How to compete with established ride-hailing companies in Asia (with real examples)

Maxride launched in Makassar, Indonesia, in December 2023 with a bold idea: to introduce three-wheeled Bajaj vehicles as a new mode of urban transport. The concept blends the agility and low cost of motorcycles with the comfort and safety of cars.

The company began with just a few dozen drivers. But in under six months, that number grew to over 600 active drivers. Even more impressive, user growth skyrocketed 10x in just three months.

And there are multiple such success stories. We’ll explore some of them further.

Even with giants like Grab and Gojek dominating the space, urbanization, a growing middle class, rising smartphone use, Asia transport infrastructure gaps, and rapid economic growth across Asia keep the Asia digital transport ecosystem full of opportunities. Statista projects that the number of ride-hailing app users is expected to reach 1.50 billion by 2029, with a user penetration of 26.4% in 2025, rising to 32.1% by 2029. 

So, what are the ways to deal with the Asia ride-hailing competition?

Let’s explore based on the best-performing ride-hailing apps in Asian cities.

6 essentials for a local ride-hailing strategy in Asia

1. Start in small, less competitive cities

When you focus on a smaller city, you face fewer marketing battles and can capture a loyal user base early. It doesn’t limit your ambition; it just grounds your business in a place where you can realistically win before wider regional ride-hailing growth. 

Aside from facing less competition in small cities, you can also use your hyper-local knowledge, like which roads flood during monsoon season or which neighborhoods need service after late-night market closings. Add to that your local community ties, and you have a strong starting user base for your smart mobility platforms.

Furthermore, gaining a loyal user base in a smaller city can create a case study to impress investors or regulators.

One of many examples is the recent success of Xanh SM in Vietnam, which began operations in Hanoi before expanding to Ho Chi Minh City and other regions.

Another example is one of Onde’s partners, Kaiian from Saudi Arabia, which launched in small cities first, grew there, and scaled up to the capital eventually. It helped Kaiian become one of the leaders in the whole Saudi Arabian market.

2. Use the most up-to-date technology

To compete with established ride-hailing services like Grab or Gojek, your technology should deliver the seamless experience users are used to. You might have a great idea, but weak technology can quickly sink it. 

And the good news is you don’t need to spend tens of thousands of dollars or months on custom ride-hailing platform development. 

There are reliable white-label ride-hailing software for Asia-based companies like Onde:

• Non-tech founders friendly
• An affordable upfront investment
• Launch in weeks, not months
• A set of mobile and web apps for a taxi business: Driver, Customer, Dispatch system, and My hub (admin panel)
• App store optimization for ride-hailing apps, along with built-in marketing services
• AI recommendations for optimizing operations
• Regular updates and new features
• 24/7 technical support

These points aren’t just marketing talk. Onde backs multiple innovative ride-hailing companies. ZEV is one of them. Offering premium services, they especially need a stable booking system and the ride-hailing app UX design to meet the highest standards.

Source: App Store.

3. Choose your niche

That seems like obvious advice for any crowded market, but we wanted to give you real alternative ride-hailing models examples for inspiration.

The essence of niching down is that you become better at something or for someone than large competitors. But the hard part isn’t to find the niche, but to make sure that:

• Market size and demand are big enough
• Potential customers are able and willing to pay
• You can serve this niche (e.g., have capital, access to special resources)

We’ve already mentioned one relevant example: launching in Indonesian Makassar, Maxride identified a niche between motorcycles and cars and developed a service that combines the best aspects of both: the maneuverability and affordability of motorcycles with the comfort and safety of cars.

They also had the competitive advantage in ride-hailing by being an official distributor of 3-wheeler Bajaj vehicles.

Source: Maxride.

Another example is ZEV from Taiwan. ZEV focuses exclusively on zero-emission, premium transportation. Instead of competing on price or mass market appeal, ZEV targeted eco-conscious and business travelers seeking comfort, sustainability, and professionalism. Their fleet of Tesla Model S and X vehicles made the service instantly recognizable and aspirational.

By hiring multilingual drivers and offering loyalty perks (like discount points), ZEV tailored its experience to high-expectation customers. They also reinvested profits into green energy and shared air-quality data, making each ride part of their environmental mission.

Building on such examples, here are some of the ideas you can consider and develop further: 

• Accessible rides for people with disabilities
• Language-specific services for tourists
• Subscription-based commuter packages
• Pet-friendly
• Rural-to-city connector services covering underserved routes
• Medical transport services focusing on non-emergency hospital visits
• Culturally adapted ride-hailing features

4. Solve pain points that competitors ignore

To attract drivers and riders from competitors, solve the pain points people complain about on popular digital taxi booking platforms. 

Here are some of the Southeast Asia ride-hailing examples:

1) A Singapore-based ride-hailing service Tada takes zero commission from drivers and charges only flat platform and transaction fees for debit/credit cards. This contrasts greatly with the 15–25% commissions common at rivals.

2) Xanh SM is Indonesia’s first fully electric ride-hailing service, which operates in Jakarta with a fleet of VinFast Limogreen EVs. The platform emphasizes ride-hailing sustainability goals and luxury and offers noise-free rides with professional drivers trained under a "5 Green Promises" framework. Its app integrates real-time tracking and exemptions from Jakarta’s odd-even traffic rules, and ensures reliability during peak hours.

3) Geolah's fare structure is based on service type, distance, and driver availability, explicitly avoiding surge pricing during peak hours or adverse weather conditions. This transparency appeals to cost-conscious riders who seek predictable fares.

And some of the ideas you can consider and develop further.

For customers:

• A variety of payment options
• Quality of cars (capacity, model, age)
• Quality of drivers (high standards, special training)
• Preferences for driver behaviour
• Vetted drivers for riding minors

For drivers:

• Special training
• Motivation system: monthly bonuses for champions
• Minimizing health issues associated with long rides

5. Build customer relationships (drivers and riders alike)

A smaller service can differentiate with a “people-first” approach, treating both drivers and riders as valued customers, not just data points. Here are a few ideas to try.

Train and support drivers

Driver onboarding in taxi companies in Asia, regular feedback, and small rewards (like “driver of the month”) build pride and better service. Involve drivers in decisions ー they often know what works best on the ground.

Philippines' Angkas, for example, built a competitive edge via rigorous driver training – boasting a 99.997% safety record after millions of motorcycle rides.

Consistency & trust

Ensure rides show up on time and cancellations are rare. For example, BluSmart (India) touts its “zero ride denials” policy. By employing drivers directly, they can ensure that drivers will not cancel on you.

Personalize the experience

Being small, you can remember user preferences. For instance, enable riders to request their favorite drivers or save preferred routes.

Offer real customer service

Let users reach a human through chat apps. Quick, sincere help leads to winning local trust in ride-hailing in Asia.

Foster community

Highlight rider and driver stories, reply on social media, organize local meetups. When your brand feels human and local, people root for it.

Adapt fast

You can listen and build quickly ー like adding a translation feature users actually ask for. Being small means each voice matters more.

6. Get creative with marketing your app

It isn't just differentiators that make some players stand out in crowded markets; it is also smart marketing. Aside from deeply understanding the audience and market, here are some examples that help ride-hailing businesses win with limited ad budgets:

• Mission-led brand
• Region-specific promotions for ride-hailing (speak the city’s language and rituals)
• Strategic partnerships in ride-hailing (do not limit yourself to airports, railway stations, and hotels). For instance, AirAsia Ride partners with LRT trains for last-mile service and sits in the foodpanda app.
• Referral programs in ride-hailing. Xanh SM, for example, rapidly gained traction through promotions like free rides during its launch week.
• Social storytelling (maybe you’re great at making viral TikToks)

People also ask

Here are answers to common questions from ride-hailing business owners looking for ways to compete with established players in Asia.

How to navigate the challenging regulatory environment in ride-hailing across Asia?

1) Build compliance-by-design features;

2) Engage early with regulators and allies;

3) Treat driver status as a moving target;

4) Map the rulebook market-by-market;

5) Future-proof for autonomous and EV rules.

What makes users choose one ride-hailing app over another in Asia?

Here are the key reasons users in Asia choose ride-hailing apps to use:

• Brand recognition: obviously, users’ll download and use the app the first comes to mind. 
• Safety and reliability usually mean ride-hailing safety protocols in place, verified and well-trained drivers, real-time tracking with emergency features, and consistent service quality.
• Pricing and transparency: lower prices tend to win across Asia, but success still depends on the specific region and user segment. Predictable and clear prices will always win.
• Localized services: offering services tailored to local customs and needs, such as language support in taxi apps or vehicle types.
• Service availability. Wide coverage and availability during peak hours or in remote locations influence user preference.​

What ride-hailing tech innovation in Asia helps compete with established players?

• Artificial Intelligence (AI). AI is utilized for dynamic pricing, demand forecasting, and route optimization, enhancing efficiency and user satisfaction.​
• Electric Vehicles (EVs). Companies like BluSmart in India are advancing EV ride-hailing adoption in Asia to reduce emissions and operational costs, appealing to environmentally conscious users and supporting Asia's taxi fleet electrification.
• Autonomous Vehicles (AVs). Collaborations, such as Toyota and Waymo's partnership, are exploring the integration of AVs into ride-hailing, aiming to revolutionize the industry.