SE Asian B2C e-commerce market worth hits $6 billion

Southeast Asia’s B2C e-commerce market grew by 28.5 per cent in the fourth quarter of last year with a gross merchandise value (GMV) exceeding US$6 billion.

Business consultancy Frost & Sullivan, in its quarterly e-commerce update, reported that Indonesia is still the single largest B2C e-commerce market in the region. Its GMV grew by more than 25 per cent during the quarter.

“While a large number of customers still use websites to research products and make purchases, there is an increasing preference to use mobile applications,” says Frost & Sullivan Asia-Pacific e-commerce program director Naveen Mishra.

“Apps also offer market players the chance to connect with customers as well as offer a personalised shopping experience.”

Frost & Sullivan’s Quarterly update says Indonesia contributed more than a third of the SEA e-commerce market (in terms of GMV), whereas other markets in the region, with the exception of Thailand, contributed double-digit numbers. Thailand’s B2C e-commerce market size is less than half that of Indonesia.

During the quarter, retailers introduced a range of festive-season marketing campaigns including Black Friday, Cyber Monday and Singles Day, as well as the traditional Christmas and year-end flash sales.

Retailers should not underestimate the potential of the emerging economies on the e-commerce sector, says Frost & Sullivan Asia-Pacific principal analyst Avinash Sachdeva.

“Emerging economies are unlocking digital opportunities for market players as they enhance mobile platforms to improve customer experience.”


Comment Manually


FREE NEWS BRIEFS Get breaking news delivered