Viettel will join the promising ride-hailing market, challenging the dominance of Grab, Go-Viet, and FastGo with its MyGo app.
|The red and green uniforms are dominating the ride-hailing market |
Most recently, Viettel Post has published a recruitment announcement for drivers for its ride-hailing service app MyGo. Accordingly, MyGo may be launched in July, offering ride-haling and delivery services for food and parcels. At present, MyGo is available on the iOS and Android applications.
The outstanding feature of MyGo is that it has committed not to increase fares during peak hour.
The new app is Viettel’s move to complete its technology service eco-system.
Previously, the group successfully launched the e-payment wallet ViettelPay, which attracted 2.5 million users in only four months. Besides, it owns a logistics system serving large enterprise customers.
Over the past few years, Vietnam has witnessed the explosive growth of ride-hailing in the biggest cities, which critics say has flooded the streets with motorcycles. The red and green uniforms of Go-Viet and Grab drivers are ubiquitous in the streets. Meanwhile, Vato and FastGo drivers can also be spotted with their orange and blue uniforms.
Analysts say that the competition in ride-hailing is of a similar nature to e-commerce. Initially, there are a lot of small- and medium-sized players and a few significant ones. As the market shows sustainable growth, the challenge is to stay in the game and continue growing, and ideally to be faster than the market itself.
Investors inject money in the platforms as they believe in the growth potential and the future profitability of the business. The ride-hailing firms which have sustainable development strategies and strong capital backup might win the battle for dominance in Vietnam.