Ride-hailing giant Careem has announced that it will be reducing its restaurant commission fee to 5%. This development has been motivated by the government-enforced closure of indoor dining as Pakistan goes through the second wave of COVID-19.
Careem’s food delivery service is clamping down on its commission fees to the restaurant industry in order to support restaurants during a challenging time for the industry. It is instead passing down these commissions in the form of discounts to customers in order to encourage them to place orders.
During the first wave of COVID-19 in Pakistan, restaurants all over the country faced tremendous economic hardship as they were forced close shop right away. While the situation did improve over time, not much has changed as restaurants continue to face challenges as a consequence of new SOPs that require reduced timing with a complete ban on indoor dining.
CEO and Country General Manager Careem Pakistan Zeeshan Habib explained that the decision was motivated by the company’s desire to ensure that the restaurant industry does not suffer during these uncertain times. He went on to urge the masses to order as much as they can to enable these businesses to sustain themselves.
“At Careem, we always work to best assist our partners, customers, and captains during these uncertain times. Being a key player in the industry, it is our duty to act as the supporting force behind our communities and vendors to ensure business sustainability. The initiative of slashing commission rates is to ensure that the industry does not suffer. Hence, we urge everyone to order as much as they can- be it direct delivery from restaurants or any delivery app of their choice,” he said.
In response, the restaurant industry has been vocal about its appreciation of Careem’s decision to slash commission rates, with the All Pakistan Restaurants Association (ARPA) chairman Babar Nehal expressing his gratitude for this development.
“We would like 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,” the chairman said.