Covid-19 equals boom times for food-delivery services


Khoo Gek San

Food-delivery giant Grab says demand for its services, such as food, mart and delivery, increased by more than 30% during the MCO. – The Malaysian Insight pic by Irwan Majid, October 20, 2020.

FOOD-DELIVERY services are flourishing during the movement-control order as Malaysians choose to order in to stay clear of the Covid-19 pandemic.

Food-delivery giant Grab said the demand for services, such as food, mart and delivery, increased by more than 30% during the MCO, which was implemented on March 18.

However, demand for ride-hailing services fell by 90% as the public was encouraged to stay at home.

“To cater to the demand, we pivoted our operations by moving more than 100,000 drivers to support deliveries,” a Grab spokesman told The Malaysian Insight.

Grab also introduced new offers to customers, he said.

Offers under the “Grab Signatures” are more affordable as Malaysians become more budget conscious, he said.

“In less than two weeks after its launch, 12,000 people bought packages.

“Moreover, the cost of food delivery has been reduced to RM2 and it has been expanded to free food delivery, including for more restaurant partners.”

The spokesman also said that the services of “Food Courts by GrabFood” and “Pasar by GrabMart” will be digitised to lower prices.

“The MCO has proven to be challenging, especially for local businesses who are still experiencing its impact on their daily operations.

“Hence, we have been focused on assisting businesses to digitalise so that they are able to sustain further in this new norm.”

An empty food court in Kota Kinabalu following a spike in Covid-19 cases after the state elections last month. Malaysians are now ordering in instead of eating out. – The Malaysian Insight pic by Irwan Majid, October 20, 2020.

Grab added that this would encourage more businesses to embrace the digital economy by offering RM2,000 worth in bonuses to new merchants on the platform.

It will also provide discounts of up to 50%, not only to help drive demand for these businesses but also to help the economy recover.

“Through these initiatives, our merchant-partners recorded a 25% increase in their online revenue through Grab.”

It added 40% merchants across its platform since the MCO, the company said.

Grab is also implementing safety measures like masks and hand sanitisers and insurance during the pandemic.

Coffee shops still popular

Malaysia Singapore Coffee Shop Proprietors’ General Association (MSCSPGA) president Ho Su Mong said despite the boom with online deliveries, the coffee shop business will survive.

“Coffee shops are still very popular, especially with the older generation, but because of the pandemic, coffee shops are forced to limit the flow of customers,” he said.

He, however, admits that business plummeted in Covid-19-affected areas.

“Some of the prepared ingredients were not sold and had to be discarded.”

Business won’t recover in the short term, he said because of fewer tables and chairs in shops and customers don’t want to linger.

In some places, the coffee shops rely on tourists for businesses. 

“I don’t know how many coffee shops might disappear if the pandemic doesn’t improve.” – October 20, 2020.


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