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MARKETING CASE STUDY: UBER

Hello hello hellooo 👋🏻We’re talking about ride-hailing apps today! You can’t think of ride-hailing apps, and not think of Uber. Uber is the largest of ‘em all. Yet there’s one market that Uber simply couldn’t crack the top spot at. South East Asia. And there’s one reason why: Grab

Grab outplayed Uber with a strategy that was the complete opposite of whatever Uber did. It’s a super interesting story, so put your seat belts on and lessgo 🚖
Grab was the underdog, and they won
Grab was finding its feet in South East Asia when Uber entered the region. Pretty much everyone believed that Uber would inevitably drive Grab out of the market.They had the brand name. They had the capital. They had the experience from around the world. But. Grab had a ✨strategy✨
Grab bet big on localization And Uber did not. Uber figured the standard strategy that worked so well for them in the US and western markets would also work in SEA. But, uh-oh. Grab went fully hyperlocal, and that made aaalllll the difference.

Exhibit A: Payments:
Uber worked on credit card payments. Small problem: People in SEA preferred to deal in cold, hard, simple cash. So bringing in the cashless model that worked in the US simply wouldn’t click here.

Grab, on the other hand, was born in SEA. They knew the people, they knew their ways. They had a cash option since Day 1. And so people were like take my money, quite literally.

Exhibit B: Motorbikes:
Let me start with a basic meme template:

Me on a normal day: complains about Bangalore trafficMe on vacation: complains about Thailand traffic
A convoluted way to tell you that traffic in SEA is no joke. 🤯Grab was well-aware of the rush hour traffic scene, and so they had introduced GrabBike aka motorbike taxis. GrabBikes were darting through congested areas, saving people time, and winning customers. Meanwhile where was Uber? Stuck in traffic.
Grab also went the Super App way
Grab built on its strong start and customer base to add more and more services within their app. The result? More customers, more lock-in.Grab, Gojek etc. are all brands that have shown that the super app dream is very, very lucrative when done right. (Here’s looking at you, Elon )Grab added a bunch of logical add-ons to get people addicted to the Grab-ecosystem:

GrabPay
It started as an e-wallet for drivers to immediately access their incomes, and use it to cover fuel and other expenses. Pretty good, right? It has now grown to become a full-fledged app for all digital payments

GrabFood
It’s the UberEats model, but Grab brought it to SEA. Drivers earned more by delivering food and eventually packages too. Grab studied the market. Understood what people wanted. Understood what drivers wanted. And then nailed their execution. After a tough fight for half a decade, in 2018, Grab ultimately acquired the Uber SEA business in exchange for Grab shares..

Fun fact: The largest investor in both companies back then was the same: SoftBank!
Bonus Mini-Story # 1: Uber & its copywriting Uber introduced in-app train bookings in the UK. The OOH launch campaign went viral, and how. They resisted the urge to “explain to the audience like they are 5 years old”. Uber was like nope, the audience is smart, they will get it. They did.
The copy is big, bold, with just the touch to make you go “huh what?”… and then chuckle when you get it. 😅
People noticed it. People shared it. More people noticed it!
Speaking of risky moves that pay off…

Bonus Mini-Story #2: Heetch! Back in 2021, Paris saw an epic on-ground marketing activation. Uber was everywhere. So, their small-time, local-to-Paris rival, Heetch decided to something a little creative to get people’s attention. Heetch took over 12,000 restaurants and printed their ads on the packaging. Okaaay… why? So that every time someone placed an order on UberEats, they were delivered a bright pink Heetch ad along with their food!
These “packaging ads” had one simple message: change your ride hailing app!
Think about it.They reached Uber users… using Uber! Marketing is so wild, how can you not love it, amirite 😍

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