It doesn’t matter if you are new to eCommerce, or an existing global seller looking to expand your business. If you have a passion for business, there is no better time to start an eCommerce business in Singapore than now. Here are 5 reasons you should start selling on Amazon.sg:
1. Singapore’s eCommerce market is booming
Changes in consumer preferences, accelerated by the recent pandemic has led to a booming eCommerce market in Southeast Asia and Singapore. Within Southeast Asia, Singapore is the country with the largest percentage increase in consumers who shopped “mostly online” this year as compared to the previous year¹. 74% of consumers in Singapore have increased their frequency of online shopping, while a third of Singaporeans also made an online purchase for the first time². This trend isn’t dying anytime soon, with 94% of new consumers saying that they intend to continue using these online services even when the pandemic ends³. E-commerce sales in Singapore are also expected to grow to US$10 billion (S$13.4 billion) by the end of 2026¹.
2. World-class infrastructure supporting eCommerce in Singapore
Stable Internet Quality:
Singapore ranks no.1 on the Internet Quality Index⁴, which considers broadband and mobile internet speed and stability. This means that you can be at ease when running your day-to-day businesses and online sales.
Smooth Domestic Delivery:
Singapore’s well-developed transportation network and the presence of many reliable courier companies⁵ means that parcels are delivered to customers smoothly with minimal disruptions. Many couriers are able to provide same-day or next-day delivery of domestic purchases to customers, who will opt for it if they need it.
Efficient International Shipping (by air and sea):
Shipping goods internationally by air or sea is also not an issue. Singapore has been ranked as the world’s top maritime center⁶ for 8 years straight since 2014 for its robust port infrastructure and comprehensive range of services, and is linked to over 600 ports worldwide⁷. As of 2020, Singapore’s airport was ranked top in the world for 8 consecutive years⁸, and is ranked as the Best Global Air Cargo Airport for Performance, Value and Facilities⁹. Its airport also offers more flights to China and SEA markets than any other country in the region¹⁰, making Singapore a good entry point into the Chinese and Southeast Asian markets.
3. Strong government support for the eCommerce industry
The Singaporean government is aiming to develop Singapore into an eCommerce hub, and will be rolling out various initiatives in the near future
¹¹, some of them being:
- 2 nation-wide 5G networks to beef up infrastructural capacity to deal with large online sales orders internationally
- Working with businesses to build strong supply chain capabilities
- Strengthening security to protect businesses against cyber security threats
- Ensure that policies in place to combat Covid-19 will be effective in ensuring that businesses can continue operations with minimal disruption
eCommerce businesses that decide to enter the Singaporean market can expect to have strong support from the government and a positive environment to grow their businesses.
4. Amazon’s state-of-the-art logistics capabilities
Amazon boasts an extensive network of leading international shipping and logistics experts and has one of the most advanced fulfillment networks in the world. Sellers on Amazon.sg can opt for Fulfillment by Amazon (FBA)
and enjoy the convenience of having us pick, pack, ship and offer customer services for your products. If you’re a seller looking for a fuss-free process to deliver quality services to your customers, Amazon.sg is a great choice.
5. Amazon tools to scale and grow your business
Designed for both experienced and new sellers, the Amazon is easy to navigate and use. Amazon also offers free marketing seller tools which are accessible through Seller Central to help take businesses to the next level. Sellers can use Sponsored Products to drive product visibility, Sponsored Brands to showcase the brand better, and Amazon Stores to share brand stories and product offerings. Amazon also equips sellers with payment processing and credit card fraud protection, together with reports and analytics which aim to help achieve your business goals, boost traffic and revenue.
With favourable growth trends, a ready consumer base, world-class infrastructure and strong government support, the opportunity in Singapore’s eCommerce landscape is one you don't want to miss out on. With Amazon’s strong digital capabilities and tools, we are confident that you will be able to build your desired e-store and manage it with ease and efficiency.
1. The Straits Times, 2021: https://www.straitstimes.com/business/economy/spore-e-commerce-sales-forecast-to-hit-134-billion-by-2026-report
2. The Straits Times, 2021: https://www.straitstimes.com/business/economy/one-third-of-singaporeans-made-first-online-purchase-amid-covid-19-pandemic-visa
3. Bain & Company, 2020: https://www.bain.com/globalassets/noindex/2020/e_conomy_sea_2020_report.pdf
4. Statista, 2021: https://www.statista.com/chart/24261/internet-quality-ranking/
5. AsiaOne, 2020: https://www.asiaone.com/lifestyle/cheap-and-reliable-courier-services-singapore-2020
6. Business Times, 2021: https://www.businesstimes.com.sg/transport/singapore-retains-spot-as-worlds-top-maritime-centre-for-eighth-consecutive-year
7. World Bank, 2017: https://blogs.worldbank.org/transport/three-factors-have-made-singapore-global-logistics-hub
8. Changi Airport: https://www.changiairport.com/corporate/about-us/awards-and-accolades.html
9. Changi Airport: https://www.changiairport.com/corporate/partnerships/cargo.html
10. Government of Canada, 2021: https://www.tradecommissioner.gc.ca/canadexport/0005848.aspx?lang=eng
11. The Straits Times, 2021: https://www.straitstimes.com/business/economy/government-in-talks-with-amazon-on-training-programmes-for-smes-chan-chun-sing