Kakao Mobility Co., a South Korean online parking and cab-hailing services provider, stated it had acquired Pet Me Up. Launched in 2016, Pet Me Up is a leading South Korean startup that provides taxi services for pets.
Pet Me Up acquisition
In Pet Me Up, users can book rides through its mobile app, telephone, and online platforms, with a standard fare starting at KRW 11,000 ($9.69). Since its release, Pet Me Up has grown significantly, used by customers over 50,000 times.
Besides offering pet taxi services, Pet Me Up provides basic pet necessities such as diapers, pads, and animal insurance coverage. Kakao Mobility obtained Pet Me Up to establish a pet taxi service unit in line with its business expansion goals. Kakao Mobility revealed that it would set up the pet taxi unit to broaden its existing innovative taxi services. According to Kakao Mobility, it will finalize the deal and become Pet Me Up’s official provider on March 22.
Through the acquisition, Kakao Mobility targets to create a synergistic mobility alliance to help advance the country’s pet services market. Recently, South Korea saw a considerable increase in the pet service industry, with pet food and pet hotel businesses multiplying. Based on industry estimates, officials expect the South Korean pet services market to amount to KRW 6 trillion ($5.2 billion) by 2027.
Kakao’s Business Platforms Diversification
“Kakao Mobility has solidified its leading position with over 20 million users, making it more stable in terms of business compared to other companies,” said Kakao Mobility. “The company sees the pet taxi service acquisition as a way to occupy the market ahead of its industry competitors.”
Recently, the Kakao Corp. subsidiary steadily diversifies its portfolio, venturing into various businesses, including car wash and ticket reservation services. In April, Kakao Mobility will include car care services in Kakao Navi, its navigation and traffic app. In launching the car care platform, Kakao Mobility partnered with several car repairing, car-washing, and other car-related businesses. Kakao Mobility will also introduce a car market resale feature, allowing users to determine their car’s resale value.
By expanding its offered services and platforms, Kakao Mobility improves its existing profit sources, strengthening its market lead and stability. In addition to enhancing its mobility franchises, Kakao Mobility distinguishes itself from other competitors by constantly upgrading its taxi operations. Other South Korean companies have expanded their taxi services, and some have also ventured into pet taxi operations.
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