The document provides an overview of e-commerce, particularly in Malaysia, highlighting various business models, platforms, and emerging trends. It emphasizes the importance of building a branded store and leveraging online marketplaces, while also discussing consumer behavior and preferences. Key takeaways include focusing on customer service, identifying niche markets, and the significance of payment gateways in facilitating online transactions.

1. Introduction to eCommerce

2. Hi, I’m Adrian Oh
* 1997 Jit Sin BM Boy
* 2002 UTM Comp Sci
* CNET Malaysia 1st
Intern
(also last)
* Join OYLM sell air cond
online (crazy)
* Co-founder of webShaper,
eCInsider (previously known as
ecommercemilo)
* Founder of Zetpy, MECA
I see myself as a builder, I like building
things & passion about Retail,
eCommerce & Internet.
Hi, I’m
Adrian Oh

4. Hosted, SEO Friendly eCommerce Platform empower you to
Build your own branded store + Sell Multichannel

5. webShaper – The Best of both worlds
Empower You to Build Own Branded Store, Get Sales from
Marketplaces, and Sell Offline too.

6. Zetpy - Sync to Malaysia Top 4
Marketplaces

10. Types of
eCommerce

11. 1.B2C
2.C2C
3.B2B2C
4.O2O
5.Mobile 1st

12. New retail
ONLINE OFFLINE LOGISTIC
C2B
NEW RETAIL

13. Wal-Mart Stores Inc -> Walmart Inc
(effective February 2018)
Walmart CEO Doug
McMillon said in a
statement that he felt the
name change was
needed to be
“consistent with the
idea that you can shop
us however you like as
a customer.”

14. Marc Lore (CEO, Walmart eCommerce)
views retail as increasingly channel
agnostic and Walmart, with its many points
of distribution, is experimenting with a
variety of methods to get product to the
customer.

16. E-Commerce
Current State in
Malaysia

17. ~700 parcels daily
going into Taylor’s campus via online shopping
What’s happening on the real world?

18. Current State E-Commerce history & milestones in Malaysia
Source: ecommercemilo.com
Wave 1 Wave 2 Wave 3
Air ticket craze Deal sites clones Marketplace battle
E-Commerce 3.0

19. Current State New e-commerce ventures (marketplace) in 2015 / 2016
New Marketplace New Venture / Joint-Venture by…
Sin Chew
(#1 Chinese Newspaper)
Astro
(#1 Satellite TV)
GS Home Shopping
(Korea)
Celcom
(Top 2 Mobile Carrier)
SK Planet
(Korea)
Hong Leong Bank
(#4 Bank)
New Marketplace /
TV Shopping / Mobile in
2015 / 2016

20. Category Retailer Own Online Store
Grocery
Giant No
Tesco Yes
AEON Big No
Convenience Store
7-Eleven No
KK Super Mart No
99 Speedmart No
Departmental Store
AEON Hampers only
Parkson Yes
The Store No
Apparel & Footwear
Padini Yes
Bata Yes
Kamdar Yes
Electronics & Appliance
Senheng Yes
Harvey Norman Yes
Best Denki No
Health & Beauty
Guardian Yes
Watsons Yes
Caring Pharmacy Yes
Beauty Specialist
The Body Shop Yes
Sa Sa Yes
L'Occitane Yes
Home & Garden
IKEA No
Courts Yes
ACE Yes
Jewellery & Watch
Poh Kong No
Tomei Yes
City Chain No
Bookstore
Popular Yes
MPH Yes
Borders Yes
Pet
PetsMore.com Yes
Pets Wonderland No
Pets Lover Centre No
Sports
Al Ikhsan Sports Yes
Takasima Yes
Royal Sporting House No
Current State More leading retailers are offering online shopping services
More than 60% of top retailers
in Malaysia are doing e-commerce
(own online store or join
marketplace)

21. Current State A closer look on Marketplaces & E-Tailers
Platform (Marketplace)
B2B2C
Deal Sites Foreign
C2C Mobile Classified
E-Tailers (B2C / Specialty Store)
Electronics Grocer
Fashion Beauty
Others
Ticketing
Airline Movie
Travel

22. 2015 Shopping Trends in Lazada…
#1 - 81% of Lazada customers are outside of KL

23. 2015 Shopping Trends in Lazada…
#2 - Category shift from Electronics to others

24. 2015 Shopping Trends in Lazada…
#3 - >50% of Lazada customers are >30 years old

25. 2015 Shopping Trends in Lazada…
#4 - Mobile first and brand savvy shoppers

26. 11.11 Day 2017
LAZADA SEA
• $123 Million Lazada SEA
• 6.5 Million items
• 70% orders placed on mobile
• 3x 2016 results
• 1400 orders per minute (peaked)

27. Lazada Malaysia - Did ~RM111 Million
(real numbers)
Top 3 categories:
Groceries, Baby & Toys, Electronics
Top 3 Products:
Petronas Fuel Card
Milo 2.2Kg
Pineng Powerbanks
In 24 hours
34,000 smartphones & tablets sold
32,000 baby diapers sold
Lowest Price item: 81 sen (Tiger Biscuits,
60g)
Highest Price item: Samsung 75” UHD TV

30. Sell on marketplace
or own branded
store?

31. Marketing Know-how
Product Knowledge
High
High
None /
Low
Your own branded store
Open store in marketplaces
Find your niche
Open store in marketplaces
Find marketing experts
Should you start?
What business model to start with?
None /
Low

32. Universal
Formula for
eCommerce

33. Online Sales
($$$)
Unique Visitors
(UV)
Conversion
Rates
(CVR)
Avg Order
Volume
(AOV)
= X X
2.5x 1.2x 1.0x3x
3 times sales!
Universal Formula for eCommerce

34. Metrics Month 1 Month 2 Month 3 …
Product # 100 120 144
Unique Visitors 5,000 6,000 7,200
CVR (%) 0.50 0.50 0.50
Order # 25 30 36
AOV (RM) 200 200 200
Total Sales (RM) 5,000 6,000 7,200
Total Margin (RM) 1,000 1,200 1,440
…
What is your target MoM, YoY growth?
+20% MoM +20% MoM +20% MoM
Start a biz plan with numbers, grow traffic and
sales

35. Payment Gateways

36. What is Payment Gateway?
a Payment Gateway is what allows a
shop or seller to accept credit cards
and other forms of electronic
payments online.

37. CPT vs CNPT
CPT
•Chip + PIN
•Chip + Signature
•Contactless (NFC)
•Magnetic
CNPT
•@Internet
•Mail Order
•Telephone Order

38. How to pick your payment gateways?
Selling Online is all about Building Trust.
Some Considerations
– Who am I selling to? What's the targeted market
(Country)?
– Is the payment gateway service provider well known
and perceived as trustworthy in my targeted market?
– Currency my targeted market use? Multi currencies?
– Card Type?
– How soon can I get the money in my bank account and
would it affect my cash flow?
– Limit per accounts?
– Settlement Currency?

39. Quick Tips
1) International? Pick a renown international
payment gateway
2) Locally (Malaysia)? Pick one that can
process RM and have it bank-in to your account
fast!
3) Sell to both? Apply multi-currencies account.

40. Basic Features
The basic feature supported:
– Currency Type
– Card Type
– Reporting
– Merchant Account
– API (Application Programming Interface)
Extra
– Recurring
– Email Payment

41. Established Malaysia Players

42. • Pick your niche
• Keep it simple
• Domain
• eStore platform (like webShaper: multi
channel)
• Sign up PayPal + Local payment gateways
• Upload 50 to 100 products
• Test, Promote, Launching Promo!
• Encourage review (WOM)
How to start?

43. Either you are BIG, or you
are small (focus) !!!
(Don’t stuck in between!)
Pick your niche

44. Big: What $1Billion a year look like

45. An overview of what is big…
really damn big

46. Even have robots…
NOT R2D2,
but Kiva Bots

47. The Long Tail

48. • Go VERTICAL, Go DEEP. Do it better than
anyone else. Even small can thrive big time.
• Eg Clothing > Mens Clothing > Underwear >
G-string > 2000 designs available.
Find your niche, tell your story

49. But you have 1,000 different type of
coffee beans selections on your eStore…
Or if you just selling coffee beans

50. Tips to hit Online Success
* Don’t compete on price.
* Provide Excellent Customer Service.
(Then word of mouth get you more
business)
* Customer Service is an investment.
* Start Small, Stay Focused.
* Don’t worry about competitors.
* Don’t forget to have fun!

51. 6. Focus on Building Customer Base
Zappos.com Top 10 Lessons
“Lesson #1 – The e-commerce Business is built on
Repeat Customers “
* Key Success = “Customer Repeat Purchase”.
a Grow your customer base
b Provide Excellent Customer Service
c Then your profits will follow.
Build your customer base

52. More Tips…What’s your values?
A list of possible values
Always Low Price Everyday reliability
Hard-to-get No-fuss return
Widest Selection Best Customer Service
Exclusivity Customization
Expertise Free Shipping
Design Safety
Fast Shipping etc
Genuine Products

53. • Just do it, learn and think while you
are doing it.
• For low cost setup, start with
marketplace for traffic and trial run.
• Then, consider building your own
branded webstore.
• You should own your domain - that's
your brand.
• Once you find the right model - grow
it, and must aim for size (volume).
How to start? By pchome CEO

54. • Stocks
• Easily pay for it
• Speedy delivery
• Surprises (good one
only, please)
• Good Customers
Service…
What online buyers want?

55. What is Good Customer Service?

56. • Products must have USP
Product: 1 key to success ecommerce
juicy
Special
shape
Free wet tissue
No preservative
Nitrogen
packaging

57. • Multiple View Images
• Sell Benefits
• Stock availability
• Top reasons to buy?
• Scarcity -> Desire
• Videos
• User comment?
• Reviews?
Great Contents is your Top Salesman

58. Common mistakes to avoid
• Build and Customers will come
• Try to be perfect
• Traffic is NOT Free
• Product Sourcing is not important
• No opening Promo, No values

61. “F” our page now!
Facebook.com/webShaper
Facebook.com/ecInsider
Facebook.com/Zetpy