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Careem and Uber two popular ride hailing services in Pakistan are now changing their system by tweaking pricing strategy.

The strategy is similar to people sell drugs to addicts; first, they introduce their products to potential users for the fraction of cost or even free. Once the users are addicted then they can demand anything they want and keep generating perpetual income from them.

The reminiscent of this strategy can be seen in Careem and Uber, they spent millions in advertising, compensating drivers and offering cheap services to the customer now they are going back to the original business model to generate more revenues which could result in more profits.

Now Careem and Uber are using their “Peak Factor” strategy to draw more money out of your pockets. It was believed that during Eid holidays the peak factor is well justified because of the shortage of drivers and surge in customers. But Careem was observed applying peak factor during the previous weekend.

Many people complain about the peak factor which is totally unfair even when 3 to 5 cars are available nearby, one user said, “I have been facing and paying peak factor every day now” the peak factor normally ranges from 1.2 to 3.5, are multiplied by this becomes really expensive for many users and it started to haunt frequent users now.