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Mon 24 Dec 2018 10:25 AM

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Video: Careem launches new food delivery app

Dubai-based ride hailing app Careem has announced the launch of an online delivery platform for goods and services.

Careem NOW is Careem’s expansion into the food delivery market as the company expands its platform beyond ride hailing to payments, delivery and mass transportation, the company said in a statement.

It added that over $150 million will be invested in Careem NOW, which will initially launch in Dubai and Jeddah. Careem NOW will operate via a separate app - available for Android and iOS.

Adeeb Warsi, managing director of Careem NOW, said: “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.”

He said 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 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. The zone-based launch will begin with Dubai and Jeddah, with Egypt and Pakistan to follow.

Warsi added: “Over 85 percent 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.”

Food delivery in Careem NOW's target countries is predicted to become a around $25 billion market by 2022, he said.

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.

In Dubai it will operate in Business Bay, Jumeirah 1, JLT, Marina, Tecom, Al Quoz, Diera, Garhoud, Motor City, Sports City and in Al Rawdha, Al Salamah, Al Naeem,Al Hamra,  Al Andalus, Al Khalidiya, Al Safa, Al Zahraa in Jeddah.

(Source: Arabianbusiness.com YouTube channel)