A massive Indonesia ride-hailing application, called Go-jek, is recruiting experts in Vietnam to set foot in this ideal market and break the dominance of Uber and Grab, according to newswire DealstreetAsia.
With a dense population of almost 93 million and approximately 45 million motor-riders, Vietnam is considered to be one of the most attractive and profitable markets in ride-hailing services in Asia. It features in low-priced operating expenses compared to other Asian countries such as Singapore and Malaysia.
Last year, Go-jek determined Philipines as the first overseas market to enter. A representative of Go-jek said in Reuter’s interview: “Almost all Southeast Asian countries are on the radar over the next three, six to 12 months”
In October 2017, Nadiem Makarim – founder of Go-jek declared their expansion plan in 4 member countries of ASEAN without mentioning specific countries.
Currently, this Philippine’s ride-hailing firm has taken up a minority stake in Pathao – a Dhaka-based ride-sharing platform.
In Vietnam, while Uber and Grab have dominated Vietnam phone – based motorcycle ride-hailing service market, several companies have started to participate in this potential and lucrative market. Viettel Corporation has officially joined competitive ride-hailing market by signing Strategic Cooperation Agreement aimed at possessing 30% Gonow’ stock.
Penetrating into Vietnam is a wise step of Go-jek to open up various opportunities to develop their cashless payment platform, the so-called Go-pay.
In terms of finance, Go-jek is flush with funds to progress their ambitious plan. In the latest fundraising round, they were successful in adding roughly $1,5 billion USD and valued at $ 5 billion.