The hidden dynamics behind subsidies and promotions

Dear readers,

As consumers, we’ve been pampered by the big discounts that have been thrown at us whenever we book a ride with Grab, Go-Jek, or Ofo.

But why and how exactly do businesses employ subsidies? How are they powerful and what are their limitations?

Few media outlets have delved into these questions, which was why we decided to tackle them head-on in our piece, Go-Jek’s subsidies are a potent tool to gain market share. Keeping it is another matter.

While questions have been raised about the potency of subsidies, they’re still a powerful tool for new players to establish a beachhead in a market, according to industry insiders.

“That was insightful. I didn’t think of that,” a prominent VC told me after reading the article.

On another note, we’ve been constantly updating our data bank of investment deals so you can have a bird’s-eye view of the most prominent tech companies in the major tech markets in Asia.

Rather than just relying on media reports, we’ve gone one step further by reaching out to investors directly for information. We’re thankful to those who’ve helped us out.

Using the data we gather, we’ve been publishing lists that get updated the moment our database changes. Our goal: to bring you the most up-to-date information on the investment landscape.

Two of our lists – Meet the 20 top-funded startups and tech companies in Indonesia and Meet the 50 top-funded startups and tech companies in China – have been popular among readers.

It’s easy to see why: whether you’re an investor, recruiter, salesperson, or just a general interest reader, you want to know where the money is flowing.

We hope to build on the work we’ve done, and we need your support. We need more resources to do insightful deep dives, collect and organize data, and then convert them into useful content.

If you haven’t already subscribed to us, now’s your chance to do so and support sustainable reporting on the Asian tech scene.

Here are the rest of our subscriber exclusives in the past week:

• A private-tutor matching service is growing fast with zero investor funding
• Startups are realigning Singapore’s dental industry
• Why the Philippines may be Grab and Go-Jek’s most challenging market
• Rising SE Asian startups: edtech, a Tesla for bikes, and a stablecoin

Cheers,

Terence
Chief editor