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CIMB Niaga and Lazada Partnership

Source: Lazada

CIMB Niaga and Lazada partner to offer CIMB Bank’s Enterprise Clean Loans (ECL) to Lazada Malaysia’s merchants in an effort to support the expansion of Malaysian SMEs. The partnership enables CIMB Bank to customize and streamline the approval and disbursement process for top-tiered Lazada merchants, providing the merchants with swift access to financing.

“With approximately 12,000 sellers on board, the collaboration is a strong testament to our track record of helping merchants succeed online,” said Hans-Peter Ressel, CEO of Lazada Malaysia.

The simplified application process and fast turnaround time for approval and disbursement allows merchants to focus on building businesses and enhance its speed to market in the digital ecommerce space.

“At Lazada, we are fully committed to supporting the growth of our home-grown SMEs through hassle-free fulfillment services, ecommerce trainings as well as marketing and analytical support,” Ressel added. “The partnership with CIMB Bank affirms the strategic choices Lazada has made in building the ecommerce ecosystem in Malaysia. It will bring significant synergies by giving Lazada merchants the option to enhance its online business and provide its customers with the best choices, convenience, and value.”

This ECL is non-collateral financing with competitive interest rates and offers financing of up to 300,000 RM, approximately $75,000 US per company with loan tenures of up to 7 years. It also offers a 48-hour approval timeline with a loan disbursement within 24 hours upon full document execution, giving companies efficient access to the needed funds to fuel its business growth.

A version of this appeared in Marketing Interactive on June 21. Read the full article here.

shopback-malaysia, shopback recorded growth

Source: Google images

Singapore-based cashback startup ShopBack recorded growth locally and regionally – 1,300 merchants in the region, 500 in Malaysia. From gross merchandising value to its shopper base, the country manager of Malaysian operations, Gil Carmo, said that the company hopes to grow by 20% month-on-month in GMV this year.

ShopBack has a presence in five countries beyond its home market, they include Malaysia (established in February 2015), the Philippines (June 2015), India (January 2016), and Indonesia (March 2016).

Malaysia domination

The cash back company claims to have more than 500,000 active users regionally, of whom more than half are from Malaysia. Its portals across the region have been attracting more than 1.5 million visits (up from 1.3 million visits in October 2015) monthly, including 330,000 out of Malaysia.

70% of Shopback’s users in Malaysia are repeat customers. Most of the people who try our service usually end up shopping with us regularly, like once a month.

Carmo believes that it would be possible for the company to grow to over 2,000 merchants by the end of the year. According to the company, it registered total cashouts of more than RM4 million, approximately US$976,000 in Malaysia last year, with the largest cashouts by a single person being over RM9,000 or US$2,196.

Gaining consumer’s trust

“I think the challenge is not so much about educating people on online shopping – in fact, I think Malaysians are extremely educated when it comes to online shopping – but [on the concept] of cashback itself,” he said.

While the concept of ‘cashback’ took off quite well in the US and UK, it is still relatively new for people in Southeast Asia who have a natural apprehension towards anything that seems too good to be true. Consumer weariness might hinder the company’s growth but considering the price-sensitive shoppers in this region, the cashback concept has potential to become part of their shopping habits once it becomes more mainstream.

A version of this appeared in Digital News Asia on June 20. Read the full article here.