Here’s what you should know after the weekend.

1. Recommended Reading: Indonesia is an investment opportunity like China was in 2008

In 2008, VCs invested $4.2 billion in China, up from $2.8 billion in 2007, according to Dow Jones VentureSource. China has since exploded as a center for venture capital. By 2015, VCs invested a record $37 billion in startups.

Three metrics in particular reveal that Indonesia is a lot like the China of 2008,  ecommerce as a percentage of retail sales (1.4 percent in 2015), Internet penetration (28 percent in 2015) and GDP per capita ($3,834 in 2015.)

Read the rest of the story here.


2. There are 619 million people in China who are not online

Last week, CNNIC released its latest user count for the Chinese internet. As usual, the numbers are staggering: 731 million internet users, 695 million of whom are also users of the mobile web.

But wait a minute: China’s population is about 1.35 billion, so if 731 million Chinese are using the internet, that means there are still 619 million people in China who aren’t online.

The real answer: Around 620 million Chinese people still live in rural areas, and according to a recent CNNIC report, only 191 million of them are online.

This means that there’s untapped opportunity in China’s rural area. CNNIC says that demand for the internet is weak in rural China, and that’s clearly true. China has almost total broadband coverage between wired networks and its near-ubiquitous 4G coverage.

Most rural residents who aren’t online, almost 70% of them say it’s because they lack computer and/or internet knowledge.

Read the rest of the story here.


3. ‘Drop Shipping’ to go mainstream as more retailers get on board

A growing number of retailers are relying on suppliers to ship online orders directly to customers, a strategy they hope will help them compete with ecommerce rivals without spending more on inventory.

More on drop-shipping: The practice, known as drop shipping, lets retailers offer more products for sale on their websites such as multiple colors of the same sweater without having to keep those items in stock.

In the SPS survey, half of the logistics firms polled predicted that drop shipping would account for more than a quarter of their sales within the next three years, up from 30% today.

Read the rest of the story here.


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