Transit routes cannot cover every street and corner of a city and its suburbs. There tends to be significant distance between origin/destination and transit stops. This is the first/last mile problem. By combining taxi, scooter, bicycle etc. with public transport, the first/last mile problem is solved, and the transit network expands to every part of the city. Furthermore, this can be seen as an alternative to Bus Rapid Transport (BRT) systems. Many cities in the developing world do not have advanced public transport infrastructure. One cost-effective solution is the BRT, but this also depends on the availability of land to build the extra bus lanes, which creates a problem for unplanned cities. With multimodal ride hailing, the city can use a combination of local and express bus routes integrated with taxis, bikes etc. to achieve near-BRT efficiency at a much smaller fraction of the cost.

Most cities lose money operating Park & Rides (P&Rs). Also, there is typically a lack of space for building new ones and existing ones are oversubscribed resulting in surplus cars further congesting roads. With taxis, scooters etc. serving first and last mile, P&Rs would no longer be needed and can be converted to revenue-generating transit oriented development.

Park & Rides require a lot of real estate and are thus limited in where they can be sited. The existing ones have high demand. As such, motorists who are unable to park and ride end up on the highway leading to more traffic congestion. SimRide offers cities the option of getting more people to ride public transit and reduce congestion.

Road transportation is a significant contributor to greenhouse gas emissions. The more people ride public transport, the more cars are taken off the road. This is an important factor for cities to achieve carbon neutrality. SimRide offers a tech solution that enables cities to adopt the most energy efficient system of transportation.

City governments can boost the local economy by adopting multimodal ride hailing. The first way is by the increase in economic activity in the area of first and last mile options (taxi, scooter, bicycle etc). Secondly, multimodal ride hailing has the potential to accelerate the adoption of self driving taxis in a given city. This is because, while a self-driving taxi might not be able to ferry passengers from one end of a city to another, it could carry passengers over one mile in certain areas of a city where it is deemed safe (e.g. based on speed limit or number of lanes).