1. Fear of the Outbreak was the driving force of eCommerce adoption in SEA
SEA (Southeast Asia) is one of the fastest growing eCommerce market in the world. Being the 4th largest internet market, it offers three unique factors that makes it the SEA of eCommerce opportunities:
1. Booming young population
2. Dearth of Big-Box Retail in remote regions
3. Burgeoning middle class population
In addition to these, COVID proved to be a boon for the region’s Online Retail market which continues to grow, the penetration is expected to be double-digits across the region by 2025, which provides an amazing opportunity for all the stakeholders of the eCommerce space.
SEA Formal eCommerce Market Size
2. eCommerce enablers becoming increasingly relevant and important over time
A few years back no one had ever heard of eCommerce enablers, this concept was alien even to players in the space. Now it is becoming an eCommerce essential with more and more regional brands wishing to expand their operations and move online.
3. COVID -19 set in motion investments in Digital technologies by ASEAN businesses
Pandemic was the fundamental cause for brands to take the online route to reach customers. A faster, easier and more convenient method to do so was to reach out to someone who is experienced, has contacts and knowledge to achieve this goal in a matter of days. This translated into increased partnerships and investments in these agencies that empower other eCommerce stakeholders.
New Partnerships augmented by COVID-19
4. Key Takeaways from the Enabler market all over the world
It is crucial to draw lessons from different models that exist around the world but modify them to suit the needs of the region. As SEA is one of the fastest growing region, more and more players are aiming to enter the market and are looking for an enabler to help them navigate the market. It is one sphere for enablers to explore and master. This combined with leveraging their data and increased awareness is a recipe for success in the long run for these players.
3 takeaways for regional eCommerce Enablers