Careem Launches Budget Taxi Service in Dubai

The cost of a Careem taxi in Dubai will be in line with the base prices of a city taxi.

Careem launches the new budget Go taxi service in Dubai, the minimum cost of a trip in which will start from 12 dirhams ($ 3.2). Thus, trips will be 30 percent cheaper than the standard Careem fare of 16 dirhams ($ 4.3) and equal in price to the base fare of the State Taxi of the Roads and Transport Authority (RTA).

Go has been in test mode since April.

Bassel Al Nahlawi, general manager of Careem in Dubai, said: "We collected our first results, and the RTA was very pretty of them."

Careem Go launched on a limited fleet of 300 cars.

Although the minimum tariff for the service will be set at 12 dirhams, prices will automatically increase by 10-50% during peak hours when demand rises. Al Nahlawi said that dynamic pricing works for everyone, because in this way orders are distributed efficiently and quality service is guaranteed.

The most common trips in test mode were carried out over short distances.

Careem is also considering carpooling, car sharing. The company has already launched a similar project in Jordan and intends to present it in Dubai next year. Careem is currently working with RTA to integrate the service.

"Reducing the number of cars, and at the same time reducing traffic jams, will make the city residents happy. Studies have shown that during peak hours the number of cars can be reduced by 50 percent," he said.

The company also works with government agencies in Abu Dhabi to introduce its limousine service in the first quarter of next year, which will be 30-50 percent cheaper than now.

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