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ecommerceIQ, together with Sasin SEC, created the Leadership Ecommerce Accelerator Program (LEAP) to provide the fundamental knowledge and skills needed to successfully run an ecommerce business in the world’s fastest growing market.

A shopper tapping the ‘buy now’ button is often seen as the last stage in the ecommerce funnel, but companies should understand that it doesn’t stop there.

The warehouse hustle bustle, weight of package, and even presentation of the delivery man not to mention the possibility of a return all can determine the extent of local success a company finds and whether if their operations make expansion plausible.

In the eighth week of eIQ x Sasin: LEAP, lecturers stress the details that make e-fulfillment successful and how each tiny misstep can lead to additional man power, longer work hours and missed deadline.

1. Setting Up a Fulfillment Center Requires A Lot Data and Elbow Grease

Kenneth Thean, aCommerce Regional Director of Solutions Design

 

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Ask anyone about a warehouse and they’ll probably draw a building with some shelves and people in it. While these elements exist, creating the right framework to manage the flow of inbound and outbound goods means companies need accurate data.

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First step in designing a fulfillment center, analyze. Source: aCommerce

Before investing in a large costly warehouse, sophisticated technology and assets, use data to assess your actual requirements. Kenneth shares a few mistakes clients often make when planning.

“Very commonly, companies expect to see exponential growth and overestimate order volumes. Always consider the accuracy of your data, do a check to avoid unrealistic forecasts to ensure the sustainability of your fulfillment center.”

2. Kerry Express: How We Grew From Nobody to Somebody

Alex Ng, Kerry Express Executive Director

 

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Kerry Express launched in Thailand in 2013 and in four short years, the company ships 500,000 packages a day, operates 500 distribution centers and is the number one parcel delivery company in the country.

How did they grow and ensure customer satisfaction at the same time? Alex attributes it to having the best people and keeping it ‘stupid simple’.

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The growth of Kerry Express in five years. Source: Kerry Express

A student asked Alex, “how do you ensure that the workplace environment is genuinely a happy one?”

“Reduce the mundane routines, bureaucracies and eliminate workplace politics. There is no room for politics at Kerry, only for real work.”

3. Market Expansion? It’s Ok to Copy and Paste

Kawin Prachanukul, Country Head and Co-founder ShopBack Thailand

 

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The components Kawin had to assess when launching UberX in Thailand in only 10 days.

 

“Uber has its ups and downs, but what they have been able to accomplish in terms of market expansion is admirable,” says Kawin, ex-Uber Thailand Operations Manager.

While at Uber, Kawin shared how his first major task was to launch UberX in only 10 days. How?

“It was only possible because the company’s global team has documented and tracked each and every one of their multiple steps when launching a new market, including learnings and failures. It makes expansion easier because all the local market needs to do is copy and implement.”

The last in-class session of the program will finish on Thursday November 9th, covering payments with case studies by global unicorn, Adyen. Stay tuned for next week’s takeaways!

[LEAP Week 1] eIQ Insights: The New Ecommerce Opportunity in Thailand
[LEAP Week 2] eIQ Insights: Refinement of an Ecommerce Channel Strategy
[LEAP Week 3] eIQ Insights: Market-Product Fit First Before Anything
[LEAP Week4] eIQ Insights: Central Marketing Group’s Shares Phase II of Digital Strategy
[LEAP Week 5] eIQ Insights: Startups Need to Have an Independent Source of Income to Survive
[LEAP Week 6] eIQ Insights: In Mobile Commerce, App Install is Only the Starting Point
[LEAP Week 7] eIQ Insights: Logistics and Fulfillment, The Other Side of The Ecommerce Coin

Here are today’s top ecommerce headlines.

1. iCommerce expands to Indonesia with pre-series A funding

Singapore-based ecommerce enabling startup iCommerce Asia announced today it has raised US$1.4 million in a pre-series A round. Nine-month-old iCommerce provides a full range of services relevant to ecommerce. It handles operations like warehouse and order management, cross-border customs clearance, and reverse logistics, as well as tech services like web and mobile development.

Its unique proposition is enabling smaller ecommerce and retail businesses in the region to export goods into Indonesia, giving them access to its promising customer base.

Read the rest of the story here

 

2. CIMB launches mobile wallet app for cashless payments

CIMB Bank Bhd has launched a lifestyle mobile application, CIMB Pay that provides combine secure cashless payments with deals and offers.

With Masterpass, shoppers will be able to use their CIMB Mastercard debit or credit card along with the shipping information saved on the mobile app to complete online transactions. Customers can make payments by simply tapping their phone on any contactless terminal based on Near Field Communication technology. The app also has an in-built notification system that alerts customers on nearby contactless terminals and flash deals.

Read the rest of the story here

 

3. Hong Kong’s Easyship raises pre-series A to expand to Singapore

Hong Kong-based logistics startup Easyship has raised an undisclosed amount of pre-series A funding from 500 Durians. The startup will be expanding into Southeast Asia via Singapore, following the validation of its business model and building of traction in the Hong Kong market.

The expansion to Singapore provides strategic access to Southeast Asia and leverages off the city-state’s logistics infrastructure and networks.

Read the rest of the story here

Interested to learn more about Asia’s logistics landscape? Check out our series on Alibaba’s Cainiao Network here: part I, part II, part III, part IV.

 

Go-Jek, the on-demand motorbike taxi service in Indonesia has raised $550 million in funding, reports Tech Crunch.

The deal will value Go-Jek at $1.3 billion.

The company plans to spend the money growing its services businesses, and continue to compete with fierce rivals in Indonesia. Sources suggests that this round will not fund an expansion outside of Indonesia.

The startup’s existing investors include Sequoia Capital, DST Global and Singapore based NSI Ventures.

The deal makes Go-Jek one of the few unicorns in Southeast Asia. Other tech companies valued in excess of $1 bullion include Garena ($3.75 billion), Grab ($1.6 billion) and Lazada ($1.5 billion).

Go-Jek was founded 2010, but didn’t take-off in a big way until 2014. It then accelerated following the launch of its mobile app in early 2015.

Go-Jek claims 200,000 motorbike drivers in its fleet across Indonesia to serve the world’s fourth largest country with a population of more than 250 million people.

The company is best known for hailing motorbike taxis on demand, a type of transportation popular in parts of Southeast Asia where heavy urban traffic makes two wheels faster than four.

Demand is particularly high in Jakarta, which is home to some 30 million people and is one of the planet’s most congested cities.

Go-Jek has stated that it processed 20 million booking requests in June 2016, around 667,000 per day.

Go-Jek Biggest Competitors

Grab introduced GrabBike to Indonesia last year, and Uber’s Ubermoto launched in Indonesia this year. However, Go-Jek is acknowledged to be the market leader.

Internal documents viewed by TechCrunch show that Go-Jek had $104 million in cash on its books as of March and that it spent $73 million over the previous six-month period. This new raise is hugely important if it is to continue to compete with its cash-rich rivals on subsidies and marketing.

The news of the fundraising has come at a time for ride-hailing services as Uber and Didi are currently tied up in a complex buying bid, with latest news announcing that Didi has invested in Grab’s newest round of funding.

A version of this appeared in Tech Crunch on August 4. Read the full version here.

aCommerce, a Bangkok-based startup that helps ecommerce companies in Southeast Asia run their businesses, has landed $10 million in new funding ahead of a planned Series B raise later this year. TechCrunch reports the latest raise is led by MDI Ventures — a fund associated with mobile operator Telkom Indonesia — with participation from Australia-based fund Blue Sky and existing backer, Switzerland-based market expansion firm DKSH.

Already $50 million raised

The ecommerce enabler was founded in 2013 and has now raised closed to $50 million from investors, including a $10.7 million Series A in June 2014 and a $5 million bridge round last May, alongside today’s reveal and the DKSH injection.

aCommerce Group CEO Paul Srivorakul comments,

“We want to get maximum valuation with minimal dilution.”

Talking up his new backers, Srivorakul said that MDI Ventures could be hugely strategic in Indonesia, which recently overtook Thailand as the startup’s largest revenue generator.

aCommerce said it still has money in the bank but wants to spend to grow to secure a more favorable raise. Specifically, it plans to expand its business to Malaysia, Vietnam and Singapore. aCommerce expansion to Singapore will see it reenter the country having previously exited in 2014 due to oversaturated market.

A version of this appeared in Tech Crunch on July 19. Read the full version here.