Bring the Biggest Profits, Shopee Becomes the Choice of Sellers Supporting the Development of Local Brands and SMEs

Kapanlagi.com - As time goes by, advanced technology has also had a positive impact in various aspects of life. This also applies to Micro, Small, and Medium Enterprises (MSMEs) in the country. Technological advancements provide opportunities for local products to showcase their quality. The significant growth of MSMEs can be seen in recent years.

Not only does it have a positive impact on the scale of MSME business, the digital era also contributes significantly to the national economy. Both local brands and SMEs can obtain support and opportunities to survive and strengthen their potential, especially through e-commerce platforms which are one of the main foundations for local businesses to expand their market reach.

Various Innovations from E-Commerce Platforms

A number of sustainable innovations constantly presented by e-commerce platforms have helped local brands and SMEs develop their businesses efficiently. In addition to being an extension in reaching new customers, e-commerce players continue to compete in developing their programs and initiatives to support local brands and SMEs in achieving profits and maximizing their potential. With the right support, it will create new opportunities for the wider community through the creation of jobs and driving the country's economic growth.

Looking at the research results released by Ipsos in March with the title "Understanding The Potentiality In E-commerce Seller", involving respondents who are mostly local brand and SME online sellers. This research reveals several crucial factors that can affect the success of local brand and SME businesses in the e-commerce realm.

The Ipsos research shows that Shopee (65%) is associated as the marketplace that provides the largest revenue for most local brand and SME businesses. Followed by Tokopedia (16%) and Lazada (6%). Furthermore, based on respondents' choices, Shopee (59%) is also the first marketplace that provides the most benefits for local brand and SME businesses, followed by Tokopedia (20%) in second place, and Lazada (7%).

To determine how well the e-commerce players are perceived by local brand and SME businesses, Ipsos uses several indicators, including;

• In the Top of Mind (TOM) indicator, Shopee excels compared to other marketplaces. Shopee (67%) is in the first place in the minds of most local brand and SME businesses, followed by Tokopedia (16%), and Lazada (6%). This means that when local brand and SME businesses hear the term marketplace, Shopee is the first brand that comes to their minds.
• Based on the Brand Used Most Often (BUMO) indicator, the marketplace platform most frequently used by the majority of local brand and SME businesses is Shopee, which is in the first place with a percentage of 80%, followed by Tokopedia (10%), and Lazada (3%).
• In addition, using the Loyalty Ratio approach, it is known that Shopee's performance is highly regarded by local brand and SME businesses, with a percentage of 84%, followed by Tokopedia (14%), and Lazada (6%).

The increasing interest of the public in fulfilling various needs online is accompanied by the emergence of local brand and SME businesses as a response to the high demand. One of the main steps taken by these local brand and SME businesses to start and develop their businesses is by adopting e-commerce as their main operational foundation.

This development reflects the significant transformation that has occurred in the business ecosystem of local brand and SME businesses in line with digitalization, which has changed the way they operate, market their products, and interact with customers.

Thanks to access to digital technology, local brand and SME businesses can now expand their market reach, optimize operational efficiency, and gain access to various resources that support their growth.

What Makes Shopee Superior for Local Brand and SMEs?

It cannot be denied that sellers play a crucial role in creating a well-integrated e-commerce ecosystem. So, presenting a container that not only becomes a selling space, but also always supports local brand and SME entrepreneurs to develop their business and grow together to become one of the main focuses of the country's e-commerce players.

Based on the latest Ipsos survey, there are three main benefits that are most felt by the majority of local brand and SME entrepreneurs when using the marketplace platform. Starting from helping to increase sales revenue (84%), expanding market reach (72%), and helping to save promotional costs (69%).

Compared to other e-commerce platforms, more than half of the respondents in the same Ipsos survey rated Shopee (67%) as the first choice in the minds of local brand and SME entrepreneurs, followed by Tokopedia (16%), and then Lazada (6%).

According to the respondents, who are mostly local brand and SME entrepreneurs, the benefits felt by sellers from utilizing e-commerce for selling are the presence of thematic campaigns (66%), a variety of shipping services (57%), interactive features (52%), the emergence of more potential customers (43%), and ultimately the main aspect of attractive promotions (95%) provided by the marketplace.

So Shopee is the Favorite E-Commerce

Referring to the most profitable factors felt by local brand and SME entrepreneurs, the next findings in this research further solidify Shopee's position as the favorite e-commerce platform for local brand and SME entrepreneurs.

In detail, when compared among marketplace platforms, more than half of them consider Shopee (62%) as the platform that provides the most attractive promotions for customers, followed by Tokopedia (16%), and then Lazada (6%). As for the aspect of product suitability sold by sellers, Shopee still excels with 66%, followed by Tokopedia (15%), and Lazada in the last position (7%).

These findings can be evidence that various innovations and features presented by Shopee are an integral part of the development of local brand and SME businesses. Shopee offers convenience, completeness, and benefits that are felt from various programs that have a real positive impact on the development of local brand and SME entrepreneurs in the country.

The right strategy and adequate support from Shopee can help Indonesian local brands and SMEs to get wider opportunities to achieve sustainable growth.

(kpl/wri)