For the past 20 years, we have seen how much things are changing for good with the technology advancements. Undeniably, we can see the Southeast Asian economy is growing at a rapid pace. Look at how China almost dominated the US, and become the world’s largest manufacturer and trading power.
If you want to expand your business globally, the first thing you have to do is to target the shoppers in Southeast Asia first, but to successfully reach them is to understand how they view eCommerce.
With the increasing population and smartphone penetrations, they are the main reasons of why the growth of ecommerce store is rising. Many companies outside Southeast Asia are wishing to penetrate the Southeast Asia market. ASEAN countries like Singapore, Malaysia, Thailand, Indonesia, the Philippines and Vietnam show a great opportunities for entrepreneurs.
Also Read: Significant Efforts For Singaporean SMEs to go DigitalNonetheless, due to the great distance and different cultures, they might face some challenges and gaps. Thus it is important to provide your eCommerce store with versatile payment methods. Why? Because let’s take Singapore for example, they are currently a heavy user of credit cards and almost achieve the title of a cashless society.
Whereas, in countries like Thailand and the Philippines, cash is still a king. So it is vital to understand how they tend to view e-commerce and provide many options for them.
The rising of e-commerce
Southeast Asia is quick in following the pace of the growth of e-commerce store, especially in fashion industry. Proud to say, Alibaba, Fashion Valet, Zalora and many more are moving on the right track. The rising of e-commerce store has made Southeast Asia to be recognized by outside regions.
However, despite this boom, some countries are still underdeveloped and lacking of good knowledge about e-commerce site.
Stimulating transformations with local payment methods
Believe it or not, but by having a wide range of payment methods you will surely one step ahead of your competitors. We are in 2017 now where people expecting hassle-free services and methods. E-wallet and online payment has become a major tool for transactions.
However, some people especially senior citizens prefer to pay with cash. Thus, it's great to add features whereby people can shop online while paying it with cash! How is it possible? Well, it is. Find a payment gateway which offers this kind of payment options. Currently, in Southeast Asia,
MOLPay is the first and the only one which accepts cash for online purchases.
Also Read: Malaysia Online Payment Methods for Consumers and MerchantsFret not, but with the right partner, adding new payment methods can be as easy as drinking a glass of water. Furthermore, with technology existence you can easily find out which are the best payment gateway solutions for your website store.
eCommerce Entrepreneur in Southeast Asia region
Here are the steps for entrepreneurs who wish to tap in Southeast Asia region!
1. Figure out local financial firm and explore regulations
Whatever market you wish to enter, make sure you have done exploring their local market in details. Know their local famous financial institute with legislation to be your partner so you will be relieved. Keep in your mind that the culture and way of doing business is quite different for any region, so it is better for you to get advices from people in a particular region. Don't invest your money for unprofitable partner!
2. Keep improving for mobile integrations
With the growth of social media such as Whatsapp, Line and Facebook has made business more efficient and smooth to run. In fact, 50% of shoppers from Thailand make online purchases from social media for example Line.
Thus, it is better for you to improve the integration of your store with mobile applications and social media, so people can reach out to you easily. Hassle-free and fast service is what makes people pay things quickly instead of abandoning it.
3. Give a different alternative: Purchase online but pay with cash
Cash is still a king! That is the fact because most shoppers still prefer to pay over the counter unless for Singapore, which almost achieves the title of cashless society. However, you still have to consider the expectation of your shoppers especially when you want to expand your business. Make an alternative for user who loves to pay with cash.
Also Read: Good Signs of E-Commerce in 2017 in ASEAN LensBy providing local payment methods, you will make it convenient for your shopper to pay and thus will enhance their shopping experiences with you. Therefore, it is compulsory for you to learn and know your payment partner to ensure they are able to support you and improve the way on how to optimize your eCommerce store.
| About the Guest Author:
Azma Farhana Baharin is an intern writer for a marketing department in a
B2B company.