Competition increases as Paxi enters the ride hailing market

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Uber and Careem are undoubtedly the pioneers of ride-hailing services in Pakistan. It is an admitted fact that these ride hailing services are becoming immensely popular throughout the country. Considering this window of opportunity, new entrants are making their way into this business to cash on the competitive advantage.

Paxi is also a new entrant into this ride hailing business. Unlike other apps, Paxi does not rely on a mobile application to run its operations. Considering the fact that a lot of people in the country do not have the facility of internet and smartphones, Paxi is trying to target the audience that prefers calls and messages.  

The working mechanism of this service is quite innovative. The CEO of Paxi Mr. Zahid Sheikh explained that customers will get in touch with their call centre representatives over a phone call. The representative will create an account for the customers using their cell numbers and will issue them a 4-digit PIN code. The customers will use the 4-digit PIN code to initiate the ride. The service is not just limited to be reserved in advance, the company is also offering rides with very short wait times, which will enable Paxi’s customers to book a ride on the go.

In order to make the vehicles recognisable to the customers, Paxi is using Vinyl wraps on all their vehicles. Moreover, the company’s drivers will be called ‘pilots’ and they will be wearing a uniform.

It should also be noted that telecom giant Jazz has also launched a ride hailing service named mLift last month in the twin cities of Rawalpindi and Islamabad.



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