Asian ride-hailing giant Grab officially launched its food delivery business GrabFood in Singapore on Monday, with the target of rolling out the service into six Southeast Asian countries within this quarter.
The launch comes two months after the Singapore-based ride-hailing firm acquired Uber’s businesses in the region. The acquisition gave Grab control of UberEats, a major player in the region’s food delivery space.
Grab earlier said it will integrate its existing GrabFood business, which is present in Indonesia and Thailand in beta as of now, with UberEats and expand to two more countries – Singapore and Malaysia. Uber delivery and restaurant partners have moved to the GrabFood platform.
While GrabFood is relatively new, UberEats has already made its mark in the region, with the app ranking well in Singapore and Malaysia. Regionwide, UberEats competes against local players Honestbee, Deliveroo, and Foodpanda.
The six Southeast Asian countries GrabFood is targeting this quarter are Indonesia, Thailand, Vietnam, Malaysia, Singapore and the Philippines.
“This move enables Grab to bring more Southeast Asians online, providing consumers, driver-partners, delivery-partners, and merchant-partners with better convenience for everyday services and more income opportunities,” Grab said in a statement announcing the launch of GrabFood in Singapore.
The launch of GrabFood in Singapore will bring a wide range of dining options to more consumers, and provide more income opportunities for local merchants and delivery-partners, according to James Ong, head of GrabFood Singapore.
“We see huge potential in helping vendors here reap incremental benefits and enjoy an increase of orders via GrabFood,” Ong said.
According to data released by Grab, Singapore’s addressable market for food delivery is worth about S$250-300 million ($186-223 million). The country also has an estimated 4,000 restaurants and 12,000 hawkers stalls that are not yet served by food delivery apps.
“GrabFood is a major milestone in our journey to becoming the everyday app for consumers,” Ong said.