Convenience-shopping concept company SPH Buzz has partnered with Mastercard to launch a hybrid store that includes attended and unattended retail counters.
As part of the deal, SPH Buzz has integrated Mastercard’s mobile commerce platform, Vending Powered by Masterpass, in its unattended machines to enable customers to seamlessly order and pay for goods using their smart devices.
At the Cnergy Gas Station in Toh Tuck Road, the 827sqft (77sqm) Buzz hybrid convenience store has 16 vending machines. Buzz customers can buy from the machines using Masterpass on their smart device. This is a secure digital payment service by Mastercard that speeds up the checkout process without consumers having to enter their financial and shipping information every time.
Made by Auresys, the vending machines can dispense beverages (hot or cold), ready-to-eat meals, snacks and confectionary, specialty foods (imported from Japan), beauty and over-the-counter (OTC) medication, and novelty and lifestyle options such as activity trackers, electronic accessories, pre-packed presents and mystery gifts.
Cafe with snacks
Also available at the store is a cafe with local snacks and artisanal bread.
“With the introduction of the automated station, I can now focus on providing a more interpersonal customer service and experience at the cafe,” says Buzz hybrid franchisee Audrey Joan Yap.
To complete the shopping experience, customers will soon be able to buy such prepaid services as phone top-up cards, tickets to tourist attractions such as Gardens by the Bay, River Safari, Singapore Zoo and Universal Studio, as well as Google and Xbox stored-value cards. Other services such as FOC Wi-Fi, cash withdrawal via smartphone, reloading of EZ-Link cards, and Nets and Nets FlashPay are also available.
SPH Buzz Convenience Stores deputy-GM Spencer Tan says that as well as offering round-the-clock service, the hybrid store has a backend system that helps forecast demand and alerts the staff to replenishments. “This helps the team to be more productive given the current manpower crunch,” he says.
SPH Buzz runs a chain of retail kiosks and newsstands at bus interchanges, bus shelters, MRT stations, shopping malls and heartland areas. Started in 2007 as a franchise model, it has 59 stores island-wide.
French FMCG company Danone has teamed with Lazada Group to create a series of online stores for Southeast Asia, starting with Thailand in December.
The Danone-Lazada strategic regional partnership covers Thailand, Indonesia, Malaysia and Singapore. The two companies say they will create “a superior online shopping experience for key product categories, combining their expertise on shopper needs and behaviours, and bringing convenience and compelling content to the ever-growing number of online consumers across the region”.
The alliance will begin with Danone’s Early Life Nutrition category, which features a portfolio of brands for families with young children. Danone’s Early Life businesses are already working together in Indonesia, Thailand and Singapore – participating in Lazada mega-campaigns such as Online Revolution on 11.11 and 12.12.
The joint venture will stretch beyond simple e-commerce by offering parents advice and information on the growth, development and nutritional needs of children. Lazada’s digital platforms will provide convenient ordering solutions, personalised service and exclusive content and events developed with Danone.
“We have been working with Lazada for more than a year, and accelerating our partnership in the last six months,” says Eric van der Hoeven, VP of growth through engagement at Danone Early Life Nutrition. “We want to support all parents in their journey, and wherever we can, to help them make well-informed feeding decisions for their children at the critical moments in their growth and development. I am very pleased that our constructive collaboration so far will now be taken further in this strategic regional partnership.”
Lazada CEO Max Bittner says young parents live increasingly busy lives and are often confronted with information overload.
“Teaming up with a trusted brand like Danone reinforces Lazada’s position as a source of quality products and enables us to serve the best, most relevant content, service and support for parents on their journey.”
The partnership will come into force by end of November, beginning with workshops bringing together the Danone and Lazada teams in the local countries in sharing insights and planning. The first visible consumer features jointly developed will be implemented on the Lazada websites in Thailand in December.
Inspired by models’ daily routines and backstage beauty secrets, FashionTV has introduced its beauty line, FTV Cosmetics, to Singapore.
With years of experience from working with industry experts, such as makeup artist Felix Shtein, FTV Cosmetics combines technology, natural ingredients and special formulas that cover makeup and skincare to haircare and styling, as well as bodycare.
On offer are more than 140 products, including its best-selling 24Karat Golden Hero Mega Mask, Translucent Highlighter Powder and FTV Perfect Selfie Liquid Foundation.
FTV Cosmetics debuts at Wisma Atria and within the next few days will follow up with a flagship store at 313 Somerset.
FTV Cosmetics already has a presence in China, Macau and the Philippines and plans further global expansion with 52 more outlets by the end of next year.
AsiaMalls Management signed a memorandum of understanding (MOU) with UnionPay International (UPI) to roll out acceptance of UnionPay QR Code payments across all six malls – Hougang Mall, Liang Court, Tiong Bahru Plaza, Tampines 1, White Sands, and Century Square when it reopens in 2018.
As the first large-scale partnership between a mall manager and a global payment brand to deploy QR Code payments across malls in Singapore, this form of QR Code payments is compatible with SGQR and compliant with EMVCo standards. UnionPay International is a member of the SGQR taskforce led by Info-communications Media Development Authority (IMDA) and Monetary Authority of Singapore (MAS) to develop a common, interoperable QR Code to accelerate the adoption of mobile payments locally. UnionPay is also part of the EMVCo Global Workgroup developing an international standard for QR Code payments.
This new partnership between AsiaMalls and UPI came from the mall management’s understanding of the shopper’s needs and the retail landscape, coupled with a mindset for innovation. AsiaMalls strives to go beyond meeting the basic necessities of their shoppers and the community around each mall by constantly seeking new and exciting retail experiences, of which this partnership serves as an example.
Tapping onto existing payment infrastructure from AsiaMalls’ rewards programme, AMperkz, the initiative will enable UnionPay Cardholders to enjoy greater ease of payment at all participating AsiaMalls merchants when the enhanced system rolls out in phases starting 2018. UnionPay QR Code payments allow merchant discounts and payment transactions to be processed via a single scan of the consumer-presented QR Code, providing added convenience and simplifying the payment process for both consumers and merchants alike. It will also open up opportunities for shoppers without NFC-enabled smartphones to make contactless mobile payments.
“With the nation’s move towards a cashless society, we saw the opportunity for AsiaMalls to anticipate our shopper’s wants and expectations, and to provide them with all the conveniences possible, by equipping our merchants with the ability to accept UnionPay’s QR Code payment option. This would allow the stores to expand their clientele base, and in time, enable them to be fully integrated and ready for the Smart Nation roll-out,” shares Tan Kee Yong, Managing Director, AsiaMalls Management.
“Today’s cooperation is significant in multiple aspects: First, we are able to establish the acceptance of UnionPay QR Code on a sizeable scale in Singapore for cross-border payment by leveraging on AsiaMalls’ strong footprint in the local retail industry, offering the same seamless mobile payment experience to Chinese tourists in both Singapore and in China. Second, we choose to promote UnionPay QR Code payment first in everyday spend merchants like shopping malls as this will not only help us localise our business, but also help issuers like Bank of China Singapore branch and other local
While turnover and gross profit margin slid for watch/optical company Stelux Holdings International for its first half, it managed to cut back on its net loss.
Group turnover was down by 6.9 per cent (6.3 per cent foreign-exchange neural) to HK$1.3 billion (US$166.4 million) and gross profit margin fell from 59.6 to 58.1 per cent. Group net loss reduced by 15.2 per cent to $62 million.
Given the fragile retail environment, the group says it continued with consolidation measures to improve shop productivity. While group turnover fell by 6.9 per cent, largely because of an 11.3 per cent drop in shop number, same-store sales improved, particularly in Mainland China. Sales also stabilised in Hong Kong and Southeast Asia. Gross profit margin remained under pressure at 58.1 per cent, compared to 59.6 per cent in the same period last year.
City Chain Group
Turnover fell 11.1 per cent for the City Chain Group, with a loss before interest and tax (LBIT) of $37.7 million from $49.4 million. The group has about 260 stores in Hong Kong, Macau, Mainland China, Malaysia, Singapore and Thailand together with three online stores.
The drop in turnover from $668.5 million to $594.4 million was because of a 17.9 per cent decrease in shop numbers.
In response, the chain is undergoing a major transformation to attract both a younger and local clientele. New store layouts have been introduced in Hong Kong, Guangdong, and Thailand.
Turnover for the chain in greater China fell by 12.5 per cent to $439.8 million while LBIT was down 11 per cent to $34.8 million.
Same-store sales growth has also resumed in Hong Kong and Macau since August with a freshed store image and enriched brand portfolio. The closure of loss-making shops and the positive impact from the expiry of high rental leases contributed to a 19 per cent fall in operating costs. City Chain tapped into the e-commerce business in Mainland China a few years ago, with the turnover of its watch e-commerce business increasing by more than 60 per cent compared to the corresponding period last year.
With store consolidation in Southeast Asia, turnover fell 7 per cent to $154.5 million. There was a 16.5 per cent drop in shop numbers. Nonetheless, LBIT narrowed significantly to $2.9 million from $10.3 million.
EBIT for Malaysian stores more than tripled while LBIT in Singapore fell by 79 per cent. With sustained recovery in Thailand, both turnover and same-store sales growth were “satisfactory”.
Optical 88 Group
Optical 88 Group turnover decreased by 2.9 per cent with EBIT rising to $32 million from $15.2 million. The group has 194 shops throughout Hong Kong, Macau, Mainland China, Malaysia, Singapore and Thailand delivering professional eyecare/eyewear products and services, as well as hearing products and services.
Turnover eased by 2.9 per cent to $504 million with 7.6 per cent fewer shops. EBIT more than doubled from $15.2 million to $32 million.
In greater China, Optical 88 had a marginal 0.7 per cent decline in turnover to $414.2 million, with 4.1 per cent fewer shops. EBIT rose by 16.8 per cent to $38.2 million.
Southeast Asia business had a 11.7 per cent drop in turnover to $89.8 million with 10.2 per cent fewer outlets delivering a narrowed LBIT of $6.2 million.
Turnover rose 13.5 per cent of Egg Optical Boutique with LBIT widening from $7.1 million to $13.6 million. There are more than 80 stores in Hong Kong, Mainland China and Southeast Asia
together with an online store.
DFS Group has opened its 167sq m wine and spirits duty free store at Singapore Changi Airport’s new Terminal 4.
Featuring over 300 brands, Terminal 4 is the first terminal at Changi to offer a ‘walk-through’ retail concept, allowing DFS to introduce new features for a seamless shopping experience.
This includes integrated shopping spaces covering liquor & tobacco and perfumes & cosmetics.
In addition, travellers can for the first time make their purchases in a single transaction at common cash counters manned by team members cross-trained on all products.
Brooke Supernaw, DFS Group’s Senior Vice President Spirits, Wines and Tobacco, Food and Gifts said: “We have been eagerly awaiting the opening of Terminal 4 and are thrilled to officially unveil DFS’ latest store here at Changi Airport.
“We are excited to introduce two new concepts to provide our customers with more ways to engage with and discover new brands.”
Travellers are encouraged to engage in the basics of cocktail making at The Cocktail Bar.The new store features ‘The Cocktail Bar’ and ‘The Craft Collection’ section, allowing passengers to discover and engage with new brands.
Aimed at making cocktails accessible for connoisseurs and novices alike, a selection of brands will be invited to take over the space and showcase their spirits throughout the year.
The Craft Collection section showcases a selection of craft and small-batch beers and spirits from around the world, ‘curated for travelling customers looking for something unique and artisanal’, states DFS.
The travel retailer says it aims to invoke the stories and passion of a new generation of brewers and distillers who put ‘innovation, authenticity and local culture’ into everything they do.
Three craft beers are available on tap for tasting, as well as a rotating selection of spirits.
According to DFS, gin is a category that embodies today’s craft movement within spirits, so new brands will be introduced to the collection on rotation.
Terminal 4 also features The Whiskey House, which marks a welcome return following its success at DFS’s Terminal 2 Duplex store.
From timeless classics and special releases to exclusive bottlings and single casks, The Whiskey House offers complimentary tastings of over 100 different whiskeys.
Meanwhile, Master Distillers and Brand Ambassadors will stop by regularly to introduce their new release exclusives, with guided tastings and food pairings.
The new Terminal 4 store also boasts an impressive selection of ‘prestige wines’, with special collections from Lafite, Mouton and Latour among others.
Passengers will also be able to sample a curated selection of wine, ‘presented in enomatic tasting machines’ instore before they buy.
To celebrate the launch of the store, DFS has collaborated with local award-winning bartender Peter Chua of Crackerjack to create three cocktails inspired by Singapore’s favourite sweet treats.
Every Friday and Saturday until the end of December, travellers will be able to enjoy complimentary samplings of the three cocktail serves at the Terminal 4 Activation Pad.
In addition, customers who spend over S$120 ($88.6) on wines and spirits will receive a local snack ‘plushie coin pouch’ with their purchase.
Commenting on the opening, Teo Chew Hoon, Group Senior Vice President of Airside Concessions Division at Changi Airport Group, said: “Our vision for Terminal 4 is to continually delight travellers with new retail experiences. CAG is happy to work with DFS to create a first-in-Changi seamless duty-free zone.
“With the addition of Terminal 4, we look forward to welcoming many more travellers to enjoy Changi Airport’s exciting offerings.”
Philippine fast-food giant Jollibee International is opening at least 15 more outlets in Singapore in the next five years, with an incursion into Indonesia in 2019.
Jollibee president and head of international business Dennis Flores says the Manila-based company will open its sixth store in Singapore in Jurong East in April. It joins the line-up of two stores at Lucky Plaza and one each in Changi, Novena and Paya Lebar.
“We’ve gone to another level – half our customers now are Singaporeans, not just Filipinos,” says Flores. Jollibee opened its first store at Lucky Plaza in March 2013. While Filipinos formed queues, few Singaporeans went there – “only brave souls”.
A second outlet at the mall’s basement drew more local diners, and Jollibee has since picked locations more accessible to Singaporeans. “The patronage of Singaporeans is really giving us a lot of encouragement…Our ability to connect with the Singaporean palate gives us a lot of excitement and encouragement that we can fulfil our goal to open 15 more stores,” says Flores.
Meanwhile, the company aims to enter the 260-million-strong Indonesian market in 2019. “It’s a market we can’t ignore. It’s a chicken market – the big players are all ‘chicken players’.”
Jollibee is hoping to open 150 stores in Indonesia in 10 years.
A Singapore Minions Cafe has opened at Orchard Central – the first one to trade outside Japan.
Minions, the yellow cartoon characters who made their debut in the Despicable Me movies and have now spurned their own films, will host diners on the mall’s third floor until January 31.
The Minions said ‘bello’ – which is their language for ‘hello’ in five Japanese cities to coincide with the premiere of the Despicable Me 3 movie.
The themed character cafe has a menu with 14 options inspired by the movie characters. Exclusive movie merchandise will also be sold on-site.
The Singapore Minions Cafe popup is operated by Japanese cafe, The Guest Cafe & Diner, which collaborates with a different popular character every two to three months.
Singapore raised its economic growth forecast for this year to 3 percent to 3.5 percent after third-quarter data beat projections on the back of stronger exports and manufacturing.
Highlights of GDP Report
Gross domestic product rose at a seasonally adjusted, annualized rate of 8.8 percent in the third quarter from the previous three months, higher than an earlier estimate of 6.3 percent
Median estimate of nine economists in a Bloomberg survey was for 7.8 percent gain
GDP increased 5.2 percent from year earlier, the fastest pace in more than three years, versus median estimate of 5 percent
Economy seen expanding 1.5-3.5 percent next yearPrime Minister Lee Hsien Loong
A healing in global trade this year has helped boost export-reliant economies like Singapore’s, with manufacturing buoyed by demand for electronics goods. Growth has started to broaden out to other industries, such as services, giving economists and the government reason to upgrade their full-year projections. said earlier this week that growth could exceed 3 percent in 2017.
The trade ministry said on Thursday global growth is expected to improve next year, on the back of a pick-up in the U.S. and some emerging markets.
“We also see signs that the recovery is broadening,” with business services and retail looking better even though third-quarter growth was “primarily supported by manufacturing,” Loh Khum Yean, permanent secretary at the trade ministry, told reporters.
Manufacturing surged almost 35 percent in the third quarter from the previous three months, while the services industry, which makes up about two-thirds of economy, grew an annualized 3.2 percent. Construction continued to suffer, contracting for a third quarter by 5.3 percent.
Southeast Asia Boom
Growth has been surprisingly strong across Southeast Asia, with third-quarter data from the Philippines and Malaysia last week and Thailand this week exceeding forecasts, providing a more upbeat tone to the region as the U.S. Federal Reserve tightens monetary policy.
Jacqueline Loh, deputy managing director at Singapore’s central bank, told reporters the monetary policy stance from October remains appropriate and the regulator will continue to monitor developments. The Monetary Authority of Singapore left its policy stance unchanged last month, but gave itself room to tighten if necessary.
In a separate report, International Enterprise Singapore forecast export growth of 6.5-7 percent for this year, compared with a previous estimate of 5-6 percent, and estimated 0-2 percent expansion next year.
“The pace of growth of the Singapore economy is expected to moderate in 2018 as compared to 2017, but remain firm,” the trade ministry said.
— With assistance by Myungshin Cho, and Ailing Tan
UNITED Overseas Bank (UOB) has introduced two robots, or ‘virtual employees’, that will support its wholesale banking and retail businesses.
In a press statement to Human Resources, the bank said its first robot employees, named Amy and Eve, started working at UOB three weeks ago, and have since cut the time taken to process a transaction by more than half.
Amy and Eve have been taking on tasks that UOB’s human employees have found repetitive and time-consuming, allowing their human teammates to focus on more stimulating and challenging work.
Feedback from the robots’ human colleagues have been positive, with most noting that they have been helpful and productive.
Lim Ann Liat, managing director and head of markets and enterprise technology, group technology and operations, UOB, said: “By introducing robots into our workforce, we can improve our process using technology yet maintain a human touch. This also lifts the load off our people which in turn makes their jobs more fulfilling.”
UOB plans to take onboard more robots in the coming months for other processes such as card operations, cash management and trade and remittance.
Separately, in a whitepaper published today (Nov 23) by The Economist Corporate Network (ECN), it was reported that business leaders recognise the need for their leadership on automation and AI both inside and outside the company.
The paper, based on a survey and focus group interviews with CEOs and other C-suite executives based in the Asia-Pacific region, revealed that 81% of CEOs would lead by example and automate parts of their job.
According to the findings, CEOs find it difficult to clearly communicate their company’s automation and AI strategy to their employees.
Dr Florian Kohlbacher, ECN Director for North Asia, commented: “We are talking too much about the potential negative impact of AI and automation on the workplace. What is needed instead is a proactive discussion on how companies can harness technology in order to strategically manage the transformation and systematically shape the workplace of the future.”
Stores are upping the ante for Black Friday, the sales extravaganza that begins on Friday (Nov 24).
The yearly American shopping affair has gained traction in Singapore and both online and bricks-and-mortar stores are pulling out the stops to attract consumers to their offerings.
Country chief executive of Courts Singapore Ben Tan said: “Black Friday is one of the biggest shopping events of the year and a great platform to offer shoppers and bargain hunters unbeatable deals in both the online and offline space.”
He added: “This year, our Black Friday promises to be bigger and better with discounts ranging between 12 per cent and 90 per cent off the recommended retail price, across IT, electrical and furniture products, and we plan for this annual sales event months ahead as an integral part of our retail calendar.”
Courts began participating in Black Friday in Singapore in 2013, and signs advertising the event went up at its Tampines megastore on Thursday.
Other stores are lengthening their sales period to give customers more time to shop and spend.
All Robinsons stores will open at 7am on Friday and close at 1am on Saturday, instead of its normal opening hours of 10.30am to 10pm.
When Robinsons opened at 7am last Black Friday, queues had already formed outside its store at The Heeren before dawn. Robinsons then said the turnout was “overwhelming”.
Robinsons said the turnout last Black Friday was “overwhelming”, with queues already forming outside its store at The Heeren before dawn.
This year, Robinsons offers will last till Sunday, though the stores will resume their normal operating hours on Saturday.
A spokesman said: “Preparation for this Black Friday Sale has taken us around six months. We have also added more cashier counters and installed additional fitting rooms to cater to the expected increase in customer traffic across all three Robinsons stores.”
Other retailers are extending their sales periods to before Black Friday. For example, a Wing Tai Retail spokesman said: “Following overwhelming response to our offers last year, we are extending our main sale from two days to four days – so from Thursday to Sunday.”
Wing Tai’s brands here include G2000, Topshop, Topman and Dorothy Perkins, and the spokesman added that this year, Fox Kids and Baby will enter the fray for the first time.
Other stores participating in Black Friday for the first time include beauty firm Fujifilm Astalift. Fujifilm Asia-Pacific’s life science brand manager Joyce Foo said that the company plans to mark its first year by giving customers “a very attractive discount of 25 per cent storewide with a minimum purchase of two products”.
Other industry players are expanding their Black Friday discounts to the offline space. Harvey Norman, for instance,has lined up hundreds of offers across all of its departments at all its bricks-and-mortar stores, in addition to its website.
Some, however, are choosing to limit their promotions to their websites despite their bricks-and-mortar presence.
Managing director of Gain City, Mr Kenny Teo, said: “We are running Black Friday specials on the Gain City website as we believe there is more traction for this campaign via e-commerce.”
He said that for the home-grown electronics chain, “more people are willing to purchase bigger ticket items such as washing machines and refrigerators on our e-commerce website. This is in stark contrast to many e-marketplaces which tend to see smaller cart values and smaller ticket items being sold”.
Pure e-commerce players want a slice of the pie too, with retailers such as Qoo10, Lazada and Beauty Carousel making more products available for the promotional sales period. Ms Cindy Leong, assistant manager of sales and marketing at Beauty Carousel, said: “We have expanded the categories for the Liberta Armpit Care Range, now covering all needs from head to toe.”
However, not everyone is taking part in the sales frenzy, such as furniture giant Ikea.
An Ikea spokesman said: “Low price has always been a part of the Ikea offer and we aim to provide a wide range of well-designed, functional home furnishing products that are affordable to as many people as possible.”
He explained that the store constantly strives to reduce prices yearly, saying: “This way, we are able to offer low prices all year long, and will not participate in one-off discount events.”
For those looking to snap up the best Black Friday deals, the Wing Tai Retail spokesman gave some advice.
“Shop early. Very often, you get the best selection and offers on the first day of the sale.”
Beauty Carousel’s Ms Leong went further, saying: “We recommend that consumers act fast to secure their purchases as products may sell out within seconds.”
Emirates Leisure Retail (ELR), has expanded its growing footprint across Asia with the launchof Tiger Den at the new Terminal 4 in Singapore’s Changi Airport.
The new opening follows ELR’s expansion strategy into the Asian market, which is committed to elevating the travel experience and bringing world-class dining experiences to international and domestic air passengers. Tiger Den adds to ELR’s existing portfolio of outlets at Changi Airport including Pret a Manger, Kitchen by Wolfgang Puck and Hudsons Coffee.
Paying tribute to Tiger Beer’s strong street food heritage, the 150 square-metre venue serves the lager as well as locally inspired hawker-style dishes such as Chili Crab Bao Bun, Keema Nachos and Beef Yakitori skewers.
Commenting on the opening, Kevin Zajax, COO of ELR, said: “We are extremely proud to continue our partnership with Changi Airport Group and delighted in establishing a new partnership with Asia Pacific Breweries in the region. The launch of Tiger Den, as a global first, showcases ELR’s expansion commitments and continued growth.”
Teo Chew Hoon, Group Senior Vice President of the Airside Concessions Division at Changi Airport Group, said: “The opening of Tiger Den adds to the variety of dining experiences we offer our passengers at Changi Airport. Passengers will be delighted with Tiger Den’s extensive range of Tiger Beers served fresh from a custom-built draft beer system, and their locally-inspired food selection. We hope to bring a new experience through this partnership with Emirates Leisure Retail by showcasing an established brand that resonates with travellers and locals alike.”
Dubai-headquartered ELR manages and operates around 300 outlets, with 80 airport premises catering to hundreds of millions of passengers every year.
Low-cost airline AirAsia is opening two international routes from Singapore to Medan and Padang, respectively.
The new round-trip flights will be available on Feb. 9, 2018.
“We are interested in opening [new routes] in Tourism Ministry’s 10 Priority Destinations. We are currently assessing Silangit, Padang, Belitung, Labuan Bajo and Raja Ampat,” told AirAsia Indonesia commercial director, Rifai Taberi.
Each of these routes will have seven flights in a week (one flight per day) using Airbus A320 that has the capacity of 180 seats.
The flight time from Medan to Singapore will be at 05:50 a.m. and arrive at 08:15 a.m. while the flight from Singapore to Medan will be at 12:35 p.m. and arrive at 01:00 p.m.
For the Padang – Singapore route, the plane will depart at 09:40 a.m. from Padang and arrive in Singapore at 11:55 a.m. Meanwhile, the flight from Singapore will depart at 08:55 a.m. and arrive in Padang at 09:15 a.m.
Promotional tickets for these new routes are priced at Rp. 479,000 ($35.38) for Medan – Singapore route and Rp. 599,000 for Padang – Singapore route.
Moreover, AirAsia is re-opening the Jakarta – Medan route and will be available on Feb. 9, 2018 with a promotional price of Rp. 659,000. These promotional fares are for flights between Feb. 9 until Nov. 21 next year.
With the new international routes, AirAsia will have seven routes that connect Singapore and Indonesia. For domestic flights, AirAsia currently travels to-and-from Jakarta, Bandung, Semarang, Yogyakarta and Denpasar.
KKR & Co-backed Emerald Media led a US$65mil funding round in aCommerce, a Bangkok-based startup that helps brands including Samsung, Unilever and L’Oreal sell their products online across South-East Asia.
The four-year-old firm, which already operates in Singapore, Indonesia, Malaysia, Thailand and the Philippines, plans to use part of the proceeds to expand in markets such as Vietnam.
The firm’s existing backers Blue Sky, MDI Ventures and DKSH also joined the series B round, the company said.
aCommerce helps about 260 companies such as Samsung Electronics Co and Unilever NV with digital marketing, inventory and delivery for online sales in the region.
“Brands are realising that in order to stay ahead of the retail game, they need to be omnipresent,’’ said aCommerce co-founder and group chief executive officer Paul Srivorakul.
“Customers want to reach their favorite brands any time through any platform.”
The deal marks Emerald Media’s first foray into e-commerce.
Emerald Media was set up by New York-based private equity giant KKR in 2015 to invest in media, entertainment and consumer technology in Asia.
KKR has committed US$300mil from its KKR Asia Fund II, and in June, the firm raised US$9.3bil for its third Asian fund to capitalize on the region’s growing consumption.
“In e-commerce, we see a great deal of convergence in the future between demand generation, data analytics and consumer media and entertainment,’’ said Rajesh Kamat, managing director of Emerald Media.
“aCommerce, an e-commerce enabler, fits our mandate perfectly.’’
Emerald is the latest investor to bet on South-East Asia’s online retail industry, poised to surge from US$5.5bil in 2015 to US$88bil by 2025, according to a report by Google and Temasek Holdings Pte.
Amazon.com Inc., Alibaba Group Holding Ltd, Tencent Holdings Ltd and JD.com Inc have made inroads in the region’s burgeoning industry in the past year.
While the US formulated online super sales, such as this week’s Black Friday, Asia has adopted the concept with a vengeance.
In fact, China has increasingly been exporting Alibaba’s Singles Day (11.11) event, which this month racked up a massive US$35 billion in sales. November is the favoured month for this new consumer mania, offering the Singles Day, Black Friday and Cyber Monday sales.
Both Black Friday and Cyber Monday themselves have been catching on in the Asia Pacific, growing by 29 per cent last year, according to global payments company WorldPay.
It says that despite forking out $17.8 billion on Singles Day last year, Chinese consumers still went hunting Black Friday bargains, with overall spending on the day up by 37 per cent from the previous year. In Hong Kong, the rate of growth was 32 per cent, and in Singapore 21 per cent.
While retailers are among the biggest Black Friday winners, new WorldPay data suggests this year could also be a great opportunity for savvy APAC businesses in the travel and digital sectors. In Hong Kong, spending with travel and airlines saw a 30 per cent surge last year, with Singapore figures up 20 per cent as travellers jumped online to search for flight and hotel deals.
Not just retailers
Shoppers are also increasingly seeking out bargains for digital content such as subscriptions, e-books and on-demand box sets. Black Friday spending in this sector last year grew 62 per cent in Hong Kong and 14 per cent in Singapore.
Not just retailers can benefit from Black Friday, but also a range of e-commerce businesses, says WorldPay Asia Pacific GM Phil Pomford.
“While Black Friday and Cyber Monday have typically been the realm of retailers, a more diverse range of businesses are now recognising they can also take can take advantage of this special online opportunity.
Shoppers during this time are highly engaged, proactive and looking for a wide range of online deals, so the potential to reach new customers and strengthen brand loyalty is huge, regardless of sector.
“E-commerce businesses should set themselves up for success by ensuring their websites are prepared for heavy traffic, and offer simple payment options to drive shopping-cart conversions. They might also consider following the example of Amazon and kickstart Black Friday deals a week early.”
Black Friday online sales surpassed $3 billion last year and are expected to rise this week, says Adobe Digital Insights, as buyers seek to avoid long queues and lost hours in retail stores.
In Southeast Asia, Google searches for “Black Friday” have surged over the past five years, and 12 months ago major offline/online retailers like Robinsons, Sephora and Zalora offered generous discounts for the event.
“Many industries rely on this event to make up a large portion of their fourth-quarter sales, in particular toys and games,” says Euromonitor International senior toys and games analyst Matthew Hudak.
‘Sure to jump on’
Digital campaign company RTB House says Black Friday last year attracted 106 per cent more people to online stores, with 204 per cent more transactions.
“We anticipate conversion rates surging this time,” says RTB House Southeast Asia country director Chandra Kuncara. “Customers who missed out on Singles Day will be sure to jump on this event.”
He says personalised retargeting is an important selling tool during Black Friday. With AI technology and deep-learning algorithms, marketers can highlight most-desired products for each individual customer.
More purchases mean more packages being shipped, and international courier service FedEx is again expecting to handle a record number of packages over the peak holiday shopping period, which starts on Monday and runs to December 24. This year it is expecting 380 to 400 million packages.
The growth of cross-border e-commerce is turning the peak shipping season into a global phenomenon, says FedEx. For instance, 37 per cent of Singles Day purchases in China last year were from international brands or merchants. Cross-border shopping is expected to make up 20 per cent of e-commerce sales by 2022, led by Asia Pacific.
“While an online purchase takes just a few clicks, logistics providers are working hard behind the scenes powering every moment,” says FedEx Express AsiaPacific president Karen Reddington. “Our business is the backbone of the e-commerce market.”
Meanwhile, while shoppers scramble for Black Friday bargains this week, outdoor retailer REI is closing its 154 US stores for the third consecutive year, offering its nearly 12,000 employees a paid holiday. It is truly going against the tide by also putting a hold on online orders.
