Here in the Philippines, we only have a handful of ride-hailing apps that by now, we are all very much familiar with. Ask any Filipino to name their favorite app and they would have repeating answers.
Such is the effect of having limited options. But in Vietnam, it’s a whole different story.
According to the annual market report on Vietnam’s taxi industry by Mordor Intelligence, a globally renowned market research firm, Xanh SM has emerged as the leading player in Vietnam’s ride-hailing taxi market, securing 37.41% of the market share in Q4/2024. This milestone represents a transformative shift in the transportation industry, steering it towards higher quality and greater sustainability.
Mordor Intelligence’s report specifically noted that in Q4/2024, Xanh SM claimed the top spot in the ride-hailing segment with 37.41% market share, surpassing Grab (36.62%) and significantly outpacing other competitors, such as Be (5.55%), Mai Linh (4.81%), and Vinasun (2.44%).
According to Mordor Intelligence, Xanh SM earned top marks in key areas such as service quality, geographic coverage, and customer satisfaction. The report also highlighted that the industry’s average growth rate is projected to accelerate significantly, reaching a rapid 22.7% compound annual growth rate (CAGR) between 2025 and 2030, compared to the 4.72% growth rate recorded during the COVID-19 period (2020-2024).
Earlier, a study conducted in late 2024 by Q&Me, a leading market research firm in Vietnam, revealed that customer satisfaction with Xanh SM’s electric taxi services reached 83%, surpassing Grab (80%) and Be (68%).
Furthermore, 84% of customers expressed willingness to recommend Xanh SM’s electric taxi service, while 77% would recommend its e-scooter service. Xanh SM also emerged as the most spent-on app among users, reflecting strong trust in the brand.
Decision Lab, the exclusive partner of YouGov in Vietnam, released its The Connected Consumer Q1/2024 report, which revealed that Xanh SM achieved a 32% market penetration rate in Q1/2024, ranking second and far surpassing other applications. This continuous growth in market share and ranking allowed Xanh SM to catch up with and surpass its biggest competitor.
Experts attribute Xanh SM’s success to its 100% electric taxi fleet, which offers passengers a safe, comfortable, and eco-friendly experience, supported by courteous and professional drivers. Moreover, Xanh SM’s rides have significantly contributed to reducing CO2 emissions in major cities, earning widespread support from users.
This is not just an innovative business strategy but also a profound demonstration of Xanh SM’s commitment to social responsibility. In 2024, Xanh SM’s operations helped reduce approximately 150 million kilograms of CO2 emissions, equivalent to the annual photosynthesis of 7 million trees, or over 2,300 hectares of forest plantation.
Overall, industry experts believe that the combination of exceptional service quality and environmental responsibility has helped Xanh SM build a distinctive brand image that continues to attract a growing customer base.
Xanh SM is redefining industry standards for ride-hailing, according to experts. As Grab sees its market share decline and brands like Gojek exit the market, the competition in ride-hailing has shifted its focus toward service quality and the growing demand for green transportation. Xanh SM’s rise perfectly embodies this inevitable shift in the industry.