Popular ride-hailing service, Uber, has launched a new service called “UberAuto” in Pakistan in an effort to expand its customer reach, reported by ProPakistani.
Starting from Lahore, the UberAuto service will gradually be expanded to major cities across Pakistan like Karachi and Islamabad. Rickshaw is still the most mode of travel in Pakistan, a country where Uber is yet to establish its foothold.
Although, ride-hailing services like Uber and Careem are getting popular in Pakistan, but it is still costly for the majority of the middle and below-middle class people. Whereas rickshaw service is cheap and widely used by the majority of the population.
The new service will help Uber to increase its customer reach and will attract the low income class people who mostly prefer to ride on Rickshaws. Besides this, Uber is the first company which launch such service in Pakistan and there is no competition in the market.
It is worth mentioning that Uber launched similar services in India last year as an experiment, but it was stopped just after 9 months. The company also started rickshaws service called UberTukTuk in Egypt at the beginning of this year.
Uber has not revealed pricing plans for UberAuto but it is expected to come in much cheaper as compared to the company’s cheapest service UberGo — currently priced at Rs. 6.84 per kilometer and Rs. 3.15 per minute.