All right. Good morning, and welcome to Grab's very first Investor Day. My name is Douglas Eu, and I'm Head of Asia Investor Relations here at Grab. On behalf of the management team and all of us here at Grab, I would really like to thank for all of you here joining us here in person. You know, it's really great to see so many faces here at our headquarters in Singapore. For our participants also joining us virtually, we would also like to extend a warm welcome to you as well. We have a packed agenda for you today with a lot of content to cover. Over the next few hours, you'll get to learn more about Grab through presentations from several of our senior executives. We structured the day into two parts.
The first part, we'll have four presentations, where we'll have Anthony Tan, Chief Executive Officer and our Co-Founder, kicking us off with his opening remarks. Following which, we will then have a short break in the middle. We're gonna subsequently proceed to the second leg, where we'll have three more presentations, and the final presentation will be from Peter Oey, our Chief Financial Officer, on our financial roadmap. We will then end off the session with a moderated Q&A with several of our speakers. We'll be taking questions live from the floor here. For those of you joining us virtually, you may submit your questions through the Q&A box. Finally, after the event, for those of us here in Singapore in the one-north office, there will be a lunch and networking session where for those of you joining us here today.
We will also be posting the presentation slide deck as well as a replay of the event on our investor relations website. Before we start, I must remind you that we will be making forward-looking statements and presenting non-IFRS measures as well as IFRS numbers. I ask you to review the disclaimers in this presentation. Forward-looking statements are made based on our beliefs and expectations as of today. Actual results can differ materially from forward-looking statements due to various factors. Please also refer to our SEC filings for those factors. We do not undertake any obligation to update these forward-looking statements. For the non-IFRS measures that we're going to present, they should be considered as supplemental measures rather than substitutes for IFRS measures. See the appendix for this presentation for a reconciliation of non-IFRS measures to the most relevant IFRS numbers.
Without further ado, let's get this show on the road. Please give a warm welcome to Anthony Tan, who'll be here to deliver his opening remarks.
Thanks, Doug. Good morning. Good morning. Warm welcome to everyone, and thank you for many of you who actually flew from all around the world. Really thank you. Besides being here in person, please experience Grab as much as you can while you're here. We always appreciate more business. For all those who are joining us virtually as well, thank you for making the time. We appreciate it. As you can see, being here in the office, I know it's a beautiful facility. We're very blessed. The Singapore government actually built this, you know, with us, and we're very grateful for them. In fact, the rental here is actually cheaper than I don't know if you guys know about Midview, where we used to be in the boonies, and this is cheaper than that.
Really thank you to all the partnerships that we do with governments across the world, and especially to the Singapore one for this building. Now, my sharing this morning will be on two fronts. One, who we are and what's next for us. I know there are many friends, like Ajay here, who've tracked us closely, for many years, but we also have some in the crowd who don't know who we are. Who are we? We started 10 years ago, and we've evolved to become Southeast Asia's leading superapp. From a taxi hailing service in just one city in Kuala Lumpur, now we are truly a regional superapp platform covering over 480 cities in eight countries with high frequency everyday use cases in our markets.
I hope today you will do deep dives, experience it for yourself, and you'll understand the breadth and depth of our businesses. For now, I'll just use four facets to summarize who we are. The first, we are a thriving marketplace that grows alongside our partners. Two, we're a household name synonymous to everyday life in Southeast Asia. Three, a tech platform who solves problems at an unmatched scale in Southeast Asia. Four, a resilient business with a clear path to profitability. Many of you have heard of our mission, and what is that? That is to drive Southeast Asia forward by creating economic empowerment for everyone. Our mission is best exemplified through the impact that's created for our driver, our delivery, our merchant partners. Our partners, we call them everyday entrepreneurs. Grab success is tightly intertwined with theirs. When they win, we win.
This is why we're pleased to share that in 2019, we generated almost $9 billion of earnings for our driver, delivery, and merchant partners. This is an increase of 24% year-on-year. In the same year, we onboarded more than 680,000 small businesses. These include eateries on GrabFood or social sellers or market stalls and supermarkets on GrabPay and GrabMart. Now, as Southeast Asians ourselves, we recognize that Southeast Asian consumers are diverse, and they are very savvy. We're very blessed to continue to win their hearts, their minds, their pockets, through our local services. Becoming a true household name, deeply embedded into the local way of life. Whether it's delivering Jaya Grocer's fresh produce to Malaysian households, or delivering Michelin Bib Gourmand, these meals to Thai consumers, or ferrying commuters on GrabBike across the busy streets of Ho Chi Minh City.
Today, one in 20 people in Southeast Asia eat, ride, or pay with Grab every month. Our 32 million monthly transacting users are supported by the 4 million registered merchant partners and 5 million registered driver partners on our platform. Now, our tech platform. Our tech platform has empowered us to scale and solve Southeast Asia's most complex problems at scale. Three examples come to mind. First, safety. Ling, my co-founder, sitting up front, she and I wanted to solve the problem of passenger safety on taxis when we first started Grab. Today, I'm very humbled to share we've effectively solved it, solved this massive safety problem. 99.99% of all rides and deliveries occur without incident. Second, mobility. We wanted to drive mobility at scale, and we crossed our 1-billionth ride in 2017, five years from when we started.
It took us only five more years to 10x this. We had 10 billion rides and deliveries on fourth of July , pure coincidence, fourth of July, 2022. That's near our 10th-year birthday. Third, mapping. We originally set out to improve routing and points of interest, POIs. The whole idea was just to help our partners navigate Southeast Asia more efficiently. Today, we are fully self-reliant for maps in all markets. We're building the best map platform of choice for Southeast Asia. Through crowdsourcing from our driver and delivery partners, we've mapped 800,000 kilometers of missing roads and added over 33 million POIs. We have one of the largest collections of POIs of any map provider in Southeast Asia. These are among the many problems we tackle every day at scale, and my co-founder, Ling, will share more later.
Finally, we executed relentlessly to drive growth in a sustainable manner. Since going public, total group revenue grew 162% from Q4 2021 to Q2 2022. We've also driven improvements on operational efficiency. From the middle chart you see, we've tapered down incentives by 260 basis points over the same period. Consequently, our adjusted EBITDA margins have improved by 220 basis points. Looking ahead, we're firing on all cylinders to improve our profitability trajectory. We're working hard to achieve this by, number one, growing our top line in a sustainable manner. Two, focusing on high-quality GMV transactions. How? By expanding our TAM, our total addressable market and revenue base, and acquiring higher lifetime value customers. Three, being very disciplined with our cost management. Our CFO will speak more about these later.
Looking ahead, there's plenty we're excited about, and I'll distill it into just two main thrusts. First, we hold tremendous conviction in Southeast Asia's short-term and long-term growth. We believe Grab is best placed to capture this massive potential. Why do we say so? Our key segments are still very under-penetrated, even after the COVID digitization wave. The charts here you see show that online penetration for Southeast Asia, whether it's food delivery, online, on-demand mobility, that still remains low. This region is young, educated, tech-savvy. The IMF actually states that over half the population is below 30 years old. These Southeast Asians, we as Southeast Asians, are mobile-first and highly digitally engaged. These demographics favor a growing appetite for services like ours. Furthermore, pandemic recovery is still underway. Tourism, business travel, that hasn't reverted to pre-COVID levels.
Chinese travelers, these are top contributors to the region's tourism. They haven't returned. The region's workforce, that hasn't fully come back to work in office or work in factories yet. We look forward to more volume growth when full recovery happens. Finally, governments are very, very upbeat about the digital economy, about the future of the digital economy. Grab has proactively forged various partnerships with governments, especially in areas like fintech, digibank, digitization of small businesses. With these alliances, we can and we will strive for win-win outcomes for governments and our ecosystem. These are reasons why we remain convicted of this region's huge potential. Second, we believe in the power of the super app ecosystem. As a truly regional player, this gives Grab a competitive moat over peers who are monoline or geographically less diverse. Our super app ecosystem helps us unlock synergies across our four core segments.
At scale, we bring more choice, more efficiency, greater experience to our consumers, and most importantly, more income opportunities for our partners. Also, Southeast Asian consumers are tuned now to the convenience of one-stop shop. We see this from how they responded to our super app proposition. In Q2 2022, 62% of our monthly transacting users enjoyed two or more services on Grab. That is up 41% from four years ago. Further, in 2021, we saw that consumer cohorts who use three Grab services or more spent 3.3 x more than they did in 2019. Multi-service consumers not only spend more on our platform, their spending behaviors persist and grow over time. The power of the super app ecosystem can do so much more.
Alex, Sean, they will share more later on how we can deliver even more impact for consumers and partners, especially during these macroeconomic uncertain times. Our merchant partners are naturally impacted during times of economic uncertainty. The power of the super app ecosystem helps us innovate across Grab, so we outserve not only our consumers, but our merchant partners. These include how we fulfill their sales through our on-demand mobility, drive more leads through our ads, support working capital needs through merchant loans, and so much more. In turn, we can help their businesses be more sustainable, be more predictable, even during these uncertain times. Now, here's an example of Gerai Nenek Obek. This shows how our merchant partners see Grab as a trusted business partner for them. Beyond onboarding them onto Grab, our role has matured into one where we fuel their growth.
I actually met Filzah just two months ago. She sells Malay dishes, that's her grandmother and mom, and in Singapore's Geylang Serai Market. Our in-house merchant center helped her in two ways. First, we provided business consulting services. It helped her identify unique opportunities. For example, one of them was to leverage GrabFood's island-wide delivery. This was an industry first when we launched it. It enables consumers to order from Filzah's stalls far away from her. Second, we helped her discover Ad Manager. This is a self-serve tool which boosts awareness and sales through all the in-app ads. Now, these combined efforts helped her boost the sales by 3x, 300%. Beyond Filzah, there are many more merchant partners who benefit from our merchant-funded solutions. I met Hafiz here in red just two weeks ago.
He owns Ulam Melayu as a fresh produce stall in Kuala Lumpur in one of the traditional wet markets. We've onboarded him on GrabMart just before COVID, just before there was just lockdowns and foot traffic came to a halt. GrabMart allowed Hafiz to not only survive the crisis, but thrive. Today, he earns $18,000 monthly via Grab alone. This is two-thirds of this, of his monthly income, both online and offline combined. Two-thirds. Hafiz is so grateful to us that he's helping us convince, acquire, train other merchants to join Grab. Hafiz, like many other everyday entrepreneurs, they are asking, "What's next for us?" It will be so amazing if Hafiz comes to our Investor Day 10 years from now and testifies that we helped him grow. We helped him grow sustainably over this long time period.
That will be how the power of the ecosystem drives real impact on the ground. Stories like those of Hafiz, of Filzah, they constantly remind me that our work in Southeast Asia is far from done. I'm truly worried about poverty in our region, and this has become even more pronounced given the economic times. Much that Grab can do. As we focus on everyday entrepreneurs, on creating opportunities for these entrepreneurs, whether they're big or small. I humbly believe that this is my calling to serve Grab. I'd like to invite all of you to continue being part of Grab's journey as we double down on creating even more economic empowerment for everyone in this region. Going forward, our aspiration is to drive towards becoming Southeast Asia's largest and most efficient on-demand platform that enables local commerce and mobility.
To this end, we'll focus on three focus areas, both in the short term and medium term. First, we will solidify our category position through customer love and merchant love. Second, we will ensure that we are Southeast Asia's most efficient on-demand platform. Finally, we will build financial services capabilities to serve our ecosystem. As CEO, I remain 100% committed more than ever to drive Grab into our next decade and many more to come. I'll now hand over to Alex, our COO, who will share more. Thank you so much.
Thanks, Anthony, and welcome everybody. My name's Alex Hungate. I'm the Group Chief Operating Officer. I particularly want to thank the Hong Kong government for lifting quarantine just in time for many of you to arrive today. I'm glad you won't have to do the three days in a hotel room when you get back. I wanted to pick up where Anthony left off with this statement. This statement is super important. This is not just a bunch of words on a page. This defines our strategy in a more focused way than we've ever defined it before. We're gonna focus on scale. We're gonna focus on efficiency. The power of the ecosystem through the super app to cross-sell users. We're gonna focus on the use cases associated with local commerce and mobility.
This is a clarification which I'm going to use throughout the next few slides to indicate what we're going to focus on strategically, and equally importantly, what we're not gonna focus on strategically. This clarity is what's going to drive our path to profitability, because we'll double down on the areas where we have strong value proposition, and we'll stop doing things where we think we have a weaker proposition and therefore which generate weaker margins. As Anthony said, the first one is the power of the ecosystem. We have a super app interface to the customer. Instead of having multiple apps, we've got one app where we get to know the customer, we use that data science expertise about what the customer needs and wants, and we start to cross-sell relevant services.
We'll update quantitatively shortly on how we're progressing with that strategy and use those numbers to indicate how much that can be worth. Secondly, efficiency. When Ling and Suthen talk later, they will describe to you a huge amount of really clever innovation that we're doing to maximize the efficiency of the system, taking costs out, helping our partners make more money, and of course, therefore, driving our path to profitability as well. Finally, I know a lot of you in the room want more clarification about our financial services strategy, which, I will touch on briefly in this first overarching presentation, but actually after the break, we'll go into that in a deep dive. Numbers. What does the power of the ecosystem mean in real numbers?
Well, just in 2018, as you can see, we only had 12% of our consumers who used two services or more with Grab. Now we're looking at 62%, so almost two-thirds of them are using at least two services. A massive increase over that period of time, despite COVID. A very consistent increase that we've managed to generate. This means that they are more loyal, and when they are more loyal, they also increase their retention. Users who have fou services or more have an annual retention rate of greater than 87%. Amazingly, as they get more loyal and as they use more services, of course, you also see an increase in spend.
+66% increase in spend per user, and this is nothing to do with incentives out of this, net of consumer incentives. This is, in quantitative terms, the value of the ecosystem. Now let's look at the efficiency part of what we want to achieve. As you know, in Southeast Asia, post-COVID, structurally, there's been a shortage of drivers available in the markets. The demand for mobility in particular has come back faster than many of the platform players have been able to bring back drivers into the system. We have a unique advantage in Southeast Asia because we're the only regional player that is across verticals, allowing drivers to load balance between delivering food, delivering parcels, and driving passengers around on two wheels.
This gives us a big advantage, so more than two-thirds of drivers actively toggle between those different services, meaning that they can maximize their driver earnings. We've got multiple initiatives in place. It pains us when we go into the marketplace and we see drivers queuing outside of restaurants waiting for food, 'cause we know that that's bad for them. It means that they're earning less that day when they're having to wait, and therefore, we know it's bad for our whole ecosystem because it adds cost to the system. There's a huge amount of work going on to get that arrival of the driver just in time. If it's too early, they wait. If it's too late, of course, the food may not be in the best condition for the consumer.
We need that Goldilocks timing, and Ling and Suthen will talk a lot about how we get to that. The mapping capabilities that Anthony talked about in Southeast Asia. Southeast Asia's cities are messy, and they change all the time, and they're tremendously difficult to navigate. When we talk to the drivers, we realize there's all sorts of little back streets and soi and shortcuts that they use which help them to get around. Our maps, because they're local, hyperlocal maps, capture those opportunities and help with the efficiency. Now let's talk about how we drive that driver efficiency further and increase their loyalty. The number of transit hours in just one year has improved by 11%. That may not sound like a lot to some of you, but actually it translates into a +31% increase in their earnings.
That means that our platform becomes a more lucrative platform for them to focus on, and of course, it increases retention. We're now getting one-year retention rates of greater than 85% for our drivers. That's on a gig platform, so that's a very, very high retention rate, which is worth a lot, particularly, as I said, in an environment where there has been a shortage of supply in the rebound from post-pandemic. Driver loyalty is high. Merchant loyalty is also high. We are a category leader across Southeast Asia in every one of our markets for mobility and food. What does that mean? Well, that means that the drivers and the merchants want to work with us.
In the case of merchants, we've increased 30% in the last year, the number of merchants who are on our platform. That shows that we are the primary place where they can do business and grow their incomes. We've also started providing additional financial services to the merchants as we have with the drivers. In the merchants case, we start out with our payment systems. Our payment systems allow us to get information not just about the Grab sales that they're making, but actually all the sales that they're making, because we see the payment flow for other delivery platforms perhaps, but also those people who are dining in their stores.
After a while, we feed this information into our credit models, and our credit models using not just conventional, but unconventional data like that, starts to suggest that we can provide merchant cash advances. Cash advances are very different than unsecured personal loans. Cash advances mean that we have the right to subtract the income they're getting from the platform first to repay the loans, which gives us a big collections advantage. They want to come onto our platform because it has the most GMV available of any platform in the region. Actually, they want to continue to grow as well, both on our platform and also to attract new users into our environment by using advertising spend.
Advertising, we believe, is a huge win-win, because if we can give them access to our very precise AI-targeted tools to help them get better returns from their advertising, that will help them do better as a business, but it will also help our ecosystem 'cause it brings in more revenue and more users into our marketplace. What we will do and what we won't do on our strategy is now very clear, and I want to just run through six areas of clarification for you, which you will hear picked up in deeper detail during the course of the morning. Grab Unlimited, Sean will talk about later in more depth, in particular sharing his experience in Malaysia, where we first launched it. Let me share with you some of the top-level data that we've seen across.
We've expanded to five markets now for Grab Unlimited. We've done it quietly but very swiftly. Now it's already at 19% of our GMV. You can see it's become a very popular proposition. Because as a multivertical player, unlike a single vertical player who might just do food delivery, we can combine benefits from food delivery, groceries, from mobility, and even financial services to package something that people will want to subscribe to month after month, year after year. We know that subscribers who take Grab Unlimited spend a lot more with us, so 2.5x higher for food and 2x higher for mobilities. This is a very powerful tool to help us grow GMV, and we believe from the data that we've seen so far, it doesn't sacrifice margin.
It's a very attractive proposition that we're gonna push further, and Sean will pick up on that. Grab For Business. What's Grab For Business? It's basically a software as a service channel, but the key insight is it recognizes that corporates purchase services differently than we do as individuals. They have to have certain reporting in place, they have to have certain approval ladders in place, and they have to have certain controls in place as well. Corporations do want to buy mobility services and food services and delivery services for their employees. By creating a portal that takes into account their specific purchasing requirements, we are able to tap into those customers. Hopefully, you all of your companies are using Grab For Business. If you're not, please come and see me afterwards.
I'd be delighted to hook you up because it's a great service. Although you may be personal users, we know from the data that once your companies start using it, your personal usage will increase 2.3x on mobility, 2.1x on food deliveries from what you were doing before your corporation started using it, as you double up both for personal usage and for your business usage as well. It's a very powerful channel that. Over the next several quarters and years, we intend to deepen our targeting of the corporations around Southeast Asia. One area of clarification that many of you have been asking about is our groceries strategy. Groceries is a low-margin business, so it's very important that we have a clear value proposition here at Grab.
We have two propositions, and I just wanna spend a minute clarifying each one. Groceries is super important because it's a high-frequency, regular purchasing category, so it does power high usage and loyalty towards the app. But because it's low margin, we have to focus very carefully on making sure that we've got the best possible customer experience for the first proposition, which is supermarket. There are many platforms offering online availability of groceries, but there's a fault with most of them, which is that when you browse for something you want to buy, you're not actually seeing the real-time availability of what's available for you. You will sometimes order, and then you realize that when the delivery comes, half the items might be missing. This is a terrible customer experience.
We resolved that in the supermarket category, we would go deep with integration. We will drive full visibility down to the inventory level of what's available in the local store for you when you order, so that when the order arrives, you're exactly clear about what you will get. We've done this first with Jaya. Jaya is a supermarket in Malaysia that we own, and we've been able to really engineer that close cooperation to get the best-in-class customer experience. In Malaysia, there is not a strong online offering, and Jaya is. We've taken all 40-plus stores, we've taken our tech, we've enabled that deep integration, so they now become dark stores. There's no additional capital costs around, you know, building a new supply chain, building new distribution centers.
We sweat the assets more, and so we get better return on the assets out of that integration with Jaya. In other markets, which might be more competitive around the online offering or where we couldn't find something that fitted our strategy as well as Jaya, we're going to partner. I'm pleased to announce that we have this week announced a relationship with Trans Retail. Trans Retail is part of the CT Corp, and in Indonesia, it's one of the largest retailers nationwide. Overnight, by partnering with them, bringing in the dark store tech that we've developed for Jaya, we will dark store enable their stores, and we'll get that great best-in-class customer experience. But it's a capital light model, of course. We don't have to build new stores. We dark store enable their stores.
We don't have to go through the pain of building out our supply chain to get to the volumes that they have. We overnight start benefiting from their gross margins, and therefore, we can make best possible returns and still get that high-frequency purchasing behavior through Indonesia. We'll be looking for other partnerships like that, and we'll update you as they come to fruition. The second proposition is our mart proposition. Mart is a very different proposition. It focuses on high-urgency items that people are willing to pay for the delivery fulfillment in a short period of time. So think about things like pharmacy. Like, you've got a headache, you need Panadol, you don't wanna go out to get it. Someone will bring it to you.
Other categories like that, health and beauty, high margin, high urgency, alcohol, et cetera. These are the categories that fit in the mart proposition, and we know already that Grab is super good at fulfilling that kind of an unmet need. This is the focus for mart. We have good margins in the mart business. We'll continue to roll out and add more suppliers into our network. Because it's a three-P model, again, it's capital light that drives high frequency. Our marketplace now has grown to such an extent that even the world's leading FMCG companies want to work with us. Those of you that follow us closely would have seen over the last month or two big announcements.
One is with Coke, maybe the world's most famous brand, who have identified, of course, that the food delivery occasion is a new occasion, a new opportunity for them to stimulate more, beverage consumption. Who have they chosen to work with in Southeast Asia? They choose to work with Grab because only we can digitally enable their brand deep into every part of Southeast Asia, helping them to reach merchants they can't even reach today with their sales force, in a data science way, so they can identify and target those merchants. We've got 4 million merchants, so actually, it's way beyond what they can do with their own sales force. You would have seen the announcement with Starbucks, another global top ten brand.
We are the only company in Southeast Asia that has a loyalty linkage with Starbucks. What does that do for customers? Well, for those of you who are loyal Starbucks users, when you go into the store, you get recognized. You get recognized as a loyal customer, and you get rewarded as a loyal customer. Until now, when you're online, there's no such recognition. Between Starbucks and Grab now, we're able to recognize their most loyal customers when they come online to buy Starbucks. There's that online/offline recognition of loyalty, which is unique in Southeast Asia between us and Starbucks. Why should it just be the most sophisticated, biggest brand companies that get to use that kind of closed-loop digital enablement? It shouldn't be, right?
For Grab, if you think about our mission to enable those everyday entrepreneurs to be successful, it's important to us that we create the same tools that can be used by the SMEs, the micro-SMEs , as it can be used by Coke and Starbucks. It's been a journey, and over the last four years we've managed to increase the capabilities that we can put in the hands of those micro-SMEs . We now have thousands of them using a self-help tool, which allows them to manage their campaigns and get feedback on return on advertising. On average, those micro-SMEs are getting three to 6x returns on their campaigns. That makes that an extraordinarily successful performance management advertising tool.
We think it's a win-win because the more they grow by being more successful with advertising, the more our marketplace grows. We are gonna be doubling down on this. We have an even better tool that's even fuller in its capabilities that is in alpha now and will be coming out in 2023, which will allow us to go even deeper into that huge opportunity of 4 million merchants. Financial services, I'll be coming to later after the break, but this is my final slide because I wanted to, I just want to focus on the clarity of strategy we have around financial services. In banking, of course, if you know customers well, then you make money by lending to them. If you don't know them well, you can lose a lot of money.
It's that truism which we use as the guiding light for how we think about fintech and the digital banks. Our fintech strategy is to focus on the ecosystem. In that ecosystem, we have huge advantages, which I will elaborate on after the break. Basically, it's the deep knowledge and the ability to reach those customers, which gives us the chance to create unique value for them. Our fintech transactions on our platform are those that are generating value for us today. The fintech transactions off the platform, many of them are not generating value, and that's the area where we have to rationalize, and we'll talk about how we do that after the break. We come to the digital banks. The digital banks is the next frontier of growth for us.
We won the licenses here in Singapore and also in Malaysia, and we have a share in Bank Fama in Indonesia, which gives us the right to create a digital bank with our partners there. In all three markets, we are one of the top players already in wallets, and we'll use that position to help accelerate our liability strategy for the digital bank. We're also already doing cash advances and pay later, so we'll use those insights that we have to accelerate the effect of our lending strategy for the banks. In a nutshell, that's where we're going, but we'll give you much more detail about how all of that comes together as part of the ecosystem after the break. In summary, we have a very clear strategy. It defines what we do and what we will not do.
We've shared with you exactly where we're gonna double down and why that will drive value, these six areas. During the course of the morning, you'll hear a lot more about these six areas. In summary, what it will do, it will help grow our ecosystem, but most importantly, it will accelerate our drive towards profitability. Thank you very much. Now I want to introduce Ling. Come on up, Ling. Thank you.
Just checking and now we'll be using a backup. This is why you always have plan B. Okay, without further ado, morning, everyone. My name is Hooi Ling. I'm Anthony's co-founder, and I lead the technology and platform product teams here at Grab. In this particular section, Suthen, our group CTO, and myself will be sharing additional insights into how we use our technology and product platforms to give us the leverage that we need to serve our users better and also drive sustainable growth in the long term. The Grab ecosystem powers 32 million users, 4 million merchant partners, and 5 million driver and delivery partners. All of this is underpinned by a common technology and product platform that enables us to bring global best-in-class technologies to serve the very unique needs of our Southeast Asian users.
Ultimately, this is the platform that drives more than 10 million transactions daily. Now, to cater to these diverse needs of our Southeast Asian users, we approach the development of our technology and product with the following four principles. Firstly, we build them in a way that's hyperlocal to the needs of all the different markets we operate in. Secondly, we also do so in a personalized way, so that we can really truly tailor it at an individual level to very different needs. Thirdly, we also build our infrastructure and systems in a way that enables us to continue driving efficient, sustainable growth in the long run. Last, but definitely not least, is that we do all of the above in unique proprietary ways, such that we now have the largest patent portfolio in the region amongst our peers with more than 600 filed patents.
Kick-starting our first principle of being hyperlocal. What does this mean for us when it comes to technology and product development? We build our platforms in a way such that it is scalable and modular for regional extension, but also flexible enough to be optimized locally. These capabilities give us the ability to launch new cities or new services in a matter of hours. We've also done our product development in a way such that we can get these updates, these continued updates, into the hands of our various users without them actually having to go trigger an update in their app stores, be it Android or iOS. As you can probably tell, this significantly improves the seamlessness of our user experience, our speed to launch, and of course, reduces our customer acquisition costs. As you can see, we've been busy.
These technology platforms that I just talked about have really, truly enabled us to power, lead, fuel, and accelerate our ambitious growth plans to date. What they are ultimately doing is helping us to find this beautiful sweet spot between platformizing for cost-efficient scale, while also hyperlocalizing for the very unique and diverse needs of our Southeast Asian users. The second principle of personalization. Every Grab user interacts with a different version of Grab. Their experiences are tailored to their likes, dislikes, habits, and predicted preferences. This creates better user experiences. Let me share an example with tangible numbers. In a recent pilot, we were optimizing and trying to figure out better ways to show which merchants and categories to show to our users based on their historical habits and actions.
In that one pilot, in just one month, we've now seen a 23% conversion uplift for our pilot market in Malaysia. More importantly, this experiment and pilot that I just talked about is just one of more than 500 experiments that our technology platform enables us to run concurrently each month now. As we march towards profitability, we're also using our AI machine learning models capabilities to also improve our consumer promo and incentive targeting to drive sustainable growth. This is what Suthen will be sharing more about shortly.
Thanks, Hooi Ling. Hi, everyone. My name is Suthen. I am the Group Chief Technology Officer of Grab. Picking up from where Hooi Ling left off, and in line with what Anthony and Alex shared earlier about becoming the region's largest and most efficient on-demand platform for local commerce and mobility, let's talk about our third principle, sustainable growth. Our big focus areas in driving towards profitability and sustainable growth are improving the efficiency of our supply network and the efficiency of our promos. On the supply side, we are focused on maximizing the amount of GMV created during every second of available driver time. We do this through more efficient batching, routing, supply positioning, more accurate points of interest or POIs, and less waiting time.
On driver waiting time, we shared with all of you during our second quarter's earnings call, an example of one of the key features that we're utilizing in select markets to reduce the wait time of our driver partners at merchants, and we call this just-in-time allocation. This initiative eliminated approximately 12 million minutes of driver wait time from our network in July when compared to February, when we started this initiative.
This is 12 million more minutes of driver capacity available every month to fulfill more consumer orders, enabling these driver partners to earn more money on our platform while simultaneously reducing the amount of Grab-funded subsidies required. We did this by first improving the accuracy of our food preparation time estimation models, and then adjusting when we allocate orders to drivers to ensure they arrive in what Alex described as that Goldilocks zone, close to or slightly after when the food is ready for collection, thus reducing the wait time at the merchant. This is just one of many examples we're working on today to further optimize the efficiency on our platform. Sean, who leads our mobility and delivery businesses, will share more examples of our efficiency initiatives and the impact we're seeing on our operations in the next presentation.
On the demand side, we have leveraged artificial intelligence and machine learning to optimize who gets shown and offered a promo, as well as maximize the ROI on every promo dollar spent. Instead of offering promos in a broad-based manner, AI helps us personalize offers based on the consumer profile, their preferences, and also the merchant's objectives. When compared to manual promo targeting, this tech has reduced the reliance on consumer incentives by approximately 7% across five core markets. In combination with other initiative, has enabled us to reduce reliance on consumer subsidies while sustaining GMV and user growth. As we scaled, our volumes and complex use cases, as well as the diversity of our demographics, demanded a tailored approach to provide the best customer experience. In order to meet this challenge, we built proprietary in-house solutions.
One of our key proprietary products is our credit scoring platform that supports our lending offerings. We have developed proprietary credit scoring models that have enabled us to profitably extend to our driver and merchant partners credit even in the absence of any financial history. We believe we're in the best position to do this, given three unique advantages. First, access to data. For example, we can see a driver partner's earning activity on our platform. Secondly, a data refresh frequency which is better than industry standards. Finally, a superior user experience driven by reduced time to decision and ability to access financial help. Six out of 10 people in this region are unbanked or underbanked. Nine out of 10 don't have access to credit products. Of the drivers who borrow through our lending program, more than half of these loans were offered to such underserved borrowers.
Our credit scores are refreshed daily on our ML platform, enabling us to maximize the opportunity by minimizing the lag between when a partner is active on our platform and when we're able to extend a loan to them. Today, at any given point in time, 30% of our active driver partners use some form of Grab-enabled credit product. Every month, we add 20-30,000 new drivers to that fold. The proof of our success of our model is that 50% of drivers who have previously taken a credit product with us find it useful enough to use it again. Next up, our anti-fraud capabilities.
We realized many years ago that third-party solutions were just neither built to keep up with the sophisticated fraud syndicates unique to our region, some of which are on screen right now, nor the volumes and challenges of our increasingly diverse business. Over time, we replaced them with in-house proprietary technology, which proved to be more effective at combating fraud, but also more cost-effective. The risk profile of our high-velocity, high concurrency transaction environment with sophisticated fraud syndicates required us to build proprietary programmatic AI-based protection mechanisms. Only our internal systems are equipped to pick up collusion between fraudsters and solve these in a timely manner using ML algorithms that work across user identities and the connections they're interacting with. To further illustrate our vigilance, we run over a billion fraud checks daily, where over 99% of them have verdicts delivered in real time.
We have widened the coverage of our anti-fraud solutions beyond our on-demand platform to cover adjacent stakeholders as well, including the GXS Bank in Singapore. One last, but surely not least space in the area of our proprietary technology investments is in the space of mapping. I thought I'd give you a short break from my voice to hear about GrabMaps in a short video clip.
Years ago, we wondered, "How can we help our driver partners get to their destinations quicker? To help them find the safest shortcuts and skip rush hour traffic jams? To navigate offbeat paths and narrow, winding roads?" Our answer was GrabMaps. With GrabMaps, we take insights from our local ground crew, map it against real journeys by driver partners, and compare it with real-time updates with those on the move. With all these inputs, today, GrabMaps powers more than 800 billion API calls per month, helping our driver partners and passengers get from A to B in the most time-saving and cost-effective way possible. With so many unique transportation modes and diverse landscapes across Southeast Asia, we know that one size doesn't fit all.
Whether it's a quick tuk-tuk detour through night markets, a car ride to the airport, or lesser-known shortcuts through the outskirts of a rainforest, GrabMaps tailors journeys based on where driver partners need to be and how they can get there easily. We started building our own mapping capabilities in 2017. In the last two years, GrabMaps has grown to nearly over 33 million points of interest from 9 million. Our mapping solution has made everyday life smoother. With no street left undiscovered, today, any journey is possible. Grab, driving Southeast Asia forward.
We are excited to share that GrabMaps now powers all of our mapping needs in all the eight markets we operate in. We started investing in mapping when we realized that third-party providers were not meeting Grab's needs to deliver the fastest and most reliable mapping service to our users. They often had incomplete data or their performance of their routing was suboptimal for Southeast Asian roads. Our investment into mapping began in 2017 just to meet our in-house needs, but has evolved into GrabMaps, which we officially launched earlier this year. Using GrabMaps, our driver partners can navigate even the tiniest roads that only a motorbike can fit through. Those back alleys and sois that Alex referenced in his earlier presentation. They have a better user experience with a 4x lower error rate versus incumbent or traditional mapping solutions.
Simultaneously, Grab is avoiding tens of millions in potential third-party mapping costs using GrabMaps. Additionally, we are able to enhance our map data and the POIs in a better and cheaper way by crowdsourcing data from the network of driver partners. Those 33 million POIs, some of them came from our driver partners, and these driver partners earn ancillary revenue for helping make our maps better. Furthermore, GrabMaps helps us increase our overall platform efficiency through better navigation for our drivers, removing those wasted minutes as they get to you or they get to a merchant, optimizing the supply-demand matching in our marketplace, and also reducing the amount of time drivers spend idle between jobs. As a result, our drivers can take on more jobs per day, increasing their organic earnings and reducing our cost to serve through Grab-funded subsidies.
This is only the beginning of our GrabMaps journey, and we believe the potential of GrabMaps can be extended beyond Grab's ecosystem. As we continue to rely on GrabMaps for self-reliance and sustainable growth, we have also learned that GrabMaps' better data and unique value proposition can help other enterprises in Southeast Asia with similar mapping needs. The addressable market for mapping in Southeast Asia alone is $1 billion according to Verified Market Research. We are excited to announce Microsoft as a marquee enterprise customer for GrabMaps. Microsoft will be using our roads, places, and traffic data to enhance their Azure and Bing Maps offerings. Our partnership is a testament to the unparalleled richness and accuracy of the data we offer for Southeast Asia, and we look forward to further growing our GrabMaps partnership with Microsoft.
These are just a few examples of how we're leveraging tech to solve the region's most challenging problems in a sustainable way. We believe, I believe in using technology for good, and we welcome you to join us as partners in this journey. Thank you very much, and I'll now invite Sean to take the presentation forward.
Thank you very much, Suthen. Hello, everyone. My name is Sean. I'm the head of mobility and deliveries at Grab. Today, Anthony shared how our vision is to build the largest and most efficient on-demand platform in Southeast Asia. Suthen and Ling talked about how we're investing in product innovation to build efficiency. Alex unpacked how we're harnessing the power of our ecosystem. I get the fun part and probably the easier part of actually talking about how we're gonna execute all this to grow sustainably in our businesses. I'll start with our on-demand business. Our number one priority in mobility is to rebuild our supply while unlocking new growth opportunities through innovation. In deliveries, we are laser-focused on accelerating our path to profitability while driving high-quality growth.
Today, I wanna unpack how we're executing this from the perspective of our three most important stakeholders, because frankly, without them, our ecosystem would just not exist. We believe that if we serve our merchant partners very well, they'll create more choice for our consumers, who in turn will create more income for our driver partners, and our driver partners will create better reliability for our merchants. Let's start with our driver partners. The first order of priority is to help them get back online, and we're doing that by widening our reach. We're doing everything we can on ground, online. We're rolling out mobile Grab driver centers just to reach more pockets within the cities. We've struck deep local partnerships with governments and NGOs. For example, in Malaysia, we're working with the Malaysian Federation of the Deaf to create inclusive opportunities.
In Indonesia, we're working with the Ministry of Manpower and the Ministry of Social Affairs. We're improving our driver referral program so that our drivers, at the end of the day, they are the ambassadors for the kind of income that we created for them, and they can help us reach more drivers. We're also leveraging these drivers to actually help us follow up and convert the other drivers. We're supporting them with greater onboarding support across channels because we realized that many of the drivers we're trying to bring online for the first time, they don't have the kind of access to the tools and information that it takes to get started. This quarter, in Q4, we are actually going to bring our entire end-to-end driver onboarding into the app. Fully end-to-end in-app, and we're launching this in Q4.
We're building this momentum to really bring our drivers back on, but already we're seeing tremendous results. We are bringing drivers on board 2 x as fast now as a year ago, and we've seen an increase in active driver partners of 26%. Having said that, we know that we are still just at 77% of the way back to where we were pre-COVID. There's a lot of headroom for growth as long as we can continue to be focused and continue to build this momentum. We're really trying to build upon this momentum by making our drivers more productive. As Suthen shared, we wanna make every second and every minute count. We're doing that by helping our drivers wait less, carry more, and to be more productive overall.
In this next segment, I'm actually going to unpack some of these innovations that are coming, but a lot of them are either in pilot stage or yet to be rolled out. To reduce wait time is really difficult. To shave minutes off instead of just seconds is extremely difficult, and we think the only way to do this is to fuse together both offline and online investments to create a deeper level of insight into the real world, what's actually happening in the real world. For example, we started deploying Bluetooth beacons that can tell us exactly when our drivers arrive and exactly when they leave, so we can increase our level of accuracy. We're integrating with our merchant partners, starting with the biggest ones.
We're integrating into the points of sale, so we know exactly how long they're taking to prepare, and we know how busy they are. Combining that with a higher definition map allows us to help our drivers navigate not just outdoors, but indoors, because every precious second counts. All of this allows us to do what we call just-in-time allocation. In order to help our drivers carry more passengers, more goods, we're actually shaping our demand to be more concentrated. For example, we're giving less time-sensitive consumers the option to save by waiting longer, and that allows us to batch more of these orders. We call this the saver option.
We're taking all this demand, and we're saying, "Let's look for the most efficient pockets of combinations of this demand." For example, the nearest parking spots, or let's batch demand that sits within the same mall so that drivers don't have to cross. In Singapore, which is very mall-centric, you see that dynamic often. In Malaysia, where I'm from, a really large proportion of our orders are from malls. Something looks close by, but it actually requires drivers to make a huge round. Bear in mind, a lot of these pilots are either new or not even launched, but already we're seeing encouraging results. 22% less wait, 19% larger batches, and 11% more productivity, which, as Alex shared, drives a disproportionate impact on our drivers' income.
With that, we're hoping that we can bring all these innovations together to reduce the reliance on subsidies while delivering stable earnings to our partners, while delivering affordable services to our consumers. Next, I'm gonna talk about a very important stakeholder of ours. I remember when the pandemic first started, a lot of merchants were scrambling to come online. Some of them had me on speed dial. They were calling me every day. I knew instantly that was the tip of the iceberg. If my friends are calling me, these are I mean, these are people that just never needed any help. Imagine all the merchants that we can't reach, the millions of merchants we can't help. For us, frankly, we had more demand than we could already deal with.
We knew deep down inside that the difference in weeks is the difference between failure and survival. We said, "Well, we have to do everything we can." What we did was we gave our merchants, our new merchants, the ability to self-onboard. We integrated into databases that gave us access to documents that sped up onboarding, sped up the merchant due diligence. I'm really glad we did that because fast-forward two years later, we're still seeing the results of all these efforts. This year, we're on track to actually increase the number of merchants we're onboarded compared to even 2020, which is a pandemic-filled year. We're doing so twice as fast. Now, when I look at our merchants, I think they are ready to do more than just survive. I think they're ready to thrive.
We're bringing together multiple tools to help them do that, starting with self-serve ads, self-serve content, and menu generation. We're introducing point-of-sale integration and tools for even the smallest merchants that have never operated online before, merchants that don't have point-of-sale tools today. We're bringing all this together into what we're calling the Unified Marketing Platform, and that's a really powerful platform for our, not just our ads business, but for our small merchants. Because now millions of small merchants can just reach millions of consumers every month. It gives them that crucial jumpstart to their business. Of course, all these roads lead from our partners to our consumers. For our consumers, we think it's really important to create access through innovation.
In some cities in Indonesia, there is a challenge in accessing data and storage, so we're piloting WhatsApp bookings for mobility that unlocks mobility for one in two Indonesians, even without the Grab app. We're providing more accessible services like GrabBike, GrabCar Hemat, GrabShare. GrabMart Pasar is one that's really close to my heart 'cause I started it, and Anthony shared this earlier with the story of Hafiz, and this is really just kind of down the road from our office. The GrabCar Hemat. Hemat means economy in Bahasa. We started this year, and already in some cities we're seeing a penetration of more than 20% in rides. Of course, we talked about high value. We're deepening engagement with our consumers across channels and across categories. Earlier, Alex talked about the categories that we're playing in, but what about the channels?
We will be one of few companies that can bring together deliveries, pickup, offline payments, offline deals, QR ordering, all onto one platform. We're going to build all of this on top of a strong content strategy. Imagine every single transaction that goes through every single channel generates trusted and verified reviews. We want to build the region's most trusted base of content. Finally, the glue that brings all of this together is our flagship membership program, GrabUnlimited. A few years ago, we really started to build a machinery around merchant co-funded campaigns. We now have merchant co-funded campaigns running across the region. We've taken that, we've taken our rewards program and layered on ecosystem benefits and made all that exclusive to our members. Now why did we do that?
We did that because we wanted, even as we scaled back on our spend, we wanted to continue to be able to give the best value to our best consumers, and this enabled us to do that. I'll expand a bit more on this later, but already we're seeing our members spend 2.4 x more than non-members, and they're much likelier to return every month. In my final segment, I'm actually going to share an example from a country that is close to my heart because this is the country that I led until recently. No bias. And because I've been on the ground, I've seen the power of how all of these innovations can come together to harness the power of our ecosystem to deliver sustainable growth. I'm gonna show you that.
Picking up where we left off for our consumers, we started scaling GrabUnlimited since December. Even as we scaled, we continued to pull back on subsidies because we knew that the subsidies were not the way to go. It was not sustainable. We were able to scale GrabUnlimited mainly because we attracted consumers that were not just attracted to the promos. They were attracted to the proposition that we brought across multiple parts of the business. We introduce more and more benefits that are non-monetary in nature that cut across multiple services. For example, in Malaysia today, if you're a GrabUnlimited member, you get to access our top-rated drivers without extra charge. Of course, our top-rated drivers get more jobs as well. Today, we're seeing 70% of our active members in GrabUnlimited use multiple products.
Our efforts on drivers and merchants actually came together as well. We're onboarding much faster. We brought more drivers on board. Our merchant partners this year, we expect to bring more than 2 x the number of merchants on board than we did during the pandemic year. All of this momentum across merchants, drivers, and consumers, I believe, led to our ability to deliver segment-adjusted EBITDA margins for mobility that are largely in line with the 12% steady-state margin. We exceeded the steady-state margins of 3% and more for deliveries, all while strengthening our market leadership in Malaysia. Of course, I'm personally very excited to see the results of the tech-driven efficiency efforts that I mentioned earlier play out, because I think there's a lot more upside.
These early results give us tremendous conviction that we're already well on the way to laying the foundations for Southeast Asia's largest, most efficient on-demand platform for local commerce and mobility. I'm excited, and I look forward to share more with you as we progress in our execution. Thank you very much.
Okay. Thanks very much, Sean. We've come to the middle now, and we'll be taking a quick break, so we're having a 10 minutes break. For those of you in the room, coffee and refreshments are outside. Restrooms are in the back over there, as well as to the left, here behind me. For those of you joining us virtually, stay tuned. We'll be right back in 10 minutes. Thank you.
All right. Ladies and gentlemen, please take your seats. We'll be starting the next leg of presentations momentarily. For those of you joining online, please stay tuned. We'll be kick-starting shortly. Thank you. All right. Welcome back, everyone. Ladies and gentlemen, please have a seat. We'll be kick-starting the next section very soon. Hey, thanks very much for coming back as well. We'll be kick-starting the next leg of the presentation. As I mentioned, we'll have three more presentations in the second leg, and followed by then we'll have the Q&A session. Without further ado, I'd like to welcome Alex Hungate back onto the stage, our Chief Operating Officer, who'll share more on our financial services. Alex.
Thanks, Doug. This is the money section, as one of you just said to me. It's the money section in two ways. It's about the financial services business, but it's also an area that many of you have shown great interest in. You want more clarity on what we're trying to achieve and what our unique advantages are in providing financial services. I'm gonna tell you, I'm gonna tell you precisely where we think our unique advantages are. Then what you also want to hear, you wanna hear more about the money, you know, how that translates into financial performance. I'm also gonna share with you our targets for the financial performance in the Grab Financial Group. Let's get into it.
We know that there are big benefits from financial services into the ecosystem, and I talked about this slide earlier to show you the summary that we're gonna be focusing on our fintech capabilities to powering the ecosystem. There are quantitative benefits to that. In the next slide after this, I'll show you some of the quantitative benefits. Then the digibank will build on top of that. It will get a quick start, a rapid start, because of the advantage it will have both on liabilities and also on the asset side. I'll talk to you about the customer journeys, which will be seamless between GrabFin and the ecosystem into the digibank. All of that powers the ecosystem, and the ecosystem in turn powers the financial services businesses. Here are some of the data about the benefits to the ecosystem.
Most people will start using the GrabFin capabilities to avoid using cash, and that's their first way in which they interact with the system. Later, they start to use Pay Later. We know that in both cases, it drives greater spending, greater retention, and greater loyalty, both for the consumer and the driver. Here you can see increasing in number of transactions, increasing in the TPV per user as well on Pay Later. These are adjacencies in the customer mind. A payment then becoming a deferred payment is an adjacency in their mind, and it's an adjacency which allows us to cross-sell at relatively low cost on the ecosystem. We learn more about the driver behavior, and we can do cash advances. We learn more about the merchant behavior.
We can do cash advances there as well. This increases loyalty, which is a really important part of the moats that we're building up as an organization. You saw our strategy in the prior presentations focusing on loyalty of drivers, with the zonal shift focus that we have, which gives them an incentive to spend more of their time driving for Grab. There's a moat strategy around Grab Unlimited for our consumers as well, which gives them a reward in terms of both the spend that they do, but also importantly, as Sean mentioned, the non-monetary benefits. For the merchants as well, many of them eventually get so much of their income from Grab that they end up going exclusive with us, which is what we call the Signatures program.
This financial services strategy is driving that kind of a creation of moats for all three of our big stakeholder groups. We can also offer protection. The insurance that we provide is embedded. It's scenario insurance, so it could be adjacent to taking ride cover if you're a consumer. It could be protection for a driver, for disability insurance, for example. These are adjacencies. They appear inside the app, so the cross-sell opportunity is very, very high. We know that GrabFin powers the ecosystem in this way. What's the advantage that we have in providing those services? Why should Grab be a better provider of Pay Later or a better provider of insurance or a better provider of unsecured lending? Let's take a look at this one by one. First of all, the cost of distribution is incremental. There's no additional channel required.
Everything comes through the super app channel. It's impossible to beat the cost of distribution that Grab has to those 32 million consumers, those 5 million drivers, and those 4 million merchants. That's the number one advantage that we have. The cross-sell. The driver advances, the merchant advances, they're actually presented through the app, and therefore, the cross-sell opportunity is great, and the customer acquisition cost is absolutely minimal. It would be hard to beat the customer acquisition cost of selling these financial services into our ecosystem. I know that many other fintech and banking competitors who are out there would like an ecosystem like what we have. That's a big advantage. The next thing is on the credit side.
Yes, we use all the conventional credit methods that other fintechs and banks can use, but we have some unique insights into the behaviors of the participants in our marketplace. We can see their income streams. We can see what their regularity, the seasonality of their sales. We can see how hard they work if they're a driver, how much income they're using. We can see the safety records that they have, et cetera, et cetera. It's a huge amount of unconventional data, and we have invested in the credit models in the way that Suthen was describing earlier, so that the performance of our credit models, the Gini coefficient that we manage to generate on our credit models, is superior to conventional credit models.
We have a credit cost advantage as well. Although we've been growing very rapidly in credit and despite the recessionary environment that's present across the world, our credit costs are still in the low single-digit numbers, lending to micro- SMEs that in most cases the banks are not lending to because they don't know how to lend to them. They don't have visibility of their cash flows in the way that we do. Our credit model's a big advantage. For the cash advance products, we have a collections advantage too. We don't have to hire collectors to go into neighborhoods and try and collect. We basically get access to the cash flow of the income of the drivers and the merchants, with their agreement, of course, as part of the advance agreement, before that income comes to them.
We have the first right to subtract the payments that are due on the advances that we make. Not only is it very low cost, it's a highly efficient collections model as well, and effective. Lastly, we have a KYC advantage. As many of you know, financial services is a regulated environment, so a KYC is very, very important. We take it really, really seriously. It's costly. A lot of standalone fintech players and a lot of banks. They have to invest a huge amount of money in KYC processes. For our fintech customers, before they even start to use their very first financial services offering from us, we already have lots and lots of data about them. There's only a few additional fields that we need to collect to KYC them for the non-bank financial services.
As we move towards digibank, of course, we have to KYC again. In some cases, banking KYC has a slightly higher bar, and we have to collect a few additional fields. We've already gone down that journey with them. In other cases, actually, we've agreed with regulators that we have enough information, and there's no additional KYC information to bring them into the digibank in certain market. This is a massive advantage. It creates that seamless journey that the consumer would want and that you as shareholders would want because we've got minimal cost again. With these four big advantages, it's obvious that we should focus on providing financial services for our ecosystem. That is the core strategy for GrabFin.
It means that we will for the off-platform transactions, which currently are a drag on the performance of GrabFin, we will be de-emphasizing those. Unless we can reduce the cost of funds and reduce the incentive costs sufficiently to get to positive margin off-platform, we will not be pursuing use cases off-platform. We're gonna be very, very targeted about off platform use cases. The net effect of growing the on-platform transactions, which have very good contribution already, and then minimizing the off-platform transactions and only having those which have positive contribution, will of course, be a margin improvement as we get that business shift. There'll be a margin improvement. We are undergoing this shift already.
There will be, in the short term, the next quarter or two, a reset in terms of the volume, the TPV of off-platform transactions, which you should anticipate. Of course, the revenue will still continue to increase. The other thing we'll do to improve margins is we will increasingly build out the lending book. Now, we've been doing that. It's going very well. Like I said, we've got still single-digit credit losses. That's a good performance. We're confident in our credit models. Credit models need to be constantly improved and built up, so we are steadily increasing that lending focus, and that will give us a net improvement in margin. A lot of the alternatives for credit for micro-SMEs in Southeast Asia have extremely high banner interest rates. Extremely high.
We don't want to be in that exploitative high-interest rate category. We'll provide fair interest rates, and we'll do it on a, in many cases, on a pre-approved basis as well. This shift will definitely help us improve. What does that mean overall? What that means for GrabFin is that, we are targeting sequential improvements in margin for GrabFin. From here on in, we'll be improving our margins further based on the strategy that I just laid out. That's GrabFin. Now let's look at the digibanks. I wanted to take a customer perspective as I describe our rationale for why we're investing in digibanks. From a customer perspective, probably their first, financial services they use with Grab will be a payment.
They'll be in the process of using a food, service or a mobility service, and we'll introduce the cashless opportunity. They'll use GrabPay as their first, fintech service from us. Potentially later, that could become a pay later. They defer the payment to a later date. We're using behavioral data to assess who we offer those, pay later options to. Similarly for the driver, the driver might have cash flow issues, we can give them a cash advance. Maybe they use that to upgrade their phone, et cetera, et cetera. This is a way of growing our marketplace. The pay later option increases our GMV. Our merchants like it as well. The pay later option, the cash advance option for the driver allows them to improve the services that they're providing into the ecosystem.
This is so far the customer journey within GrabFin. Now, how does that then translate into the digital banks? Well, we are in the three markets where we have digital bank opportunity currently, which is Singapore, Malaysia, and Indonesia. We are also one of the top providers of wallets. In terms of market share, we're at least in the top three. In some cases, we're number two, number one in wallet market share in those markets. Now, those balances are passive balances from a consumer perspective. The simple proposition we will offer that will help us kickstart the creation of current account, savings account inside the bank is you can take those passive balances and you can start to get yield on them.
Because obviously the bank, the unique thing about a banking license is it allows you to gather deposits and behavioralize those deposits and to re-lend them, which you can't do for a wallet. Now in the bank context, we have the opportunity to provide yield on the balances in the wallets, and we have the opportunity, therefore, to with that seamless KYC I talked about earlier, very quickly and seamlessly cross-sell people into the digibanks based on our leading wallet market shares. That's the liability strategy in a nutshell from a customer perspective for the digibank. Now let's look at the asset strategy, the lending side. We're doing these cash advances, we're doing for merchants and drivers.
We can move into the personal loan category, and we can do it based on the track record of lending that we have line of sight of. Already today, 30% of our active DAX, the active drivers, have an active loan with Grab. We have a very good track record already of their lending behavior, their repayment behaviors. It's quite straightforward for us to present a personal loan through the banking side of things. As I said, conventional banks really don't lend to micro-SMEs , and they don't lend to gig workers. This is a great example of how we're achieving our mission of supporting the underbanked or the unbanked in Southeast Asia, and helping them to grow their businesses. We believe that we can outperform on the credit side of things.
We can outperform on the collection side of things, on the digital bank in just the same way as we talked about earlier as well. On the consumer side, it's the same concept basically that they've been using buy now, pay later. We have a sense of their repayment history. We have a much stronger insight into their credit risk than conventional fintech or without an ecosystem or banks have. Therefore, we can start to extend personal loans and eventually the full suite of banking products, of course. Our banks will start with current account, savings account, and personal loans as their first offerings. These are the very clear seamless customer journeys, which will allow our digital bank to get a fast start, both on both sides of the balance sheet. How will that look?
Well, it will look exactly like this. Though some of you have already seen the GXS interface, which is the first launch here in Singapore, it's a simple slick interface. It focuses on savings and current account in the first release, and that fits with what I was saying about the fast start that we hope to get from the liability side based on the wallets. You can see how easy it is to embed the GXS app into the Grab user experience and vice versa. We can embed Grab into the GXS app for very rapid top up, for example, for cashless payments. This is a unique customer experience that we can generate and to advance the digi banks. Grab is not the only ecosystem that we have access to.
Grab has a track record of working in a hyperlocal way with leading local partners to get an advantage in terms of customer acquisition costs. Our strategy with digital bank is a bit different than some of the other digital banks in the region. We're taking the same approach, working with really strong local partners because we think our ecosystem is great, but actually we don't want to restrict ourselves only to our ecosystem. We want the advantage of the acquisition, low acquisition cost from partners. Here in Singapore, we've got the number one telco, Singtel, who by the way, also has 20 other affiliates in different parts of the world, including in every market that we operate here in Southeast Asia. For example, Telkomsel in Indonesia, which is the number one player in Indonesia, is also an affiliate of Singtel.
We'll be selling into their ecosystems as well. In Indonesia, we're working with Emtek. Emtek has, so Bukalapak, the e-commerce provider, also has very strong presence in the media market, so it can help us with that customer acquisition through their media network. In Malaysia, we have partnered with the Kuok Group, which has famous brands like Shangri-La and all of the the Wilmar brands as well. We'll be working with them to target their customer base of consumers and micro- SMEs. Overall, it's a massive ecosystem. 120 million consumers that we can reach and 12 million micro- SMEs together. That will give another advantage for our digital banks in the three markets in which we're entering, working with those local partners.
Overall, we want to give you now the results of all of that financially speaking for the digital banks. Right now we are just launching in Singapore, just at the start of the process. There's a process we have to go through with the regulators for an initial phase with a limited deposit base. As we get through that, we'll start to ramp up with that proven proposition that we were talking about earlier. We are simultaneously building our tech stack in Indonesia and Malaysia. It's based on the same platform, so it's not like we're investing from scratch. We get good payback from using the same tech stack. Of course, we have to fit with local regulatory requirements and local market nuances as well from a customer perspective.
In 2023, we will spend more than we spent this year on digital bank build, but that will be the peak of the losses, the investment for the digital bank. Thereafter, this strategy will allow us, after the peak losses in 2023, to move to a break-even position by 2026. Largely driven by the growth of the lending products that I talked about earlier with their improved margins. This really is the money slide. The digital banks, you know, we're unveiling for the first time that we expect to get to break even for the digital banks, the three digital banks, as a whole by 2026. Thank you very much. That was the money section because it gives you, hopefully, much greater clarity about what we will do and what we won't do in the financial space.
We won't be focusing off platform. We'll be focusing on platform for GrabFin, and the digital banks will get a very fast start because of that seamless customer experience to get them going and because of the partnerships that we've built. Thank you very much. With that, I will introduce Cheryl Goh, who's gonna talk to you about our ESG and sustainability strategy.
Thank you, Alex, and hello everyone. I joined Grab nine years ago back when we were a tiny unknown startup, and probably our salaries at the time were still paid by Anthony's mom. You know, operated only in one city, which was Kuala Lumpur, and our super app wasn't that super. We only did one thing, which was to book you a taxi ride safely and reliably. Clearly, a lot has changed, but what hasn't changed is our unwavering ambition to help Southeast Asians progress through economic empowerment. As you've heard from all the presenters before me, at Grab, we truly believe that solving the region's largest problems is the cornerstone of our business, and that's why ESG is something that comes naturally for us.
It's baked into the business that we operate today and the legacy that we really wish to leave. Now, our ESG framework is built on three pillars. At the heart of it is creating positive social impact, and we wanna do this by enabling flexible work and flexible and inclusive gig work in Southeast Asia. When we think about the environment, we've seen firsthand how extreme weather conditions caused by climate change can impact the livelihoods of our partners. Like the typhoon that's happening in the Philippines right now. This is why we're gunning to be carbon neutral by 2040. Lastly, when it comes to responsible business practices, Grab's growth was built on the back of creating a safe platform for drivers and passengers, and that's why we continue to uphold the highest safety standards.
Now, Grab is the largest enabler of gig work in Southeast Asia, and that's significant because in this region, 78% of all employment is in the informal workforce, and that's very different from the U.S., where it's only 19%. Gig work is super important. During the pandemic, it kept many people afloat, and now with recessionary pressures, it's important so that people can earn additional income. All that being said, we know it's not perfect, and that's why we're taking a leap to strengthen the foundations of gig work. What have we done? Since 2016, we have offered free personal accident insurance for all our driver-partners in our six core markets. In 2018, as our delivery business grew, we extended this to all our delivery partners as well.
In fact, 24,000 drivers and delivery partners have claimed against this and benefited from this program. As the speakers before me mentioned, gig workers aren't always enabled through the best financial services because they don't have the credit history that traditional banks are used to lending against. This is where, through tech and through deep insights, we're able to not only lend in a way that is profitable, but also it is one where 30% of our active driver base actually have a credit product from Grab. More importantly, what we have seen from our numbers is that drivers who have an active loan with us do 13% more rides, and that's a win for everyone.
Lastly, we are big believers in education and upscaling, which is why we have partnerships with Mastercard and with Microsoft, where we develop digital and financial literacy programs for delivery and driver partners. Last year, 780,000 of them completed at least one course on this platform. On top of that, we also spent $1 million in education and scholarships for our wider community. Now, I want you to meet Hassan. One of the most underappreciated facts about gig platforms like ours is that it does not discriminate against race, against gender, against disabilities. This is why we believe by being proactive, by working with regulators, we can make gig platforms sustainable in this region. I talked about our journey to be carbon neutral by 2040, and there are four levers that we have to get us there.
The first and most important is electric vehicles, which we'll deep dive in the following slides. We also need to power more of our offices, our scope two, using renewable energy. Today, all our corporate offices is already powered through renewable energy via RECs. We also need to use technology to optimize our footprint, and we can already do this as what Suthen has shared through our mapping and geo-technologies. We're able to reduce single deliveries via batching, car sharing, and route optimization. Lastly, for emissions that we can't eliminate, we will work to offset them by 2040. Now, the EV ecosystem is still nascent in Southeast Asia. What we have seen is definitely a progression in policies, especially by regulators, to drive the growth of EVs across the region. What is Grab going to do to prepare for the EV transition?
There are three areas in which we are focused in. Number one is working with infrastructure providers that are building EV charging station. We share with them data around how our drivers behave, and that enables them to position charging stations in the best locations. At the same time, they also give great charging rates to our partners. We also work on financing. What we have done in Thailand is we work with KBank as well as an automaker, so that drivers can make their first EV purchase for as low as $6 a day. Lastly, we own an extremely large EV fleet, lots of two wheels in Indonesia, over 8,000, as well as in Singapore, where we have a four-wheel fleet.
By partnering with automakers like VIA, KYMCO, Toyota, Hyundai, we're able to test their product, to give them feedback so that they build products that are suitable for our driver partners, and they also help us build swapping, battery swapping stations, which enable our drivers to make the transition to EV. Now, a lot of us, especially, you know, a lot of old-timers, we joined Grab because we really wanted to make public transportation safe and accessible. I'm really happy when, you know, because we've lived up to this promise. 99.99% of all our rides occur without incidents, and we see year-on-year improvement. In 2021, we saw a 28% decrease in road accidents, 38% decrease in sexual harassment, and 50% decrease in sexual assault incidents.
We're able to deliver on this promise because we have a comprehensive set of safety features that protect both our drivers as well as our consumers throughout the entire life cycle of the ride. Whenever we detect, you know, it's odd hours or maybe a suspicious profile, we might trigger a selfie authentication. Or if we detect route deviations, we send alerts to check if you're okay. Our journey does not stop here. We continue to invest because our goal is to achieve zero preventable incidents on our platform. Our commitment to safety is the reason why consumers trust us and use us right from the very beginning. Now, before I end, one of the common questions I get is, "How much money do you spend on ESG?" I would love for Peter to give me many, many millions. I'm still waiting.
The truth of the matter is that ESG is very much baked into the way we build our business, because it holds us accountable for the things that we care most about, longevity of gig work, community safety, environmental sustainability. In this regard, I believe we are well ahead of the curve in this region. Thank you. Next, allow me to introduce Peter.
Thanks, Cheryl. Hi, I'm Peter, and I'm the CFO here of Grab. I do get a lot of questions from my colleagues, "Give me some more money." That's a very common question. I think what you've heard today, throughout the day, is actually how we've been allocating this money into the right investments in terms of technology, platform, but also how we're serving our, what Sean called our, the three most important constituents, our consumers, our merchants, and our driver partners. We're in the final stretch here. We've got my section, and then we'll transition to 45 minutes of Q&A. Thank you for hanging on. You've heard a lot today about the progress that we've made, and we've emphasized a lot on ecosystem. Why is that? We've emphasized a lot on platform. Why is that? Because it really is the foundation of Grab.
You've heard where we made those investments in driving efficiency. A lot of the tech innovations and product innovations, how we're serving our consumers, merchants, and drivers, is really driving efficiency. That's how we can improve margin improvement in our business and scale even further. The other part that you've heard also is monetization. You've heard the network effect as well as the platform in terms of how we're bringing it all together, and we are in its still very early days, as Anthony mentioned. You've also heard from Alex the six strategic initiatives for us to drive further our ecosystem growth. We talked about GrabUnlimited, our subscription program, how we're expanding that. We've talked about how we're serving corporate users through Grab For Business. We've also talked about our expansion into groceries and GrabMart even further. We've talked about also how we're leveraging strategic partnerships, whether it's Starbucks or Coca-Cola.
Also you've heard that we're driving more channel opportunities and serving our merchants, expanding advertising. Then Alex summed it up nicely how we think about our financial services products and how we're making it holistic for our platform to even grow further. What I'll do in the next 15 minutes is put a wrapper around this and summarize it how this translates into our growth and profitability outlook. Let me start by presenting a roadmap. I think it's really important. How do we think as a management team, achieve all those things that you've heard all throughout today? The first is, we will be continuing to drive sustainable growth. Our TAM will increase, without a doubt. You've heard all the new opportunities. That will increase our TAM, for sure. We're getting into new segments, whether it's banking, whether it's advertising, whether it's mapping through Enterprise.
All those elements will add more fuel to our ecosystem. We're continuing to drive high-quality GMV users also into the top of the funnel to ensure that our revenues will continue to grow healthily. We will continue to double down on acquiring users also that give us higher lifetime value. We will do this in a very sustainable manner. It's really critical that all the learnings in the last 10 years, that we will continue to focus in the right areas and make our growth sustainable for the next 10 years. We need to have a very clear line of sight into profitability. I'll talk a lot more about this in future slides. Third, we will aim to maintain a strong balance sheet with ample liquidity.
We already have a very strong net cash position of over $6 billion today, and this is something that we do not take for granted. Now I'll go through in each of these points in greater details. I wanna start looking back. I think it's really important that how have we fared as a business since the pandemic started. On this chart here, you've seen our GMV growing twofolds since the pandemic began. In the last quarter, we announced that we finished the quarter at over $5 billion, and this translates into an annualized run rate of $20 billion as a business today. I think it really highlights a couple of things here. It really highlights the resiliency of our business. We have had to weathered multiple storms since the pandemic here.
I think Southeast Asia, for those that live in this part of the world, it's been tough compared to other developed markets. The governments here have been a lot more restrictive in terms of control movements, and that took a toll in our business, especially our mobility business. Yet we've been able to continue to grow and build resiliency in our business. The second I would say is that diversification. You've heard today that we need to be diversified in our business. We need to be in multiple countries and also offering multiple products and services. How do we balance this growth and profitability? A question which I get a lot from the investors today. Let me spend a bit of time here.
In the next few slides, I'm gonna weave in our, how we think about growth, but also weaving in terms of how we are thinking about profitability as a business. Because all those things that we've heard about this morning, through efficiency, leads to margin improvement. This chart here shows our medium-term revenue CAGR on one side, and on the other side, shows our illustrative segment adjusted EBITDA margins. We will continue to be very, very focused in driving our core businesses, mobility, deliveries, and Grab Financial Services. In mobility, we still have ample opportunities to grow as we get back to pre-COVID levels, and we're seeing some really great things happening on the supply side. We will continue to maintain our 12% margin that we've shared in the last quarterly earnings.
In deliveries, we're very focused in continuing to diversify the portfolio of on-demand delivery for our consumers and to serve better our merchants. We're committed to driving towards a 3%+ margin in deliveries. For GrabFin, our non-bank financial services, we're very focused on driving our path to profitability. We have new opportunities. The far top right of this chart shows that we have advertising segment, we also have digital banking operations. Both of which we believe have high growth potential. Also at the same time, we believe we have margins that commensurate with industry standards for both advertising and digital banking. Now, let me go into some deep dive into each of these segments. How do we think about mobility? How do we balance this growth and profitability?
For mobility, 12% margin is very important for us 'cause it generates the cash flow of the business as we continue to grow our mobility business that we can continue to reinvest in other product innovations. You've heard some of those innovations already today from various speakers. We are still yet to see the pre-COVID levels. Tourism is still yet to come back in full steam, but we are seeing remnants of that already in certain parts of our country today. In the medium term, we're very committed for this 12% margin to be maintained. We also know there's growth, there's opportunities.
In the light green section of this chart, we will aim to reinvest into the dark green box as we expand our reach into the different mobility products with higher growth potential, yet in its still early days, have a different margin profile. Over time, we expect these new opportunities in mobility to expand to margin expansions of close to the 12% levels. Now, what about the white box on this chart here? We believe that we'll be avoiding this segment, and we're very clear, we're very focused. We feel that the white box will be neither high growth or high margin potential for us. We're very committed to making sure that as a mobility platform on its own, that the mobility margin is maintained at 12% steady-state margin. Let's talk about deliveries.
In deliveries, you've heard us speak before that we are driving high-quality GMV transactions. At the same time, also very laser focused in driving our path to profitability. In the second quarter earnings, we reiterated that for food deliveries, we will break even by Q1 2023, and for our delivery segment as a whole, to be by the second quarter of 2023. From there, we will aim to improve our segment adjusted EBITDA margins towards our steady-state 3%+. Now, why do we feel so confident we can reach the 3%+? Sean mentioned earlier about Malaysia. I think it's really important for us to spend a bit of time here because it really has given us the playbook in terms of how we can replicate a lot of the margin improvements into other countries today.
In Malaysia today, they're already at above 3% steady state. That's actually without Jaya Grocer in Malaysia, which is EBITDA accretive for us. Now, as you can see on this chart for Malaysia, a large part of achieving this steady-state margin was underpinned by first reducing our incentive spend as a percentage of GMV. We did that also not just by pulling the lever and I go to Sean, "Hey, Sean, stop spending." No, we didn't do that. We also looked at what else can I bring at the same time while we're bringing the incentives down, also on other new features and also experiences to our consumers and to our merchants at the same time. Part of that credit to Sean and the Malaysia team, they introduced Grab Unlimited, our subscription programs. The second is we're continuing to improve operational efficiencies.
Sean and the Malaysia team has been fantastic in really supporting a lot of our early part of the introduction into products and services in Malaysia, where we've seen a lot of those things, whether it's just-in-time allocation, whether it's driver pooling, all those elements are really coming to play now in terms of where we're seeing that country, Malaysia, expanding its margin level. We feel that Malaysia gives us a really nice playbook for us to take into other countries. Actually, if you look at where we are today as a business, deliveries on its own, the majority of our markets today is already EBITDA positive. The 3%+ margin that we've got ahead of us, we have a very clear line of sight.
Let's talk about financial services. In terms of financial services, the key focus for us is to reduce the segment-adjusted EBITDA losses in the years ahead. The way to think about a financial services segment is in two parts. We have our non-bank and our digibank. Our non-bank, we call it GrabFin, and our digibank, all the things that Alex has shared. For digibank, to reiterate what Alex mentioned earlier, we expect losses to peak next year in 2023 before reducing sequentially to reach breakeven by 2026 across all three markets where we operate digibanks. What about our non-bank? For GrabFin, we are very committed to drive sequential year-on-year reduction in segment-adjusted EBITDA losses. Part of that is really driving very focused on on-platform transactions, staying away from off-platform, where the margin profile is just not there.
We made a conscious decision to actually move away from that, to drive the profitability of our GrabFin business. We'll focus more on lending to our drivers and to our merchants, which is highly margin accretive for us. We've talked about the three segments. How do we think about growth now for the future years? As we look forward to 2023, we're guiding to a 45%-55% revenue growth year-on-year on a constant currency basis. Now, this is on the back of this year, our revenue outlook from $1.25 billion- $1.3 billion. We look to achieve this by focusing more and more on driving high-quality GMV transactions.
That helps us to enable to reduce our incentive spend as a percentage of GMV, but also expect our mobility segment to continue to recover as tourism comes back, and also for our deliveries business to continue to achieve its steady growth outlook. What about profitability? A lot of questions that I get posed is, "Peter, when is the company going to break even?" We're targeting to break even as a group in the second half of 2024. Let me summarize the three drivers for us to get there. First, we stand to benefit from the overall group margin expansion as we drive sustainable growth in mobility and deliveries, and our losses will come down in financial services.
We have advertising, we have enterprise also as future growth levers, which has a different margin profile, and it has margin profiles commensurate with industry margins in the ads and B2B space. Second, across our segments, we aim to lower our cost to serve. This cannot stop. We are gonna continue to invest in driving efficiency, reducing our incentive spend as we focus on driving higher quality GMV growth for our business, and also look to scale GrabUnlimited, Grab For Business and Partnerships as new incremental channels to feed the top of the funnel for us. Third, we will not stop in reducing and optimize our corporate cost structure of our business. As a management team, we're committed to continue to chip away at this.
We will continue to look at areas where we can optimize our cost structure to drive the growth of our platform, whether it's staff costs, whether it's cloud computing costs. You've already heard in terms of how we can reduce our mapping costs now through being self-reliant. You've heard that how we've been more self-reliant in terms of KYC and fraud. We will continue to look for opportunities to reduce that cost structure, but at the same time also, we'll continue to reinvest towards R&D and tech development to support the sustainability of our ecosystem. We remain very confident in getting to the second half of 2024 to break even as a business. Now, what about this year? How do we think about profitability this year for 2022?
For the second half of this year, we're guiding to $380 million of adjusted EBITDA losses. This is a 27% improvement relative to the first half of this year. We're sharing this with you, the guidance for the second half of this year, to demonstrate a clear pathway to our second half 2024 breakeven timeline. All the elements that you've heard today, all the building blocks that you've heard today are incorporated and are built into our clear line of sight for second half of 2024 breakeven. Now, let me finish off by talking about our capital allocation framework, our third guiding principles, maintaining a strong balance sheet. Three things here. We will continue to be very disciplined in how we are preserving our cash. We're living in times which all of you know where cash is scarce.
There's a lot of unknown out there in the marketplace. As a management team, we're committed to preserve every dollar in our balance sheet today, and we will continue to look ways to cut our costs. We will look ways to lower our cost to serve, and also we will continue to focus on key markets where we have deep knowledge and scale. Second, we're also mindful we will be balancing growth and profitability. With that end, we will continue to focus on allocating capital to product and tech innovations that will strengthen our ecosystem further. Third, our bar for M&A is extremely high. It has to be either margin accretive, which we have done, we've seen in Jaya Grocer, and has to be also an adjacent or contributing to our ecosystem, again, like Jaya Grocer.
Our cash position is not something that we take for granted. We will maintain a prudent stance in how we allocate and deploy our capital with this cash preservation on top of mind. I hope that with my presentation today, you've gotten a good sense of our roadmap that also serves as a guiding principle as we chart our path towards profitability. I do wanna also remind what we started in the beginning of the session today. What's our North Star? Our North Star is driving towards becoming Southeast Asia's largest and most efficient on-demand platform that enables local commerce and mobility. To summarize how we're thinking about the quarters ahead, we talked about balancing growth and profitability second half 2024, with a clear line of sight to break even. Revenue is growing at 45%-55% next year.
Also making sure that our incentives and our cost structure also is being optimized at all times. Lastly, aim to maintain a strong balance sheet with ample liquidity. With that, thank you for staying for all the presentations. We will now transition to Q&A, and I'll turn over back to Doug to kick off this session.
Thanks very much, Peter. As Peter mentioned, we'll now be moving on to the Q&A segment. We're a fairly large crowd in the room. For those of you who wanna ask the questions here, please raise your hand and my colleague will call on you. For those of you attending virtually, the Q&A box is in the channel. If you wanna ask a question, please feel free to type in the Q&A box. Please go, give them some time to set up the stage. I'd also like to invite Ken Lek, Head of Strategic Finance, who'll be moderating the Q&A session.
Okay.
Go ahead.
Good morning, everyone. Thank you for staying with us. My name is Ken Lek, Head of Strategic Finance. Over the course of the next 45 minutes, we'll be taking question- and- answers from both the floor as well as online, for those of you who are submitting your questions virtually. On stage right here, we have our panel from today. From your right to left, first we have Cheryl Goh, Head of Sustainability and Marketing. We have Peter Oey, our Chief Financial Officer. Anthony Tan, Founder and Chief Executive Officer. Hooi Ling Tan, our Co-founder, and Alex Hungate, our Chief Operating Officer. As a reminder, for any of you in the room who'd like to ask a question, please raise your hand and there'll be somebody in the room who will run a microphone over to you.
Please limit your questions to no more than two questions at a time. Do introduce yourself and the firm, as well as standing up, if you don't mind. With that, we'll go into our first question of the day. First question for the lady in front in brown.
Feels like we're at an auction.
Mm-hmm.
Thank you very much for the opportunity. This is Pang from Goldman Sachs. First two questions here. Number one, with regards to the guidance that you give out for next year, 45%-55% growth in terms of revenue. How should we think about this by segment? What does it actually mean when it's come to, let's say, mobility with regards to how we look like versus pre-COVID? With delivery as well, what does it actually mean with regards to the penetration rate that you actually already achieved at above 17%? And also on top of that, how should we think about profitability with regards to that revenue guidance that you're giving out? Are we going to see any reduction in terms of corporate costs? That's number one. Number two, maybe a little bit more towards the financial services.
How big is the current loan books opportunity that we are currently seeing? Out of all the opportunities in financials, whether it's with regards to PayLater or the cash financing to your drivers and merchants, which one is the most exciting out of all? How should we think about this in terms of funding as well? Thank you.
Maybe to simplify the question from Pang. Thank you, Pang. For Peter, maybe, outlook on 2023.
Right.
Both top line and bottom line.
Uh-huh.
After that, Alex, if you could follow up on loan book as well as maybe the specific lending products.
Yep.
Pang, thanks for the question. As we think about how the business is transitioning, and you heard a lot of good content here today, in terms of mobility, we're still not at pre-COVID levels. Part of the revenue guidance that we're giving forward obviously is expectations for mobility to come back. A lot of that obviously will hinge on our tourism coming back into our region here. Especially, we're keeping a very close eye on what's happening out of China. Thank goodness Hong Kong has also started to lift its restrictions. We're also looking at Taiwan. Those are very core markets of tourism back here to Southeast Asia.
We have a key event here this week also with the F1 and a lot of activities, and that also will give us a good feel in terms of how, especially for Singapore, actually, they've been doing. As we move towards that, I would say pre-COVID normal levels of mobility, we do think somewhere in 2023 that we expect we'll get back closer to the pre-COVID levels for our mobility business. Now, for deliveries, what we are seeing obviously as the economies reopen, is a shift where consumer just loves to dine out. That's a very normal consumer behavior. Now, as we're also observing that at the same time, our product also is evolving to help with some of those things.
Sean mentioned that part of that is what we call Dine Out, where people can order and scan at the table, et cetera. We're giving more options for consumers. They can pick up also at the local merchants. At the same time also, we're expanding our grocery and our GrabMart business. Balancing that, we will see deliveries growth, but obviously we're not gonna see the level of growth that we saw during the pandemic. You'll see steady growth in terms of deliveries. You'll see mobility growing at a much rapid pace given where we are. In terms of financial products, our financial services, as Alex mentioned before, we'll be focusing on our ecosystem. Some of that, obviously you'll see our TPV coming down for the right reason.
Also what we are looking at more is monetization of this user base in our GrabFin product with specifically lending in mind, because given how that's more powerful for the ecosystem. All these elements, and one of the questions you asked is, "How does all this blend into the profitability?" We're committed to the 12% for mobility. We're committed to the break-even points for deliveries for the second half or the first half of next year, and we have a clear path to get there. Some countries are already inching closer and closer to get there. We'll reduce our losses in GrabFin as we've been committed and we've been saying throughout this morning today. I hope that's helpful.
Pang, maybe I'll just expand on the lending that we do today. It's relatively small, but it has high frequency. Average of about two months tenor. That means during the year, that loan book can be reused multiple times. The primary lending is to the drivers and the merchants. As I mentioned earlier, the drivers, about 30% of the active drivers are taking an active loan from us today. Buy now, pay later off platform, we believe is relatively undifferentiated, and we think standalone BNPL players out there will struggle to make sustainable profits.
On our platform, for all the four advantages that I mentioned, we believe that it is a useful extension of the relationship with the customer and it critically does allow us to learn more about that customer's credit performance, which will then help the digital banks. The lending currently is lending our own equity. Of course, as we develop a track record, we can go outside to other banks to extend balance sheet to us, and we can channel that balance sheet through. In those markets where we have our own banks, of course, there's an opportunity for us to channel the balance sheet of our own banks as well.
Okay, next question. Gentleman in blue in the middle.
Hi, thanks a lot everyone, for the great presentation. This is Venugopal Garre from Bernstein. I have two broad questions. One from a medium to long-term perspective with respect to capital usage. Since it's a very important area of focus for a lot of investors at this juncture. Are you trying to build around a business model which would no longer depend on external capital in the future? More importantly, from a perspective of financial services capital usage, there are two main things that I see. One is the regulatory capital requirements, where a lot of money would be blocked. Secondly, the cash burn rates, of course, will remain for a while. I do see a lot of capital getting blocked there, even if I see 2026 as a digital bank break even for you.
That's the first question. I have another question, which probably I can ask after this.
Your question around capital usage, medium to long term, and I'll ask actually Alex to spend a little bit more because he's been working a lot with our board members on the digibank side. We always have this mindset, and we've all agreed as a team here, management team, that we have to go and operate our business with no visibility to future cash raising.
Mm-hmm.
That's the mindset. It's really important to have that mindset. What we have is what we got. Make use of it, every penny. With that mindset, as to, as I talked about the capital allocation framework, the first pillar is cash preservation. The way we operate the business today is that we will use what we have today, the over $6 billion of net cash that we have today. We'll continue to make use of that, and it's really important how we deploy those capital. Now, part of that deployment of capital will be the digibanks. Part of that is what we've committed with our partner, our JV partner, our Singtel JV partner, as well as our Emtek partner in Indonesia. Also at the same time, we're very careful in terms of the burn rate of our digibanks as well.
Some of you may be aware there's a regulatory commitment to set aside capital for the GXS group. Because we have Malaysia and Indonesia, we can reuse that capital across three markets, which is good, using the GXS structure. The commitment is at a Singapore level for it to be reused. Given our share of the various banks, actually, that total commitment comes to something less than a billion. But that billion will be used over time. We don't have to commit it all up front. We can commit it. We've agreed with the regulators, we can commit it progressively as the expansion plan requires.
Hello. Yeah. My second question is more to understand two aspects from a point of view of influence on the breakevens. Firstly, on the financial services side, while you have given a digital bank breakeven target, outside of that, the GrabFin business, it wasn't very clear as to when you actually make a breakeven, right? That's one. Curious to know your thoughts around that. And the second thing is Grab Unlimited featured as one of the things that you mentioned, especially in Malaysia, as an important driver for profitability as well. Can you explain this with an example, more quantitatively? Maybe you can call it unit economics, but just to understand how it enhances profitability.
Now, I want to just highlight here that while you mentioned that the cohort of users who are in GrabUnlimited have a higher usage, that's very clear, but were they already having higher usage or have you seen usage increasing after they became GrabUnlimited subscribers? This is a part to understand the unit economics. Thank you.
Two-prong question. Alex, you can take the first one, and maybe we can invite Sean on stage for the GrabUnlimited question shortly.
Okay. Thanks. For the question on the GrabFin breakeven, well, you're right, we didn't give a breakeven target date for GrabFin. Because GrabFin creates a lot of value for the network, so we measure success in two ways. We want to reduce its burn rate for external use cases. That part is a net outflow of value outside of our ecosystem. That part will reduce to zero in the coming years, and we'll start to then create value. The internal part is actually powering a lot of value in the ecosystem. We do measure that, but it doesn't necessarily come through in the P&L. That's why, that's the reason why we haven't given an exact breakeven date.
Just to add to that, Venu, to think about it, there is a sort of, because the GrabFin piece powers the platform, there is a, think of it like a variable piece, which actually continues to also scale as the platform continues to grow at the same time. We haven't guided the GrabFin losses because we see it as actually in totality, because it intertwines with the platform, how just the product that we've built through GrabFin really powers the whole ecosystem.
I'll share a little bit more on GrabUnlimited. GrabUnlimited continues to scale, right? We shared that it's already 90% of GMV in Q2, and it's much higher now. In our pilot markets, the early ones, actually, it's way above that right now. The key question then is, well, it's not very hard to get adoption of something where you're giving value, right? We are seeing situations where loyal, high-value users who only use Grab actually getting more value out of Grab today. The question is, are we also seeing lighter users or users who are using multiple platforms commit to Grab? We are seeing that actually quite consistently. Remarkably, what we're seeing is in markets where we are most advanced in scaling GrabUnlimited, our margins actually improve.
Our spend actually comes down because we're balancing kind of the heavy users getting more value out of Grab, which is good for us, keep them committed on the platform. We're balancing that with attracting more users with multi-service benefits. There's a lot more layers beneath that. For example, a lot of the value that Grab Unlimited members get out of Grab Unlimited is anchored on merchant co-funded programs. These are offers that our merchants are happy to give out because they're attracting the best quality users. Some of those benefits are non-monetary in nature. I shared like, for example, top-rated drivers or priority deliveries. In Malaysia, when we introduced priority deliveries as a benefit, we actually increased the margins because more people are now paying for priority deliveries.
I hope that kind of gives you an idea of why we're quite excited that Grab Unlimited is going to be that foundation that drives not just stickiness on the platform, but also margins.
Thank you, Sean. We'll take our first virtual question online. Looks like it's a question for you, Anthony. The question is, with your TAM currently at what it is, and with penetrations quite high across the region, do you expect your penetration rates to grow at a slower than expected rate beyond this, given that you are penetrating into tier- two, tier- three cities? More specifically for management in each of your countries, are there any color you can share on GMV coming from capital cities versus non-capital cities, as well as any other metrics that might be helpful to the audience?
Thanks again, Alicia, for this great question. How we think about tier- two, tier- three penetration cities. Number one, 70% of Southeast Asia actually lives outside of these capital cities. That's tier- two, tier- three cities. Second, this is a place where it's not like the U.S., right? They're not suburbs. They're actually quite dense. They're actually infrastructure's not as great. They're all digitally enabled, a lot of them have smartphones. So actually, our services are actually very needed in these cities. Number two. So number one is on TAM. Number two is actually what we are seeing is also an interesting point where if you launch unique services, like for example, GrabMart, where, again, thanks to the Indonesia team, they customize a lower cost service.
It's not through promos, it is through a lower cost service to serve a very different need in these tier- two, tier- three cities. The key is innovating and creating unique product market fit for these types of cities. The third thing is we don't scale just by, "Hey, let's open another office." In fact, many of these 480 cities, we're actually leveraging the infrastructure we've already built. For example, name a city, Makassar or whatever, right? We already have the mobility team already there. The same leadership team. We're not hiring more people. Same leadership team does food. The same leadership team does mart, right? The same team is going out acquiring for OVO merchants. The whole idea is leveraging the same one Grab team and creating more sales and selling as one Grab.
This is how we actually gain. You know, we started much later for GrabFood, for example. Even though we started later, because we could leverage our own Grab team, we could leverage our driver network, we actually became the leaders in Indonesia.
This is also supported from a technology and product perspective, where I mentioned earlier, we've built our capabilities and platforms in such a way that it really provides this regional scale. You know, platformization in a cost-efficient way. So like Anthony mentioned, as we're moving from tier- one to tier- two and tier- three cities, our operating footprint and our overhead model actually becomes less and less. Because we found either operational innovations or technological and product innovations that enable us to actually decide to make launch and do it in a matter of hours. So ultimately, I think that's why we believe so strongly into the continued innovations of our O2O platform that really works well together. I think, Sean mentioned in real life, in the real world, right?
The beautiful thing about Grab as a company is that we are neither truly just a technology company nor an operational company, but we are the best of both.
We'll take another question from the room. Gentleman in front.
Hi, thanks a lot for the presentation. This is Piyush from HSBC. Two questions. Firstly, on Grab financials, just an extension on the capital allocation which we were discussing earlier. Could you tell us in the digital bank, like by 2026, what will the total capital allocated? And also you mentioned about integrating with partners, you know, locally in each of these regions. Can you give us example of how deep that integration would be? Like in Indonesia, would you be even able to lend to Bukalapak merchant partners or SMEs? With the second question, you know, as founders, what do you think are the key challenges today and how you end up allocating your time?
Let me take the first one on the capital for digital bank. What we've committed with the regulators, because the regulators also have to come into play here, is $1.2 billion, of which 60% is our share, which is, it's a joint venture between us and Singtel. Part of the capital allocation framework that I alluded earlier incorporates that our share of the $1.2 billion. We feel as a team, and we feel that with our GXS peers, that capital is sufficient for us to build the bank in the three countries, as well as get to a stage where we could break even by 2026. Yeah. Ling, go ahead.
No, I was hoping to build off you, but oh, well, I'll start then, Anthony. For me, I think as an executive team, we divide and conquer a lot. I'm gonna frame the answer in two parts. What do we mutually as an executive team spend time on? And then what do I personally, you know, spend a lot of time on as well? I think for us, the focus on our long-term potential and how we get there in a cost efficient and high growth way has been the number one strategic question and operational question for us. I mentioned earlier that what makes Grab is truly our technological and operational capabilities that really, when combined, become truly distinctive, sustainable advantages. How we make that happen is not in presentations or conversations.
It's in really deep problem-solving sessions with our respective leaders and teams to help figure out what's the next new opportunity, decision, unblocking that we can help support them on. Strategically and operationally, I think that's where we spend time. For me personally, I clearly lead the technology and product teams, and I love everything that we're doing. You can see how our continued innovations working behind the scenes is leading to not just short-term improvements and optimizations that incrementally build up to, you know, 1%, you know, annualized becomes 37x, but also the big step changes like GrabMaps, like safety, like anti-fraud, like everything else that we've been talking about.
It is really the combination of cumulative efforts and experiments that succeed and fail as well, that enable us to be where we are today and hopefully much better off 10 years from now too.
I think just building off Ling, she's totally right. There are these type of challenges. On the ground, for example, and, you know, Ling knows this, Natima knows this, I love just hitting the ground. Every week I'm literally in some other city. I can tell you, in the first part of this year it was driver supply. That was a real challenge. What we did, and again, thanks to the amazing ops and tech team working so well together, just fixing the flows and onboarding, making sure that we were really starving literally for drivers. There was just way too much demand. I'm sure, I mean, if you live in Singapore, I'm sure you felt it, and you weren't happy with the surge, I'm sure.
If you look now, it's improved because we've brought on a lot more driver supply. I think that was a real challenge. Again, we're so used to serious challenges all throughout our 10 years of our life, now going to our 11th year. I can tell you, it's just a matter of just focus, six months, all of us just, you know, execute relentlessly, and then we overcame it. Now we're in a much better place. Again, still not where we need to be at. We've still got a lot to kaizen on, and that is one of our core values. That is one where we've seen significant improvement, a catch-up, supply to demand.
Just a funny aside. To illustrate how much time and how well Anthony knows our consumers on the ground for the tech and product teams, he's a double-edged sword. Firstly, he's always the first to pick up edge cases and bugs. Like, I don't know how he does it, whether it's from merchants, drivers or consumers, he will always find them first. The double-edged sword, the other side means he's the biggest contributor of work to us. Teams, thank you so much.
Yes, that's totally my fault.
Next question from the gentleman in the middle.
Thank you, management. It's Ranjan from J.P. Morgan. Two questions. Firstly, in the guidance that you've given for breakeven in the second half of 2024, two years out, what are the regulatory changes that you're expecting in that time? Because regulation is something that keeps coming up now in discussions and in media reports. The second question is on financial services. It seems a disproportionate focus on on-platform, but how do you add value to customers? Because it seems like we expect customers to have more than one wallet and use the Grab wallet for Grab's ecosystem. What is the value that you're adding for the customers for them to use the Grab wallet for on-platform? Thank you.
Okay, thanks very much. Maybe I'll take the regulatory question as well. Yeah. We are talking with regulators across the region. I think there are two broad categories of regulatory interest. One is in the areas of tariffs. In Indonesia recently there have been some movements on that, and we're working closely to implement the increase in tariffs that the regulators required in Indonesia. So we've done that for both two-wheel and four-wheel in Indonesia. The other category is on the status of the gig worker and like labor regulations. I think in that category across the eight countries in which we operate, Singapore is probably the most advanced in their thinking. We're working very closely with the commission that's in place here.
I think the discussions there are the same as the discussions elsewhere in that respect, which is that there's recognition that the gig economy is now an important part of the structure of the labor market in all of Southeast Asia. There's recognition that it creates well-paid jobs, and that therefore any regulation that's implemented should not damage the employment, the constructive employment opportunity which a gig represents. We believe that any implementation of retirement benefits or insurance benefits that comes in through those discussions will be done in a very gradual way, in a very careful way, closely with us and the other players in the market, creating a level playing field across all players, but probably most importantly, not damaging the health of the marketplace.
Yes, both of those categories are taken into account in terms of our outlook for the end of 2024, break even. We're basically based upon everything that we know at this time. Now, clearly, I can't guarantee that other things won't come out of left field, but we are very closely working with all the regulators. As far as we know, that is baked into the 2024 guidance.
I can help on the payments one. I think we talked a lot today about the power of the super app ecosystem. You're right, in Southeast Asia, there are many different wallets out there. Actually, there is very little differentiation unless you have what Grab has, which is.
That regional platform of Super App high frequency everyday use cases that everybody has come to rely on, to live their lives. Why this is particularly important is, I think Suthen earlier mentioned that nine out of ten Southeast Asians don't have access to, you know, formal credit facilities. Six out of ten are underbanked or unbanked completely. Our general concept of why do we even need a cashless wallet versus credit card, debit card for those who spend more time in developed markets like Western markets or Hong Kong or anywhere else other than Singapore, to be honest, is very different. Because that need of that underserved market is there.
We see from our data that actually there is a very large cohort and group of users, especially in this underserved market, that benefit and want to use our cashless services because it gives them trackability, it gives them ease of transactions. They don't have to carry cash around, especially in our more developing markets that's not super safe. It gives them lots of just day-to-day benefits that they've actually come to rely on because it's part of every single interaction that they have with us as an everyday service.
Next question for the gentleman at the back in blue.
Thanks, guys. I'm Mark Goodridge from Morgan Stanley. I just wanna build on the question, the regulation, 'cause I thought it was really interesting. When we have a look at the potential pension payments, CPF contributions coming through, how are you gonna pay for it? Are we going to increase prices for the consumers, or is Grab going to actually contribute? That's my first question. Second question comes on that 12% margin that we're talking about in mobility. Have you guys actually thought about, what is there any expectations of increasing pension, requirements within that 12%? Or is it just being ignored for the moment? I'd love to hear how that's being thought out.
Mm-hmm.
We have been encouraging our drivers actually to start their own pensions and to take on disability insurance as well. We've been trying to encourage that on a voluntary basis. We do care for them thinking about their future, and I think the financial education aspects that Cheryl spoke about earlier under our sustainability program are an important part of that. If certain governments now start to make it mandatory, then that would be something that they would have to do progressively, we believe. I believe most of them will want to do it progressively, as I was saying to Ranjan earlier, because they don't want to disrupt the market.
We have taken into account that that will potentially have to be passed on to consumers because there'll be a level playing field and therefore all platforms will have the same cost impact. As it's implemented gradually, we do expect it to be passed on to consumers. The governments are aware of this, and they accept that, and that's part of their calculation for not wanting to just, you know, to do it too suddenly, because that would then dampen the market, lead to job losses in the gig economy, and then create, you know, potential social unrest. I think there's a very important balance that we all need to maintain, and that's why we're working so closely with them.
On the margin question, Mark, the 12%, we feel has puts and takes. I think some of that incorporates some of the potential increases that we might have to support our drivers for. I mean, Cheryl talked a lot about insurance products. We're already introducing insurance products to our drivers to help them with their disability and those other components. Some are. We bear some of those costs, they bear some of the costs, again, for the benefit of the drivers. The way we think about our 12% margin is we're baking in some of those, some of those future outlook in terms of where we think that it'll benefit the drivers also. It's a balancing act that we're doing at the moment.
There are obviously very touchy subjects with government at the same time, and all that we can do now is just collaborate with them, because I think this will be introduced not suddenly. I think what we've gathered from the respective officials is that it's something that they need to also introduce over time just to make sure that the level playing field that Alex talks about is preserved. I think it's really critical. Yes, some of those is baked in and there is those puts and takes, but what I can say is we're very committed to the 12% margin. I think it's really a critical pillar in our mobility business. As we continue to grow our business for mobility, we know there are also high margin products that we'll develop. We will develop those high margin products.
There are also some other products that we will also serve, like what we're doing in Indonesia with GrabCar Hemat, that we know that also will serve more of the masses. There is that balancing. At the end of the day, 12% is a steady state margin that we're all aiming for and will maintain.
Thank you. With that, we'll take another question online, this time from Thomas Chong from Jefferies. The question is probably piggybacking on the slide you had, Peter, with the bubbles. How should we think about the revenue contribution from ads and digital bank in the long term?
Yes, sir.
Maybe specific to ads, any color you wanna share around contribution as a percentage of delivery GMV?
Sure, yeah. It's still very early days. If you remember the chart that I had, well, one was the top right chart, and then you've got mobility deliveries graphed in our core business segments. We still are in.
Pilot mode on some degree. We're working with a lot of our merchants. We're still enhancing our platform also. The digibanks just soft launched in Singapore here, and will be launching next year in Malaysia and Indonesia. We see great potential for revenue opportunities. That's highlighted to the top right of the chart, between EBITDA, financial services segment-adjusted EBITDA and revenue CAGR growth on the x-axis. We do see opportunities, but also at the same time we see opportunities in margins. It is still very early days for us. We're not guiding to revenue in terms of ads and as well as our digibanks. In the future, I hope we can share more of that.
at the moment where we are, we're focusing on just making sure there's strong product market fit with our ecosystem.
There are a couple of numbers we've given on the ads front, which we have shared externally, which I'll just repeat now. One is that, you know, ads represents the majority of our enterprise segment, which represents about 4% of our total revenue. Still quite small after only four years. If you look at external peers as well, some of our peers like Uber, Meituan, et cetera, they've managed to get the take rate for ads up to about 4x the take rate that we're at. We do think there's significant up.
That's right.
Upside in terms of.
For sure.
Penetration of GMV or take rate.
Yep. Mm-hmm.
Thank you. Question for the gentleman in blue at the back.
Yeah. Thanks for the opportunity. This is Varun Ahuja from Credit Suisse. I've got two questions. Both of them are follow-up. First, on the Grab Unlimited. So if you look at globally, a lot of people are a little skeptical about the membership plans as that can have a cannibalization risk. I know you mentioned about initially results have been pretty encouraging, but if you look at medium to long term, how do you see membership plan evolving? Will it just be giving unlimited deliveries or it will be more less deliveries and certain other non-monetary benefits? So just wanted to understand the view on the Grab membership plan.
Secondly, on the fintech side, if you look at off-platform payments, I remember when you initially started, that was a whole strategy of building up a payment mode around having a lot of off-platform payments, right?
Mm-hmm.
Getting data and helping in the lending side. How has this changed? Is it more because of current focus on profitability, and then you may look at it at a later stage and when you build a more robust fintech platform? Thank you.
We'll go with Sean back upstate for Grab Unlimited first.
I'll start on the Grab Unlimited point. So I use the word cannibalization as well, but it's a pretty harsh word for when we're giving best value to our most committed users, right?
Mm-hmm.
We are very realistic about that. Like, we want to serve our best customers best, but how can we offset that? That's the reason why it took us this long to really layer on the thinking before we scaled Grab Unlimited. Medium to long term, the thinking is we wanna build more benefits that are non-monetary in nature. We're starting to already do that, and that displaces over time the very sort of left brain monetary value back that we give to our consumers. We said, "Look, we're in a stage where we don't wanna be just working on something that's sustainable tomorrow and not sustainable today." That's why we designed it very carefully to be able to actually balance cannibalization of heavy users, which, you know, I think is actually good because I'm one of them.
We're sort of calibrating it to balance that with actually uplifting our light users. In one of our markets, we see our even our lightest group, and I would not be too precise at which market, but about 30% of our lightest group actually signing up. The idea of balancing even monetary value today such that we can increase margins today means that we put ourselves in a position where we continue to actually deliver more value as we shift to non-monetary value, mid to long term.
Maybe the analogy I can draw that most of you here are familiar with, it's analogous to portfolio management, where we know there are gonna be many dots across the board and the objective is not to do a local optima on a per order or a per ride basis, but actually to look at per user, what is their lifetime value of us, and what is their short-term and long-term, you know, cost benefit assessment, for driving sustainable growth.
Let me take the second part of the question, which is about on off-platform payments and whether those create value and whether we'll return to that as a strategy. I think at the early days of cashless payments, for a lot of the consumers in Southeast Asia who didn't have credit cards, remember less than 10% of Southeast Asians have a card and don't have bank accounts. That number is even smaller. They didn't have a means of paying without cash. In the early days, there is a value proposition for those people. Now what we see is that, with universal payment codes being rolled out, often under the mandate of a government universal standard approach, and with increasingly seamless payment rails behind that facilitating the top ups, it's a relatively weaker value proposition.
We think that as the payment rails become even slicker and faster, as they are in many countries now, again, often encouraged by regulators or government, and as the universal payment codes become standard, then that proposition is relatively weak for consumers as a standalone proposition. It doesn't make sense for us to promote a lot of usage in what is essentially a commoditized activity with consumers.
Okay. We have time probably for one or two more questions. Gentleman in the front left.
Hi, this is Sachin Salgaonkar from Bank of America. Couple of questions. First question is on competition. Would like to understand your thoughts on, you know, how competition is developing, both in food as well as, you know, in mobility. Particularly in Singapore, where, you know, there is anecdotal evidence which suggests that, you know, Grab at a margin is a bit expensive as compared to others. Just wanted to understand your thoughts. I'll ask the second question later.
Yeah. I'll take the competition question. With regards to, say, Singapore, you're right to say that, you know, in a time of supply constraint, there was some surge, right? That's how it clears the mechanism. Actually, if you look at our CP or category position, according to Euromonitor, actually it grew during this time, because it's really about in a supply-constrained environment, it's who has the most drivers. That's really the key. You know, again, back to the initial question about challenges, this was one that we were constrained and, you know, truly apologize for that and that we take great feedback on. That's why today the ops team and the tech team worked extremely hard, focused to what we call, you know, really improve the fulfillment rate.
Today we're actually seeing that has really improved our supply situation. That means we've worked on things from payments flow to onboarding of drivers, how fast they come on. Here, here's an interesting stat is if you look at the airport rides, which is a very profitable segment, how much as a percentage of mobility GMV, it's actually gone to around our 2019, if not going even beyond, as a percentage of our total mobility GMV, so airport rides GMV. The profitable sector, so from a GMV CP of market share, it's improving. Now, can we do better on pricing? For sure, and that's why we're continuously onboarding. Again, it's a good problem to have, right? There's just too much demand, and we are making sure that more and more supply is getting onboarded.
The best part, I think, again, testament to the teams of both the tech and the operational teams on ground working super well together is as you see the incentives actually coming down as a proportion of GMV quarter-over-quarter, year-over-year, and our category position according to Euromonitor improving. I think that's a true testament of the team's execution abilities.
Building on top of some of the why behind that, completely agree with Anthony that the testaments and proof points are there. In the short run, there will be fluctuations that all of us are constantly working hard to address. I think the question for us is what gives us truly that long-term competitive, sustainable advantage at scale in this very, you know, highly competitive market. I think this goes back to the strategy again that we talked about, that we are the only super app ecosystem in the region. There are other players that are monolines that are regional, or there are other players that are super apps, but only, you know, really present in one market.
That combination of regional and super app high frequency everyday use cases gives us advantages on cross-selling, you know, acquisition costs, data, all the things that you saw in the presentations earlier today that it's really easy to talk about, but very actually difficult to do. It also manifests in some of the numbers that I believe Anthony shared in prior analyst days. Where our internal research actually shows that for food and mobility, in certain markets, our incentive spend is actually 2x-3 x more efficient than other local competitors. Even though they could be short-term making heavy investments, throwing money into it, will they be able to long-term sustain that?
That to us is always the question of how do we balance for that beautiful long-term goal that we all see that potential for, while also doing so in a way that doesn't chop Alex's head off, sorry. While also doing so in a way that's very adaptable and agile to our on ground, on the spot needs.
Thank you for that. My second question is, if you guys could give some data points on a market by market, you know, breakup on, whatever you could share in terms of, you know, how we are in terms of EBITDA breakeven or, you know, the path towards that. Which markets are already profitable, and how could we see that roadmap?
Sure. We don't break out the countries by EBITDA always in GMV. But today you heard one country, which we've been showcasing over many time and actually Sean, credit to him and his team, is one specific country that we're able to manage to make the whole ecosystem work. Now, there are other countries also, like as mentioned before, where deliveries, the majority of our countries are already in EBITDA positive today.
The trajectory is there. We're heading in the right direction. We're continuing to optimize the mobility business. We're profitable in every single country, and that's very important for us. We haven't lost market share. We actually gained market share in certain countries. Deliveries, we have also continuing to your question earlier about competition. We have actually maintained or gained market share in terms of deliveries despite competition, despite that we're also reducing our incentive spend, in the last couple of quarters. We've got all the right ingredients, Sachin, in terms of making all the unit economics work. We're still not there for sure. There's still work to be done, but all the right ingredients are coming together for us to execute even further.
With that, unfortunately we've come to the end of our question- and- answer session. Thank you all for your questions. If you have any follow-ups, please don't hesitate to reach out to us on investor.relations@grab.com. If not, the management team will be staying behind after this during lunch to interact with all of you. Before we end today, we'd like to invite Peter to share some closing remarks.
Well, I thank you, everyone, for staying the full three hours or so with us. I've heard you've heard a lot from all of us. There's been a lot of great content, and really for us today is to share where we wanna take the business. I think it's really important that as investors or shareholders or analysts that you see where we're going as a business. One key takeaway is the power of the ecosystem. I know we talk a lot about it, and the reason why is that's how we speak internally also, and that's how we think about the business. There's still a lot of work to be done for sure, but we're already getting all the right ingredients.
The second thing that I wanna communicate as a team here is that accelerating path to profitability is very, very clear focus area and the second half 2024 is where we wanna get to. Thank you very much online and also for coming here for those who have traveled, thank you, thank you very much for spending the time. For those who are in Singapore, we'll be having lunch outside. Just please spend the time. All of us and other management teams also will be around to for you to ask questions and go.
You're most welcome to order GrabFood as well.
Of course.
We love more sales. Thank you. Thank you for that.
Thank you very much everyone.