In 2017, Singapore recorded a boom in its e-commerce industry. 3 out of 5 Singaporeans shopped online. One of the reasons behind the increasing online sale in Singapore is the increasing number of people using the Internet. The stunning growth of the e-commerce industry in Singapore as seen in 2017 is due to the massive sale of $250 million from Lazada from its own online revolution campaign. The entry of Amazon into the Southeast Asia market through Singapore also contributed.
What’s there for online sellers in the coming years?
The current trend indicates that 60% of Singapore’s residents research products online before making a buying decision. Lazada, Amazon, and Qoo10 are amongst the top 30 most visited online shopping websites across the Southeast Asia region.
This provides a unique opportunity to online sellers in Singapore to flourish as the e-commerce market revenue per user is expected to reach $1,022 by 2021. With this, the Singapore e-commerce industry will be at par with Australia and Canada.
Like each year the major e-commerce companies will be offering huge sales during the upcoming shopping & festive seasons. The big sale days are a great opportunity for all online sellers and merchants to take advantage of and sell more and increase their profits. The festive sale each year starts with a 9.9 Sale organized by all major e-commerce companies like Lazada, Qoo10, Shopee and continues till the year-end. The online sellers should keep a watch and be prepared for the upcoming sales in the region – 10.10, 11.11 which is singles day and 12.12 will be amongst the biggest sale day in Singapore. E-commerce companies will launch special marketing campaigns during the entire sale season to help their merchant’s reach more online shoppers.
What can online shopping stores do to be prepared for the upcoming sale season?
Manage online stores/websites– For the online store owners, it is a must to manage the store website and assure that it is a safe and secure platform for the customers to buy the required products. E-commerce store setup would definitely require strategy and logistics. Making your product pages on your e-commerce website is impressive and easy to navigate. Plan the product listing in a way that it will attract customers’ attention to your discount offering than the actual product price. Manage your stores and list all required items to avoid last minute rush.
Inventory Management– Online stores need to be prepared with their stock considering the arrival of any festive season. This will be useful during peak shopping events such as the Great Singapore Sale, Black Friday, 11.11 and 12.12. It’s a good idea to forecast the current stock and required stock during the festive time. Do some past trends research for the customer’s likes and dislikes and preferences during the season and plan your inventory accordingly. There are many software’s available which can help in providing a forecast of items to be stocked. Understand the popularity of your products in the market and get prepared. Make sure you don’t get out of stock.
Marketing Strategies – Any retail store needs to create a brand image using appropriate marketing strategies to reach a wide range of audience. Make sure you have your marketing campaigns planned before time and start promoting the products & create excitement amongst your target audience regarding the huge discount they can enjoy during the sale season. Another useful tip to keep in mind is to maintain a good social media presence and push out the product offers, discount coupons on your Facebook page or shoppers group.
Business Funding – Capital, if arranged on time, can make the business else it can break the business. Most of the small businesses fail to grow because of the lack of initial funding. Keeping the funding ready to manage your online store, the marketing strategies and the inventory would do wonders for online sellers. You as a seller will need business funds for so many reasons, important being –
- Getting the stock you need be it raw material or finished goods. You will need a good inventory management to make sure you have enough to meet the demand of your target market.
- To manage your regular payments like salaries, rent, transportation, storage etc.
- To manage payment gaps from your customers and vendors
- Lastly, you need to plan your marketing and promotions budget
Are you a start-up in Singapore and do you require small business funding to set up your online store?
Consider the following funding options,
Invoice factoring– Turn the unpaid customer invoices in fast cash. Use invoice factoring that doesn’t require collateral as it is unsecured financing.
Line of credit– Consider credit line funding that allows you to draw funds until you have reached the credit limit. Finaxar’s Merchant Credit Line funding is tailored to meet the needs of online sellers just like you. It is a ﬂexible line of credit that allows you to draw down funds on a ﬂexible basis for short-term, especially if you don’t have enough accounts receivables.
Finaxar provides fast, secure and hassle-free funding options, especially merchant funding for online sellers. Higher credit limit, paperless approval of funds within minutes, simple transparent pricing and hassle-free online platform to access different small business funding options, are some of the key reasons why you can opt for Finaxar.