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Singapore’s ecommerce players see growth following strategic efforts, report says

The past year has been an indispensable year for the ecommerce industry in Singapore. According to the global chief economist of British firm Economist Intelligence Unit, Singapore is set to become a regional ecommerce hub, given its “sound financial sector and reputation as a safe haven.”


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Published by Tech in Asia
on 02 Sep 2019

Singapore’s ecommerce players see growth following strategic efforts, report says

The past year has been an indispensable year for the ecommerce industry in Singapore. According to the global chief economist of British firm Economist Intelligence Unit, Singapore is set to become a regional ecommerce hub, given its “sound financial sector and reputation as a safe haven.”

We at iPrice have been keeping a close eye on Singapore’s ecommerce platforms. We conducted a study to see the most engrossing developments in the industry in Q1 2019. And by analyzing data from SimilarWeb and App Annie Intelligence, we have identified the key developments involving the city-state’s biggest ecommerce players.

The Most Visted E-commerce Platforms in Singapore (between Oct 2018 and Mar 2019)

Traffic figures were collected from SimilarWeb. The market share figures in this article were determined by accumulating the total visits garnered by the top 30 ecommerce platforms listed in our Map of Ecommerce. A platform’s market share was calculated based on the total visits (desktop and mobile web) it obtained within a given period.

The study does not include some sectors, namely e-ticketing, financial services, rental services, insurance, delivery services, food and beverage, meta-search, couponing, cashback websites, and ecommerce platforms that purely provide classified ads or peer-to-peer services. To ascertain the most-visited local and Southeast Asian ecommerce platforms, international applications were not included in this category.

Qoo10 thrives with localized initiatives

Qoo10 continues to lead as the most-visited platform in Singapore, with 31% market share from Q4 2018 to Q1 2019. Its app ranks third in App Store and fourth in Google Play.

Qoo10 is initiating various localized efforts to strengthen its position in Singapore. One is its strategic alliance with United Overseas Bank, which allows consumers and merchants to seamlessly conduct transactions on Qoo10’s website and its blockchain platform, Quube. As of March, Quube has more than 1,300 retailers and 2.2 million products for sale.

Lazada sees an uptrend

Lazada has strengthened its position as a close competitor to Qoo10 by holding 28% market share from Q4 2018 to Q1 2019. It also saw a 19% growth in total visits, garnering an average of 8 million monthly visits. Its traffic in November of last year rose to 11.9 million as it worked closely with Alibaba for a successful Singles’ Day sale.

According to App Annie, its mobile shopping app leads with the highest number of monthly active users (MAUs) in Singapore, Malaysia, Thailand, and the Philippines.

Mobile E-commerce Shopping Apps with the most Monthly Active Users in Southeast Asia

Shopee stays a fast-growing competitor

Shopee demonstrates a significant improvement within a short period of time. It currently holds the third-biggest market share in total visits at 10%. It’s worth noting that the Singapore-based ecommerce firm was at sixth place in Q1 2018, with just 6% market share in total visits. This growth positions Shopee as a rapidly growing ecommerce competitor in Singapore.

It also experienced an immense growth of 40% in total visits between Q1 2018 and Q1 2019. Its app ranks third in MAUs in Singapore.

More remarkable shifts

The other most-visited ecommerce platforms in Singapore include StrawberryNet, Ezbuy, Zalora, and eBay, with a combined market share of 19% in total visits.

StrawberryNet

StrawberryNet saw an exponential growth of 97% in total visits between Q4 2018 (65,300 visitors) and Q1 2019 (2 million visitors). As a result, it ascended from 21st to fourth most-visited ecommerce platform in Singapore.

Established in 1998, StrawberryNet is one of the longest-running ecommerce firms globally, as it launched in the same era as Amazon, eBay, and PayPal. The company prioritizes early adoption of AI to understand shopper behavior and product trends. This strategy is probably one of the factors that contributed to its growth between Q4 2018 and Q1 2019.

Ezbuy

Another remarkable player is Ezbuy, which was recently acquired by US-listed Chinese retailer LightInTheBox. According to LightInTheBox, Ezbuy’s solid supply chain management strengthens its emerging-markets strategy.

Additionally, the US$17.6 million investment Ezbuy received last year has allowed the company to further develop its shopping experience. This makes Ezbuy a growing competitor. Between Q4 2018 and Q1 2019, it ranked fifth in MAUs and saw an average of 1.5 million monthly visits.

Zalora

Zalora remains a prominent player in Singapore as the sixth most-visited ecommerce platform in the city-state. It also garnered an average of 1.4 million monthly visits from Q4 2018 to Q1 2019. App Annie ranking shows that the Zalora app is sixth in having the most number of MAUs.

However, the Singapore-based e-tailer did face a decline in traffic, from 1.5 million visits in Q1 2018 to 1.3 million in Q1 2019. It’s also reportedly seeking fundraising opportunities in an effort to expand its product range.

eBay

US-based eBay maintains a 4% market share in total visits, garnering an average of 1.3 million monthly visits between Q4 2018 and Q1 2019.

Recently, the ecommerce company partnered with Singapore Institute of Retail Studies to conduct a program focused on small and medium-sized enterprises. The program was created to reinforce eBay’s growth in Singapore and Southeast Asia by encouraging SMEs to improve their businesses globally and sustainably through ecommerce.



This article was first published on TECH IN ASIA, on 19 July 2019. Information is correct at the time of publication.

Last Modified Date: 02 Aug 2019