Careem has increased prices of its ride packages

The packages offered by the ride-hailing company Careem are very popular mostly among the office or school going people in Pakistan who have to use a cab service daily. Many claim that the rates for the Careem packages are reasonable enough and an average salaried person can afford it easily, but it won’t be the same now.

Not anymore. Careem, yesterday, increased the rates of its packages, and the new prices have risen by almost Rs. 100 per package. It should be noted here that Careem is tax-free in Punjab and Balochistan where as a tax of 5% is applied to consumer ends in Sindh and 2% on consumer ends in KP. The new tax regulations, petrol price, acquisition of Careem and of-course, how these ride-hailing services are operating in very thin margins, can be a reason for the hike in prices.

A question that can be asked is if Careem has no consumer tax in Punjab, the rates shouldn’t be increased here as well. But this is not the case, the different tax-rates in different provinces have impacted the overall Careem service charges all over the country and hence we are bearing witness to the new package prices of Careem.

Following are the new prices of the budget packages of Careem

• 3 rides for Rs. 249 (14 days)
• 6 rides for Rs. 449 (14 days)
• 10 rides for Rs. 649 (14 days)
• 20 rides for Rs. 999 (30 days)

Unlike the old packages, which offered Rs. 110 discount on every ride, new ones now offers Rs. 120 discount on each ride and are still applicable on most ride type on Careem.

However, the 30 days packages offer a higher value for money as described through the rates above.