O2OJames Sampson

Regional Head, Strategy & Partnerships, GrabAds

Grab

A 238% B 548%

B 1228% C 12,460%

Question:

What percentage did Bubble-Tea grow on Grabfood in 2018?

Question:

What percentage did Bubble-Tea grow on Grabfood in 2018?

Answer:

C 12,460% Sources: https://medium.com/grab/bubble-tea-craze-on-grabfood-af31ea2ec08

A Singapore B

C D

Question:

Which SEA country consumes the most Bubble-tea per month?

E F

Indonesia

Thailand Vietnam

Philippines Malaysia

Question:

Which SEA country consumes the most Bubble-tea per month?

Answer:

C ThailandSources: https://medium.com/grab/bubble-tea-craze-on-grabfood-af31ea2ec08

A Chocolate B

C D

Question:

The most popular Bubble-Tea flavor in Vietnam?

E F

Honey

Hazelnut Cheese

Coffee Matcha

Question:

The most popular Bubble-Tea flavor in Vietnam?

Answer:

Sources: https://medium.com/grab/bubble-tea-craze-on-grabfood-af31ea2ec08

F Matcha

VIETNAM

MYANMAR

THAILAND

MALAYSIA

SINGAPORE

INDONESIA

PHILIPPINES

CAMBODIA

#1 Consumer Platform in SEA

>163 millionmobile downloads

#1 fintech platform#1 Rewards program

#1 transportation platform

Largest and fastest-growing regional food delivery service

339 citiesin 8 Countries

What is O2O?

O2O is a strategy that brings consumers from an online journey to visit the physical store to make a purchase, try out products or even collect a free sample.

The concept of Brick-and-Mortar remains relevant in Southeast Asia where it was reported that less than 10% of sales were done through ecommerce*. This leaves at least 90% of sales still being conducted at physical point of sales.

The digital touchpoints in the O2O strategy influence consumers to go down to the physical POS, eventually driving footfall and sales. The ability to link an online customer to their actions in-store is truly the most valuable feature in all omni-channel models.

Online-to-Offline (O2O)

SEA eCommerce Sector is a Crowded Space

Penetration of Retail Commerce is surprisingly lowRetail eCommerce Sales as a % of Total Retail Sales

Market 2015 2016 2017 2018 2019 2020

SGP 4.1% 4.5% 4.9% 5.4% 5.8% 6.2%

ID 1.4% 2.2% 3.1% 3.9% 4.4% 4.8%

TH 1.3% 1.5% 1.7% 2% 2.2% 2.5%

MY 1.2% 1.4% 1.7% 1.9% 2.2% 2.4%

VN 0.9% 1.1% 1.2% 1.3% 1.4% 1.5%

PH 0.7% 0.9% 1% 1.2% 1.4% 1.5%

SE Asia Average

1.6% 1.9% 2.3% 2.6% 2.9% 3.2%

Source: Emarketer excludes Travel & Event Ticketing

Retail eCommerce Sales as a % of Total Retail Sales

Heavily funded competitors focusing on a small portion of the retail pie?

eCommerce growth will take several more years to hit the critical mass it has experienced in China

Then why all the buzz around eCommerce?

● The China Lens (34% Share by 2020) ● Small SEA wedge still worth $23 Billion in 2018

and will be $100 Billion by 2025● Consumer Convenience (makes life easier)● VERY Strong Attribution metrics ie. ROI

USD 29B

USD 0.75T

Source: Bain, eMarketer. Market Sizing Numbers are estimates

8 Trends That Will Shape Southeast Asia Ecommerce in 2019https://ecommerceiq.asia/ecommerce-trends-sea-2019/ WRITTEN BY: NICHAKORN PRATEEPSAWANGWONG

1. Brands Shift Their Focus from Data Gathering to Data Utilization

2. Social Commerce Channels are Brands’ New Sales Outlets

3. E-Marketplaces Launch New Services to Differentiate

4. Brands to Reinforce Reviews and Fund User-Generated Content to Win Ecommerce Consumers

5. Brands Employ Direct-to-Consumer strategies to Acquire Direct Consumer Data

6. 2019 Will Finally see Regulation of E-commerce across the Region

7. Grab and Go-Jek Challenge Logistics Providers to Capture Ecommerce and Online Food Delivery

8. Brands and Retailers will Double Down on Omnichannel is Southeast Asia’s Preference over Pure-Play Ecommerce

Winning the Last Mile

20% off Jumbo Juice purchase at any retail store

Jumbo Juice Special Offer

20% off your Jumbo JuiceJumbo Juice • Sponsored

Additional 5% when you use GrabPay

Save to My Rewards

20% off your Purchase at any Jumbo Juice Store. Additional 5% when you use GrabPay

BOOK A RIDE

Save to My Rewards

Ask the cashierto enter PIN below:

20% off your Jumbo Juice Purchase at any retail store. Additional 5%

when you use GrabPay

User sees In-App Ad with In-Store Reward

User clicks on Save, reward is added to Grab Reward Wallet

User visits store, cashier keys in PIN, user redeems reward!

In Store

Closing the loop: FMCG / Retail partners

30% Off GrabFood order

20% off your Jumbo JuiceValid Until 9 Apr 2019

On GrabFoodUser clicks on “Use

Now” to redeem reward via GrabFood

orderGrabFood Delivery

In StoreUser shows

Voucher from Reward Wallet to

cashier to redeem

User sees In-App Ad with Voucher

User saves Voucher to Reward Wallet

Last Mile O2O Advertising

Omni-channel attribution

20% off your Jumbo Juice

20% off your Purchase at any Jumbo Juice Store. Additional 5% when you use GrabPay

BOOK A RIDE

Save to My Rewards

Jumbo Juice Special Offer

20% off your Jumbo JuiceJumbo Juice • Sponsored

Additional 5% when you use GrabPay

Save to My Rewards

Confidential

Capture targeted consumers’ attention immediately while they are booking rides

Engage consumers and showcase your content while they are in the ride

Remarket to consumers for sales and insights after their ride

Integrated O2O Advertising (Offline to Online)

Pre-ride During-ride After-ride

Get a free sample of Jumbo Juice in this ride!

Your driver has arrived. Please be there within 5 mins.

Come to our store at XYZ mall to redeem Jumbo Juice reward

Sign up for our Jumbo Juice subscription plan with 5% off.

Jumbo Juice Special Offer

5% off Jumbo Juice Subscription Plan

Learn more

Free Sample!

Grab Kitchen Featured as a menu within Grab Food

Food Items Selected SKU auto-added and distributed via GrabFood Delivery

New Innovative Sampling Channels

Real World Examples

Case Study : O2O Integrated Advertising

“We were thrilled with Grab’s willingness to try this first-of-a-kind experience and we are happy with the positive feedback from our customers. Along with our other marketing efforts, April was our highest sales volume this year and we are the #1 Micellar water brand in Singapore!”

Over 18,960 riders experienced the beauty bar with 61% aided recall

Over 58,000 YouTube views Weekly giveaways boosted user-generated posts on FB and Instagram

OFFLINE ONLINE

Sampling to Remarketing: Anlene offers in-car samples of two new flavours

In App Remarketing with Survey

Consumer Insights

6,475 Samples Redeemed

88.9% of samplers had tried Anlene before, consistent with Anlene’s reputation as a long-established and well-known household brand.

55.6% of samplers preferred the unique black sesame flavoured UHT milk.

83% of samplers would purchase Anlene UHT in the future.

In Vehicle Sampling

ONLINE OFFLINE

Campaign Vision: Closing the Loop at POS!

Ad Shown to User Saves Reward1

554K Impressions 4,618 saves

Redeems reward in-store477 redemptions, 10.3% … 75% New to Hera Brand

2 3

ONLINE OFFLINE

Driving HERA’s Unique Audiences to HERA’s Storefront

Who we retargeted:➢ People who have saved the

rewards into the wallet but have not redeemed it

Business Objectives exceeded

47.4% of users indicated that they loved the HERA Black Foundation (in the sample kit) and will purchase it

We conducted a post-campaign survey among 25% of users who redeemed the samples from HERA (n=114)

Customer Acquisition

4% of users purchased other HERA products when redeeming sample

➢ Of which 20% spent more than $250

Brand Awareness

77% of users did not use HERA’s products before

Brand Impression

Favourable brand experience & intent to purchase

Increase in conversion rate

Best Practices for starting your O2O journey

● O2O typically means Online to Offline, but increasingly can go Offline to Online

● Leverage partners that can get you closer to the end transaction for your

product

○ E-commerce, mobile wallets, payment providers, logistics

● Design customer journies that can be measured (think last mile attribution vs

last click attribution)

THANK YOU