Grab Philippines eases inflation pressure on MSMEs through demand boost

Grab Philippines fully funded a one-month demand-boost campaign for select homegrown food merchants, helping local restaurants drive transactions without taking on the cost of consumer discounts as inflation kept utility bills and ingredient costs elevated.

Rolled out from 21 May to 20 June, the initiative helped local restaurants sustain customer demand at a time when inflation continued to put pressure on their businesses. The campaign delivered a measurable lift: two in three participating merchants recorded higher orders during the period, with most seeing double-digit growth.

Among merchants that grew, order volumes rose by about 30 percent on average, while the fastest-growing merchant-partners posted gains of 145 percent to 158 percent.

"It’s easy to be a partner when times are good," said Grab Philippines Chief Commercial Officer EJ dela Vega. "But with utility and ingredient costs spiking, the daily math just wasn't making sense for our local merchants. They didn't need business advice; they needed actual orders and protected margins. By shouldering the cost of demand-boosting initiatives and providing a concentrated lifeline for those hit hardest, our goal was simple: help them keep their doors open."

For independent operators, the support provided a much-needed buffer. "The rising price of ingredients, especially meat, makes it costly to join discount promos all the time," said Joy Couture, owner of Harley's Boulevard Motor Cafe in Davao. "Having Grab absorb the cost of this promo was a big help. It boosted our brand's visibility on the app and helped improve our sales over the past month."

To further ease cash flow pressures amid the national energy crisis, Grab also offered debt relief options to severely affected merchant-partners, including alternative payment arrangements and a loan holiday to eligible borrowers with existing cash loans.

Beyond immediate relief, Grab also continues to support long-term MSME resilience through Grab Asenso: Digital Diskarte Program, a public-private partnership with local government units that helps local enterprises build practical digital capabilities — from AI 101 for MSMEs to social media strategy and digital marketing.

To support offline, dine-in operations, the company also offers Grab In-Store Solutions+. The suite, which comprises Grab Dine Out Deals and Grab Payment Solutions, allows merchants to digitize checkouts and manage targeted promotions for foot traffic.

While this specific initiative has concluded, the effort builds on Grab's history of stepping up during economic shocks. It mirrors the rapid-response framework of the P350-million Bayanihan Fund that supported drivers during previous extreme fuel spikes.

As the energy situation evolves, Grab is closely monitoring the impact across its broader network of merchants, drivers, and consumers, remaining focused on deploying targeted support to safeguard their livelihoods and everyday operations.