We’re looking at highlights from 2015 in ecommerce, cashback, mobile and VC investment across SE Asia and what’s ahead in 2016. With 600 million people, SE Asia is poised for an ecommerce “Golden age” according to Tech Crunch with 10 trends that will shape ecommerce in 2016. Growth in e-commerce was up 35.7% according to eMarketer. Watch for omnichannel ecommerce, payment system competition and higher speed Internet to grow. Sheji Ho of aCommerce expects 2016 to be the tipping point for the region. In Singapore, there were cashback innovations, logistics growth, online food deliveries, gifting apps and much more. DealStreetAsia chronicled 16 tech deals that spoke volumes about Philippines ecommerce growth.
TechCrunch looked at 13 Asian startups to watch in everything from finance and drones to healthcare. Among the top 10 Tech stories in Japan was YouTube phenom Michelle Phan who launched two e-businesses. Included in TechinAsia‘s top 10 SE Asia ecommerce businesses were Taobao and Didi Kuaidi (China), Coupang (Korea), Flipkart and Snapdeal (India). With 31% annual growth between 2010 and 2014, 11 Street CEO Hoseok Kim expects Malaysia’s ecommerce market to hit $3.1 billion by 2018.
In 2015, Malaysia M&As rose 55% in volume to 331 deals but fell 18% in value to $8.9 billion according to Duff & Phelps. Vietnam ecommerce grew tenfold in the past five years, hitting $2.97 billion or 2.7% of retail sales in 2014 but is dominated by foreign companies. In Thailand, the government plans to spend more than $103.9 million in tech infrastructure to encourage ecommerce which is estimated at $58.14 billion.
10 Trends That Will Shape Southeast Asian E-Commerce in 2016
Following in the footsteps of China and the U.S., Southeast Asia is on the cusp of an e-commerce golden age. With online shopping accounting for only 1 percent of retail today, the region is slated to reach double-digit China-esque numbers within the next 4-5 years.
With a population of 600 million — twice that of the U.S. — Southeast Asia is poised to eventually become the third-largest e-commerce market in the world, second only to China and India (and ultimately surpassing the U.S.). But enough of the macro overview. How did 2015 turn out? And what will 2016 bring to e-commerce?
Local, regional and global players stepped up their games. In particular, we saw Indonesia rise this year: MatahariMall launched with big fanfare as the nationalist answer to Rocket Internet’s Lazada; Lazada, in turn, doubled-down on Indonesia with the return of previous CEO Magnus Ekbom; for the first time, aCommerce Indonesia surpassed Thailand in order volume; and, recently, China’s Alibaba competitor JD snuck into Indonesia and surprised everyone with the launch of JD.id. This has served to add to an immense amount of pressure and competitiveness in the pure B2C space. Via techcrunch.com
Asean 2016: Omnichannels, payments, internet speed will be game-changers for Ecommerce
Last week, eMarketer announced that Asia Pacific now officially holds an outright majority of the world’s retail ecommerce market for the first time. Southeast Asia plays a very important part in this rapid growth of ecommerce (up 35.7% on 2014), and many of the ASEAN countries are set to experience further growth in the sector in 2016.
With major growth on the horizon, we thought that it is a good time to take a look at some particularly interesting e-commerce predictions for Southeast Asia in 2016. Via dealstreetasia.com
2016 E-commerce predictions for Southeast Asia
In Southeast Asia, the retail e-commerce market is a small one. For Sheji Ho, chief marketing officer, aCommerce, the rise in e-commerce in the region is not a matter of “if,” but “when.” Among the top e-commerce markets are China, the U.S., the U.K., Japan, South Korea and Scandinavia. Ho expects Southeast Asia to surpass most of those markets, becoming the third-largest in the world.
“I think 2016 is going to be the tipping point for e-commerce in Southeast Asia,” says Ho. “As a consequence, we’ll see one or two key players becoming leaders in the market, especially in the B2C space because it’s a winner take all game.” Via clickz.com
Why 2015 is a year to remember for Singapore’s startup scene
Expect a few surprises on this list including: the year of online grocery deliveries; cashback innovations; logistics growth and refinements; on-demand healthy food; taxi bookings and carpooling; gifting apps and much more. Via techinasia.com
Philippines 2015: These 16 tech-driven startups made a mark as investors bought into their ideas
At a run rate of over a deal a month, the Philippine startup ecosystem buzzed with 16 significant investments led by the venture capital industry’s best known names predominantly in the technology-driven themes. The startups, that got funded and their ideas validated, represented segments such as online payments, fintech, teleradiology, realty and job platforms and software services.
While Singapore-based VC firm Monk’s Hill marked its debut investment in Philippines, other prominent names who bet on the region include 500 Startups, Beenos, KK Fund, Life.Sreda, AT Capital to name a few. Also, local investors Kickstart Ventures remained prolific in the startup scene while Malaysian accelerator 1337 also made a few investments.
DEALSTREETASIA has culled out a month-by-month chronology of notable startup investments in Year 2015 in Philippines, which has embarked on a five-year government-led strategy of boosting the entrepreneurial ecosystem. The country is targeting creation of 500 startups accounting for a cumulative valuation of $2 billion by 2020. Here goes the list of entrepreneurs that hogged the spotlight in 2015. Via dealstreetasia.com
13 Asian Startups To Watch In 2016
2015 was an eventful year for the tech industry in Asia. Funding started to flow in India, which is expected to become the world’s second-largest Internet market soon, while many tech companies in China, South Korea, and Southeast Asia also hit key milestones.
The following is just a tiny sample of startups that we think will do impressive things next year in industries ranging from finance to healthcare. Via techcrunch.com
10 of the biggest stories from Japan in 2015
2015 was an exciting year for the steadily-growing Japanese startup ecosystem. The country doesn’t have the huge investment amounts seen in China, the youthful demographics of Southeast Asia, the government support of Korea, or the sheer scale of India. But as the corporate tech sector struggles to innovate and entrepreneurs break away from the safety net of lifetime employment, startups are finally getting noticed on the national and international stage.
Largely gone are the days when outsiders would ask, “Does Japan even have startups?” That’s been replaced by the much more common question: “What are the hottest Japanese startups?” You’ll come across a few of them on this list. Notable funding rounds and the entrance of some foreign heavyweights into the country are on there, too. There may even be a couple of surprises, in the form of profiles or other quirky discoveries that you saw first here on Tech in Asia. Here are 10 of our most popular stories from Japan over the past year, in no particular order Via techinasia.com
Top 10 ecommerce businesses in Asia
Asia is home to about 60 percent of the world’s population, so it’s no wonder that some of world’s biggest ecommerce businesses are also based here. Over the years, numerous western ecommerce giants including Amazon, eBay, and Uber have tried to acquire this luring market but local brands have managed to keep the larger pie for themselves.
Looking closely at Asian ecommerce brands makes it clear that their businesses have quintessentially innovative features, which puts them ahead in the race of global ecommerce. Aspiring entrepreneurs and startups can learn a lot from Asian online stores when it comes to understanding target market and strategizing sales.
The success of the top 10 ecommerce businesses of Asia is amazing and inspirational. The list below covers the most important factors that led to their success, and shows their current status in the world. Let us muse over what makes these Asian ecommerce stores distinct and how they could serve as a lesson for startups Via techinasia.com
E-commerce set for growth
THE e-commerce market in Malaysia is poised to flourish next year and beyond with better mobility, improved Internet and enhanced security, says an industry player. Online marketplace 11street chief executive officer Hoseok Kim notes that Malaysia’s e-commerce market size has seen a 31% increase in compound annual growth rate from 2010 to 2014, and expects a similar growth rate in the coming years with the local e-commerce hitting US$3.1bil by 2018.
“There are a total of 252.4 million Internet users around South-East Asia, with Malaysia emerging as the third country that recorded the highest percentage of Internet users at 67% after Singapore and Brunei. Via thestar.com.my
Malaysian 2015: M&As rose 55% in volume, but fell 18% in value to $8.9 billion
Merger and acquisition (M&A) deals in Malaysia came up to a total of 331 in 2015, 55 per cent more than the 214 deals done in 2014, despite the slump in oil prices, weakening currency and the 1MDB debacle that dragged the local market.
Malaysia saw a pickup in the M&A deal activity in the second half of 2015 with the highest deal volume of 114 deals observed over a six-month period since 2013. There were a total of 211 M&A deals in 2013. However, in value terms, the total announced deal value for 2015 has fallen 18 per cent to $8.87 billion from $10.8 billion in 2014, and $11.24 billion in 2013, according to data compiled by valuation and corporate finance advisor Duff & Phelps. Via dealstreetasia.com
Vietnamese online retailers are crowded out by foreign company
The e-commerce market in Vietnam is expanding rapidly but local investors are losing their share to foreign competitors with deeper pockets for expensive marketing campaigns.
Figures from Vietnam E-commerce Association, which cited data from major delivery companies in the first nine months this year, showed that the number of online shopping orders has increased fivefold from the same period in 2014.
Nguyen Dung, representative of the association in Ho Chi Minh City, said the market has a lot of growth opportunities as nearly half of the 90-million population is using the Internet. Major investors said online retail sales has expanded 10 to 15 times compared to five years ago. Via thanhniennews.com
Ministry plans 24 Digital Thailand projects worth over Bt3.7 billion ($103.9 million)
The Information and Communications Technology Ministry is ready to roll out 24 projects next year under its “Digital Thailand” plan. The plan follows the Cabinet’s approval of the ministry’s 24 projects worth Bt3.755 billion ($103.9 million) on Tuesday as part of its promotion of a “digital economy”.
ICT Minister Uttama Sava-nayana said yesterday that the key projects included the development of a so-called digital community network, which would see the upgrade of 2,280 existing community ICT learning centres…. According to the United Nations Conference on Trade and Development (Unctad), the value of e-commerce market in Thailand this year is expected to reach Bt2.1 trillion ($58.14 billion). Via nationmultimedia.com
To say the Southeast Asian region is dynamic would be a huge understatement. In 2016, we’ll continue to keep you up-to-date on e-commerce, cashback, mobile, retail and VC trends in SE Asia.