A thematic analysis of the factor which contributes to

users’ intention to use Careem: Perspective of users and

non-users.

Faraz Afzal
(11788)
Muhammad Nabeel Akhter
(01315)
Osama Ahmed
(01464)
Tehreem Anwar
(12007)
Background:
Ride-hailing has become a growing trend in recent years in Pakistan. Careem and Uber are the
main competitors in this market. To attract people both companies are constantly introducing
attractive discount offers. We are conducting this study on behalf of Careem, to analyze the
factors which influence consumer to use Careem. This qualitative study investigates “is price
really the predominant factor” and besides price what other factors influences the consumer to
use Careem in Pakistan. Understanding the concepts and beliefs expressed by the respondents
will help us gain an insight to consumers’ intention to use.
Method:
Two focus group were conducted. Each group had eight respondents. They were conducted using
a semi structured approach and data was analyzed thematically.
Non-Users:
First group was conducted with non-users whose usage frequency was three to four times a
month. The respondents either had their own personal means of transport, preferred Uber or were
using Careem but non-frequently.
Users:
Second group was conducted with frequent users with usage frequency of more than four times a
week. This group mainly consisted of students.
Results:
Multiple themes were identified as influencer; avoidance to drive, time saving, change in life
style, price vs quality, preferred method of payment, Preference between Uber and Careem,
Preferred service of Careem, booking experience, influenced by social circle, alternate for taxis
and rickshaw, attitude of drivers, Car conditions, effect of promotion code, technology of mobile
application, perception about Careem Charges, choosing Careem at a higher price.etc.
Conclusion:
On basis of qualitative research conducted, intention to use amongst the users and non-users
primarily depended upon comfort and price. Intention to use was highly influenced by promotion
or discount codes amongst other factors.
 Analysis of themes

1. Time Saving:

We learnt that respondents from focus group with high frequency usage were heavily
influenced by saving time. As one of the respondents pointed out that when going to
crowded places or on weekends, using Careem not only saves parking time but ensures
safety of car as well. They preferred waiting for Careem than to driving their own car or
looking for rickshaw or taxis. While the respondents in the non-user group were divided,
most of the respondents agreed that using Careem saves time. On the other hand, some of
the respondents pointed out that looking for parking is balanced out by waiting for
Careem.Saving time is an influencer on users’intention.

2. Change in life style:

A common trend was observed amongst the respondents from both the groups. All of them
agreed to the convenience offered by the ride-hailing applications and how that has brought
 ease in their lives. They pointed out that using these services have changed their lifestyle,
especially for women. One respondent shared that at first, she would have to make her plans
in accordance with the schedule of male members in her family or other option was to look
for taxi or rickshaw but using Careem has made her independent. Another respondent
pointed out that in his absence his wife along with children can travel easily. Consequently,
users and non-users both agree that Careem has impacted their life for good.

3. Price vs Quality:

With regards to choosing between quality and price respondents have different opinions.
Majority amongst both focus group, chose quality while some inclined towards price. Among
frequent users of Careem quality was more important except one respondent. They had
different perceptions about quality. Some believe, quality was the most important factor and
must be at par with their expectations. For some quality is important but not the most
important factor. While some respondents mentioned that they don’t want exceptional quality
and were willing to compromise on quality for a price value that lies in their budget.
While most of the non-user respondent mostly preferred price over quality. One of the
respondents mentioned that for cheaper price he would not care about quality. Hence, Quality
is a motivator for Careem’s frequent users.
4. Avoidance to Drive:

One common insight we developed from the focus group was; respondents were willing to
use Careem to avoid driving through rush hours. They want to avoid stress of driving in
heavy traffic. Non-users use ride-hailing applications to avoid pressure before they are going
for work or any social event. At rush hours all of the respondents were choosing comfort
over driving themselves.
5. Customer Satisfaction:

With regards to service all the respondents agreed that they were satisfied with Careem’s
performance. Respondents were contented by the services Careem provides; whether the
anonymous calling feature, Careem wallet or 24/7 available helpline service. Frequent users
indicated although they sometimes face problem with location tracking or booking cars but
still they would continue using Careem due to the satisfaction they get from Careem’s
services. It can be said that satisfaction motivates both users and non users.
6. Preferred method of payment:

Careem provides a number of payment methods. Customer can either pay by cash, credit card
or Careem package. The various options are provided to lessen the cash handling and make
paying easier for customer. While focus group indicated contrasting opinions among frequent
users; as they were reluctant to give their credit or debit cards to unknown drivers. Someone
pointed out that they would not be able to trust drivers with their cards as it has their personal
details. Other respondent based on what she had heard that; some of the drivers are not
pleased with payment through card as drivers don’t receive cash up front.
While majority of non-user respondents considered cash handling difficult than paying
through credit card and praised different payment methods; and considered it as keeping up
with advancement in technology. Only one of the respondents expressed their concern about
using credit/debit card. In conclusion, Careem needs to create awareness about their payment
methods among their frequent and non-frequent customers.
7. Preference between Uber and Careem:

Uber is perceived as much cheaper than Careem. All of the respondents whether users or
non-user considered Careem as expensive than Uber. Frequent users found Careem
economical with the quality service it provides but still in comparison Uber is much cheaper.
One of the respondents remarked for Uber “cheap but no quality”. They justified Careem’s
higher prices by the condition of the cars and behavior of the captains. Most of the frequent
users were willing to pay higher for Careem.
8. Preferred Service of Careem:

All the respondents’ choice of service was Go. As Go, is easily available and spacious. While
some used both based on the availability and weather. Go mini is another option in case of
higher rates. Some stated that it depends upon the situation, if they are travelling a long
distance or with large number of family members or friends they prefer Go+. Go is used
 mainly for daily routine and provides affordable fare. Consequently; consumer preferred car
which is spacious, comfortable with affordable fare.
9. Booking Experience:

Through the focus group we learnt that many non-user participants avoid using Careem or
Uber just because of their perception about booking time. They want the car to be available
as soon as they have booked the car through app. One respondent added that sometimes
location tracking is not précised, sometimes the device shows 10 minutes and will arrive in
20 to 25 minutes. Other respondent advised to call the driver that would give the user an
estimated time car will take to reach. Frequent users also shared the problems they have
faced while booking cars. Often problems are at drivers’ end, drivers simultaneously book
two rides and then asks the users to cancel their rides. However, the respondents were
pleased by the active helpline and how quickly helpline accommodates user with another
ride. People are influenced by their experience of booking and decide on this factor whether
they should use Careem or not.
10. Influenced by Social Circle:
Among the non-frequent user group participants admitted to having influenced by their
reference group. One participant added they came to know about Careem through their
social/reference group. Frequent users admitted to certain extent of the influence of their
social group through their friends or family. Although maintained they make the decision if
they want to use Careem or not. Effect of social circle on intention to use is disputable.

11. Alternate for Taxis and Rickshaw:

A common insight was gathered from both the focus groups they appreciated ride-hailing
applications and how it has proved to be an alternate for rickshaw and taxis. Before ride-
hailing services taxi or rickshaw drivers would take advantage of the consumer by
demanding higher fare. As people had no other option they were forced to pay these fares.
Careem and Uber have provided an alternate option to users. This is another factor which
influences people to use Careem or Uber.
12. Attitude of drivers:

Insight revealed that many respondents despised uber and choose to refrain from using uber
because of the attitudes of the drivers. One respondent shared his view based on his
experience “drivers at Uber behave as they are doing you a favor” While respondents
especially who frequently use Careem highly appreciated the attitude of drivers at Careem
and stated it as one of the motivators that influences them to use Careem.
13. Car Conditions:

Another factor which motivates the user to use Careem is condition of the cars. Respondents
stated it as a positive point for Careem. While on the other hand, frequent users stated their
reason to switch from Uber or not using Uber; was the condition of their cars. One
respondent stated that cars at Uber are not well-maintained and are in pathetic
condition.Their cars smell, windows and seats are dirty. They don’t provide the service that
they should. Careem should use this insight to their advantage.
14. Reliability/ Trust:

We discovered an underlying insight from both the focus group that another reason people
use Careem is because they perceive Careem as reliable and trustworthy. For women
participant they are influenced to use Careem and considers it as the reason they can move
safely and independently.
15. Effect of Promotion Codes:

Promotion codes effect the users’ behavior. It creates a positive impact on the minds of the
users. Whether frequent or non-frequent user both were influenced by promotion codes. For
most non-frequent users price discount was the prime motivator which influenced them to
use ride-hailing application. For frequent users’ discount and promotion codes have an
attraction and creates an ease for them. For example, with promo-codes available they can
take two to three trips in a day. Consequently, promotion code has a significant impact on
both users and non-users.
16. Technology of mobile-based application:
 Non-frequent users were divided some believed that Uber is easier and for some Careem is
easier. One respondent complained that his family members find using uber difficult.
Another respondent added there are more steps in booking car so, Careem is more difficult
then Uber.
On the other hand, respondents who use Careem regularly found their mobile application
more reliable as compared to Uber. While some complained that their mobiles performance
decline when using Careem’s application on data mode.
Talking about Careem’s ride tracking feature respondents were divided while majority in
both of the focus group shared their bad experiences with ride-tracking feature. One or two
respondents were appreciative of this feature and claimed they can easily track ride provided
they have strong internet connection.
However, the performance of the application has not affected regular users but creates a
negative impact on the minds of non-regular users. Careem should take this insight into
consideration and make their application more user friendly.
17. Perception about Careem Charges:

When gathering information participants in non-frequent users group thought Careem was
charging unfairly through peak factors. Most of the respondents expressed similar opinion
and were dubious of Careem, considered it taking advantage of consumer.
 Among the regular-user participant were divided. Half, considered it fair as Careem shows
the whole pricing detail for example; how much they charge per kilometer, peak factor
applied.The other half shared their negative experience. According to one respondent drivers
are charging for peak hours when the rush hours haven’t even started.

18. Choosing Careem at a higher price:

The respondents of the non-user group were strictly against any kind of increase in price. They
already consider peak factor as unfair and felt cheated. They were not willing to pay higher and
would prefer using Uber if Careem increases price.
While majority of the frequent users were willing to pay higher as they have no other option.
They find Careem safer or reliable so they were going to stick with Careem even at twenty
percent higher prices. On the other hand, two respondents were ready to switch to Uber or look
for other options such as using their own car or van. From this insight Careem can look to raise
prices by a small margin with maintaining their retention.
Summary:
This study gives an in-depth insight on the factors that influence people to opt for ride-hailing
applications. We conducted two focus group between the users and the non-user. Both of the
focus had slight variation due to age, education, employment status but were homogenous in the
usage frequency. During the focus group we came across multiple themes which influence the
users’ intention consciously or unconsciously to use ride-hailing applications. Some of the
factors which had similar and positive effect on the respondents’ of both the focus group users
and non-users were promotion codes, discount offers, condition of cars, attitude of drivers, social
influence, avoidance to drive and perception about Careem’s quality. All the respondents
consider now ride-hailing as an alternative to rickshaw, taxis. Most of the users from both the
focus group shared their negative experience with booking cars.

One thing that Careem needs to create awareness about is perception of price and how they
charge peak factor. Most of the respondents that have not used Careem frequently felt they were
charged higher price. The application technology of Careem for regular users is not difficult but
people who use it less frequently find it harder or had created a perception about the application.

An important insight was the introduction of promotion codes changed the user behavior those
users who use Careem less frequently started using it, while consumer with high usage frequency
would increase the number of trips in their routine.

An underlying insight was that respondents from both the focus group associated Careem with
reliability. Non-Users considered it safe for their family to travel while women who were
frequent user considered Careem as a reason they could move independently and were not relied
on their father or brothers.

Although participants recommended some suggestions and shared their negative experiences but
were satisfied with the service they were getting with Careem. Every respondent associated
Careem with quality and Uber with cheaper price.

In conclusion this qualitative research study gives a wholesome perspective of the factors that
influence consumers’ intention to use Careem instead of Uber.