How Grab Experimented with Chat to Drive Down Booking Cancellations

This post details experiments conducted on GrabChat to reduce booking cancellations. It describes how automated messages, sent at different delay intervals and with varying verbiages and tones, were tested. The experiments revealed that earlier and more direct/personalized messages were more effective in reducing cancellations. The key learning was that the quality of engagement, not just the quantity of messages, was the primary driver for reducing cancellations. This contributed to a reduction in booking cancellations by up to 2 percentage points.