The service fee collected by Grab ensures our delivery partners are fairly paid and enables us to provide platform services for online food ordering and delivery.
The majority of our Merchant-Partners service fee goes towards paying our delivery-partners. We believe our delivery partners need this boost to cover their time, distance travelled and efforts adequately. We pay the majority of our service fee to our delivery-partners, on top of the delivery fee paid by consumers, which also goes to them.
The remainder, if any, is used to cover operating costs, which includes delivery partner insurance, safety equipments (facemask etc), GrabRewards, cashless payment transaction costs (eg. credit card charges of 1% to 3% of the transaction value), product and service improvements, marketing cost and backend manpower like customer service for merchants, consumers and delivery partners.