Dubai-based transportation network company, Careem has launched an online delivery platform for goods and services called Careem NOW. With this launch, Careem has expanded into the food delivery market – to begin with – going beyond ride hailing to payments, delivery and mass transportation.
Commenting on the launch, Adeeb Warsi, managing director of Careem NOW, says, “Careem NOW can do for food delivery what Careem has successfully done for ride hailing. Careem NOW will create awesome dining experiences, more employment opportunities and have a hugely-positive impact on the rapidly growing food delivery market as it’s rolled out in each country. It’s another new vertical from Careem as we expand beyond ride-hailing.”
Over $150 million will be invested in Careem NOW, reflecting Careem’s level of commitment in bringing a first-class delivery service to the region. The service will initially launch in Dubai and Jeddah, with Egypt and Pakistan to follow. Careem NOW will operate via a separate app – available from today for Android and iOS.
Careem NOW has decided to start within a few selected zones, and expand from there. In Dubai, it includes Business Bay, Jumeirah 1, JLT, Marina, Tecom, Al Quoz, Diera, Garhoud, Motor City and Sports City. In Jeddah, the network includes Al Rawdha, Al Salamah, Al Naeem, Al Hamra, Al Andalus, Al Khalidiya, Al Safa and Al Zahraa.
Careem’s 33 million existing customers can add food delivery through the Careem NOW tech and enjoy the convenience of a single identity across Careem and Careem NOW. Existing Careem customers will be logged seamlessly onto the new app, and stored payment details and addresses will be automatically linked.
Careem NOW will be operated independently from the ride-hailing business, and delivery will work through both a marketplace and dedicated-fleet model. Operating seven days a week (and in line with restaurant operating hours), the service will also have a dedicated call centre. The pricing structure includes a customer fee for delivery.
“Over 85% of the food delivery markets in our region still operates via traditional call-and-order methods. Through our extensive infrastructure network and technology, we can immediately offer a vastly superior service,” adds Warsi
According to internal research, food delivery in Careem NOW’s target countries is predicted to become around $25 billion market by 2022. Careem NOW follows on from the launch of Careem Bus in Cairo and peer-to-peer credit transfer as Careem expands into new verticals and building out its platform businesses.
Words by Katie Streten Experiential Strategy Director, VMLY&R COMMERCE Throughout the last year,June 13, 2021 | By Shruthi Nair
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