Logistics firm eyes e-commerce boom
E-COMMERCE will boost the value of logistics business to Bt2.4 billion this year, according to a forecast by Shippop, a logistics start-up that entails several transport and logistic companies to deliver all online purchases. The firm expects to become No 1 for one-stop logistic services across Asean in 2020.
Sutthikead Chantarachairoj, the chief executive officer of Shippop, said the firm has the role of being an e-logisticS services and shipping gateway with application programming interface (API) that combine all logistics services in one place to support e-commerce shops, businesses, small and medium enterprises, and people who want to deliver their products to destinations nationwide.
The services will allow users who want to deliver their products to choose logistics providers with cost savings of 30-50 per cent compared with the general logistics price in the market.
Whenever users choose logistic provider, they can print out the name and address of the receiver from their computer and pay the logistics fee via credit card. Then the logistics provider will pick up the parcel post at your office or your home.
Shippop now comprises a network of 10 major logistic providers including Thailand Post, SCG Yamoto Express, Lalamove, Skootar and Kerry Express, which control more than 90 per cent market share in the logistics industry in the country.
The high potential for growth of e-commerce via websites, e-marketplace and social commerce in the country are major factors driving the logistics industry. Moreover, the entry of foreign logistics providers is also driving the growth of the logistics industry,” said the CEO.
The firm expects to join hands with business partners in order to expand its business in Cambodia, Vietnam, Myanmar, Indonesia and Philippines. It also expects to be No 1 one-stop e-logistic solutions firm in Asean in the next couple of years.
He said that the firm by the end of this year expects to generate revenue of around Bt140 million and deliver more than 4 million parcel post items. The firm last year achieved Bt70 million revenue and earned profits at 15-20 per cent of its revenue.
