21 May - 3 min read
Shopee revealed that it has generated about RM1 billion worth of sales for the country’s economy through its collaboration with various ministries, governmental agencies, associations, and state governments. In addition to this, the e-commerce platform has also helped more than 100,000 local micro, small, and medium enterprises (MSMEs) bring their businesses online since the first movement control order (MCO) in March 2020.
In a statement, Shopee said that the strategic partnerships with the public sector were struck with the aim to help the business community recover from the Covid-19 pandemic, particularly local MSMEs and petty traders. On top of offering special aids to help new sellers kickstart their digitalisation journey, Shopee also provided benefits – such as discounts, cashback vouchers, and advertising credits – to stimulate sales for its merchants.
Some notable campaigns born from these partnerships included Kempen Beli Barangan Malaysia with the Ministry of Domestic Trade and Consumer Affairs (KPDNHEP), as well as the PENJANA MSME E-Commerce Campaign and PENJANA Shop Malaysia Online initiatives with the Malaysia Digital Economy Corporation (MDEC). Several state governments, too, have launched platforms such as the Johor e-Marketplace, Penang e-Mall, and Selangor eBazar Raya.
“The results of these meaningful partnerships show how the public sector teaming up with private entities like Shopee can yield tangible and sustained impact on Malaysia’s digital economy. By merging valuable insights and funding for sellers from our partners, along with our suite of integrated services and features like logistics, payments, Shopee Livestream and free Shopee University classes, we were able to help the local MSMEs achieve alternative sources of income and sustain livelihoods,” said the regional managing director of Shopee, Ian Ho.
Despite these achievements, Ho also emphasised that the collaborations must be prolonged for greater impact. He said that although Malaysia’s digital economy has certainly been accelerated by the pandemic, the country’s e-commerce contribution to total retail is estimated to stand only at 7% in 2020 – a number that pales in comparison to many other countries. China’s e-commerce, for instance, is valued at approximately 40% of its total retail, whereas the global estimate stands at 16%.
“As we can see, the digitalisation of the retail industry is still very much at its infancy, but we remain steadfast on capturing the potential of the Malaysian economy with its solid infrastructure and business-friendly environment. We hope to build on the current momentum and success of our partnerships with the public sector to not only grow Malaysia’s digital economy but also help with the revitalisation of the country’s larger economy,” Ho added.
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