Business

What Makes the PSO-Uber Agreement So Significant?

If anyone is looking to see whether the traditional, ancient dinosaur corporations are still big, should sit up and read the announcement PSO recently made. Through a press release, PSO and Uber announced that they had signed a strategic partnership agreement.

The question is: do brands, even the ancient ones, need to invest in making their own ecosystem and rewards systems when so many already exist?

If anyone is looking to see whether the traditional, ancient dinosaur corporations are still in the driving seat, they should sit up and read an announcement PSO recently made. Through a press release, PSO and Uber announced that they had signed a strategic partnership agreement. Through the terms of the agreement, PSO will provide DIGICASH Fuel Cards through a Fuelink Mobile App and special offerings to the Uber partner drivers. DIGICASH will provide a controlled and convenient fueling experience for Uber partner captains across Pakistan to help monitor their fueling expenses.

The question is: do brands, even the ancient ones, need to invest in making their own ecosystem and rewards systems when so many already exist? Let’s look at it from both perspectives.

Corporations like PSO need to court younger companies. Let that settle in. Pakistan’s first company to cross one trillion rupees in revenue that has been around for 45 years, really has no choice upgrade its outlook unless it reaches out to companies that didn’t exist in Pakistan 3 years ago.

PSO benefits greatly in its PR value. Sure, the Digicash and the App give PSO some mileage. Uber perhaps needs to be tagged with an institution like PSO to help further cement its stability. The ride sharing economy may be new in Pakistan but you can’t question its longterm viability when a large state-owned entity comes a’calling. Having said that, unless the app has an ecosystem valuable enough to attract drivers to using it, the adoption won’t happen. For that valuable ecosystem and incentivized drive to adopt, there are plenty of solutions out there. After all, isn’t that the desire of every brand working to develop a Super App?

What do you think is the roadmap for a ‘strategic alliance’ like this one? Where do you think the Super App trend in Pakistan is headed? Who do you see collaborating with one another? Let’s talk!

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