Loop is on a mission to digitize the payment system for the taxi industry.
The Woodstock-based fintech start-up company, in partnership with financial service provider Visa, officially launched the tap-to-pay instant payment system for taxi commuters yesterday (Thursday).
The pilot project allows the commuters to pay using their cellphones and can pay using the Tap-to-Phone option or the Chat-to-Pay feature on WhatsApp.
The Chat-to-Pay solution enables commuters, who signed up with Loop, to use their cellphones to scan the driver’s QR code on display in the taxi. Commuters then see the driver’s picture, name and vehicle registration, and can settle their taxi fare using the safe and secure Chat-to-Pay feature on WhatsApp.
The company has partnered with the Mitchell’s Plain, Bellville Taxi Association. The service is available in about 70 taxis, fitted with a Loop sticker.
The taxis currently run between Mitchell’s Plain to Bellville and Manenberg to Cape Town.
Imtiyaaz Riley, Loop founder and a Manenberg resident, says the aim is to solve payment issues experienced in taxis.
Riley grew up in a family that operated taxis and is fully aware of all the challenges facing the industry.
“The minibus taxi industry is the backbone of public transport in South Africa and for generations, owners and associations could not track the income of their taxis accurately. With our solutions, owners and associations can now transact digitally and seamlessly with Loop’s tech-based solutions.”
Riley appeals to taxi associations to partner with them and hopes to roll out the project across the country in the future.
Jamie Wyngaard, Loop co-founder, says: “When I used minibus taxis, I would spend up to 20 minutes a day waiting in the line at an ATM, and then deal with the anxiety of asking the driver for change. Using Design Thinking, we conducted research interviews with commuters, drivers and operators.
“We’ve come up with various payment solutions, and so partnering with VISA and using their Tap-To-Phone was a natural fit. People have enough to worry about in this country – paying for a taxi shouldn’t be one of those worries.”
Melton Oppelt, chair of the Mitchell’s Plain, Bellville Taxi Association, says: “The taxi owners are excited. The drivers are also buying into this! Cash is dangerous as it attracts criminal elements. We’ve had many incidences where our vehicles and passengers were robbed.”
Oppelt explains that they have been piloting the initiative for the last three weeks.
“So, hopefully, with this digital payment we can eliminate these crime incidences. The driver does not need to worry about collecting fares, he can keep his eyes on the road instead of worrying about the cash.”
