Euromonitore Research Reveals Shopee Secrets Leading E-Commerce Market

Photo: Doc. Antara

JAKARTA - Euromonitor's research entitled "Top 100 Retailers in Asia 2022" reveals that Shopee has succeeded in becoming the 'North Asian Retail King', after occupying the top position of the list of 20 largest retailers in Southeast Asia.

Shopee reportedly managed to carve the sales value of 16.06 billion US dollars or around IDR 240.5 trillion, leading above Tokopedia in second place (USD 12.88 billion or around IDR 192.8 trillion), Alibaba Group in fourth place (8.09 billion US dollars or around IDR 121.1 trillion), and PT Sumber Alfaria Trijaya, the parent company of Alfamart which occupies the fifth position (USD 6.68 billion or around IDR 100 trillion).

Euromonitor said the title was achieved thanks to the success of a different approach to each country or in other words the implementation of a localization strategy, which aims to be able to market products according to the tastes and preferences of consumers in a more specific region to maximize sales.

This strategy was then implemented by Shopee through three programs, namely assistance for sellers through Bimbel and UMKM Campus, Thematic Campaign accompanied by free shipping fees, as well as complete sales features that make it easier for users and sellers to transact.

Shopee understands that digital skills training still needs to be done with a face-to-face system to help sellers in various regions in Indonesia with different abilities so that they can advance to class. The solution, Shopee opens the Bimbel Shopee program and the Shopee MSME Campus in various regions.

For buyers in Indonesia who are sensitive to prices, Shopee also often provides attractive offers through thematic campaigns such as 9.9 Super Shopping Day and Big Ramadan Sale.

The Thematic campaign is a flagship weapon from Shopee that is presented to users, both sellers and buyers every month. In fact, research from the IPSOS research institute in 2023 shows that thematic Campaign is one of the main factors that makes Shopee the main choice of users.

Shopee also continues to provide additional support in the form of Free Shipping promotions and Storm Vouchers which help increase transactions in seller stores by increasing shop traffic and increasing conversion to sales.

The Batik Ruzza online store is one of the MSMEs that has felt the positive impact of the localization strategy implemented by Shopee. Batik Ruzza itself has joined Shopee since 2015.

Batik Ruzza owner, Arif Budiyanto, said that he initially downloaded Shopee for shopping. But in the end, he tried to develop the batik business digitally at Shopee.

In the early days of Batik Ruzza selling at Shopee, Arif was given assistance and education in understanding various features in the Shopee application by the community team through the Bike Shopee program.

After understanding the feature, the sale of Batik Ruzza continues to increase and buyers are increasingly believing in their products. Arif also admitted that he was grateful for the assistance from Bimbel Shopee.

"So why am I still selling at Shopee today because there is a connection between the seller and Shopee through the Shopee Bimbel from Shopee team-mates who really like to guide and receive my complaints for sales," said Arif, quoted Friday, July 14.

Almost every month, Arif also participates in the Thematic Campaign held by Shopee. He got his biggest turnover every campaign in the month of Ramadan.

"The most important thing is the Ramadan Month Campaign, our sales (Ruzza Batik) can jump many times until they run out of stock," said Arif.

In addition, said Arif, Batik Ruzza also participated in a campaign of twin dates and flash sales which he said really helped increase shop traffic and sales.

"I never forgot and didn't have time to join (flash sale and twin dates), yes, the result is that there is a decline in sales, and it is quite felt," he added.

Pioneering business since 2015, has honed Shopee's skills in understanding the needs of customers in various countries, including Indonesia.

The success of Batik Ruzza in developing online business is proof of the success of the localization strategy implemented by Shopee.

Products and services that have been adjusted to their market share in Southeast Asia, especially in Indonesia not only named Shopee as the marketplace of choice for the Indonesian people, but also succeeded in bringing this oren marketplace platform to its top position in Southeast Asia.