From Wednesday, January 2, Go-Jek will extend its ride-hailing services nationwide in Singapore.
A spokesperson for the Indonesian startup explained that the move comes after the success of its limited service area rollout during the last five weeks.
On November 29, Go-Jek launched the beta version of its app in the city-state, but the service was limited to Singapore’s Central Business District, Jurong East, Changi, Punggol, Ang Mo Kio and Sentosa.
Access to the app was granted to users in batches to balance ride demand and service capabilities, and priority was given to customers of DBS and POSB banks.
The expansion of Go-Jek’s activities to the whole of Singapore is still part of the app’s beta phase, where the startup will continue to gather feedback from drivers and riders towards an improved version of the platform.
On an email sent to users on December 30, Go-Jek announced the introduction of ‘dynamic pricing’ – meaning that hail-ride prices increase or decrease based on demand. However, the email stated that “rides [will] remain competitively priced.”
Southeast Asia expansion
Go-Jek’s move into Singapore comes months after the Indonesian startup announced that it will be investing US$500 million in its international expansion strategy.
After merging with Uber’s Southeast Asian operations in March 2018, Grab was effectively the only rideshare service in the country.
In May, Go-Jek said that it will enter the Vietnam, Thailand, Singapore and the Philippines markets within the following months, starting with ride-hailing but ultimately aiming to replicate the multiple-service business model that is leading in Indonesia.
The international expansion follows months of planning and market research after Go-Jek’s latest fundraising round, which brought investment from Astra International, Google, JD.com, Meituan, Tencent and Temasek, among others, as the company aims to expand its presence in Southeast Asia.
“Consumers are happiest when they have choice and at the moment, people in Vietnam, Thailand, Singapore and the Philippines don’t feel that they’re getting enough when it comes to ride-hailing,” said Nadiem Makarim, CEO and founder of Go-Jek.
“We hope that as we arrive in new markets, we will quickly become everyone’s go-to lifestyle app. That is our aspiration. In the meantime, we hope our presence will provide the welcome competition markets need to thrive,” he added.