Gojek started off as a call center intending to connect consumers to courier delivery and two-wheeled ride-hailing services. It was first established in Indonesia in the year 2010. Gojek launched its app in 2015. The app offered three services; GoMart, GoRide, and GoSend. The business has evolved and expanded since then. They now offer more than 20 services to their consumers. Gojek has also developed in Vietnam, Singapore, Thailand, and the Philippines other than Indonesia.
Gojek was one of the companies in Fortune’s 50 companies that changed the world in the years 2017 and 2019. The company was in the 17th and 11th position respectively. Gojek is the first unicorn and the first decacorn company in Indonesia. Some of the acclaimed investors of the company include names like Google Mitsubishi, Northstar, Astra International, blibli.com, and more.
Gojek has more than 3000 employees working all over the world. They have around 210 engineers working at all three Jakarta based headquarters. The company also has a data science center in Singapore and an engineering facility in India. The company has a robust team of experts working for the growth and expansion of the company and provide their consumers with the best services available.
In this post, we'll cover:
How does Gojek Work?
Gojek is an app that provides there consumers with several products. These products are services that can be used by consumers to meet their daily needs. These services range from e-wallets to house cleaning services. To build an app similar to Gojek, it is necessary to understand how does Gojek Work?
Gojek For Consumers
Here is a stepwise guide to understand how does Gojek work and how does the app provide its services to its consumers
Step 1: Search for Services
First, the consumer needs to browse for the services they wish to use. They can browse the same from the many services available on the app. To understand how does Gojek work, the consumers can also understand how they can use a particular service and choose the best for them. There are a host of services available on the application such as GoMart, GoFood, GoShop, GoMed, and many more.
Step 2: Book the Service
There are cab services, house cleaning services, food delivery services, grocery shopping services, and much more offered by Gojek. The consumer can select what they want to use and book the services according. For, eg, if a consumer wants to get groceries delivered, they will have to choose Go-Mart first. Then, the consumer needs to add the things to the cart and get the cart ready to get the service to their doorstep. This is how does Gojek work for consumers.
Step 3: Pay Please
Once the cart is prepared or the cab is booked the consumers are given an option to pay for the services used. Online payments are preferable but cash payments are also accepted. However, if a consumer opts for cash payment, the price might be higher than online payment. This is done to avoid false orders and reduce the loss incurred by the company. G-Pay is how does Gojek work for the electronic payments being processed on the website.
Step 4: Get the Delivery
After the payment is made, the consumer can expect the delivery at their doorstep at the stipulated time given. The time taken for the deliveries can vary for different services. For example, food deliveries can take up to 40 minutes but grocery delivery might only be done on the next day of the shipment. These are just examples and the actual time can be different from what is mentioned here
Gojek For Merchants
Gojek provides services in collaboration with thousands of merchants who join the venture to broaden their sales and expand their business. Gojek gives the merchants exposure and access to a broader consumer base and the merchants help Gojek to venture into different areas of the market. The first merchant app was made for Go-Food called Go-Resto which grew into becoming Go-Biz. Here is how does Gojek work for the merchants in all the services they provide
Step 1: Receive Order
As the consumer places an order, the Go-Food merchants will get an alert on their Go-Biz app. This is the first step how does Gojek work for the merchant. This will make it easier for them to keep the order ready by the time a driver arrives to collect the delivery
Step 2: Get the order ready
The merchants then get the exact order prepared for the consumers. If something is unavailable, the merchants can contact the consumer by the app to know they could replace the item with something else. Providing several other features is how does Gojek work to make the GoBiz app the go-to app for all business merchants. It not only helps them get more orders and expand their business but also helps them keep a record of their transactions all in one place.
Step 3: Delivery to the Driver
The driver then arrives to collect the order for the consumer. Gojek has made it mandatory to make the payments from wallet-to-wallet between the drivers and the merchants. Gojek then deducts the commissions from the merchant’s wallets itself, which keeps the transactions simpler. It is also how does Gojek work to maintain a record of the deliveries done by the merchant
This process is similar in almost all the services provided by Gojek. All the transactions are done with the help of Go-Pay, the electronic payment service offered by Gojek. Go-Biz helps business merchants to manage their businesses with ease.
Gojek For Drivers
Drivers and delivery partnerships can partner with Gojek with a simple process. Here are the steps to know how does gojek work for drivers.
Step 1: Download the App
Drivers need to download the Gojek Application in their phones first to know how does Gojek work for drivers and initiate the registration process. The internet connection must be stable in the region they want to serve since slow internet can lead to lesser business opportunities for them
Step 2: Registration
Once the app is downloaded and installed, the driver now needs to register with the service they want to work with. They can either work as a cab or motorcycle driver or register as a delivery partner for the various other services. Drivers need to register with their phone number
Step 3: Verification
As a part of the registration process, the registered number is verified through a One Time Password (OTP) which is sent to the registered number. The driver needs to enter the same to the application to proceed with the registration process
Step 4: Make an Account
Once the registration is done, the driver needs to add some information and make an account. They also need to turn on the online button given on the app to start working with Gojek. Submitting personal information and information about their vehicles is required to register themselves with Gojek and see how does Gojek work for drivers. Some necessary documents such as vehicle registration proof, identity proof, and more are needed at the time of registration.
This process can be followed for all the services and drivers can start working and earning with Gojek
Gojek Revenue Model
Gojek has created several streams of income for the business. The income sources bringing in most of the revenue are discussed to understand how does Gojek make money.
Commission from Merchants
Gojek charges commission from the merchants who sell their services, it is the primary way how does Gojek makes money. The company helps the merchants to build their revenues and expand their business to more significant avenues. Merchants have to pay a part of the profit on each order which comes from Gojek. This transaction is done automatically from the e-wallet since all the orders are paid for via GoPay – the electronic payment service which aids how does Gojek makes money
Commission from Drivers
Drivers and delivery partners also need to pay a commission on each order they deliver. It is the secondary model to understand how does Gojek makes money. This helps them work more since they are working on a profit-based model. The drivers are much more motivated to work and complete more orders since they earn per delivery and also receive rewards and bonus on outstanding performances
Service Charge from Consumers
Consumers need to pay a small amount as service charge to Gojek for bringing a host of services to their doorstep. This service charge is integrated into their bill and they can pay it directly from GoPay while they checkout for their order. This service charge is a minimal charge and consumers are not burdened financially which helps the company to build their reach among consumers.
This is all you need to know about how does Gojek work and how does Gojek makes money before you go on to get an app like Gojek and build a business with the same. You need to understand how does Gojek makes money closely and determine if you would be able to earn enough profits with this model. It is imperative to make sure that the business model is feasible with the budget you have and the place you want to start your business.
Gojeck Business Model Canvas
Make the right decision and hire experienced developers for your Gojek like Application!
How to Launch Your Own Business Similar to Gojek?
If you’re willing to start your own On Demand Multi-service – you should go with Gojek Clone which has customised features to let you roll with your own On Demand Multi-service platform.
What’s your opinion on getting the insights: How does Gojek work? Tell us in the comment section below.
Here are some other informative business models articles articulated by NCrypted Websites – This will help you understand the various business models from the different segment.
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- How does Booking.com Work
The section – Gojek For Merchants provides comprehensive analysis on the subject. A must read for Gojek users.
Nice blog with such a informative content!!