Vietnam ride-hailing app FastGo raises US$50 million in Series B to take on Grab, Go-Jek

Mon Oct 1, 2018 - 10:00am UTC

25/9/2018 – FastGo, a ride-hailing startup in Vietnam has today revealed that it is raising a US$50 million Series B funding early next year to solidify its position as Vietnam’s answer to Grab and Go-Jek.

According to FastGo’s Founder and CEO Nguyen Huu Tuat, part of the funding capital will also be used for market expansion in Southeast Asia, starting with Indonesia and Myanmar.

Launched in June 2018, FastGo is a local network car company operating under the NextTech Group. Its ride-hailing application was launched after three years of software development and incubation by MPOS Technology Corporation.

The startup quickly received positive feedback and within three months of its launching, the application was joined by 30,000 individual vehicles and about 1,000 taxis from 25 firms in Hanoi.

Customer-wise, FastGo’s system also shown that 100,000 users have downloaded the application. At present, FastGo maintains a growth rate of 10% per day, which is in line with its goal set.

“Selecting and developing FastGo is not an impulse,” said Nguyen. “FastGo is a convergence of market conditions, whereby the technology platform and product are prepared to serve the market which is losing balance after Uber withdrew and when drivers and customers wanted more options.”

Catering to the market, FastGo currently offers three key services: Fast Car for private drivers in need of extra income; Fast Taxi which connects customers with taxi operators providing ride-hailing solutions; and Fast Luxury that offers transport in luxury vehicles.

“FastGo is confident in its success with the addition of three elements, the application also received great support from the customers, businesses, and the media,” said Nguyen.

Also, unlike Uber and Grab, FastGo is not confronting traditional taxis but rather working to support traditional taxi business by integrating technology to help bring customers more value.

“The strength of FastGo is our followers,” said Nguyen adding that the startup provides better service that is tailored to the understanding of the culture and aimed to support the people.

Results are evident as the startup currently takes 10 percent of the ride-hailing market share in its home country, offsetting the previous 98 percent dominated by Grab prior to FastGo.

Moving forward, FastGo also plans to expand its market coverage outside Hanoi, Ho Chi Minh City, and Da Nang to 12 provinces and cities across the country.

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