malaysia online shopping trend
DESCRIPTION
Exabytes eCommerce Conference 2014 Malaysia Online Shopping Trend by Wilson Quah (MilkADeal)TRANSCRIPT
Daily Deals & E-commerce
Wilson QuahCo-founder
Group of Websites
• MilkADeal - Daily Deals (est. 2011)
• HiShop.my - Beauty & Skincare (est. 2011)
• White.my - Household (2012 - 2013) - RIP
• Jane Holli - Female Shoes (est. 2014)
Co-founders
Wilson Quah
Shaun Lee
The Journey
My Perspective
Before MilkADeal
• WineActually was running for ~6 months
• Inventory - part bought, part just-in-time
• RM20k monthly in sales (mostly wedding wines)
• No marketing dollars - rely on FB and videos
• Fraud cases
Daily Deals• Groupon made it famous
• Offer services on discount - only ON when minimum achieved
• e-commerce wave no.2 (after Air Asia)
This is what customers see, very high tech right?
Awesome
• One Deal per Day
• No inventory risks
• Pay only when consumed
• Sales & subscribers explosion
First Problems
• Not much choices
• No structured marketing
• Undersold
• Oversold
• Need more money to grow
First Pivot
Behind the modelApproach to
featureCollect
VouchersPayme
ntCollect
VouchersPayme
nt
KEEP REPEATING
More Problems
• Reliant on service deals
• Tedious - hire despatch
• Hard to Scale - expensive
• Disputes
• Customer Dissatisfaction
• Hype declining
Attempt to Solve• Reliant on service
deals
• Tedious - hire despatch
• Hard to Scale - expensive
• Disputes
• Customer Dissatisfaction
• Hype Declining
• Product Deals
• New Payment Structure
• MilkADeal Affiliate Program (MAP)
• Refund Policy
• Spending on Marketing
By End of 2011
• Product Deals - shorter turnaround time
• Tedious Process? - automation
• Marketing? - vigilant tracking
• Grants - Cradle CIP500
HiShop.my
HiShop.my
• Just-in-Time Inventory Model (Slow turnaround)
• Hard to acquire well-known brands
• Founding Team Left
HiShop.my
What about MilkADeal?
New problems
Slow Redemption
Restrictions & Rules
There’s always competition
New problems
Warehouse / Inventory
Management
SuppliersNon
Fulfillment
New problems
Growth / Sales
Decline
Dissatisfied Customers /
Return Products
An example - redemption
Products Redemption
Unclaim Rate Repeated Entries
via Google Forms Very High Very High
via MilkADeal Form after Checkout
Medium None
via MilkADeal Form before
CheckoutNone None
Where are we now?• Somewhere between marketplace & daily
deals
• 95% Products, 5% Service
• 3 types of suppliers:
• Stocks with Us (Express Next Day)
• Stocks Not with Us (5 WD after deal ends)
• Just In Time (21 WD after deal ends)
Where are we now?
• >200,000 registered users
• >1,500 deals per day (MilkADeal)
• >3000 SKUs (Hishop)
• >300 Suppliers - stock with us
• New Site - Jane Holli
• Next Day Delivery
The Near Future?
• Faster Fulfillment Cycle
• Better Products
• More Choices
• More Channels
• Better LogisticsWe Are Still
Learning