One of the things Liz Callaghan, managing director of VIP Taxis is most proud of is that her business is “still here”. Having weathered recessions, deregulation of taxis and the arrival of virtual taxi apps inthe market, Callaghan still has the same passion for the business as she did when she started out answering phones in 1985. “I just love what I do. I’m really proud of the fact that we are still here and that I never lost any of the passion for it.”
“I thought at times, ‘I can’t do this, I am getting too old for all this.’ The business has gone through a lot of change, but I have adapted so much. I’ve had to change with the times, because if you don’t, you simply get left behind. I look at who I compete with, and it’s not firms like us, it’s virtual taxi mobile apps and independent drivers. When we started out, there were so many small taxi firms – they are all gone now.
Originally from Finglas in Dublin, Callaghan started working in the business for a local taxi firm, and from there worked her way up in some of Dublin’s best-known firms before creating the business VIP Taxi in 2000 with her husband. “Looking back, in the early days of running the business, I was also rearing my two children. It was definitely hard going, but like anything, you just get on with it.”
Changing times
The transition in the taxi business from pen and paper to computers was challenging. “You can’t ignore the way customer behaviours change over time. Increasingly, ordering a taxi is not done with a call, it’s done with a few taps on your smartphone. We knew we needed to invest in technology, and our own mobile app for taxi booking was needed. We teamed up with iCabbi, who worked with us to understand the business, our drivers and the need to compete smarter in the market. They gave us so much freedom, and the launch of our app has been so well received by our customers. We were able to tailor the app to suit the way our drivers work in patterns and covering sections of the city. It’s a massive success for us.”
Loyalty and a personal touch are what Callaghan claims have kept them in business in the face of the recession and fierce competition from virtual taxi apps. VIP’s business is built on a successful portfolio of corporate clients, and customers simply looking for a taxi to take them from A to B.
“Some of our corporate customers trialled competitors’ mobile apps, and we were delighted when they all came back to us. We offer the personal touch, and it is the personal touch that makes the difference. Even if it’s to ring somebody to say that you left something in the car. It doesn’t matter if you can do it by the click of a button, it’s not about that.”
As well as bookings on their app, Callaghan says it is important for them to still have the voice at the end of a phone line. “There are different generations, and some like to hear the voice and we will never change from that.”
Callaghan says her relationship with Permanent TSB was key to implementing the changes and investments required in the business. “We have banked with Permanent TSB for more than 10 years and they have just been so supportive through the years. I have a real genuine relationship with the team in the Baggot Street branch. With them, it’s talking to real people in the branch, that’s what makes the difference.
“In our business, we pay the drivers before the customer pays us. Initially this was a massive disadvantage because we couldn’t ask the drivers to wait 30 days or 60 days or whatever the customer took, but the customer had their credit terms. Permanent TSB understood our business model, and our relationship is centered on talking to real people in the branch. They have always been so approachable for us.”
As well as a clear passion for her work, it’s clear that maintaining that loyal, personal service is paramount to Callaghan. She still cares. “I love going in every day. If you keep the small mentality, you can be as big as you want. The operation has stayed the most important thing to us because we still care if somebody gets their taxi.”
“The ability to openly discuss business opportunities and threats, without fear or favour, is very important in banking relationships,” says Killian O’Flynn, Head of SME Banking in Permanent TSB. “VIP Taxis is a perfect example of a business that has faced challenges but makes opportunities to succeed by never giving up.”
