Grab Food has reduced commission fees collected from food traders from 35% to 30% to meet the growing demand for food delivery amid the Covid-19 pandemic. The movement became effective yesterday as part of “GrabCares”, a campaign.

“From April, GrabCares aims to mitigate the impact of the pandemic on the community,” said Tarin Thaniyavarn, Country Head of Grab Food Thailand. Bangkok Post.

The reduction in commission fees will not apply to merchants operating in GrabKitchen, a cloud kitchen managed by Grab. This will help reduce the financial burden on trading partners, Tarin said.

In early March, Grab Food added an additional 20 baht charge for orders under 70 baht. It remains the same.

Grab explained that this move should encourage users to order more, thereby increasing the business viability of merchant partners. The move is also expected to generate more revenue for delivery partners, Grab Food said.

The food delivery app aims to speed up the process of registering and onboarding merchants. The size of Grab’s support team has been doubled to accommodate GrabFood’s services.

Soar food merchant apps

With requests from traders tripling to over 2,000 each day, Grab Thailand strives to process requests within 7-10 days, compared to 14-21 days on average.

According to Tarin, Grab Food expanded its services to eight provinces in the first quarter, covering Chon Buri, Rayong, Nakhon Pathom, Surat Thani, Nakhon Si Thammarat, Lampang, Uttaradit and Maha Sarakham.

Nine other provinces are on standby for further expansion by June, including Ratchaburi, Phetchaburi, Surin and Nong Khai.

Grab has also launched the “Support Local Restaurants” campaign to promote small brands on Grab Food, with the hope of increasing their sales by at least six.

He said that from March 26 to June 30, Grab Food is offering discounted food delivery fees to officials in the Department of Disease Control, doctors, nurses and health workers in health organizations, as well as ‘to seven public hospitals.

In the first quarter, Grab attracted over 29,000 new delivery partners and plans to recruit an additional 35,000 partners in April to meet growing demand for delivery services.

In partnership with Central Food Retail Group, Grab launched GrabMart on March 27, where users can find and purchase everyday essentials online at over 230 FamilyMart branches. The service will soon expand to include Tops Deli.

Government warns food delivery apps of Covid-19 price hike

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Separately, Somsak Kiatchailak, secretary general of the Office of the Commercial Competition Commission, said yesterday that his office inspects the business behavior of online delivery providers as well as other business practices that may violate the Business Competition Act 2017.

If commercial operators agree to set a service charge deemed to lead to a dominant position in the market, or to reduce or restrict competition, they face a prison sentence of two years or a fine of up to at 10% of the annual income in the year of the violation, or both, Somsak says. Violators who engage in unfair commercial practices that harm other operators are also liable to the 10% fine.

The move follows complaints that some food delivery service providers have increased their commissions collected from partner merchants from 20% to 35-40% and have sought to collect other service charges, including fees. promotion.

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