The Global eCommerce Newsletter 05.02.16

This is the first global ecommerce newsletter featuring five headlines of the ecommerce industry from the previous week. Hope you find something useful.

Betting on Southeast Asia’s E-Commerce Boom
Southeast Asia, as the new frontier for e-commerce, presents both opportunities and challenges. On the one hand, the digital adaptation in the region is unmatched: “Twenty-four percent of all clothing and footwear and 18% of all travel are now purchased online.” “In Thailand, 85% of consumers not living in major metropolitan hubs use mobile devices for their online purchases.” On the other hand, the online retail market size is still small: “Southeast Asia’s online retail penetration level is 3%, representing only about $6 billion in sales.” The region still lags behind in logistics and payment infrastructure. The diversity in ethnicity, language, and regulation further adds complexity.

RELATED: The Abraaj Group Places Big Bets On Southeast Asia’s E-commerce Sector
Dubai-based investment firm, Abraaj Group, invested $30 million to Singapore’s Ninja Van, a logistics provider with a presence in Singapore, Malaysia, Indonesia, and Vietnam.

Ecommerce in Italy was worth €28.8 billion in 2015
Italian online sales grow 19% to 28.8 billion euros (approx. $32 billion) in 2015. // 2014 US market size surpassed $300 billion.

Retail giant Central Group is buying Zalora’s businesses in Thailand and Vietnam
The latest development from Zalora is that it is selling its money-losing Thailand and Vietnam businesses to retailer Central Group. Thailand-based Central Group is one of the region’s largest retail players with $10 billion asset and 70,000 employees across the region. The acquisition will help the group enter the e-commerce space.

Amazon cracks down on fake reviews with another lawsuit
Amazon filed another lawsuit to crack down on fake, paid-for product reviews. Since the beginning of 2015, Amazon has brought lawsuit to over 1,000 defendant for reviews abuse to build a trustworthy ecosystem.

British expats lure high-street retailers Down Under 
British department store Dehenhams and its rival House of Fraser have launched dedicated Australian online stores. Australian shoppers are the biggest international spenders on House of Fraser’s UK online store, generating £247 million ($456 million) a year and accounting for 19% of the retailer’s total annual revenue. Similarly, Australia is Debenhams’ biggest online market outside of the UK, accounting for one third of its international sales. 1.2 million British expats now live in Australia. Additionally, both Citigroup and Credit Suisse found that a significant proportion of shoppers favor offshore e-commerce sites because of wider ranges and cheaper prices.


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