Supposedly, all cab drivers within a particular company are supposed to be working on an even playing field, with all having equal access to calls for service offered by the company. However, in some cases, in some companies, some drivers have a higher earning potential because of a scam known as "feeding."
Feeding is generally defined as a driver being given a call by a dispatcher (or other cab company employee) in a manner other than receiving it through normal methods. It may or not be the result of collusion between the driver and dispatcher, and may or may not result in the dispatcher being "paid off" by the benefiting driver. To understand how the feeding process works, it helps to understand how the "standard" dispatching system works.
At my old cab company, XYZ, and my new cab company, ABC, calls for service are dispatched by a computerized call-to-cab matching system. Each cab has a computer terminal in it, connected to the company's host computer through a radio-modem system. The cab terminal has a GPS antenna, to provide a real time position report to the host computer of where each cab is located. This information is used to determine which cab gets which of the calls that may be available.
Although XZY and ABC use the same basic equipment and software, there are some differences. XYZ uses GPS-based matching, where a call is matched to the closest cab; ABC uses Zone-based matching, where a call is matched to the first cab "up" in the zone the call originates in. Both systems have their advantages and disadvantages. I've worked under both systems, and don't really have a preference of one over the other.
In theory, after calls are entered into the computer system by customer service representatives, the host computer handles the actual dispatching of the calls. However, there is a human operator to oversee the system, and to communicate with the drivers regarding the status of the system.
For example, a call may come up in a zone that does not have any cabs in it, or in any adjacent zones. If the dispatcher left the system to it's own devices, the call might never get covered, because a cab might never match to it, or bid on it. At this point the dispatcher might "advertise" the call, to induce a cabbie to cover it.
For example, the dispatcher might send a fleet-wide message saying something like, "The call in zone 233 has wings!" meaning the party wants to go to the airport. This message should generate interest among the drivers, leading one or more of them to bid on the call, thereby maintaining an adequate level of customer service.
However, rather than sending a fleet-wide message, the dispatcher might send the same message to a select driver, allowing only that driver to have the extra information about the call. Moving one step further along, the dispatcher might just override the matching system, and send the call directly to a particular cab. This is the genesis of "feeding."
Even at this stage, the feeding might be relatively benign. The dispatcher may just be sending the message or call to the closest cab, not a co-conspirator; in a future similar circumstance, another cab may be closer, and it's driver will be favored. The motivation of the dispatcher in this type of case is not to favor a particular driver, or group of drivers, but to favor the customer, and get the call covered. Or, maybe, just get the call covered so he can go smoke a cigarette.
Even though a particular driver isn't being favored, this activity is usually frowned on by everyone involved, simply because it looks subversive. It's generally best to advertise calls, and let the cabbies, through the bidding process, cover the calls based on their own decisions.
The type of feeding that I described above was going on at XYZ company. I know it was happening, because over the period of time that I was there, I was sent calls directly from the dispatcher. I could tell this, because calls dispatched in this fashion were labeled as "Personal" on my cab terminal. The odd thing is, in many of these cases, I would have matched to the calls, if the dispatcher had allowed the computer to do it's job. And here's what confused me the most: while some of the calls were bigger than average, I was never approached by a dispatcher to pay a "commission" for the benefit of being sent the calls. What was the motivation here? I'll never know.
As far as I know, this type of feeding is not allowed at ABC company. Apparently, management thinks it best to avoid the appearance of evil, and just let the matching system do the job. If particular calls aren't getting covered, the dispatchers advertise them, and allow the drivers to decide if they want to go after any particular call. This may tend to degrade customer service in some outlying geographic areas, but does maintain the integrity of the entire system.
Meanwhile, back at XYZ, the feeding continues. Certain dispatchers have made it know that they can be "bought." I never had a dispatcher approach me to pay him a "commission" to get better calls, but I know it goes on. The driver manager himself confirmed this to me. He told me that the "fee" varied from dispatcher to dispatcher involved, from a few dollars a week, to a fixed percentage, like 10% of the value of all "fed" calls. According to this manager, whenever he caught a driver or dispatcher involved in feeding, he would fire them. It seems to me he couldn't fire them quick enough, because the feeding never stopped.
And it isn't just dispatchers who can feed calls. Customer service representatives who actually talk to the customers, and enter call data into the system, can also get into the act. One way a CSR can do this is to take the order from the customer, and appear to enter into the system. However, rather than submitting the data to the system, the CSR can send a cellular text message to a particular cabbie, detailing the call, and then delete the call from the system.
As a matter of fact, in this circumstance, the favored cabbie doesn't even have to work for XYZ. Because XYZ has so many "brands," most customers wouldn't even think to question the name on the side of the cab. They're just satisfied to get their cab. The company might never notice what's going on, because as long as the "call" is covered, the customer is never going to complain about what happened.
But, every once in a while, something does go wrong, and the customer calls back to ask, "Where's my cab?" But in these circumstances, it's just assumed that there was a "glitch" in the system. The customer is then told that no record of their call can be found, but that a cab would be sent to them as quickly as possible.
I know that this type of feeding was going on, because a former employee of the XYZ company, who was a CSR, saw it happen, and gave the details to another cabbie friend of mine. This person told my friend that she could not believe the number of times people would call for a cab to take them to Tucson, Las Vegas, or Los Angeles. Calls like this could be worth literally hundreds of dollars to the driver. She said that in almost all the of the cases that she witnessed, the call never got into the computer system. Someone, somewhere in the company, would "hijack" the calls, and send them to their favorite cabbies.
Not really fair is it? All drivers paying the same amount for the use of a cab, but some drivers, being singled out to get better calls, and make more money with less effort.
Well, I never thought that life was fair. Until I found out about the feeding, i just never realized how unfair it could be in the cab world. Guess that makes me kind of a naive sonuvabitch.
But an honest sonuvabitch.
The next installment of "Cab Cheats" will detail how "Ghosting" works.
I hope to see you out there on the road.
Sincerely,
The Cab Guy
Saturday, December 8, 2007
Cab Cheats Part Two - Feeding
Monday, December 3, 2007
Cab Cheats Part One - Background
Well, it's been a few days coming, but I finally feel prepared to explain in some detail the reason I left my old cab company ("XYZ"), and decided to go to work for another company ("ABC").
Today, I'll provide some essential background, and name the offending scams my old cab company allowed to happen. Future posts will detail how the offending scams worked.
I spend the weekend with my friend, Johnny Wraith, who is a lawyer, and a very good one at that, my accusations that he is an alcoholic notwithstanding. We discussed the issues, and how they should be explained, for the purposes of maximum revelation, and minimum likelihood of being sued.
Having previously worked in the Law Enforcement/Criminal Justice field from 1981 through 1997, I was aware that the truth is an absolute defense in any lawsuit accusing a person of slandering or libeling another person, and was prepared to name names, and let the chips fall where they may.
Johnny reminded me that while the truth is an absolute defense against a lawsuit being successful, it does not protect one from being sued in the first place. The cost of defending the suit could be staggering, even if judgement was not granted to the plaintiff (say a cab company) against the defendant (say, Yours Truly, The Cab Guy). He further went on to point out that usually this was of concern only to people with substantial assets, or any assets at all.
Well, since I don't have substantial assets, my estate consisting of some personal property (furniture, computer, a television and stereo system, assorted books, CDs, and DVDs and the like), the few dollars I've managed to save, and my car, I felt relatively safe from retribution via a lawsuit.
However, the hassles of being sued are not negligible. Also, Johnny went on to point out that although I was relatively "poor" at this point in my life, I was not always so, and probably would not be so again in the future. For all of these reasons, and because it really doesn't add to my readers' understanding of what goes on in the taxi business, I have decided to refrain from naming names.
The miscreants who might happen to read my blog will recognize who they are, but will be unable to do anything about it. Anyone involved in the Phoenix Metro Area taxi industry will also know who they are, and may or not take pleasure in the knowledge that what they suspected was going on all along really is in fact happening. They may also take steps to protect themselves from being cheated.
Some additional background is necessary. I have worked in the taxi industry since approximately December 1, 1998, through the present. (NOT 1997, as I have stated elsewhere in this blog; I apologize for that error). I started with "XYZ" cab company, and stayed with them through late May of 2001. I became fed up with some of the practices at XYZ, and so moved on to "ABC" cab company.
I stayed on with ABC company for somewhat more than six years. Over time, some management and policy changes led to my gradual dissatisfaction with ABC. I heard that things had improved at XYZ, so after considering the situation for several months, I went back to XYZ.
In some ways, I was glad of the change, and in others, I wasn't so happy. Last week my nose was thrust, like that of a puppy into his own mess, into the truth of what was going on at XYZ. I quit them, after being threatened with termination, and returned to ABC. S why did I go back to ABC? Well, I was only dissatisfied with their policies; I wasn't being cheated by them.
Do you follow me so far? I know it can seem kind of convoluted, but if you've read my blog for any length of time, you know that I suffer from verbal diarrhea, and a love of excess detail.
So what were the offending scams?
Those of you in the cab community have already guessed that they probably relate to "feeding," in one form or another. Anyone who had this as their guess is correct. Feeding was going on at XYZ Cab Company. What surprised me was how many variations on this basic theme there were, running from a fairly passive form to a very active form of corruption.
For those of you not in the know, "feeding" occurs when a call is given to a driver in a manner that circumvents the normal dispatch system. It may or may not result in any overall benefit to the receiving driver, or the dispatcher (or any other company employee involved).
In it's most benign form, a driver may be "fed" a call to which he would have ordinarily been "matched." However, due to system operating parameters, the matching might not have occurred for several minutes. The motivation for the dispatcher to "feed" the call may be to get it off of "pending" status into "assigned" status, resulting in quicker service to the customer. Or the dispatcher may have just wanted to take a cigarette break, and needed to "clear his board" before doing so.
So, if there was no net benefit to the driver, or the dispatcher, and the customer got his cab quicker, what's the problem? I guess there wouldn't be a problem, if that's a far as it went. But corruption, even if relatively minor, is like rust: if unchecked, it eventually spreads, creating all sorts of havoc and destruction.
In subsequent posts, I'll detail some other more egregious examples of feeding, which provide tangible benefits to the driver and dispatcher (or other company employee) involved, to the detriment of other drivers, and even the customers that the cab company serves.
I can't resist giving you a little teaser about the offense for which I was almost terminated. It's called "ghosting" (also "cloaking", "hooding", or "stealthing"). Frankly, after learning how ghosting works, I came to see it as an ingenious method by which the "ghost cabbie" feeds himself, bypassing the need to directly involve a dispatcher, or anyone else!
Stay tuned for more details. I'm pissed, and want the world to know it!
I hope to see you out there on the road.
Sincerely,
The Cab Guy
Posted by Ronald Matthew Kelly at 7:45 PM
Sunday, November 25, 2007
Big or Small, I Take 'Em All
All my life I've heard how important it is to not disregard the little things. Actually, the advice is usually stated this way: "Take care of the little things, and the big things will take care of themselves." This advice is so appropriate in the cab world.
At least once a day, someone will get in my cab and say something like,
"I'm sorry this is such a short trip, but I only need to go to..."
And they name someplace that's close by. This happened to me three times today. The only reason I can think of for someone to apologize for how short a fare might be is that some other cabbie, in the past, has made it obvious that he (or she) was very disappointed to get a short fare, as opposed to a longer one, and made that disappointment obvious to the customer. This experience probably left the customer embarrassed, and feeling that many or all cabbies feel this way, hence the need to apologize to me.
You don't need to apologize to me. I'm never sorry to get a fare, any fare, because they all fall to the bottom line. Sure, it can be tedious to get a whole string of five or six dollar calls, all in a row, but I usually don't worry about it. I know that by the end of the day, or week, or month, everything will balance out, and I'll have received my fair share of short, medium and long fares, and make a pretty good living from doing my job.
You see, my average fare, with tip, is currently (over the past year) about seventeen dollars. Today I took ten calls in about eight hours, and booked $191.00, a little above my per-call average, but it's in the ball park. A normal day is usually about eleven or twelve hours, twenty to thirty calls, and total bookings of $275.00 to $325.00. (For the purpose of accounting for my time, I include "no shows" in my trip count, which tends to skew the per-call average downwards.)
If I were to adopt a business plan that demanded I refuse to make any call that was less than, say, twenty dollars, you can easily see I'd be giving up somewhat more than half my usual total bookings. After my expenses for gasoline (a variable expense equal to about 12 to 15% percent of bookings) and cab lease (fixed, regardless of bookings), I'd end up taking home way less than half of what I usually do.
Gas and lease for a $300.00 day is about $140.00, netting me about $160.00. Gas and lease for a $150.00 day (say maybe five to seven hours) would be around $125 or so, netting me $25.00. This would be a quick way to go broke. (Today was a horse of a different color: It was my "free" day. The company from which I lease my cab only charges me for six days, if I keep the cab for seven. Thus, the seventh day is free. So my total net income was about what I'd usually do on a regular day. I don't need to work the "free day." But today I had nothing better to do.)
So I take every call that our dispatching system offers me. More calls, however big or small they are, equals more income, which can only be a good thing for me. Now, if you call me personally on my cell phone, I do require a twenty dollar minimum payment. I assume you want me, rather than some other random cabbie, because of the superior level of service you think I provide. Let's face it, you have
Folks, never apologize to a cabbie for taking a short trip. If you feel a cabbie is disdainful of you because you're not going very far, ignore him. You are the bread and butter of the personal transportation industry, at least here in the Phoenix market, for the segment I serve. If every person who needed a "short trip" were
Personally, I don't want to do that. I like what I do. Sure, I've had higher paying jobs, with more "status" or "prestige." But those jobs always came with a cost. I had to do what someone else told me to do. I had to do it his way. On his schedule. At his whim. For the same pay as other people in the same job, who likely didn't do it as well as I did. To a person like me, that's a mind-numbing trap.
True story: when I was an adult probation officer, for ninety months in a row, more than seven years, I operated at 150% or more of expected minimum performance requirements. But my pay was identical to the guy who could barely manage to stay above 97%. As a matter of fact, for eighty-four of those months, all in a row, I was the top ranked APO in my department, yet I received the exact same pay that every other APO with a similar "time in grade" received.
At the risk of being tedious, allow me to repeat what I said earlier. I like what I do. I am my own boss. I get to work when I want, where I want. My schedule is my own. If I want to cut out early, I don't need permission. If I want to take a day off, I don't have to lie, and call in sick. If I work harder than the next guy, I'll make more than he does. If I make less, it's because I slacked off, I have no one to blame but myself.
Unless I decide to become a multi-cab owner, and lease cabs out to other drivers, I'll never get rich in this business. But I do okay financially, and I really like what I do. Not too many people, if they're really being honest, can say that about their job. I know. I hear the complaints from the back seat every day.
I'll trade the security of mediocrity for the rewards of excellence every day of the week. Especially if Sunday is free!
I hope to see you out there on the road.
Sincerely,
The Cab Guy
Tuesday, November 13, 2007
Australian Cab Fare Prepayment Debate
I'm constantly on the Internet, looking
I forget the website from which I got this 'debate.' I doesn't really matter, because I changed all the names. "Tom" is the alias of the person running the site, with the responses being from "Tom's" readers; mine is the last.
[Post Update: After re-reading this post (on November 21, 2007), I realized that I should have indicated that ALL of the names, save for mine, were aliases. Sorry for any confusion. Also, in his comment, Lucky 327 reminded me where I found the original post. It's at Bytes From the Backseat. Sometimes, this blog is a lot like Russian history: it's subject to revision!]
"Prepayment for Taxis" by Tom:
I had an interesting if rather annoying conversation with a customer last week. Interesting because of his point of view. Annoying, because, like a reasonable percentage of my customers he was drunk.
Basically, he was saying that in his opinion all taxi fares should be
The point, according to him is it creates a problem between the passenger and driver if the driver asks for the money in advance. All that could be avoided if DPI (Department of Planning and Infrastructure, Taxi Unit) and all the other relevant body’s implemented blanket prepayment of all taxi fares. Further, in addition to that, he suggests an ad campaign utilizing TV, radio and print media to ensure everyone knows about it, thereby eliminating any trouble in the cab and also eliminating the problem of non-payers or runners.
Honestly the idea is solid, I mean, even carrying drunks would be less stressful if you knew the money side of things was already taken care of. Taxis are the only form of transport around that offers pay at destination. Sure, there are some issues with credit/debit cards, etc.
I think it’s time we moved out of the dark ages and made the change.
This entry was posted on September 29, 2007 at 4:37 and is filed under fares, info, opinions. You can follow any responses to this entry through the RSS 2.0 feed You can leave a response, or trackback from your own site.
3 Responses to “Prepayment for Taxis”
Red Foreman Says: October 24, 2007 at 5:27
I’ve read this blog for a time, on and off. Nice color scheme, and very informative. And yes, if there was someway to make everyone pre-pay, wouldn’t things be so much easier? I’m gonna add you as a link.
I have argued for this for years and run into all sorts of inexplicable opposition. The owner of the largest company in my city stated at a public meeting that there were a lot of unscrupulous drivers?! Apparently, he was oblivious to how that statement reflected badly on him. It was actually after being ripped off every week for 9 weeks that I finally quit driving, after 20-plus years, fed up. I’m happy to say I’ve finally found a job doing something I love, with people I respect, but I haven’t forgotten the need to protect drivers. The city I live in is pathetically conservative, and it is next to impossible to mobilize drivers to act in their own interest; I wish you luck. Let us know how it goes.
The Cab Guy Says: October 29, 2007 at 2:14
I drive for a large taxi company in the Phoenix, Arizona (USA) metro area. You know, I agree with you on this issue. But, I have the feeling that your customer meant “pre-payment of a flat rate fee”, rather than a “deposit against the ultimate
Here in Arizona, cab drivers have the right to ask for a deposit in advance of the fare. As a matter of fact, several police departments in the area recommend doing this.
I have a written list of conditions or circumstances under which I might ask for a deposit, which I will show to a potential customer if I am accused of prejudice or racism, or he doesn’t understand why it is appropriate to ask for a deposit. Most people comply immediately, because they’ve been asked before, or they see the logic. Most of the rest complies after I explain the situation.
A few rare individuals exclaim their indignation, saying that I should be ashamed of myself, and that I should just trust them. These people are then refused service. Generally they demand that I call them another cab. I always refuse to do this, and tell them why.
“Look, sir, I am allowed, by state law to require a deposit, for any reason, or no reason at all. Your refusal to comply leads me to believe you won’t pay me at all. There’s no way I’m going to put another driver through that. As a matter of fact, I’m going to notify my dispatcher that you won’t give me a deposit. He’ll make certain that any further calls from you will be cancelled.”
The way I look at it, if someone is offended by this practice, then they really don’t have any empathy for other people. Therefore, why should I trust them?
As to enacting something like a “prepay” system, I really don’t think there would be that many problems. Just estimate the trip mileage, calculate the fare from this estimate, add ten for fifteen percent for “wiggle room” (traffic delay, unexpected stops, etc.), give this total estimate to the customer, and clearly state that they will receive any change, if due, or owe a balance if the estimate proves insufficient.
I’ve used this procedure for years, and have never been accused of ripping someone off. I also do not worry about how the practice might affect my tip income, the way some cab drivers do. The way I look at it, I rather have 100% percent of what’s on the meter and no tip because of a deposit, rather than 0% of the meter plus tip because I failed to get a deposit.
In the old days, people could be trusted to pay someone what they owed, and that is why it was customary to collect the fare at the end of the trip. This custom has long since out-lived its useful life. It is an archaic practice that should have been eliminated a long time ago.
As a final note: this is what I say to people who refuse to give me a deposit because “the last guy didn’t ask for one”: “Well, if you’re so offended, then give him a call!”
Sincerely
The Cab Guy
