LAHORE: Ride-hailing service Uber is celebrating its first six months in Lahore with an announcement that it will slash fares for the provincial capital by 30 per cent in order to "boost demand", starting Sept 1.
Uber, which started operations in Lahore in March this year, said it has cut per kilometre charges for its "low-cost" UberGo cars from Rs 13.7 to Rs 6.84. It also reduced slightly the per-minute waiting charges, but base fare and other charges remain the same.
"Uber will not only be more affordable for riders but driver-partners should also earn more through increased demand," said a press release issued by the company, which claims to employ over 1,000 drivers in Lahore alone.
"Price cuts boost demand so more people are requesting more rides with Uber, meaning drivers will spend more time with riders in the backseat and less time sitting idly waiting for a request," said Zohair Yousafi, the transport giant's Head of Expansion for Pakistan.
The app-based car-hailing service did not say how it plans to cope with demand that is likely to increase after the price cut, especially since complaints about car unavailability on Uber's social media pages are not uncommon.
Uber, currently valued at over $50 billion, has expanded more quickly globally than any company in history and is operating in over 475 cities in over 75 countries.
In Lahore, its shares the market with other car-hailing ventures such as Dubai-based Careem and A-Taxi operated by Turkish firm Al-Bayrak.