Japan-based
messaging app company Line Corp is launching an online grocery delivery
service, its first ever, in Thailand and plans to expand it to other
Southeast Asian nations to tap booming growth in the region’s mobile
phone transactions.
The
unit of top South Korean Internet portal operator Naver Corp said on
Monday its “Cheap Sure Sure” online grocery service will begin on Feb. 4
in Thailand, Line’s second-biggest market after Japan, with more than
33 million active users of the app.
A
successful launch of the service in the region can help alleviate
pressure on Naver, which last week announced a disappointing quarterly
profit.
“Thailand
is one of our top priority markets. We are continuously exploring ways
to boost m-commerce in the region,” Sedong Nam, head of the service
department of Line unit Line Plus Corp, said in a statement.
Line
did not give any financial details of the project nor a time frame
about the planned launch of the grocery service in other Southeast Asian
countries.
Consumers
across Southeast Asia, a region of 600 million, are increasingly going
online to research and purchase products and services, particularly with
the rapid uptake of mobile devices and smartphones. But growth is
hampered by poor mobile payment options and unfriendly user interfaces,
Line said.
Line’s
service in Thailand will face competition from similar online services
being offered by leading retailers in the country, including by Tesco
Lotus, a Thai operation of Tesco Plc, Charoen Pokphand Foods’ CP Fresh
Mart and Central Group’s Tops Supermarket.
And
while digital consumers across Southeast Asia enjoy going online to
shop, those in the Philippines, Vietnam and Singapore are most inclined
to purchase items online, while in Indonesia, Malaysia and Thailand,
consumers are more likely to go online to browse, according to market
researcher Nielsen.
Line’s
service will be offering products such as water, coffee and instant
noodles at up to 50 percent discounts and free delivery for Thai
shoppers, the statement said.
It
has tied up with aCommerce, a Thai e-commerce service provider in the
region, which will handle product sourcing, warehousing, fulfilment and
deliveries.
Posted by : Gizmeon
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