Pic Credits: Careem App

Careem today announced that they will have fixed pricing instead of estimated prices. The fixed fare calculation method is now used in which you will have your ride fare displayed the moment you're about to confirm your booking i.e before clicking 'Chalo'  button.

How upfront fare will be calculated:

As per the Careem App notification, the price is the calculation based on the combination of estimates such as distance from pickup to drop off location and the ride time, the app will show exact fare as a result the user does not need to guess.

Terms and conditions for fare calculation:

 For this calculation certain terms and conditions are applied:
Fare may change due to additional stops, update dropoff the point, pass by toll gate (toll plaza), route change due to things like traffic or road closures or if captain waits longer than a grace period (i.e 3 minutes).
When any of the above conditions are met the fare will be calculated based on distance traveled and the time taken.


How will it affect different users:

There are multiple types of people traveling at different times some people use mostly at peak times whereas some people don't. In my opinion, by this change people traveling during peak times, will be struggling the most, as they'll no longer be able to take alternative routes because of the captains won't be happy to take an alternate route as the fare will be fixed just like it happens while traveling in the Uber.
Moreover, as the app does not allow us to mark any stop while booking the ride there is a very feeble chance that they will be allowing customers to take any such rides. However, the people not taking rides during the peak time will be delighted to see this change and on the contrary, the people traveling during peak times will struggle as there are traffic jams, longer signal durations.

Conclusion:

The change in the fare calculation method (from estimated fare to fixed fare) will have pros as well as cons. Most of the Careem users are using Careem instead of other ride-hailing services due to the freedom of choosing the preferred route and estimated fare that'll vary depending on your distance traveled and time taken. The real issues and their effects will definitely vary for each customer.
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