Grab makes more money from delivery than mobility

2018

Grab (mobility) 80%

GrabFood (delivery) 0%

2019

Grab (mobility) 50%

GrabFood (delivery) 17%

2020

Grab (mobility) 31%

GrabFood (delivery) 50%

Did you notice a pattern?

Grab mobility services accounted for a majority of its revenue in 2018 but fell drastically from 80% to 31% in 2020.

Grab delivery on the other hand, which was not introduced in 2018 and accounted for 17% in 2019, rocketed to nearly half of Grab’s entire revenue in 2020.

Was it due to the pandemic?

Restricted movement, working from home mandated, offices closing and the need for humans to literally move around is drastically reduced.

Bleak outlook not just for co-working spaces, physical offices and face-to-face meetings, but also Grab’s main revenue-generator, its car-sharing, car-hailing services.

On the other side, staying indoors, food places shutting down and being unable to go out is GREAT news for the food delivery side. Which explains the huge increase in Grab’s delivery revenue numbers.

So what’s next? What will happen after the pandemic “ends” and the new normal kicks in?

My hunch is that a reversal will occur: the revenue generated from mobility will overtake delivery slowly and Grab manages to keep the incentives up and its drivers happy, it just might be able to retain some volume and not see a scary dip in any of it services overall.

Lets see.

If you enjoy interesting news, quirky insights and unorthodox breakdowns, connect with me.

#startups #business #startupx #growth #success #socialmedia #grab #entrepreneurship #strategy #grabfood #revenue

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