Category: E-Tailing

Retail News Asia is committed to providing both local and global retailers with the latest E-Commerce & Etail news throughout the Asian market. This on a daily base.

  • JD sells ten thousand tons of fresh products in a week

    JD sells ten thousand tons of fresh products in a week

    Chinese e-commerce giant JD has registered sales of 27,000 tonnes of fresh products during its Foodie’s Carnival online shopping event, including 4531 tonnes of imported fresh food.

    The week-long online festival brought together more than 6000 global brands selling in excess of 1 million seasonal fresh products. The JD Fresh platform also took on a 168-per-cent increase in new users compared to the same period last year.

    The top three products in terms of sales volume during the event were shrimp, beef, and ice cream, while sales in 10 categories increased 200 percent year on year.

    During the promotion, more than 10 million eggs, 17 million crawfish, and 100 tonnes of imported fruits were sold. Durians, lychees, and blueberries were the top three best-selling fresh products among younger buyers under 25, who were shown to shop for quality and not be price sensitive.

    Special promotions were held for New Zealand and Southeast Asian fruit, as well as Norwegian seafood. The promotion also saw more than 3.3 million orders of products sold through JD’s National Fresh Produce Green Channel initiative aiming to aid Chinese farmers.

  • Amazon plans buying JC Penney and change retailing forever

    Amazon plans buying JC Penney and change retailing forever

    Amazon has been tipped to take over collapsed US department-store giant JC Penney in a move that could redefine the nature of US retailing. According to an exclusive report in WWD, Amazon has a team of senior management and consultants at JC Penney’s Texas headquarters going through the numbers and the store portfolio.

    And while JC Penney says it is planning to permanently shutter 245 of its 846 stores across the country as part of a restructure under Chapter 11 bankruptcy protection, Amazon may take over as much as the entire fleet.

    Amazon has made no official comment on its plans with the news leaked by people with close knowledge of the proceedings. That makes all of the following commentary speculation. But here’s how JC Penney may look after a takeover…

    The Seattle-based company already dominates the US e-commerce market with a market share of around 49 percent. Small businesses across the US reportedly sell some 4000 items every minute on the platform.  However, as a digital-native company, Amazon has very little physical presence in the form of brick-and-mortar stores. It bought the upmarket Whole Foods grocery chain in 2017 which it has now expanded to 500 stores in the US and it also developed a high-tech, small-format hybrid grocery-convenience store model called Amazon Go which now numbers 26 outlets.

    If Amazon was to buy JC Penney, it is hard to see the brand name enduring. Analysts estimate, on average, that Amazon has cash reserves of around US$43.7 billion, so buying the business, taking over the properties and completely reformatting stores would be a lesser challenge cost-wise than for any other retailer.

    The vast majority of JC Penney stores anchor shopping malls, many of which are struggling to retain footfall and have relatively short life expectancies, worsened in a post-Covid-19 world where social distancing is likely to endure until a vaccine is found or the coronavirus dies out of its own accord.

    Amazon could potentially convert the JC Penney stores into a tech-driven, hybrid model of fulfilment centre and retail showcase. This would give its online customers a place to view goods in a truly omnichannel business model similar to what traditional brick-and-mortar retailers around the world – and e-commerce giants like Alibaba and JD in China – have been trying to develop during the latter half of the last decade.

    Many of the JC Penney stores are larger than they need to be, so Amazon is likely to hand back some of the space to landlords, a palatable solution to property owners who would have serious doubts about JC Penney’s ability to survive and continue paying rent long term and very few other opportunities to replace them with another anchor tenant. Some of the unwanted retail space could be kept and converted to storing stock, allowing faster delivery promises to online shoppers.

    New Whole Foods stores could be opened and Amazon could sublease spaces to selected retail partners, including – for example – the Seattle’s Best Coffee which already has cafes in many JC Penney stores.

    JC Penney also has its own warehouse and logistics systems which Amazon could absorb into its own.

    One source told WWD that Amazon was interested in JC Penney for its strength in apparel in both range and brands. “I’m told it has a lot to do with Amazon eager to expand its apparel business — for sure,” the unnamed source said.

    For now, this is all speculation, but it seems to be reliable information that Amazon executives are in “dialogue” with the stricken retailer.

  • Malaysia’s Sunway Pyramid launches online portal for Hari Raya

    Malaysia’s Sunway Pyramid launches online portal for Hari Raya

    Malaysia’s Sunway Pyramid mall has launched an online platform to help customers purchase safely during Hari Raya celebrations this year.

    Sunway Pyramid’s online store offers more than 100 brands ranging from beauty, home decor, healthcare, footwear to digital lifestyle. Several online campaigns will be organized including exclusive promotions and interactive content for the Hari Raya celebrations and a three-day flash sale at the end of this month.

    “The past two months have definitely been a challenging period for us all, and we wanted to give our retailers the opportunity to reach their customers within a few clicks,” said Kevin Tan, COO of Sunway Malls. “Not all retailers have the capability to establish an online presence and so, we hope this will help strengthen their business operations for greater survivability post-MCO,” he said referring to Malaysia’s Movement Control Order introduced to fight the spread of Covid-19.

    According to Tan, the online launch is the group’s latest attempt at digital transformation to “provide shoppers with added convenience and help bolster retailers’ businesses”.

    For shoppers’ safety during the festive season, Malaysia’s Sunway Pyramid mall, together with the rest of the Sunway malls have put strict measures including scanning a QR code and registering when entering the mall.

  • NuOrder launches virtual showroom as Asia sales surge

    NuOrder launches virtual showroom as Asia sales surge

    B2B e-commerce platform Nuorder is launching a virtual showroom service for brands to showcase products via an immersive online experience.

    About 40 percent of NuOrder’s sales of around US$1 billion per month come from markets outside North America and a spokesperson told Inside Retail Asia that Asia is a standout growth market for the company. The converse is among the brands currently using the platform in Mainland China.

    The move is intended to assist fashion, apparel, and outdoor brands and retailers struggling to do business during the coronavirus pandemic by allowing consumers the ability to see 360-degree views of products. The service will be available from next month.

    Product imagery will enable buyers to interact with products and gear as if seeing it in person, looking at items from all angles and zooming-in to see details close-up. Brands using the service will be able to add premium content such as runway looks, video footage, collection notes, inspirational imagery, and designer interviews to their pages on the platform.

    The firm will also offer its brand and retail partners access to a global photography network to support 360-degree product photography needs.

    “We are in a period of great change in our industry,” said NuOrder co-CEO and co-founder Heath Wells. “Our customers need a solution to present and sell their products in the absence of any travel. With the uncertainty of physical markets, trade shows and fashion events, we know that the virtual showroom will help solve the needs for brands and retailers alike during this critical time.”

  • WhatsApp and JioMart commence e-commerce rollout

    WhatsApp and JioMart commence e-commerce rollout

    Indian conglomerate Reliance Industries has partnered with Facebook’s WhatsApp messaging service to pilot its new online food and grocery channel JioMart in an attempt to redesign Indian retail.

    Last month, Facebook invested US$5.7 billion in Jiomart, to take a 9.99 percent interest in the digital platform and set a foundation for a joint venture with Reliance.

    JioMart, which has its own dedicated user base, will use WhatsApp’s extensive social reach to allow consumers to access the store’s e-commerce channel via web links shared on the platform. The service assigns any orders made to a nearby store, connecting small offline retailers and enabling them to expand digitally – a critical sales function during the coronavirus pandemic.

    JioMart plans to onboard 30 million offline retailers to Indian consumers’ smartphones.

    Data and analytics firm GlobalData has estimated the service to achieve ₹678 billion (US$8.9 billion) within three years.

    “Recently, JioMart tested its grocery ordering system through WhatsApp in the suburban areas of Mumbai, India,” said GlobalData retail analyst Hrishabh Kashyap. “That gave a glimpse of one of the many services Jio and Facebook can offer. The two popular communication platforms will work together to enable their consumers to interact with nearby stores online to place an order, allowing the retailer to retain its customers through digital association.

    “The pandemic might just have given the necessary push to the massive physical retailer network in India by forcing the retailers to go digital in order to sustain their businesses and thereby insulating them from the even more rapid shift online.”

  • Alumak to provide working capital loans to Lazada’s online sellers

    Alumak to provide working capital loans to Lazada’s online sellers

    Lazada has partnered with Southeast Asian fintech startup Alumak to provide online merchants with working capital during the Covid-19 pandemic.

    Business owners selling through Lazada for at least six months can apply online using their Lazada account in place of the need to submit formal paperwork, in a process that takes less than 10 minutes.

    Alumak says it can provide working capital of up to 75 million IDR (US$5000) within three hours, sourcing funds from its credit partners. That’s a vastly shorter time frame from the industry standard of one-to-two weeks processing time.

    Once approved, the funds can be downloaded in full or in part with interest charged only on drawn funds.

    Stefan Hadjidetschev, co-founder and GM of Alumak, says the program, which has no end date at this time, is intended to help businesses operate in the “new normal” of Covid-19 and during Ramadan.

    Haikal Bekti Anggoro, senior VP, traffic operations at Lazada, said the company wants to support the economy through its sellers.

    “Lazada aims to ensure that our sellers will be able to have a sustainable business and our Service Market Place offerings are geared towards that goal, providing services that sellers need to build, boost and strengthen their business. The cooperation with fintech companies like Alumak, enables our sellers to get access to funding and keep their business going.”

    Alumak describes itself as an SME-focused fintech company serving digital-savvy businesses with a mobile-first digital business account across four countries: Singapore, Indonesia, Thailand and Vietnam).

  • Alibaba launches Luxury Soho

    Alibaba launches Luxury Soho

    Luxury Soho targets value-conscious consumers and helps brands quit surplus stock. Alibaba has launched a new platform Luxury Soho, targeting value-conscious aspirational shoppers, and helping high-end brands quit surplus inventory. Accessible via Mobile Taobao and the online flagship stores of partner brands, Luxury Soho is positioned as an online gathering place for young consumers – as well as those new to luxury purchasing – to discover designer brands and potentially make their first luxury purchase.

    The new service is also “a response to the need in the fashion industry for brands to be able to efficiently manage their inventory and stock – an issue that’s been compounded by the Covid-19 outbreak,” said Tmall’s head of fashion and luxury in Europe Christina Fontana.

    “Restricted movements led to reduced foot traffic in brick-and-mortar stores – including from Chinese tourists who were not able to travel to brands’ boutiques and outlets in Western countries like they used to. So brands are now sitting on a worldwide abundance of stock and are also needing to find ways to reach new consumers,” she said.

    “With Luxury Soho, brands can now move select products and collections onto an online outlet store and bring them in front of a specific audience that is waiting to discover new products and brands.”

    Alibaba’s Tmall Luxury Pavilion was designed to serve as a second website for brands in China, focused on branding and aimed at a more affluent class of consumers. By contrast, Luxury Soho targets younger, newer luxury consumers – such as those from China’s lower-tier cities or Gen Z shoppers who are just entering the world of luxury.

    “Luxury Soho also plays into brands’ existing outlet strategies,” added Fontana. “It can empower them to diversify their strategies in China to handle excessive inventories with more flexibility. As a platform, we offer the tools for brands to run their own stores with full control over their pricing, product selection, strategy and look and feel. They can engage consumers in new ways using innovative features, from live streaming, augmented reality and 3D interactive technologies to virtual icons and flexible payment solutions. Brands can even tap their offline store associates to engage with consumers online to showcase certain products and answer questions,” said Fontana.

    “In the past, luxury brands might have operated multiple stores across China to be able to reach more consumers. But the coronavirus outbreak has exposed some underlying vulnerabilities in this model and accelerated changes in consumer behavior, including the shift from shopping in-store to shopping at home. To build resilience and meet consumers where they are at, more luxury brands will think about how to move their in-store experiences online.”

    She says brands impacted by the Covid-19 crisis need to consider how to turn their focus towards China’s domestic market and explore new ways to market to consumers there.

  • India’s Reliance Industries set to buy into online pharmacy Netmeds

    India’s Reliance Industries set to buy into online pharmacy Netmeds

    Indian conglomerate Reliance Industries is holding talks to purchase a controlling share in e-commerce pharmacy business Netmeds.

    The talks, which according to the Economic Times are in advanced stages, could see a Reliance subsidiary pay US$130–150 million for the shares and fund a potential expansion of operations.

    The deal, if it goes ahead, will be Reliance’s second major investment in the pharmaceutical industry since acquiring 82 percent of C-Square Info Solutions last year, a producer of pharmaceutical software.

    “The deal is happening at a slight premium to their last funding round valuation,” a source said, which also shared that conversations between Reliance and Netmeds began before the coronavirus pandemic.

    The firms involved have not issued public statements about the prospective dea

  • Shopee Malaysia starts selling Covid-19 test kits

    Shopee Malaysia starts selling Covid-19 test kits

    Malaysian online medical service DoctorOnCall has entered into a partnership with Shopee Malaysia to sell Covid-19 tests online.

    The rRT-PCR tests will be available for purchase at Shopee’s DoctorOnCall store, where customers will also be able to buy vouchers for home-delivered medication. In the coming months, Shopee will work with DoctorOnCall to extend usage of the vouchers to book online consultations.

    The partners will inaugurate the service with a health education and awareness series on the platform’s in-app live streaming feature Shopee Live, beginning tomorrow with a talk on Covid-19 and the various testing options by Qualitas Medical Group, including a home-visit screening program designed by Qualitas in collaboration with DoctorOnCall.

    “DoctorOnCall’s decision to expand its digital reach and offer more Malaysians the accessibility to healthcare services especially during this difficult time is commendable,” said Shopee’s regional MD Ian Ho.

    “At the same time, by leveraging our technology and marketing tools such as Shopee Live, DoctorOnCall is able to bring curated content to viewers at home, educating and creating awareness on the importance of hygiene as well as ideas on having a healthy Ramadan. This is what people need right now.”

    “We believe that DoctorOnCall is the first medical platform to collaborate with a digital marketplace and allow access for Shopee Malaysia’s extensive customer base to digital health seamlessly,” said DoctorOnCall’s COO Chiak Tang.

    “In conjunction with this collaboration, we will also initiate a health education series specifically for Shopee users. We pride ourselves as the leading provider of health-related content in Malaysia and are pleased to work with Shopee and our partners, on this educational initiative to reach a greater audience.”

  • WeChat launches plan to stimulate retail growth

    WeChat launches plan to stimulate retail growth

    Chinese social-media and mobile-payment app WeChat has introduced measures aimed at boosting the recovery of the retail industry.

    The firm’s Wechat Retail Growth Plan is intended to help global businesses and brands strengthen their understanding and use of WeChat’s tools and functions to better resolve the challenges created by the coronavirus pandemic.

    The plan uses several recent services launched by WeChat, including WeChat Live for businesses – which allows them to interact with customers and generate sales via live streaming – and WeChat Work 3.0, which has become a key platform for remote working during the pandemic, connecting enterprises with customers.

    WeChat’s key services promoted by the growth plan also include 1 on 1 Consultant – which allows retailers to tap into existing user bases and manage fans as well as initiate direct conversation with followers – and WeChat Pay, which has encouraged cross-border e-commerce, local orders, and scan-and-go self-service during the pandemic.

    The firm has also launched a range of supportive policies for merchants facing challenges during the coronavirus outbreak.

    More than 1 billion Chinese consumers use WeChat’s platform.

  • Facebook investing billions in India’s Jio Platforms

    Facebook investing billions in India’s Jio Platforms

    Facebook has paid US$5.7 billion for a 9.99-per-cent stake in Indian telco and e-commerce enabler Jio Platforms, becoming the largest minority shareholder in the Reliance Industries-controlled company.

    The size of the investment is reportedly the largest yet by a foreign company into an Indian-controlled company, underlining that the transaction is far more significant than the percentage partnership might at first suggest.

    In a statement published online, Facebook chief revenue officer David Fischer and Facebook India VP and MD Ajit Mohan, said one focus of the US company’s collaboration with Jio will be to create new ways for people and businesses to operate more effectively in the world’s fastest-growing digital economy.

    “For instance, by bringing together JioMart, Jio’s small business initiative, with the power of WhatsApp, we can enable people to connect with businesses, shop, and ultimately purchase products in a seamless mobile experience.”

    In less than four years, Jio Platforms has helped nearly 400 million Indians move online, helping create new digital enterprises and connecting them through chat programs like Facebook’s WhatsApp. About 560 million people nationwide are now online out of a population of 1.387 billion.

    “This investment underscores our commitment to India, and our excitement for the dramatic transformation that Jio has spurred in the country,” the Facebook pair said.

    Aurojyoti Bose, lead analyst at GlobalData, described the deal, as “a well-devised approach offering a win-win situation for both the companies”.

    “India is a key market for Facebook with millions of users and its messaging app WhatsApp also has a huge user base. On the other hand, Jio is one of the largest telecom networks in India with around 370 million subscriber base and the deal can help Facebook in further enhancing its footprint in the country.”

    Bose says the deal has become even more crucial for Facebook at a time when WhatApp is preparing to launch a payments app in the country. Jio, as its local partner, will be pivotal in navigating the regulatory hurdles.

    “Moreover, encouraged by the growing popularity of TikTok, Facebook has plans to launch video app Lasso, which will benefit from Jio’s huge subscriber base in India.”

    Using the JioMart 0e-commerce platform, the two companies will now have a clear path to using WhatsApp as a conduit for online orders, especially important with the advent of the Covid-19 pandemic.

    “Jio will benefit from the technical expertise of Facebook,” adds Bose. “In addition, the deal is a step forward towards Jio’s strategy to … become debt-free by March next year.”

    The size of Facebook’s investment puts Jio Platforms’ valuation at $65.95 billion, making it the fifth-largest company in India in terms of market capitalization.

    Fischer and Mohan, meanwhile, say the rapid adoption of digital technologies by Indians marks  “one of the most dynamic social and economic transformations the world has ever seen”.

    “Our goal is to enable new opportunities for businesses of all sizes, but especially for the more than 60 million small businesses across India. They account for the majority of jobs in the country and form the heart and soul of rural and urban communities alike. In the face of the coronavirus, it is important that we both combat this global pandemic now, and lay the groundwork to help people and businesses in the years to come,” they said.

  • Alibaba Cloud Launches USD 30 Million Global SME Enablement Program

    Alibaba Cloud Launches USD 30 Million Global SME Enablement Program

    Alibaba Cloud, the data intelligence backbone of Alibaba Group, today launched a Global SME Enablement Program to provide cloud technology relief worth more than USD 30 million to new and existing small and medium enterprise (SME) customers around the world and equip them with the solutions needed to maintain business continuity amid the COVID-19 pandemic.

    Under the program, new SME customers worldwide can apply for the relief between now and June 22 to start using a portfolio of proven solutions from Alibaba Cloud. The portfolio consists of a support package with 12 key products, including Elastic Compute Service (ECS), which powers cloud applications with low latency, and Object Storage Service (OSS), an encrypted service for data storage and backup in the cloud, as well as Alibaba Cloud Academy Courses.

    Existing customers can also apply for product coupons between now and June 22 to help them expand or upgrade their cloud applications. In addition, Alibaba Cloud will reach out to SME associations to help meet their members’ technology needs as they fight the pandemic.

    “COVID-19 has created unprecedented challenges and vulnerabilities to the global economy and especially to SMEs, who are often faced with financial constraints and limited access to technological support,” said Selina Yuan, President of International Business, Alibaba Cloud Intelligence. “Since its inception, Alibaba Cloud has always been committed to helping businesses of all sizes and making it easy to do business anywhere. The Alibaba Cloud Global SME Enablement Program aims to provide much needed and timely relief to SMEs so they can rapidly respond to the current crisis while speeding up their digital transformation and emerging from the current pandemic stronger and more resilient.”

    Alibaba Cloud announced the Global SME Enablement Program at its Digital Cloud Day. The interactive one-day online conference introduced Alibaba Cloud’s latest technologies and customer case studies; and in particular how Alibaba Cloud is applying cloud computing, data analytics, and artificial intelligence capabilities to help businesses and the wider communities better cope with COVID-19.

  • Social group e-commerce booms in China during Covid-19 crisis

    Social group e-commerce booms in China during Covid-19 crisis

    Social group e-commerce is booming, fuelled by the consequences of the coronavirus pandemic, reports Chinese online retail platform JD.

    The online retailing model has experienced a major boost as Chinese consumers under lockdown have recommended products to friends, customers and others in close proximity, with JD’s sales in the sector for the first quarter of this year exceeding that of the entirety of last year.

    An example of the boom is JD’s collaboration with China Youth Travel Service, offering tour guides part-time work as JD “shopping guides” via WeChat to recommend products to friends, customers and others nearby.

    JD’s broader social group e-commerce initiative on WeChat enables participants to act as shopping guides to recommend products in the digital community.

    “JD continues to recommend good products to Chinese consumers through innovative marketing models,” said social group e-commerce initiative head Jiarui Liu.

    “Sales representatives and tour guides from travel agencies have something in common with young moms and middle-aged women. Their customers are highly targeted and have a strong sense of trust, which is consistent with the trust that JD has established over the years. JD highly values working with people who have a strong connection with their customer groups, and it is also a good way to explore new business scenarios.”

    As part social group e-commerce initiative, JD’s cloud-stored solution is assisting offline stores to resume trading post-pandemic. After receiving training, shopping guides can use the solution to generate orders. Thus far, 54,000 shopping guides in the fashion and home industry have joined JD’s cloud storage solution.

  • Luxury brands thriving on JD during Covid-19

    Luxury brands thriving on JD during Covid-19

    Around 20 luxury brands have opened stores on Chinese e-commerce platform JD since the beginning of January, seeking new avenues for business against the backdrop of the global coronavirus pandemic.

    The onboarded brands include fine-leather goods house Delvaux, Chanel-owned jewelry brand Goossens, luxury cashmere specialist Barrie, British luxury leather brand Smythson, cashmere knitwear brand Pringle of Scotland, and international designer brands MSGM and Proenza Schouler.

    When Italian designer brand By Far launched its flagship on JD recently, 65 percent of its stock sold out after four days and about 90 percent of its products cleared after one month, according to figures released by JD.

    “The pandemic has affected many industries, and luxury is no exception. It has encouraged many luxury brands to attach greater importance to online,” said JD fashion-and-lifestyle president of international business Kevin Jiang.

    “JD’s supply chain advantages, and the support we provide, have attracted brands to deepen their partnerships with us. In the coming months, we plan to offer more innovative programs to help brands deal with the impact of the pandemic.”

    To date, more than 200 international luxury brands have established partnerships with JD.

  • Carousell supports Small Businesses, hawkers during Covid-19 crisis

    Carousell supports Small Businesses, hawkers during Covid-19 crisis

    Classified-ad service Carousell is offering up to SG$2 million (US$1.3 million) in free advertising for nonprofits serving communities impacted by the coronavirus outbreak.

    Organizations in Singapore, Malaysia, Hong Kong, and the Philippines engaged in initiatives to support those affected by the pandemic will be eligible for the program.

    “This initiative will give non-profit organizations more visibility and offer an alternative platform for advertising that doesn’t require paying premium fees,” said Carousell’s MD for advertising JJ Eastwood. “As a C2C classified  platform, Carousell has a broader vision for our community and users that transcends the current Covid-19 climate.”

    Existing partners include Singapore Red Cross, Give. Asia, Free Food for All in Singapore, Parents Without Partners in Malaysia, Habitat For Humanity in Hong Kong and Caritas Manila in the Philippines.

    Meanwhile, in Singapore, Carousell has launched the #SupportLocal campaign to help business owners impacted by the pandemic, targeting both SMEs and small food & beverage operators. The first phase of the initiative, ‘#SupportLocal F&Bs’, encourages Singaporeans to support the smaller eateries and hawkers in their own neighborhoods.

    Partnering with Unilever Food Solutions, Carousell plans to sign up more than 2500 F&B businesses onto a newly created Local F&B category on its platform.

    “The onboarding process will ensure that business owners who have not had prior experience with online operations are still able to list on Carousell for increased visibility,” the company explains. “With Carousell listings, F&B owners will be able to provide on-demand takeaway services without having to pay a premium or commission to external vendors, and Carousellers will be able to conveniently and directly support the local F&B establishments near them.

    Ivan Lu, MD for Malaysia and Singapore at Unilever Food Solutions, says the company believes Carousell’s initiative will help provide the local F&B community with an additional option to attract the orders they sorely need.

    “It’s a tough time, but the Singaporean F&B community is amazingly resilient. With our Kampong spirit, we can weather any storm,” says Lu.