South-East Asia is a subregion of Asia, consisting countries
south of China and east of India. This region has experienced high economic
growth over the last decade but remains one the less developed parts of the
world.
E Commerce has tremendous potential for growth in this
region. Despite internet penetration of 25 percent and as high as 40 percent in
certain markets, E Commerce still accounts for less than 1 percent of the total
retail market whereas internet advertising accounts for less than 3 percent of
all advertising. The leading market of ecommerce is Singapore (at $1.7 billion
revenue), the tiny and prosperous island state located at the tip of the Malay
Pensinsula. The market is also growing in other regions like Indonesia and
Thailand, but significant challenges exist in those countries, partly due to
the poor logistics infrastructure. Many
companies such as A Commerce and Singpost have attempted to fill the void by providing
end to end solutions, which involves building a robust digital and logistics
infrastructure.
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