According to eIQ Data, the number of online shoppers in Thailand are expected to reach 14 million by 2021, which may result in a potential revenue of over $11 billion. According to Google, Southeast Asia’s internet economy is estimated to reach $200 billion by 2025.
Fashion eCommerce has seen some strong players rise for the past year. Central Group recently revamped its image as LOOKSI earlier in June after it acquired Zalora in Thailand and Vietnam a year ago.
The company also decided to focus more on offering seasonal products instead of focusing on discounts as well. Even fashion labels that have been local to Zalora were cut by half.
The biggest gainer is a local fashion startup Pomelo which managed to raise a $19 million Series B and is now looking to further expand their market in Southeast Asia and Europe.
“Overall, it is forecasted that within five years, every fourth Thai will shop online, up from around every fifth now.”
This year, Zara has also opened its eCommerce website and mobile app, which aims to integrate both online and offline shopping by giving its customers the option to pick it up at a store or return the items that were originally purchased online.
Logistics industry has also seen some growth for the past year. Honestbee recently launched its own shipping service Goodship earlier this year to meet the growing demands for same-day delivery and last-mile services.
Other eCommerce players are getting into the budding eCommerce industry
JD.com recently released a statement about its $500 million partnership with Central Group. The multi-million joint venture will focus on eCommerce and fintech development and is expected to launch by April 2018.
Thailand is JD’s second major investment after the company lost the bidding to lead Tokopedia to Alibaba. Its own eCommerce site has yet to get into the top five list in terms of web traffic.
Can you name any other company that has made an impact in Thailand’s eCommerce industry? Share your comments below.