Grab made headlines final month when it announced it was buying Uber’s business in Southeast Asia, pushing a ride-hailing hulk out of several fast-growing markets such as Indonesia and Thailand.
The Singapore-based startup is already relocating on from that feat and skeleton to get even bigger.
Grab President Ming Maa sees a company’s tens of millions of business as a serf assembly to that it can sell some-more services, such as delivering food and packages and digital payments.
“The some-more that a consumers use ride-sharing, a some-more they use food delivery,” Maa told CNNMoney.
“The motorist — now he’s delivering passengers, he’s delivering food, he’s delivering packages with last-mile logistics. He’s earning some-more — and a some-more he earns, a some-more he’s means to use a remuneration complement to consume,” he added.
Grab isn’t alone in this philosophy. Ride-hailing firms around a universe have increasingly stretched into identical lines of business, with Uber’s food smoothness height Uber Eats now accessible in over 150 cities, and India’s Ola and Indonesia’s Go-Jek also charity digital remuneration services.
Grab rolled out a mobile wallet system, GrabPay, final year. It lets users book rides on a app, send income to friends and make purchases in restaurants and stores.
In an bid to keep users in a orbit, Grab encourages them to shelve adult faithfulness points, that can be used toward profitable for rides and other purchases. The association says it’s aiming to have some-more than a million merchants regulating GrabPay opposite all a vital Southeast Asian economies by a finish of a year.
“It is all about formulating a many applicable commerce event in this region,” pronounced Maa. “If in 5 to 10 years, we are a largest enabler of commerce, we consider we’re doing a good thing for consumers.”
But it’s expected to face tough competition. Huge Chinese tech companies Tencent ( and )Alibaba ( affiliate Ant Financial have announced skeleton to enhance their WeChat and Alipay payments services in Southeast Asia. )
“There is no widespread mobile remuneration actor in Southeast Asia right now,” pronounced Xiaofeng Wang, a Singapore-based researcher during examine organisation Forrester.
With a large patron bottom in a region, Grab is in a clever position, she said, adding that Tencent and Ant Financial will have to obtain licenses for any nation and start from scratch.
Mobile payments have been delayed to locate on in places like Singapore compared to countries like China, where WeChat Pay and Alipay are ubiquitous, Wang noted. That usually adds to a plea for providers coaxing consumers divided from money and credit cards, she said.
Grab, founded in 2012 by Malaysian entrepreneurs Anthony Tan and Tan Hooi Ling, now operates in scarcely 200 cities opposite 8 countries. It was final valued during $6 billion after a largest turn of appropriation from Japan’s SoftBank ( and Chinese ride-hailing hulk Didi Chuxing, according to CB Insights. )
Unlike Uber, Grab doesn’t have tellurian ambitions. Maa pronounced a association stays focused on Southeast Asia, with no stream skeleton to enhance outward a region.
It also still has work to do to finish swallowing adult Uber’s operations. Authorities in Singapore, Malaysia and a Philippines have all pronounced they will examine either a understanding violates competition rules.
Maa pronounced Grab would be peaceful to make concessions, if needed. The association is already operative with regulators on ways to residence concerns about foe and consumer protection.
And even yet Grab managed to win a conflict with attention heavyweight Uber, it still faces internal rivals such as Go-Jek in Indonesia. And some-more might be coming.
“For any market, it’s unfit there will only be one player,” pronounced Wang, a Forrester analyst. “There will be new players entrance up.”