Infrastructure gaps, fragmentation, and asymmetries abound in the region, and so do the opportunities for innovation. Here we tackle those opportunities, the forces driving these industry shifts, and how founders can best tap into them.
Logistics has emerged as an important vertical for innovation in the Asia Pacific, fueled by ecommerce retail. Momentum is now shifting upstream from first and last mile delivery services to cross-border logistics services.
Alibaba’s logistics arm Cainiao Smart Logistics Network had reportedly delivered the first 100 million parcels from the Singles Day Global Shopping Festival in just 2.6 days, illustrating that the e-commerce giant is quite simply on a whole another level to the logistics companies in Southeast Asia which are beset by infrastructure challenges.
Just last week, DHL launched a new service to allow the unbanked in Southeast Asia to buy online through its Cross Border Cash-on-Delivery (COD) service. This follows other new-age players like Grab/Go-Jek aggressively launching initiatives of their own to provide financial services to people who don’t have banking accounts.