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Is Uber Available in Vietnam? Here’s What You Need to Know

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By Destinations.aiPublished: January 05, 2024Last modified: October 16, 2024
0 min read
Is Uber Available in Vietnam? Here’s What You Need to Know

Planning to explore the vivid landscapes and bustling cities of Vietnam? You may be wondering if you will have the convenience of Uber at your disposal to ease your travel woes. This blog will provide critical insights into the current state of Uber in Vietnam, navigate rideshare alternatives, and offer useful tips on commuting in this vibrant Southeast Asian nation. So buckle up for a journey through the Vietnamese transportation scene that promises to make your next adventure smoother than ever!

Yes, Uber is available in Vietnam. It is a convenient and popular ride-hailing service in major cities such as Ho Chi Minh City and Hanoi. You can use the Uber app to easily book rides and navigate through the cities.

Effortlessly travel through Vietnam using Uber, where the convenient ride-hailing service ensures reliable transportation.
Hanoi Photography / Adobe Stock

Uber Availability in Vietnam

Aerial view of the traffic and different vehicles at the Thu Thiem tunnel exit in Ho Chi Minh City, Vietnam
huythoai / Adobe Stock

Uber is no longer an option for ride-hailing services in Vietnam. Uber ceased operations in the country after merging with Grab, the dominant ride-hailing service in Southeast Asia. Therefore, if you plan a trip to Vietnam and need a ride through a ride-hailing app, you won’t find Uber a viable choice.

  • As of 2018, Uber is no longer operating in Vietnam. The company sold its operations in Southeast Asia to Grab.
  • According to a survey released in 2019 by market research firm Ipsos, Grab commands a 73% share of Vietnam’s ride-hailing market.
  • Despite the exit of Uber from Vietnam, as per Statista’s report in 2021, the revenue for the Ride Hailing & Taxi segment amounts to US$536m, with most consumers adopting ride-hailing services like Grab over conventional taxis.

History of Uber in Vietnam

Hand holding a phone with Uber Logo inside a vehicle
Proxima Studio – stock.adobe.com

Let’s delve into its history to understand the reason behind Uber’s unavailability in Vietnam. Uber entered the Vietnamese market in 2014, providing its signature ride-hailing services to residents and visitors alike. However, despite its initial success, Uber faced stiff competition from local champion Grab.

It’s worth noting that Grab is a Singaporean company that operates throughout Southeast Asia and offers various services beyond ride-hailing, including food delivery and financial services.

2018, Uber decided to merge its Southeast Asian operations with Grab’s. This merger made Grab the dominant player in the region’s ride-hailing market. As part of the merger agreement, Uber ceased its independent operations in Vietnam and other Southeast Asian countries where Grab had already been established.

Since then, Grab has continued to expand its presence and services throughout Vietnam. It offers both car and motorbike rides through its GrabBike service—a popular mode of transportation in Vietnamese cities.

For example, imagine you’re visiting Hanoi, the capital of Vietnam, and need a quick ride across town. Instead of opening the Uber app as you might have done elsewhere, you would open the Grab app to request a ride.

  • Uber’s unavailability in Vietnam is due to its decision to merge with Grab in 2018. This merger allowed Grab to become the dominant player in the ride-hailing market in Southeast Asia, including Vietnam. As a result, Uber ceased its independent operations in Vietnam and other countries where Grab had already been established. Since then, Grab has expanded its presence and services throughout Vietnam, offering both car and motorbike rides through their GrabBike service. Therefore, if visiting Vietnam and needing a ride, it is advisable to use the Grab app instead of Uber.

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Uber vs. Other Ride Services in Vietnam

Aerial view of the traffic at night in Hanoi, Vietnam
Hanoi Photography / Adobe Stock

Vietnam’s ride-hailing market is highly competitive, with multiple players vying for customers. While Uber was once a popular option, it is no longer available in the country.

Instead, Grab has emerged as the dominant ride-hailing service in Vietnam. Grab offers many services beyond car rides, including food delivery and digital payments.

Imagine you arrive in Vietnam and open your ride-hailing app to book a car. Instead of finding Uber, you will see Grab as the primary option. This shift in the market has made Grab the go-to choice for convenient transportation services throughout the country.

Now, let’s examine Uber’s performance compared to local taxi services if it were still available in Vietnam.

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Comparison of Uber with Local taxi services

Close-up of a parked color green taxi in Hanoi, Vietnam
Piranhi – stock.adobe.com

Uber’s presence in Vietnam offered an alternative to traditional local taxis. Many travelers and locals alike found Uber a more affordable and convenient option than local taxi services such as Vinasun and Mailinh.

The advantages of using Uber in Vietnam included competitive pricing, ease of use through the user-friendly app, and reliable drivers who often spoke English. With Uber, there was also no need for cash payments, as everything could be settled seamlessly through the app.

However, it’s important to note that not all aspects of Uber were superior to local taxi services. Some locals experienced inconsistencies with vehicle quality when booking an Uber Black service. Additionally, communication could sometimes be challenging if drivers needed to verify details or confirm pick-up due to language barriers.

The availability of Uber allowed for healthy competition among ride-hailing services, which often pushed providers to improve their offerings. Local taxi services had to adapt and improve their practices to remain relevant despite Uber’s popularity.

Although Uber is no longer available in Vietnam, its impact on the ride-hailing landscape and competition within the industry remains evident. As the successor to Uber in Southeast Asia, Grab has continued to evolve and provide similar services, giving travelers and locals multiple alternatives for convenient transportation across Vietnam.

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Challenges For Uber in Vietnam’s Regulatory Environment

Panoramic view of the Saigon street  traffic in Ho Chi Minh City, Vietnam
huythoai / Adobe Stock

Regarding operating in Vietnam, Uber has faced numerous challenges due to the country’s regulatory environment. One prominent challenge has been the dominance of Grab, which acquired Uber’s Southeast Asian operations in 2018. As a result, Grab became the leading ride-hailing service in Vietnam and expanded its presence across the country. This acquisition has limited Uber’s market space, making it challenging to establish a significant foothold.

Another challenge stems from the local regulations imposed by Vietnamese authorities. These regulations include requirements for ride-sharing companies to register with the Department of Transport and adhere to specific criteria related to vehicle quality and driver qualifications. Meeting these regulations can pose difficulties for Uber and other ride-sharing platforms looking to enter or expand in Vietnam.

Moreover, competition from traditional taxi services also adds another challenge for Uber. Traditional taxi companies have voiced their concerns about unfair competition from ride-sharing services like Uber, leading to further friction within the industry.

Despite these challenges, Uber has managed to navigate the regulatory landscape in Vietnam and continue providing its services to users. Let’s now delve into the impact of laws on Uber’s operations in the country.

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Impact of Laws on Uber’s Operations

Panoramic view of the traffic during the rush hour in Ho Chi Minh City, Vietnam
Quang / Adobe Stock

The regulatory framework in Vietnam has significantly impacted Uber’s operations. While Uber was once recommended as a reliable transportation option, changes have affected its availability and usage.

One aspect worth noting is that Grab is the dominant ride-hailing service in Vietnam, replacing Uber as the go-to option for many locals and travelers alike. In cities like Ho Chi Minh City (Saigon), Grab has become more popular and integrated into daily commuting routines.

Furthermore, local regulations have influenced how Uber operates and provides its services in Vietnam. These regulations may include requirements for service registration, vehicle inspections, and driver qualifications. Adhering to such regulations can directly impact Uber’s ability to provide its services in compliance with Vietnamese law.

It’s important to note that while there are challenges and regulatory considerations, Uber continues to operate and has a presence in Vietnam. However, it is recommended that users check the availability of Uber in their specific location and consider alternative options like Grab, particularly in cities where Grab has a stronger foothold.

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The State of Ride Sharing in Vietnam in 2023

Motorbikes and cars in Saigon street, Ho Chi Minh City, Vietnam
huythoai / Adobe Stock

Vietnam’s transportation landscape has experienced significant changes over the past decade, thanks to the rise of ride-sharing services. However, it’s important to note that Uber is unavailable in Vietnam. Instead, the dominant ride-hailing service in the country is Grab.

Grab Holdings Inc., a Singaporean multinational technology company, entered the Vietnamese market in February 2014. Starting from Ho Chi Minh City and gradually expanding to other cities, Grab has become the go-to platform for convenient and affordable transportation options.

Vietnam’s bustling cities like Hanoi and Ho Chi Minh City have welcomed Grab with open arms. The convenience of booking a ride through a mobile app and the competitive pricing offered by Grab have made it a popular choice among locals and tourists. With just a few taps on their smartphones, passengers can hail a car or even choose from other transportation options provided by Grab, such as food delivery (GrabFood), courier service (GrabExpress), e-scooter rental (GrabWheels), and payment services (GrabPay).

Grab’s extensive reach across multiple Southeast Asian countries, including Singapore, Malaysia, Cambodia, Indonesia, Myanmar, the Philippines, and Thailand, has allowed it to adapt its services based on local needs and regulations. This localization approach has contributed to its success in each market it operates in.

In 2021, Grab went public through a SPAC merger with Altimeter Growth Corp., marking a significant milestone for the company.

As of 2019, Grab had approximately 6,000 employees working towards improving transportation access and efficiency throughout Southeast Asia. With its continuous growth and innovation combined with a deeper understanding of the local market dynamics, Grab continues to shape the landscape of ride-sharing services in Vietnam.

In conclusion, while Uber may not be available in Vietnam, the presence of Grab has filled the void and become the leading ride-hailing service in the country. Whether you’re a resident or a visitor, Grab provides a convenient and reliable transportation solution to navigate through Vietnam’s bustling cities.

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