Kuala Lumpur, Malaysia – Grab has unveiled its latest collaboration with Jaya Grocer, Malaysia’s leading mass-premium supermarket chain. Now, fast-moving consumer goods (FMCG) brands retailing under Jaya Grocer can leverage GrabAds, Grab’s advertising arm, for a unified omnichannel advertising solution. 

This marks the seamless integration of GrabMart’s online retail presence with Jaya Grocer’s offline presence comprising 50 physical stores across Malaysia. Whether it is about helping brands increase visibility, boost sales or simply build brand, Grab and Jaya Grocer are elevating their commitment through this online-to-offline (O2O) integration to deliver unparalleled value to FMCG players retailing under the supermarket chain.

Amongst the notable brands under Jaya Grocer who have leveraged this omnichannel advertising solution via a GrabAds campaign is leading healthy cheese brand, The Laughing Cow. The brand successfully attributed majority of its offline sales at Jaya Grocer to its online awareness campaign on GrabAds during the campaign period.

Grab and Jaya Grocer in 2021, have been working together to bring the convenience of on-demand grocery delivery to more consumers in Malaysia. In 2022, Grab and Jaya Grocer announced the rollout of GrabPay and GrabRewards across all Jaya Grocer physical retail stores, and the subsequent folding of Jaya Grocer’s loyalty programme with any Grab user in 2023. This integration, which now includes GrabAds, will allow FMCG brands to reap even more benefits from the Grab ecosystem.

Dave Yang, regional head of sales and GTM at GrabAds, said, “As consumers make purchases in stores while maintaining online shopping habits, it is imperative for brands to consider the entire omnichannel consumer journey when closing the loop from awareness to purchase.”

He added, “Retail media networks like GrabAds enable brands to build such O2O advertising campaigns seamlessly, thanks to our comprehensive ad ecosystem – from online search ads to offline fleet wraps. We are only strengthening our O2O capabilities with the integration of Jaya Grocer. GrabAds looks forward to working with more FMCG brands on innovative O2O campaigns.”

Meanwhile, Daniel Teng, deputy chief executive officer at Jaya Grocer, commented, “We are thrilled to see the continued impact of our integration with Grab, particularly for the FMCG brands retailing under Jaya Grocer. The promising landscape of on-demand grocery services in Malaysia, where many consumers prefer a seamless blend of online and offline shopping, makes this partnership more significant than ever. Our collaboration with Grab will allow Jaya Grocer to tap into an active consumer base shopping online and offline, contributing to the growth trajectory of our (Jaya Grocer’s) business in Malaysia.”

Singapore — Grab, Southeast Asia’s leading super-app, announced the acquisition of a majority stake in Jaya Grocer, a leading mass-premium supermarket chain in Malaysia. The two companies plan on bringing the convenience of on-demand grocery delivery to more customers in Malaysia.

With the partnership, Jaya Grocer will now be part of Grab’s ecosystem, allowing the grocery chain to accept GrabPay and GrabRewards across all its physical retail stores, expanding usage of Grab’s popular cashless wallet.

Grab disclosed that the acquisition is timely as there is an accelerated growth in on-demand delivery services due to the pandemic causing consumers to opt for online grocery shopping. With a forecast that online grocery in Southeast Asia could grow to US$50B in gross merchandise value, equal to the size of the entire e-commerce market today, the technology company sees the acquisition as an advance step to get ahead and secure a foothold in the industry post-pandemic.

Online grocery demand remained elevated even as restrictions eased. GrabMart, Grab’s on-demand grocery and speciality retail marketplace, recorded three straight quarters of growth in the first three quarters of 2021. Jaya Grocer, a trusted and well-loved consumer brand in Malaysia, also saw continued strong growth, with revenues growing at double-digit rates year-on-year from 2018 to 2020, and is EBITDA accretive to Grab’s business. 

Anthony Tan, Group CEO and co-founder at Grab, said that it is the company’s vision to make on-demand groceries more accessible for everyone.

“Jaya Grocer is known for its wide selection of good-quality fresh produce and grocery products. By combining our extensive on-demand delivery fleet and capabilities, with Jaya Grocer’s strong retail presence and supplier network, we can have these quality products delivered to more homes even faster. We believe this partnership will further accelerate the growth of our groceries delivery business, and we are excited by the immense opportunity ahead of us,” Tan said.

Meanwhile, Teng Yew Huat, founder of Jaya Grocer, shared his thoughts on the partnership, saying, “I have built Jaya Grocer from the ground up – from our first store in Klang Valley to over 40 stores today. Grab’s strong track record and ability to execute in a hyperlocal way gives me confidence that I have found the right partner to take Jaya Grocer to new heights. This acquisition provides us with an amazing opportunity to not only grow as a company, but also grow the market for online grocery services in Malaysia.” 

Grab continues to double down on on-demand grocery delivery. The company is scaling its GrabMart marketplace by partnering with retailers to provide consumers with greater product variety and convenience. The acquisition enables Grab to bring more Jaya Grocer retail stores onto its marketplace, while also leveraging Jaya Grocer’s large supplier network to further expand its GrabSupermarket product line at lower costs. This in turn contributes to improved unit economics and overall affordability of grocery delivery.