When in Rome: Singapore’s GrabTaxi explains why Uber is losing out in Asia
Singapore-based car-hailing app says key is to work with local governments, and that homegrown players in region win by understanding culture and customers of their domestic market.
Homegrown car-hailing apps in Asia are dominating their respective markets by focusing on the specific needs of consumers and working with local governments, according to Singapore-based GrabTaxi, offering clues as to why global players like Uber are failing to hit the mark.
“It is no coincidence that all the dominant players [in major markets in Asia] are local companies,” GrabTaxi CEO Anthony Tan told the South China Morning Post this week.
While San Francisco-based Uber has been aggressively expanding and fighting for market share in China, India and certain Southeast Asian countries, it often finds itself losing out to local rivals like China’s market-leading Didi Kuaidi and India’s Ola.
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Ola, which also offers various ride-hailing options, claims 80 per cent of its domestic market while GrabTaxi is the dominant player in Southeast Asia.
Tan, who was born in Malaysia, founded the company in 2012. It now serves more than 28 cities in six countries including Indonesia, Vietnam, the Philippines and Thailand.
He said companies like his perform so highly in their home markets due to a deeper understanding of the local culture and their customers’ needs.