With the emerging e-commerce boom tapping only a fraction of retail brick and mortar sales, the vast potential for e-commerce has made Southeast Asia a battle ground for the world’s top online sellers, who are rapidly expanding their footprint in order to corner more marketshare.
In a movie that marks the expansion of partnership between two e-commerce giants, the Lazada Group stated it will be selling select products from Alibaba Group Holding’s Taobao marketplace in three more countries in Southeast Asia, including Thailand, Indonesia and the Philippines.
Lazada had begun selling Taobao’s products in Singapore and Malaysia from early 2017.
In June, Alibaba had plowed in an $1 billion in Lazada and boosted its stake to 83% in the company.
“This is a true testament to the way the Lazada and Alibaba teams have come together to build the business in a fast and efficient way combining consumer insights, technology know-how and local expertise,” said Aimone Ripa di Meana, Lazada’s chief marketplace officer.
The products are curated to appeal to local tastes across countries and its marketplace can be customized to the respective local languages, said Lazada, whose headquarters is Singapore. The company has a market presence in Vietnam, Malaysia, the Philippines, Indonesia and Thailand.
Southeast Asia has become a new battleground for e-commerce giants who are battling it out to grab a piece of the 600 million consumer market where only a fraction of total retail sales are currently sold online.
In July, not one to be caught napping, Amazon.com Inc launched its Prime Now fast delivery service in Singapore.
JD.com Inc and Central Group, a top Thai retailer, have also formed a $500 million joint venture in e-commerce and financial technology.