality service. When hiring a transfer service, the cost is considered only in sixth place.

Latin America is no stranger to these trends. After the first cycle of the pandemic, the inevitable economic rebound will strongly boost the people transfer industry as an essential agent for regional development.



How to get ready to surf the wave?

Historically, after its many crises, the region has experienced periods of high sustained growth. So, be prepared for this.

  1. Split the problem into bite-sized parts instead of trying to solve it in its entirety; that is a strategy destined for failure.
  2. Separate the parts into two main groups: what is under our control and what is not. It is not possible to control what governments will do in the face of the crisis, nor should we expect state subsidies nor the arrival of a saving vaccine, etc.
  3. Move from complaint mode to action mode, anticipating the solutions that are under our control.


Where to concentrate our efforts?

It is time to serve our clients and communities.

Large multinational ride-hailing applications are dealing with their own cost and low billing problems. According to a McKinsey & Company report from May 2020, ride-hailing company turnover has fallen between 60% and 70%.

This means that the match scoreboard has been restarted and a new game is about to begin. We can now go out on the field to get new clients or prospects at the lowest acquisition cost.


5 concrete actions going forward

  1. Train in leadership and management with the multiple online offers. Spend more time on professional development than listening to or reading the news.
  2. Invest time in the most committed employees, with the highest productivity who add value to the company.
  3. Develop procedure and customer service manuals for the company, its drivers and management.
  4. Invest in technologies that allow increasing numbers of new individual customers, corporate clients, and drivers to be absorbed.
  5. Analyze the possibility of acquisitions or partnerships with competing companies. It is a unique moment to acquire companies at a price below normal market value.




No one will come knocking on our door to offer us success. Each one is the creator and architect of his destiny. Remember: do not focus on the threat, discover the opportunity.