Ride-hailing app Koi has been forced to reconsider their business model following fierce competition from rivals Careem and Uber in the Dubai market.
Now, the company is switching from a B2C model to a B2B one, effectively diverging from the market Careem and Uber dominate. They are doing this by turning their attention to the limousine market, or luxury chauffeured vehicles.
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Named after the East Asian diamond, Koi brings customers what it calls the 32 CARat experience.
Koi is targeting luxury ride companies who were previously having difficulties in connecting to consumers. With its new model, the Koi app will be the link between luxury ride companies and customers, revolutionizing this higher-class market and bringing it into the 21st century, while simultaneously offering this premium service in a more user-friendly manner.
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The company offers both an economic option, and the full-blown luxurious experience, named Koi 18 and Koi 32 respectively.
Koi is hoping to detach itself from its physical assets, to instead focus on providing a digital service. They are currently leasing the limousines, but hope to cut rental fees eventually by operating solely as the liaison between limousine companies and customers.
Currently, Careem is the most popular ride-hailing app in the region. According to Crunchbase, it was valued at $1.2 billion last year, a significant figure given it is a relatively new company, having been founded in 2012.
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Source: Press Release