"The number of online shoppers has hit a new high (during the pandemic)," she said. The top e-commerce companies in Southeast Asia in 2Q19 Lazada maintained its leading position with the most monthly actively users (MAU) on its … Television hostess Rungnapa Nuymuang promotes Chinese products by livestreaming on the Lazada platform in Bangkok, Thailand. Lazada, the dominant ecommerce platform in Southeast Asia, is both an Amazon and a Tmall. Southeast Asia is currently a very attractive market for companies involved globally in the e-commerce sector and smaller local players. readers found this article insightful, Copyright © 1995- Tokopedia, based in Jakarta, the Indonesian capital, and also backed by Alibaba, said in a statement early last month that food and beverage sales have nearly tripled during the pandemic. The demand for online purchasing has been burgeoning, and users from Southeast Asia are a substantial part of this massive movement. This is in sharp contrast to many other industries, which are reeling from the unprecedented economic pressure caused by Covid-19. To ensure customer satisfaction, Zalora has hired a dedicated team to implement best practices and learn from negative feedback. They have created warehouses in each country and partnered with local delivery companies in every country to ensure fast delivery. At a turning point in terms of Internet and mobile penetration, the population of Southeast Asia is quickly adapting its behaviors to take advantage of new opportunities available in purchasing products and services online. How Southeast Asia ecommerce is different Southeast Asia is a hybrid between US and China. In some countries, consumers still face difficulties to reach traditional shops. Indonesian e-commerce companies Tokopedia & Bukalapak performed well in Southeast Asia although only available in a single market (Indonesia). The biggest gains - 57 per cent and 51 per cent respectively - were made in the Philippines and Singapore, according to the report, which was produced in collaboration with SimilarWeb and App Annie. With details on the latest developments of start-ups, companies, and investors until 2015, this presentation lists the key players of the region and how the business is evolving in the US and other more mature markets. var theDate = new Date(); Shopee, which is based in Singapore, was the most-visited e-commerce platform in the city-state as of the second quarter, the report said. "Brands are not only doing it on e-marketplaces, but on 'brand.com'as well, where we can see volume growing two to three times faster than on e-marketplaces," he said. In Indonesia, management consultancy RedSeer forecast that the gross merchandise value, or GMV, of the country's e-commerce sector would grow by 50 per cent year-on-year to reach $35 billion this year and would rise to $101 billion by 2025. More than 40 livestreaming shows were held during the three-month pre-launch marketing period, Pang said, generating over 400,000 views, more than $50,000 in sales and reaching 2 million people. Launched in late 2011 by the German startup incubator Rocket Internet, Zalora is based in Singapore and regroups more than 2000 staff across Southeast Asia and beyond. Still in its infancy, the ASEAN e-commerce market presents many growth opportunities for businesses ready to face its challenges. Consumers in emerging Southeast Asian markets are conducting more brand research on social media, according to a report by the agency We Are Social, which is based in London, and Hootsuite, a social media management platform. The platform now has a team of 30 livestream hosts. The most visited e-commerce platforms on desktop and mobile web in Malaysia and Southeast Asia in 2018 was Lazada, commanding the largest … Southeast Asia, like the other parts of the world, had the public sitting packed in their homes looking for the essentials and other necessities over the internet. Products such as devices and furniture amongst lots of others can be discovered available for sale on these websites and their particular apps only by clicking on the Search bar. See below for more details on the challenges of e-commerce in Southeast Asia. The advent of livestreaming can also be a cross-border opportunity to connect China with Southeast Asia. Though the Singaporean e-commerce market is more mature and the Malaysian market is more dynamic, in Indonesia, Thailand, the Philippines, and Vietnam, e-commerce is still at a very early stage and remains an important reservoir of growth for ASEAN. Answering to Bloomberg TV Malaysia’s Sophie Kamaruddin, Olivier Gergele, Principal at ATKerney, explains how the offering of online shops is critical for success in the region while presenting the findings of the report. Required fields are marked *. Star Media Group Berhad (10894D), {{item['V1 Header']}} Potential customers are therefore even more eager to buy online the goods they cannot obtain locally. A set category of products were checked out the most including-FMCG products; Home and Living, and; Beauty and Care. But until last year, Pang said nine out of 10 people she spoke to in Singapore were still unfamiliar with livestreaming. Liu said,"E-commerce is projected to grow to $300 billion by 2025, but has a penetration rate of less than 5 per cent among the 650 million people living in Southeast Asia." $(document).ready(function () { In 2020, the e-commerce market in Southeast Asia amounted to approximately 62 billion U.S. dollars. This year, the annual Nov 11 buying bonanza came with the e-commerce industry in the region enjoying rapid growth as the contagion and related lockdowns accelerated the digital shift in consumption. Southeast Asia saw a surge in the use of digital services like e-commerce, food delivery and online payment due to the coronavirus pandemic, according to … With less than 1% of the total retail market currently happening online (except in Singapore), if it were to reach 5% of total retail, the Southeast Asian e-commerce market could be worth more than 20 Billion USD. In June, Lazada's livestreaming service LazLive attracted more than 74 million views, nearly three times the number for April, Liu said. The fact that GST is absent in Singapore for importing goods that are less than SGD 400, is also an important factor … This creates important needs for sourcing and logistics management in a mixed supply chain: some products are sourced in each country from local manufacturers while global brands are managed by the Singapore team and dispatched across the region. The biggest differentiator … E-commerce Southeast Asia is slowly becoming the new battlefield for e-commerce platforms as more of them establish a presence in the region. At a turning point in terms of Internet and mobile penetration, the population of Southeast Asia is quickly adapting its behaviors to take advantage of new opportunities available in purchasing products and services online. Since the pandemic emerged, the number of brands handled by Laz-Mall has tripled to more than 18,000 international and local names across the region, according to the company. Top 10 e-commerce sites in the Philippines, https://chrome.google.com/webstore/detail/lazada-price-tracker/hbffioiakemflkglioiijpfddgahchaf?gl=SG, Southeast Asia digital, social and mobile 2019, Top 10 e-commerce sites in Indonesia 2019, Top 10 e-commerce sites in the Philippines 2019, Insights and trends of e-commerce in the Philippines [market analysis], A young population, 67% under 35 years old –, Structural shift in the use of Internet in Southeast Asia –, Comparing Southeast Asia’s online landscape –, More time spent on Internet in Southeast Asia than in East Asia –, Social media drives internet penetration in Southeast Asia –, Facebook, some interesting stats from Thailand –, Southeast Asia has a very low e-commerce penetration –, Digital development in a global perspective –, Major activities of listed players in Southeast Asia –, Thailand – listed players are paving the way –, Southeast Asia tech funding at an inflection point –, Most funds flow in Southeast Asia to e-commerce and marketplace –, Southeast Asia’s recent sizable e-commerce deals –, Southeast Asia’s companies recently raised over $ 100 M –, Several notable exits in Southeast Asia –, What’s coming next for e-commerce in Southeast Asia until 2020 –, Theme’s shaping e-commerce in Southeast Asia until 2020 –, 2015 largest deal goes into mobile commerce –, Social and mobile commerce in Southeast Asia –, Public internet companies capitalization 1995-2015 –, Management of customer expectations and perception, High customer service needs for small purchases, Logistics, taxes, customs clearance, payment methods, Lack of reliable, low-cost logistics infrastructure, Local contracts, deals, localization for each ASEAN country, Fulfillment infrastructure not built to serve the scale of e-commerce scale, ASEAN shopping websites traffic comparison –, Greater Internet penetration: ASEAN 2011-2016 –, Increasing supply of e-commerce & logistics players –, E-commerce market size (2013) and potential –, Foreign ownership regulation for e-commerce –, E-commerce market size – ASEAN 7 Billion USD in 2013 –, Preferred e-commerce channels in Indonesia –, Preferred e-commerce payment methods (2013) –, Innovative Indonesian payment methods (2013) –, Indonesia Top Shopping websites by monthly traffic (March 2014) –, Philippines Top Shopping websites by monthly traffic (March 2014) –, Thailand Top Shopping websites by monthly traffic (March 2014) –, Example of US import tax calculation in Thailand –, Malaysia Top Shopping websites by monthly traffic (March 2014) –, The fashion market in Southeast Asia is expected to reach 100 Billion USD by 2018, About 20% of fashion retailing is now done online in the US and Europe, while a fraction of this is currently happening in Southeast Asia, Zalora hopes to capture close to 50% of the online fashion market of Southeast Asia. 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