[Middle East] Noon to see light of day this year
The online venture has been beta-testing its site since the past few weeks and will launch its operations simultaneously in the UAE and Saudi Arabia this year, Mohamed Alabbar, who is also chairman of Emaar Properties, said in a statement to Khaleej Times on Tuesday. Last week, Reuters quoted that a technology fund led by Alabbar acquired the e-commerce and online marketplace website JadoPado.
The online retailer also promised same-day delivery through NoonTransportation, an in-house express delivery service. Payments will be through NoonPay, a secure and fast payment gateway. Noon will also have a mobile app. The courier and logistics company Aramex in which Alabbar Enterprises purchased a stake will back noon’s operations.
The Gulf region’s e-commerce market is expected to grow to $20 billion by 2020, according to global consultancy firm A.T. Kearney.
[U.S.] Walmart’s U.S. Online Sales Rise 63%
Walmart reported on Thursday that U.S. online sales rose 63% in Q1 2017. The company also reported that sales rose 1.4% at its U.S. stores, the 11th consecutive quarterly rise, and brought in more shoppers than a year earlier. Walmart.com now sells 50 million first and third party items, up from 10 million a year ago (and 34 million a quarter ago). Walmart said most of the e-commerce growth was organic rather than from promotional deals.
[U.S.] Report: US e-commerce sales rose 4.1% in Q1
The US Census Bureau released its latest e-commerce report, showing retail e-commerce sales reached an estimated $105.7 billion in Q1 2017, a 4.1 percent increase over the previous quarter and 14.7 percent year-over-year increase compared to Q1 2016. According to the report, e-commerce sales made up 8.5 percent of the total $1.25 billion in retail sales generated in Q1 2017.
[Southeast Asia] Southeast Asia’s set for explosive e-commerce growth
Southeast Asia will be the next frontier for e-commerce boom if the countries can overcome existing challenges. A growing middle class and rapidly expanding internet access will contribute to the fast growth in the coming years. A recent research conducted by Google and investment firm Temasek Holdings predicts that e-commerce sales in the region will grow at a 32% CAGR from $5.5 billion in 2015 to $88 billion in 2025. Meanwhile, logistics and payment systems present a crucial challenge for ecommerce development in the region. High delivery cost in countries such as Indonesia and the Philippines makes it difficult for online sellers to offer competitive prices. In the Philippines and Vietnam, for example, fewer than 2% of consumers use credit cards.
[Southeast Asia] Lazada Singapore moves in with SingPost
Lazada Singapore has moved its warehouse to the SingPost Regional eCommerce Logistics Hub in Tampines. Integrating both warehousing and delivery capabilities within one building, the hub will enable SingPost to provide Lazada faster turnaround time. Chinese e-commerce giant Alibaba has a shareholding in both companies.
If you really like the newsletter, feel free to forward it to a friend. Thank you.