GrabMart committed to helping small retailers tap consumers
Grab, a leading superapp in Southeast Asia, has promised to assist small merchants in reaching consumers in the digital era through GrabMart, an online platform for daily essential products.
Chantsuda Thananitayaudom, the head of marketing, Partnerships and GrabMart, Grab Thailand, told a press conference on Thursday that GrabMart has seen increasing popularity and tremendous growth since its launch in Thailand in April 2020.
The service provides on-demand delivery every day of goods from supermarkets, convenience stores, and local shops.
Chantsuda said the service responds effectively to the diverse needs and lifestyles of modern consumers seeking convenient shopping and on-demand delivery.
Despite constant changes in consumer behaviour since the Covid-19 outbreak two years ago, GrabMart's business in Thailand grew significantly in 2021, compared to the previous year.
"Today, GrabMart service has expanded to more than 68 provinces, with over 15,000 merchant partners across the country," said Chantsuda.
At present, there are approximately 9,000 small and medium enterprises (SMEs), or nearly 50 per cent of all merchandise. As a result, Grabmart hopes to attract more SMEs to its platforms.
"We plan to expand our merchant-partner base by targeting small-sized merchants to enable them to grow their customers and increase sales through digital platforms," said Chantsuda.
Grabmart is classified as "Quick Commerce", which differs from e-commerce. Quick commerce focuses on daily products that customers need to use that day and takes a short time to deliver, approximately 25 minutes, so the products are purchased from nearby grocery stores.
Over the last few years, online shopping has grown at an exponential rate. According to the "e-Conomy SEA Report 2021", the total value of Southeast Asia's e-commerce market was as high as US$120 billion, a 62 per cent increase over the previous year.
Although the total market value is less than that of the e-commerce market, quick commerce is regarded as one of the businesses with high potential, particularly in the online grocery category, where online purchases have a current penetration rate of only 2 per cent.
When purchasing on-demand everyday goods, shoppers consider three key factors: a wide selection of products, an affordable price, and quick delivery, according to a Grab study.
With these factors in mind, GrabMart developed a growth strategy centred on "Affordability, Wide Selection, and User Experience".
Chantsuda said that Grabmart would maintain its affordability through marketing campaigns, expand a wide selection of products and merchant-partners, and provide a better user experience with enhanced convenience and quick delivery of daily essentials.
Chantsuda insisted that Grabmart would provide micro-entrepreneurs more opportunities to reach larger consumer groups, drive sales, and capture business opportunities via Grab's platforms.
Currently, Grab operates across the deliveries, mobility, and digital financial services sectors in 480 cities in eight countries in Southeast Asia – Cambodia, Indonesia, Malaysia, Myanmar, the Philippines, Singapore, Thailand, and Vietnam.