- Grab dominates Southeast Asia’s ride-hailing market with a 70% share.
- Competitors are experimenting with alternative models and focusing on electric mobility.
- Partnerships and acquisitions are shaping the market.
Despite Grab’s commanding 70% market share in Southeast Asia’s ride-hailing sector, competitors like Vietnam’s Be Group and GSM, Singapore’s Tada and Ryde, are making their presence felt.
These companies are experimenting with alternate models, such as zero commission rates and fixed salary structures for drivers, to provide more choices to customers and drivers without necessarily challenging Grab’s dominance.
Electric vehicles gain traction
Electric mobility is another area where several ride-hailing firms are focusing their efforts. Grab has over 10,000 electric bikes in its fleet in Indonesia, the largest EV rental fleet in the country.
Meanwhile, Vietnam’s GSM, backed by Vingroup chairman Pham Nhat Vuong, is pushing for the development of an EV ecosystem, planning to recruit additional taxi and motorbike drivers to its existing fleet of 40,000 electric vehicles.
Partnerships and acquisitions shape the market
Smaller players are forming partnerships to make a country-specific dent in Grab’s operations. Be Group has partnered with GSM in Vietnam, which is a strategic move against Grab in the country.
Grab, on the other hand, is in the process of acquiring Singapore’s third-largest taxi operator, Trans-Cab, which would give it control over 2,200 taxis and more than 300 private-hire vehicles, subject to regulatory approval.
To read the original article: https://www.techinasia.com/grabs-ridehailing-business-future-proof
