JAKARTA (TheInsiderStories) — AllSome Fulfillment, cross border e-commerce fulfillment for modern online sellers, has secured US$1.94 million of seed funding led by East Ventures, said the fund manager today (08/07). It said, with the fresh funding will accelerate AllSome’ mission to support effective cross-border e-commerce fulfillment needs.
The company also aimed to and expanding its network to other countries across Southeast Asia (SEA), including Indonesia.
The e-commerce player was established in 2018 by Malaysian Ng Yi Ying and Chinese national Liu Yi Shu. The two founders first met back in 2012 when Ying, a former SAP consultant in Malaysia, was pursuing her Master degree at Tsinghua University, China.
Shu, who was then her landlord was working at Amazon China. They both discovered the huge potential of cross border shopping and started their first venture together as an online seller to bring colorful product selections from China to Malaysia, Singapore, and Thailand.
Followed by the growth of the business, the founders then suffered from a huge gap in cross border logistics. Ying explained how cross-border logistics is expensive and could take up to 45 percent of the product’ capital.
Furthermore, the delivery process also hugely problematic. 30% of the ordered items were shipped wrongly, either the wrong size or defective. These problems still exist until today.
All the hassles they faced then inspired them to build AllSome for merchants. The startup is made to act as an in-between for sellers and buyers who respectively buy and sell products from sources overseas, particularly China.
Their service removes all the painful steps for sellers from sourcing international suppliers, offshore quality assurance, secured storage, pick & pack, door-to-door delivery, and parcel tracking feature.
For end-buyer, AllSome eliminated the need to visit multiple websites to keep track of their deliveries as the service allows them to tie their various shipments to their phone numbers.
The company aimed to reduce cross border fulfillment and logistics cost by at least 40 percent to help online sellers in attaining more profit. Today, the company has established a network of 250 virtual warehouses in China and Malaysia and served 50 clients across Southeast Asia. On a daily basis, the company could handle 120,000 parcels deliveries.
Bridging the cross-border of China and SEA
For many countries in SEA, overseas purchase is an old story. According to Consumer Barometer, two out of three Singaporeans purchase products online from overseas, followed by Thailand where 49 percent of the consumers have made international purchases. In Indonesia, 43 percent of imported goods come from China.
Cross border e-commerce is catching its momentum in Southeast Asia. In a report published by Accenture, the cross border B2C e-commerce market in the Asia Pacific has the potential of up to $476 million in 2020, covering 31 percent of the total B2C e-commerce market.
Shu commented, “Southeast Asia e-commerce market is as promising as China, fast-growing and exciting. But, at the same time, it’s very challenging too. Countries in the region are fragmented in term of geographic distribution, culture, and preferences.”
Therefore, she added, the market requires effective localized logistics solutions to cope with the rapid movement of goods while offering high flexibility to support all types of use cases.
With this fresh fund, AllSome is expanding to Indonesia, the largest country in the region with huge e-commerce potential. One of the main reasons is due to its big population and stable economy. Google and Temasek predicted that e-commerce market in Indonesia will reach $53 billion in 2025.
Melisa Irene, Partner of East Ventures says,” AllSome Fulfillment team is building the right playbook to accelerate and optimize the supply chain of SEA online retail market by instantly enabling SEA online sellers to access product sourcing and logistics expertise from China, and building decentralized local fulfillment capability, this will unlock the true potential of commerce in the region.”
Written by Staff Editor, Email: firstname.lastname@example.org