Tuesday, April 16, 2024

Careem Reduces Its Commission to 5% In Support of the Restaurant Industry

With the second wave of COVID-19 entering Pakistan and the closure of indoor dining-in, Careem, the Mega App of the Middle East and Pakistan has announced that its restaurant commission fees will be reduced to 5 percent. This announcement was made on the social media properties of Careem, enabling individuals to order more.

The reduction in commission fees would allow Careem to expand the required restaurant support by passing on these commissions to customers in the form of discounts while promoting increased orders. The restaurant industry had experienced a serious economic hit during the first lockdown as dine-in was completely shut down due to the pandemic affecting millions of lives.

Things are still difficult; however as new SOPs still need reduced timing with a full in-door dining ban.

Speaking about the growth, Zeeshan Hasib Baig, CEO & Country General Manager Careem Pakistan said: “During these uncertain times at Careem, we always work to best support our partners, customers, and captains.”

Being a major player in the Industry to ensure business success, it is our responsibility to serve as the supporting force behind our communities and vendors. Slashing commission prices is an effort to ensure that the market does not suffer. “We therefore urge everyone to order as much as they can, whether it be direct delivery from restaurants or any delivery app of their choice,” he added.

In the hope that the slashed commission will be passed on to customers in the form of reduced rates and discounts, the All Pakistan Restaurants Association (APRA) also praised the decision taken by Careem Pakistan.

“We want to thank Careem for coming forward in support of the industry in these extremely challenging times, I would urge all restaurants to come forward and pass on discounts to customers,” said Babar Nehal, Chairman APRA.

Prominent restaurant partners such as Tooso, Espresso, Tao, Coffee Wagera, Kaybees, Big Bash, Pan Asia, and The Patio have come forward by voicing their struggles and dedication to overcoming them and showing their support for the decision.

Zeeshan Baig wrote an open letter to the restaurant industry earlier this year discussing key problems they faced as they were one of COVID’s worst affected industries. The letter also outlined some of Careem’s main ideas, such as self-delivery flexibility, no exclusivity, lower commissions, and tailored packages for APRA members.

By launching its food delivery service in Karachi in 2019 and Lahore in October 2020, Careem has launched its food delivery service in Pakistan. The food industry that is affected by COVID, however, has had its effects on development. As a relatively new entrant to the food market, Careem is committed not only to growth but also to safeguarding its interest.

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