Grab has slashed its gross profit (GP) charge by more than 50% to 9% to attract merchants to sign up with the platform for the "Thai Chuay Thai Plus" subsidy scheme.The delivery platform has spent 300 million baht on its marketing campaign.
The GP fee reduction follows similar campaigns by rivals to woo merchants to join them for the scheme.
Line Man Wongnai is investing 200 million baht for its marketing campaign for the scheme, and reduced its GP charge to 15%, while ShopeeFood cut its GP fee to 13%. All three platform also offer benefits to merchants and users.
The ceiling GP fee for Thailand's online food delivery operators is roughly 30%.
During the previous state subsidy scheme, Line Man Wongnai offered the lowest GP charge at 7%, which attracted 50,000 merchants and increased the company's sales by five times.
