Careem, the region’s leading multi-service super app, has acquired a minority stake in the UAE-based digital car rental platform Swapp. The investment marks a significant deepening of the strategic partnership between the two companies, which began in 2022 with the integration of Swapp’s services into the Careem app under the “Careem Car Rental” brand.
Enhancing the Digital Rental Experience
This new investment will empower the two companies to jointly develop and deploy innovative solutions aimed at creating a seamless car rental experience. Upcoming features include instant user registration and digital Know Your Customer (KYC) verification, alongside a one-hour car delivery promise powered by Swapp’s smart fleet management systems. Customers will also be able to track their vehicle’s delivery in real-time directly through the Careem app.
Flexible Mobility Solutions on the Horizon
The expanded partnership is set to introduce more flexible and user-centric mobility options. Plans are underway to allow customers to easily exchange their rental cars as their needs change. Furthermore, the collaboration will explore rent-to-own programs, providing a clear and accessible pathway to vehicle ownership for long-term users.
Capitalizing on a Growing Digital Market
The strategic move is well-timed to capitalize on the rapid digitization of the UAE’s mobility sector. According to market estimates, the UAE’s car rental market is projected to generate $175 million in revenue this year. This figure is expected to grow annually by nearly 5%, reaching $223 million by 2030. Crucially, an estimated 87% of this revenue will be generated through online platforms, highlighting the immense potential for Careem and Swapp’s integrated digital-first approach.
About Careem
Careem is the MENA region’s premier multi-service “super app,” providing a comprehensive suite of services that includes ride-hailing, food and grocery delivery, digital payments, and various third-party services. Serving millions of customers across the Middle East, the platform is dedicated to simplifying people’s lives and building an inspiring organization.
About Swapp
Swapp is a UAE-based digital platform specializing in car rentals and monthly subscriptions. The company leverages technology to offer a flexible, convenient, and deposit-free vehicle rental experience, delivering cars directly to the customer’s doorstep and managing the entire process through a seamless digital interface.
Source: Jawlah
