Motorcycle ride-hailing transportation provider Go-Jek from Indonesia has recruited experts to advise for its expansion in Vietnam to break the dominance of Uber and Grab, according to newswire TheLEADER.

Vietnam is considered an ideal destination for investing in motorcycle ride-hailing services as it has a population of 90 million and 45 million registered motorcycles. 

Besides, operating expenses in Vietnam are cheaper than in markets like Singapore and Malaysia.

Last year, Go-Jek opined that Vietnam will be the company’s second destination in Southeast Asia, following the Philippines, and its third overseas market in Asia.

According to Go-Jek, investing in Vietnam will open up opportunities for it to develop the Go-Pay payment application.

Established in 2010 as a phone-based motorcycle ride-hailing service, Go-Jek has evolved into an on-demand mobile platform and a cutting-edge app, providing a wide range of services that includes transportation, logistics, mobile payments, food delivery, and many other on-demand services. Go-Jek is valued at $5 billion.

Entering Vietnam, Go-Jek will have to compete with heavyweight competitors like GrabBike and UberMotor. 

In late September 2017, Mai Linh Mien Bac, a major taxi company in Vietnam owned by Mai Linh Group, officially launched its motorbike transport services called M.Bike and M.Bike Premium to compete with uberMoto and GrabBike.

VIR