Remember when SEO simply meant getting your website to rank on Google? Those days are quickly fading into digital history. The evolution of SEO has been quietly transforming beneath our feet – from keywords and backlinks to a complex ecosystem that extends far beyond traditional search engines.

“Think of it as a natural progression,” says Judy Tay, Head of Content at First Page Digital, as we settle into our conversation at the bustling Digital Marketing World Forum (DMWF). Her eyes light up as she shares what she believes is the next frontier for digital marketers.

“SEO has evolved from search engine optimisation,” Tay explained. “Last year, it was search experience optimisation, but it is still focused on the website and the search engine. This year, it will be optimised for search everywhere. Keep your eyes out – websites will be so integrated into other engines outside of just Google.”

The three stages of SEO evolution

The evolution of SEO can be mapped across three distinct phases:

1. Search Engine Optimisation – The traditional approach focused primarily on ranking in Google search results
2. Search Experience Optimisation – A more holistic approach considering user experience on websites
3. Search Everywhere Optimisation – The current frontier where brands must optimise across multiple platforms and touchpoints

This progression represents a fundamental shift in how digital marketers approach their strategies. As search behaviours diversify across platforms like social media, voice assistants, and specialised apps, the conventional focus on Google rankings alone has become insufficient.

Metrics that matter in modern SEO

When evaluating SEO success, vanity metrics give way to more meaningful performance indicators. Tay emphasises that metrics should align with specific business goals rather than following a one-size-fits-all approach.

“Metrics is extensive,” noted Tay. “It really depends on context – SEO and marketing campaigns can no longer work by executing blindly. Understanding the business needs comes first. If the business wants to see revenue, I believe that should also be part of an SEO report or metrics.”

Tay focuses on engagement metrics for technical evaluation: “I look heavily into things like bounce rate, time on page and things like that. Those, to me, are not vanity metrics. Those are things that can inform the execution side of things.”

However, client-facing reports typically emphasise different aspects: “On the client side, it’s really about traffic, number one, of course. But then we must show what this traffic translates to – whether it’s engagement with specific landing pages, e-commerce conversions, or other valuable actions.”

Red flags in SEO agencies

Choosing the right partner becomes crucial as businesses navigate the evolution of SEO and seek expertise to guide their strategies. Yet many brands struggle to distinguish between agencies that deliver genuine value and those selling empty promises.

“This is something many people keep hush-hush,” Tay noted when asked about industry practices. Drawing from her extensive experience, she outlined three critical warning signs that suggest an SEO agency might be overpromising and underdelivering:

• Inflexible, cookie-cutter solutions

Tay warns against agencies that offer rigid, one-size-fits-all approaches: “A red flag is when an agency pushes only predetermined solutions with no room to pivot or be flexible. They’ll say, ‘You need this pay-per-click (PPC) campaign, you need this SEO package’ without considering your unique business context.”

• Lack of co-creation

“Another warning sign is when agencies discourage client involvement,” Tay explains. “They’ll say, ‘We’ll handle everything—just take a back seat and wait for results.’ This rarely works because collaboration is essential. We aren’t on the brand side day-to-day, so we need that partnership.”

• Limited experience with strategic thinking

Tay says tactical execution without strategic depth is problematic: “You can find someone to handle technical SEO tasks on Upwork or Fiverr, but that’s just execution. Many agencies focus on short-term tactical gains, especially in SEO; you need strategic experience to drive meaningful results over time.”

SEO practices to avoid

As SEO evolves, certain practices can potentially harm businesses in the long run. Tay highlighted a particularly concerning trend: the devaluation of technical SEO.

“The devaluation of technical SEO [is problematic],” Tay stated. “I’m the head of content, but nowadays, many agencies think that you can just optimise content and then just optimise very surface stuff like page load speeds and things like that. But I don’t think that’s the way.”

She emphasised the need for comprehensive strategies: “Given we need to take into account an overview of AI, what is the impact of my brand with the emergence of AI, for example?”

The evolving agency-client relationship

The relationship between SEO agencies and their clients has transformed significantly in recent years. Tay notes that agencies are increasingly functioning as extensions of their client’s teams rather than as external vendors.

“We are now seen as an extension of clients,” Tay explained. “We have some clients that get us to join their weekly stand-up–the entire marketing team, not just SEO specialists, but their sales, product developers, and things like that.”

This integrated approach allows for more comprehensive strategy development. However, Tay acknowledges it’s not suitable for every client: “That’s more towards customer servicing, as well as giving a more comprehensive strategy, which not every business needs or is paying for.”

Beyond integration, Tay emphasises the importance of consultative relationships: “Being able to be consultative – don’t just deliver. I try to have bi-weekly catch-ups with my clients to sit down and [ask] if we are meeting markers. Are we going in the right direction?”

The future belongs to the adaptable

A critical aspect of successful SEO is anticipating and adapting to search engine algorithm updates. While First Page Digital benefits from being a Google Premium Partner, Tay credits their success more to proactive testing and pattern recognition.

“Before Google even comes up with the updates, we have sort of put it to test already,” Tay revealed. “When you run big enough campaigns, you will see a pattern; when you see a pattern, you must form a hypothesis.”

This forward-thinking approach reveals why some agencies thrive while others struggle in the rapidly evolving digital landscape. As Tay emphasises, success in tomorrow’s SEO isn’t about mastering a single platform but understanding the entire digital ecosystem where your audience exists.

The evolution of SEO from search engine to search everywhere optimisation isn’t just another industry buzzword—it’s a fundamental reimagining of how brands connect with audiences. 

Those who recognise this shift early and adapt accordingly will survive the transition and discover unprecedented opportunities to dominate digital spaces their competitors have yet to explore.

As Tay puts it, we’re no longer optimising algorithms but for human connection across an expanding digital universe. And in that universe, the old rules of engagement no longer apply.

The post From Search Engine to Search Everywhere: The evolution of SEO in 2025 appeared first on TechWire Asia.

As AI reshapes the marketing landscape, this year’s forum places a special emphasis on AI integration and automation, featuring an impressive lineup of speakers from global brands including The Coca-Cola Company, Unilever, PepsiCo and TikTok.

The two-day conference will run parallel tracks exploring more than 10 crucial themes, from AI-driven marketing strategies to customer experience optimisation. Dr. Luke Soon from PwC Singapore will present insights on ‘Humanising the future of marketing through AI and Automation’ as part of the conference’s focus on emerging technologies.

Several high-impact panel discussions will address the industry’s most pressing challenges. A notable session, ‘From Productivity to Creativity – How to utilise AI in your Marketing Strategy’, brings together experts from Google, PwC Singapore and First Page Digital to explore practical applications of AI in marketing operations.

Key highlights

• Data & AI innovation: Multiple sessions will explore how brands can harness AI for agile marketing insights, with Intel’s Sahaj Khunteta sharing strategies for driving marketing agility through AI-powered analytics.
• Customer experience focus: The conference features dedicated tracks on personalisation and customer-centric strategies, including a panel on ‘Shaping your digital strategy with Personalised Experiences’ featuring representatives from RBL Bank, Pearson and AEON.
• Social media evolution: Alexander Lim from TikTok will present on ‘Leveraging Gen AI to Create for Commerce’, while other sessions explore emerging social media trends and creator economy strategies.
• E-commerce & omnichannel: Industry leaders from ZALORA Group and MoneyHero will share insights on adapting to changing consumer behaviours in the digital commerce landscape.

The event has attracted top-tier sponsors, with HubSpot serving as the Track Sponsor, while Semrush Enterprise and Brandwatch join as Gold Sponsors. This strong industry backing underscores DMWF’s position as a premier gathering for marketing professionals in the Asia-Pacific region.

HubSpot’s Kat Warboys will be presenting a session on ‘From Hype to Reality: AI’s Evolution from Buzzword to Growth Essential’, highlighting how marketing technology continues to reshape industry practices.

For marketing professionals looking to stay ahead of industry trends and connect with leading innovators, DMWF Asia 2025 promises to be an unmissable event. The conference will feature networking opportunities with in excess of 300 senior-level marketers and more than 50 expert speakers across various sectors.

Those interested in attending or learning more about speaking opportunities can contact the organisers at hello@digitalmarketingwf.com. The full agenda and registration details are available on the DMWF Asia website.

Readers can get 25% off their tickets by using the code TECHWIRE at checkout.

As the marketing landscape continues to transform, DMWF Asia 2025 stands as a beacon for professionals seeking to navigate the intersection of technology, creativity and customer engagement in the digital age.

The post AI takes centre stage at DMWF Asia 2025: marketing leaders converge in Singapore appeared first on TechWire Asia.

• Reviews by AI tend to be more favourable.
• Human-created content more relatable.

Research from emlyon business school and Toulouse School of Management, both based in France, has revealed customers find it challenging to spot the difference between product reviews written by a human or AIs like ChatGPT. According to the research, AI-generated reviews are typically less-detailed, include false information, and tend to be substantially more positive compared to authentic feedback.

The study, conducted by Yingting Wen, Professor of Marketing at emlyon business school, and Sandra Laporte, Professor of Marketing at Toulouse School of Management, investigated whether AI systems could craft marketing content that connects with humans as effectively as content created by human marketers.

Professor Wen spoke on the increasing use of AI for marketing purposes, and an increasing number of written reviews by AI, saying, “As generative AI tools like ChatGPT are increasingly used in marketing, they help automate tasks like crafting social media posts and responding to customer comments, resulting in higher engagement and increased purchase intent.”

Wen and Laporte focused primarily on marketing materials like product reviews, social media posts, and ad copy, conducting three studies that compared human-created content with AI-created material. To understand if AI-generated content could achieve the same level of impact and engagement with audiences as human-created content, the researchers focused on the sensory experiences of chocolate and whiskey!

Keeping it human

The primary study used a text analysis tool to compare product reviews written by AI to those written by humans. The results showed that human-written content was more relatable and authentic. It was also less positive than AI-generated text.

In the second study, humans reviewed the content, as opposed to the text analysis tool, with the same conclusions made.

In the third and final study, the researchers studied social media posts, with half being branded and the other half being unbranded. And, a portion of the posts were written by human social media marketers, while the others were created by ChatGPT. The evaluation process saw human raters tasked with reviewing the content to judge its sentiment and assess overall engagement.

Compared to humans, AI struggled to produce content that had depth or meaning. The researchers discovered AI content was not as detailed and lacked a diversity in tone, style, or approach, compared to humans.

Reviews by AI more positive

Nevertheless, AI succeeded in composing content that had positive connotations and emotions with persuasive appeal. It was also more successful at convincing customers of being genuine on social media posts, particularly ChatGPT 4, which was found to be more effective than its predecessor ChatGPT 3.5.

Professor Wen emphasised the importance of human contribution alongside the use of AI. “Research shows that while AI-generated content can be effective, it still lacks the nuanced understanding and authentic voice that human creators bring to marketing, therefore human input is still needed in the process.”

The research highlights the important role a marketer still has, even with the advancements of AI. Rather than relying solely on AI, Wen and Laporte emphasise the need for human creativity, strategic thinking, and emotional insight to create content that resonates with audiences. AI still has a habit of handing out misinformation, as the study revealed, pinpointing some of the challenges that need to be considered.

The post AI or authentic? Customers can’t tell the difference in reviews appeared first on TechWire Asia.

In Malaysia, the digital economy is expected to contribute over 25% to the GDP by 2025, driven by significant growth in sectors like fintech, healthtech, and digital marketing. With a strong desire to establish itself as a prominent digital economy in the region, Malaysian businesses are actively pursuing this growth trajectory.

This growth is driven by the increasing adoption of digital technologies across various industries as businesses seek to leverage technology for greater scale and efficiency. As these sectors expand, the competition for resources, particularly financial funding, intensifies, making it imperative for tech companies to secure adequate capital to sustain their operations and scale effectively.

To support the industry, the Malaysian government has implemented a range of initiatives and policies aimed at fostering digital transformation and encouraging tech companies to secure the necessary funding. Agencies like the Malaysia Digital Economy Corporation (MDEC) play a role in this ecosystem by providing platforms, grants, and programmes that connect tech startups with investors and strategic partners.

These initiatives aim to not only to facilitate access to capital but also to create an environment where innovation can thrive, helping Malaysian tech companies to compete globally.

MDEC’s Funding Initiatives in Action

The Malaysian government has put in place a number of programmes and regulations to assist the sector, with the goal of promoting digital transformation and motivating tech companies to obtain the necessary funding. In this ecosystem, organisations like MDEC contribute through offering platforms, grants and initiatives that connect tech companies with investors and key partners.

Through the Malaysia Digital (MD) national strategic initiative, MDEC is transforming the country’s digital landscape by providing strategic interventions to over 262 Malaysia tech companies who raised a total of USD 402 million with the help of MDEC’s Funding Facilitation programmes between 2020 and 2023.

These key programmes, including VC Investor Matching Programme, Founders Grindstone, Alternative & Debt Funding, and Technology Grants & Incentives, provided the tools and opportunities for companies to secure the funding required to propel their expansion and innovation.

Transforming Fintech Through Strategic Investments with CapBay

With the support of MDEC, CapBay‘s journey is a testament to its strategic vision and strong execution in the fintech sector. Working together with MDEC, CapBay has participated in various MDEC events including Automechanika 2024, SEMICON SEA Kuala Lumpur and DEX CONNEX Thailand & Philippines. This has allowed CapBay to showcase their innovations globally and it has provided an avenue to engage with international clients and partners. The company has successfully secured multiple investment rounds, attracting significant capital from both local and international investors.

Furthermore, the funds have been pivotal in enabling CapBay to develop its proprietary fintech platform, which specializes in supply chain financing and peer-to-peer (P2P) lending. With this capital, CapBay has not only expanded its range of services but also entered new markets across Southeast Asia, positioning itself as a leader in providing alternative financing solutions. Ang Xing Xian, CEO of CapBay shared, “CNBC and Statista have recognised us as one of The World’s Top 250 Fintech Companies for both 2023 and 2024, we are honoured to be listed alongside global leaders like PayPal, Stripe, and Tencent”.

CapBay’s success has set a new standard for fintech startups in Malaysia. CapBay has addressed a critical need among SMEs by offering innovative, flexible financing options that are more accessible than traditional banking services. This success has not only strengthened the fintech ecosystem in Malaysia but has also encouraged other startups to explore alternative financial models.

SafeTruck Leading Innovation in Transportation and Logistics

Through various funding rounds, SafeTruck secured substantial capital, which it has strategically invested in advancing its AI and IoT tech, enhancing its fleet management solutions, and expanding its market presence across Southeast Asia.

Post-funding, SafeTruck has made notable advancements in logistics technology, including the development of AI-driven analytics that offer predictive insights for fleet operators. These innovations have enabled SafeTruck to improve operational efficiency, safety, and sustainability in fleet management.

By setting a new benchmark for integrating technology into fleet management, Safetruck has not only demonstrated the potential for innovation in a traditionally conservative industry but has also inspired other companies and startups to explore innovative solutions. “Our collaboration with MDEC through its FOX programme has extended our influence beyond a success model, we actively engage partners to develop comprehensive solutions addressing customer pain points, contributing to the growth and innovation of the entire ecosystem and setting new standards in fleet management.” said SafeTruck’s CEO, Wilson Yew.

Involve Asia Driving Affiliate Marketing Success

Involve Asia has emerged as a key player in the affiliate marketing landscape, leveraging strategic partnerships and cutting-edge technology to connect brands with publishers, influencers, and content creators across Southeast Asia. “Since the founding in 2014, we have supported industries such as e-commerce, travel, and finance, facilitating over USD 3.1 billion in sales through its platform.” said Jimmy How, CEO of Involve Asia.

One of its key developments has been the introduction of Remix, a new division that addresses the growing demand for comprehensive marketing solutions beyond just affiliate models. This innovation allows brands to manage broader marketing efforts more efficiently.

Additionally, Involve Asia has made strides in supporting small and medium-sized enterprises (SMEs) by developing tools that empower smaller businesses to manage their marketing independently, reducing their reliance on larger marketplaces. Jimmy also shared that tools like Productlink enable partners to create and track affiliate links, enhancing transparency and performance analysis for affiliates.

Involve Asia’s innovations have not only transformed the affiliate marketing space but have also set new industry standards, including the introduction of Express Withdrawal, a groundbreaking feature allowing partners to withdraw their commissions within seven days. This bold step helped Involve Asia lead the market and inspire similar initiatives across the industry, reinforcing their role as a pioneer in affiliate marketing.

Tapping into Investment Potential in Malaysia’s Tech Industry

Securing funding remains a significant challenge for tech companies in Malaysia, as they navigate intense market competition and increasingly stringent investor expectations. These companies must demonstrate not only innovative potential but also a clear path to profitability, which can be tough in a fast-paced industry.

MDEC’s FOX programme remains dedicated to supporting tech companies in Malaysia’s tech industry by providing access to capital, mentorship, and strategic networks. Through such initiatives, MDEC is helping to ensure that promising startups have the resources they need to succeed, ultimately driving the country’s digital economy forward.

MDEC offers various programmes for Malaysia Digital status companies. Apply for Malaysia Digital status here.

The post MDEC Founders Center of Excellence (FOX) Unlocks Growth in Fuelling Malaysia’s Tech Leaders appeared first on TechWire Asia.

Indonesia will soon be a pioneer in Southeast Asia in taking a stand against TikTok. The local authorities are expected to issue a regulation on the use of social media to sell goods in the country as soon as this week. The stance could deal a blow to TikTok, which has Indonesia as its biggest e-commerce market.

“Social media and social commerce cannot be combined,” the country’s Deputy Trade Minister Jerry Sambuaga said earlier this month, vowing to ban the mix. For Indonesia, banning the selling of goods on social media under new trade regulations is intended to quell threats to offline markets in Southeast Asia’s biggest economy.

Sambuaga specifically cited TikTok’s “live” features that allow people to sell goods. He and other local ministers have been highlighting their concerns over TikTok Shop playing a role in the downslide of local MSMEs and traditional markets. Even the country’s President, Joko Widodo, has been voicing his concerns over e-commerce sellers using predatory pricing on social media platforms, threatening offline markets in Indonesia. 

“TikTok is supposed to be a social media, not an ‘economic media,'” he said during a trip to East Kalimantan last week. Current trade regulations in Indonesia do not specifically cover direct transactions on social media. “Revisions to the trade regulations that are currently underway will firmly and explicitly ban this,” Sambuaga told parliament earlier this month. 

On Monday, Trade Minister Zulkifli Hasan said the move, directed at ByteDance Ltd.’s TikTok, would mean companies can only advertise products but not conduct direct transactions. For context, Indonesia is home to 64.2 million micro, small, and medium enterprises that contribute to 61% of its gross domestic product.

Therefore, the policy seeks to keep those millions of MSMEs from being squeezed out by social commerce companies. In Indonesia to date, TikTok is the only social media company that allows direct e-commerce transactions on its platform. “India and the US dared to reject and ban TikTok from simultaneously running social media and e-commerce businesses. Meanwhile, in Indonesia, TikTok can do both,” Teten Masduki, Indonesia’s minister of cooperatives and SMEs, said in a statement.

Masduki also argued that TikTok could potentially monopolize the market because online shoppers are ‘influenced by conversations on social media.’ During a government meeting earlier this month, he shared concerns about TikTok Shop’s control over payment and logistics systems.

There have also been reports indicating that the Indonesian government is also considering a ban on selling imported goods priced below US$100 through cross-border services on e-commerce platforms and barring marketplaces from acting as manufacturers.

What will the ban mean for TikTok in Indonesia?

It’s been TikTok’s ambition over the last two years to boost its vast audience into a money-making shopping arm, TikTok Shop. Unfortunately, the endeavor has faced obstacles in the US due to fears of a nationwide ban. TikTok also faced setbacks in the UK last year due to unmet goals and managerial issues. But TikTok Shop has rapidly gained ground in Indonesia, the company’s second-largest market after the US. 

So much so that TikTok is betting on Indonesia as a blueprint to expand into other online shopping markets, including the US. It all started in April 2021, when TikTok Shop fully launched in Indonesia, one of the first countries to pilot the feature outside China. Today, the country is home to an estimated 125 million users, according to TikTok, including two million small businesses on TikTok Shop. 

By the end of 2022, TikTok Shop had become the fifth-largest e-commerce platform in Indonesia, according to data from Singapore-based venture outfit Momentum Works. Despite its operations, TikTok has yet to receive an Indonesian payment license and relies on third-party payment service providers within the country. A license would enable TikTok to earn from transaction fees and compete more effectively with other payment services entities. 

But amidst the rave over TikTok Shop in Indonesia, thousands of brick-and-mortar merchants, according to The Jakarta Post, complain about the impact of the app’s booming e-commerce arm on their business. They have urged the government to close or at least regulate TikTok Shop. TikTok has criticized calls for a ban, saying it would harm Indonesian merchants and consumers. 

“Close to two million local businesses in Indonesia use TikTok to grow and thrive through social commerce,” Anggini Setiawan, TikTok Indonesia’s head of communications, told AFP earlier this month. According to Momentum Works, the country represented 42% of TikTok’s US$4.4 billion regional gross merchandise value (GMV) last year.

In short, managing the conflict with Indonesia will be crucial for TikTok as governments worldwide observe how the largest nation in Southeast Asia responds to the growing e-commerce influence of the social media giant. Moreover, TikTok has only recently announced plans to invest billions of dollars into the Southeast Asian region.

So far, TikTok has shown no sign of bowing down. The social platform giant has pushed back against the proposed policy. It argues that separating social media and e-commerce into different platforms hampers innovation and disadvantages millions of Indonesian merchants and consumers. The company says some rely on its platform to make a living.

“Social commerce was born to solve a real-world problem for local traditional small sellers by matching them with local creators who can help drive traffic to their online shops,” a TikTok Indonesia spokesperson said in a statement, according to Bloomberg. “While we respect local laws and regulations, we hope that the regulations take into account its impact on the livelihoods of more than six million sellers and close to seven million affiliate creators who use TikTok Shop.”

Overall, experts reckon if the ban comes through, will deal a massive blow to the social media giant. Bloomberg Intelligence’s analyst, Nathan Naidu, believes TikTok’s possible split of e-commerce and social media operations in Indonesia could impede further conversion of its 125 million local monthly active users (MAU) into shoppers, benefiting Sea’s Shopee, which, like TikTok Shop, relies on beauty and personal care for most of its domestic sales. 

“GoTo’s Tokopedia, which had 34 million MAU in August vs. Shopee’s 138 million and Alibaba-owned Lazada’s 37 million, should be better able to defend its GMV share in Indonesia, which drove 90% of the group’s 2022 sales,” Naidu added. Meanwhile, Jianggan Li, CEO of Momentum Works, noted in an e-mail that Shopee has been voicing its support for Indonesian MSME exports yearly.

“Banning TikTok Shop could be operationally very messy (and many of our friends say impractical). There are many different permutations of how things can evolve (e.g., a separate e-commerce app or specific programs for MSMEs). Regardless of how the ban proceeds, TikTok’s vast consumer traffic will continue to be harvested for e-commerce, through TikTok Shop or other means, by TikTok or by other parties,” he noted

Li also believes it is not too late for TikTok “to engage and turn the tide.” He reckons TikTok needs to be bold and local. 

The post The clock is ticking for TikTok in Indonesia. Here’s why appeared first on TechWire Asia.

Google has been on the radar of regulators around the world, especially the US and Europe. In the latest feud with US federal authorities, the tech giant has been slapped with its second antitrust suit targeting its advertising empire, which has for years been under scrutiny over allegations of self-dealing and choking off competitors.

The Department of Justice (DoJ) and eight other states filed a fifth challenge against the tech giant, building on a case filed by several states in 2020. “Competition in the ad tech space is broken, for reasons that were neither accidental nor inevitable. One industry behemoth, Google, has corrupted legitimate competition in the ad tech industry by engaging in a systematic campaign to seize control of the wide swath of high-tech tools used by publishers, advertisers, and brokers, to facilitate digital advertising,”  according to the lawsuit filed earlier this week.

The DoJ asserts that having inserted itself into all aspects of the digital advertising marketplace, Google has used “anticompetitive, exclusionary, and unlawful means to eliminate or severely diminish any threat to its dominance over digital advertising technologies.” In fact, as the US Attorney General Merrick Garland said, the Big Tech company has sought to defeat its rivals in the online advertising business using anti competitive tactics for 15 years. 

The US vs Google, again

The agency accuses the company of abusing “monopoly power” to the disadvantage of websites and advertisers who use other advertising tools, according to the lawsuit filed. In so doing, he added, “Google has engaged in exclusionary conduct” that has “severely weakened”, if not destroyed, competition in the ad tech industry. “First, Google controls the technology used by nearly every major website publisher to offer advertising space for sale. Second, Google controls the leading tool used by advertisers to buy that advertising space,” Garland said

“Google controls the largest ad exchange that matches publishers and advertisers together each time that ad space is sold,” he added. In the lawsuit, it’s also stated that “Google’s anticompetitive behavior has raised barriers to entry to artificially high levels, forced key competitors to abandon the market for ad tech tools, dissuaded potential competitors from joining the market, and left Google’s few remaining competitors marginalized and unfairly disadvantaged”.

The lawsuit goes on to allege that Google’s various acquisitions allowed it to “neutralize or eliminate” competitors, and claims that it’s been “forcing” other companies to use its tools. According to the government’s lawyers, when you add up the alleged anti-competitive moves, “these interrelated and interdependent actions have had a cumulative and synergistic effect that has harmed competition and the competitive process.” 

Additionally, the DoJ says Google “pockets on average more than 30% of the advertising dollars that flow through its digital advertising technology products.” Google might have seen this coming: last year, the company attempted to avoid a potential lawsuit from the DoJ by offering to separate its ad auctions business, which sells and puts ads on customers’ websites, from Google’s digital advertising arm. 

Instead of making it a separate company altogether, the move would’ve put the division under the umbrella of Google’s parent company, Alphabet. Unfortunately, that and the other concessions Google reportedly offered weren’t enough to convince the DoJ that it’s not engaging in anti-competitive practices. The DoJ’s lawsuit asks the court to force Google to divest its advertising businesses. Eight states, including New York, California, Connecticut, and Virginia, signed on to the suit.

Google’s history of lawsuits in the US

Three years ago the DoJ sued Google for similar reasons, accusing it of illegal monopolization of the search and ad markets. At the time, the agency asked the court to “break Google’s grip on search distribution so that competition and innovation can take hold.” Earlier this month, Google filed a motion to dismiss a complaint from the DoJ alleging that Google leverages its Android operating system and general grasp on the search market to further limit competition in the industry.

Google argues that the lawsuit is the Department of Justice trying to choose who will win in the advertizing technology sector. The tech giant also stated that it “largely duplicates an unfounded lawsuit by the Texas Attorney General, much of which was recently dismissed by a federal court”. Google believes that the DoJ in the US is doubling down on “a flawed argument that would slow innovation, raise advertising fees and make it harder for thousands of small businesses and publishers to grow.”

Google also emphasized that the DoJ’s lawsuit would reverse years of innovation, harming the broader advertising sector. “The current Administration has stressed the value of antitrust enforcement in reducing prices and expanding choice for the American people. We agree. But this lawsuit would have the opposite effect, making it harder for Google to offer efficient advertising tools that benefit publishers, advertisers and the wider U.S. economy,” it added.

Essentially, Google is of the belief that antitrust cases shouldn’t penalize companies that offer “popular, efficient services, particularly in difficult economic times.” The case is likely to take years to settle.

The post Google is once again being sued in the US for its digital ad business. What’s different this time? appeared first on TechWire Asia.

Not every economy in the world, let alone Asia, have reported economic growth during the first two years of the pandemic — but Vietnam did. Even in 2020, Vietnam came out as a top-performing Asian economy — a feat achieved without a single quarter of economic contraction at a time when many economies globally were scrambling to deal with the pandemic.

As we march into the third year since the pandemic first struck, Vietnam’s growth continues to surpass estimates and now, the Southeast Asian nation is the fastest growing digital economy in the region. According to the latest edition of the e-Conomy SEA report by Google, Temasek Holdings Pte and Bain & Co, led by a booming e-commerce sector, which hit US$14 billion this year, Vietnam is also anticipated to witness a 28% year-on-year (YoY) increase in gross merchandise value (GMV) to US$23 billion.

The annual report shares an update on how digital economy sectors are tracking across six countries – Indonesia, Malaysia, the Philippines, Singapore, Thailand and Vietnam. This time it projects that Southeast Asia’s digital economy is on track to hit US$200 billion GMV in 2022, three years earlier than was anticipated in the inaugural report shared in 2016.

Touching on what has been enabling Vietnam’s digital growth, Google, Temasek and Bain reckon it to be the growing penetration of new forms of commerce across urban and rural regions for businesses. To top it off, logistical infrastructure has improved to facilitate nationwide e-commerce transactions and there is a noticeably high quality homegrown tech workforce driving innovation in Vietnam. 

The report also highlighted how SMEs in Vietnam are empowered to operate online businesses via provision of digital front-end and back-end solutions and support from the government. While traditionally Singapore and Indonesia are primary investment destinations, this year Vietnam, and the Philippines are seeing growing investors’ interest over the longer term, the e-Conomy report noted.

The e-commerce sector alone had raised an estimated US$230 million in the first half of this year, thus appearing to be investors’ favorite. The online media sector also saw a significant amount of investments pouring, US$190 million till date, as highlighted by Google, Temasek and Bain.

Overall, the Southeast Asian region has witnessed a striking rise in internet users. Out of its 460 million internet users, 100 million have come online in the past three years alone. “E-commerce adoption is high across both urban and suburban consumers while services offered by the remaining sectors are mainly used by people living in urban areas. Suburban adoption of sectors such as groceries, travel and music-on-demand remains nascent and offers headroom for growth,” the report noted.

What is worth noting is the fact that demand amongst Southeast Asian consumers have been tapering amidst global macroeconomic headwinds, reduced disposable income, skyrocketing prices, and lower product availability. For now, digital sectors such as food delivery and online media are facing slowdowns after peak periods triggered by the pandemic. “Food delivery returns back to trendline growth after tripling through the pandemic and is expected to hit 14% growth in GMV,” the report reads.

On the other hand, transport and online travel sectors are expecting strong recovery, 43% and 115% YoY growth respectively, as mobility exceeds post-pandemic levels and international travel resumes. However, the e-Conomy report noted that those sectors would face headwinds such as increasing fuel prices, supply shortages, and continuing travel restrictions in high-value corridors (e.g. China, Korea, Japan), while consumer demand is suffering from skyrocketing prices. Unfortunately recovery is expected to be gradual and it will take years to reach 2019 levels. 

The post Vietnam has the fastest growing digital economy in SEA: e-Conomy report 2022 appeared first on TechWire Asia.

Small and medium-size enterprises (SMEs) are a critical engine for the global economy — they account for two-thirds of global employment and half of global GDP. While all companies have had to quickly adapt to disruption and greater uncertainty, SMEs are particularly susceptible. Even in a recent report by UOB titled ‘Asean SME Transformation Study’ by UOB, it was highlighted how amidst the economic headwinds from the Ukraine conflict, repeated pandemic waves across Asia, supply chain challenges and high inflation, there has been increased volatility and therefore risk, to SMEs. 

The report by UOB, in collaboration with professional services firm Accenture and business analytics company Dun & Bradstreet, surveyed 1,500 SMEs from Singapore, Malaysia, Indonesia, Thailand and Vietnam, with equal representation from each country. Among the main concerns highlighted in the report is the fact that over half (54%) of SMEs surveyed said that their existing cash flow can only sustain them for less than six months.

Yet, a majority (55% ) of businesses expressed optimism about their business recovery outlook despite challenges posed by recent geopolitical and macroeconomic developments. However, while there is renewed ambition towards business recovery, a significant proportion of SMEs (45%) in the region remain concerned about the need to transform their business models , particularly in the areas of digitalization and sustainability. 

This theme came across more strongly in Thailand (505) and Vietnam (50%). Interestingly, 66% of the respondents spent more on technology through 2021 compared with previous years. The same number indicated they are keen to invest more in technology, especially in the areas of digital marketing, customer management, sales, network management and operational processes.

UOB: Customers are not the same anymore

Based on the report, 44% of SMEs surveyed acknowledged a notable shift in consumer preferences and have singled out customer engagement as a pressing concern. “Many of those surveyed expressed that they are enhancing the digital customer experience through digital transformation, to retain existing customers as well as attract new ones,” the report noted.

Particularly, SMEs in the food and beverage (F&B) industry (55%) are concerned about customer engagement. Therefore, it is F&B companies that have been looking to new formats and segments to keep driving growth amidst ongoing uncertainty. For instance, UOB noted that there has been a rise in popularity of shared cloud kitchens, centralized commercial kitchens built to produce food specifically for delivery, which offer cost optimization and new opportunities for smaller and younger industry entrants.

Nothing’s gonna stop them from digitizing

Nevermind the headwinds and geopolitical tensions, three in five businesses say they will continue digitalizing their companies and tapping digital economy opportunities, such as selling through digital platforms, to gain a competitive advantage. “With increased emphasis on digitalization and technology for businesses, most SMEs also expect to invest more in this area,” UOB said.

Based on SMEs response, emphasis on technology investments were evenly distributed across the value chain, from customer acquisition to sales and operations. The report shows that  technology investments by SMEs can be particularly  divided into four main areas including; digital marketing and social media; technology and network management; operational process; and digital sales and servicing.

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A few months ago, US-based e-commerce giant eBay Inc. gave a global lackluster sales and profit outlook for the year as it sees the pandemic-led boom fading. eBay was in fact, not the only platform that is seeing their e-commerce business plateau from its pandemic highs. The scenario however seems to be different in Southeast Asia, especially among countries like Indonesia, Malaysia, the Philippines, Singapore, Thailand, and Vietnam, according to eBay themselves.

For starters, in Southeast  Asia, e-commerce is not just a consumer phenomenon, but is  increasingly becoming a key business strategy, particularly important for micro, small, and medium-sized enterprises. According to eBay’s regional general manager for Southeast Asia and India Vidmay Naini, being the epicenter for manufacturing of several sectors, this region has the necessary capabilities to scale and meet the global demand.

“Regionally,  99% of all eBay-enabled small businesses, many of them small firms, export. In Indonesia, Thailand, and Vietnam, exporting is universal among eBay-enabled  small businesses, while export rates exceed 97% in the other three markets studied. Also noteworthy is how this extreme export success compares with firms in the traditional economy, with Malaysian businesses the most likely to export, at 19.4%, while just 5.1% of traditional Thai businesses are exporters,” Vidmay told during the the launch of eBay’s latest report in Malaysia.

The eBay’s Southeast Asia Small Online Business Trade Report released highlighted that all eBay-enabled small businesses in Indonesia, Thailand, and Vietnam are exporters, and more than 95% in Malaysia, the Philippines, and Singapore use eBay to reach global consumers.  “These  SMEs  exporting  on  eBay  have  the  reach  of  giant businesses, serving customers in an average of 25 different international markets on an annual basis,” Vidmay told during a fireside chat held by eBay in Malaysia recently.

Across the six countries that are the focus of this report, an astounding 68% of eBay-enabled small businesses exported to 10 or more international markets, led by those in Singapore at 86%.  And as a collective, the eBay-enabled small business  community  in  the region made sales in 214 international markets in 2020.

Speaking with Tech Wire Asia on the sidelines of the launch, Vidmay is of the belief that Southeast Asia, particularly Malaysia and Thailand, is off to a significant growth ahead — with or without the bust of the pandemic-led boom in the e-commerce segment. “We’ve seen significant growth in our business, especially with the SMBs selling from this region to the world. The truth is, we are just scratching the surface because we see eBay as a very nascent business here still, and we expect it to grow multifold.”

That said, Vidmay holds a pretty bullish stance that SMEs from this region are going to grow at an increasingly rapid rate. When asked which country in the Southeast Asia region holds the most potential, Vidmay suggested Malaysia and Thailand. “The fact that I’m in Malaysia proves that we’re going to bet a lot on Malaysia,” he said.

“Each market is important, but we are going to sequence it in terms of what type of investment and where we want to invest at this point of time versus at a later date. So all markets are important, but at this point of time, our focus is definitely going to be on Thailand and Malaysia for sure,” Vidmay added. In eBay’s report, it was highlighted that Malaysian SMEs export to an average of 30 international destination markets, including the US, UK, Australia, Germany, Canada, Italy, France, Japan, China, and Spain. 

The post eBay sees high growth potential in Malaysia, Thailand appeared first on TechWire Asia.

In Indonesia, nearly 80% of all retail spending happens in ‘warungs’, roadside stands or kiosks that serve as community oases for Indonesian neighborhoods. While the country has been rapidly digitizing, many of those mom-and-pop stores remain firmly analog. Bukalapak, meaning “open a stall”, is one of around dozens of e-commerce startups competing in Indonesia to bring them — and the rest of the archipelago’s 65 million small businesses — online.

Traditional stores have long been more competitive in terms of pricing compared modern retailers, mainly due to lower operating costs in the nation. Even in the middle of the pandemic, traditional stores’ market share in Indonesia reached 68.9% of retail spending for 2021, an increase from 66.6% in 2020, according to Nielsen Retail Audit. In contrast, the market share of supermarkets and hypermarkets during the same period declined to 5.9% (2020: 7.0%) while that of mini markets fell to 25.2% (2020: 26.4%). 

That is exactly the reason why the ‘warung’ segment, one of the most common forms of MSMEs in Indonesia, is seen as a segment with vast potential — especially for companies like Bukalapak From focusing exclusively on e-commerce once upon a time, Bukalapak in Indonesia eventually gave birth to Mitra Bukalapak in 2017, something that started off just  as an “experimental project”. Today, the very project has turned Bukalapak, the first tech unicorn in Indonesia, into a dominant player among online-to-offline (O2O) platforms in the country, with 42% of warungs using its app. 

Mitra Bukalapak basically invented one of the region’s most in demand sectors — warung-tech. In fact, over the last five years they have been digitizing the business model of traditional mom-and-pop stores in Indonesia, one warung at a time.

On that note, Tech Wire Asia were recently given the opportunity to discuss with Bukalapak’s chief technology officer Jun Yao about MSMEs in Indonesia, and how they connect warungs to a wider addressable market.

The interview below has been edited for length and clarity.

With Bukalapak racing to bring 3.5 million small roadside kiosks in Indonesia online, what are the plans as well as the obstacles in digitizing “warungs”?

We are determined to create more innovations for businesses and MSMEs in Indonesia to help them profit in today’s crowded business environment, equip them with the necessary digital tools and know-how so they can remain relevant and competitive, and ultimately bring more value to the everyday Indonesian. 

In the long term, I see Bukalapak as that tech enabler for businesses across verticals to grow and profit sustainably, and ultimately propel Indonesia’s economy and digital transformation journey. However, this ambition is not without its challenges, such as the different level of tech literacy among warung and kiosk owners as well as the financial divide. 

That is why we are going to continue to provide the access to tools, infrastructure, and expertise needed by these micro and small businesses to overcome that divide. Despite these hurdles, I believe that our 3.5 million goal is achievable. 

What is your share in the “digital warungs” space as opposed to your competitors? What also sets you apart from them?

Based on Nielsen’s survey, Mitra Bukalapak currently commands the leading market share in Indonesia’s O2O platform. 42% of all warungs who compete for O2O business, use the Mitra Bukalapak app. Covering all areas in Indonesia, including tier two and tier three cities, our Mitra Bukalapak app offers the widest and most complete offering to our Mitras to help them make more money. 

Our grocery service has also grown from serving only four provinces in 2019, to serving all 34 provinces by the second half of 2021. We want to be the Mitras’ partners for the long term, not only to provide them with short-term marketing benefits, but also to help them grow as a business. We regularly read the app reviews and listen to the Mitra’s feedback to better understand their needs. 

Therefore, a lot of our focus is mostly in developing our applications, whether it is introducing more SaaS tools to help them interact better with their offline customers, adding and improving our product availability, and our SLAs. 

Could you share how many SME sellers, monthly active users, warung partners, Bukalapak has? What about transactions per day?

We currently have more than 110 millions users and 15 million MSMEs partners that utilize our platforms and technologies for commercial activities.

In your opinion, why is it important for MSMEs to be on the digital marketplace?

Since the pandemic, most businesses have either already gone or are going digital to capture customers who stayed home and went online. For those who have not, they now face an urgent choice of either going digital or going bust. This is important because moving online allows businesses to reach a wider pool of customers, bringing those who were previously out of reach into their grasp. 

Not only will this drive higher revenues, but it also even opens up possibilities for businesses to enter new markets. As a matter of fact, Indonesia is set to reach over 240 million internet users by 2025. Furthermore, a recent report by Google, Temasek, and Bain projects Indonesia’s digital economy will reach US$330 billion in value by 2023, which is almost five fold compared to the current value of the country’s digital economy at US$70 billion. 

This means we need to start helping local businesses go digital to spur growth and efficiency, which will in turn help accelerate the country’s digital progress, allowing it to unleash its next level of economic growth. However, there is still a large percentage of MSMEs outside the big cities, or tier one cities of Indonesia, who still operate offline-only businesses as they lack the digital know-how and resources, making it hard for them to accelerate their businesses in this digital age. 

Meanwhile, 70% of Bukalapak transactions come from outside tier one cities, suggesting that big economic potential lies within these areas. That said, businesses that are slow to embrace digital will fall short behind their peers, since digital technologies stand to reap significant economic benefits in the long run. If MSMEs continue to stay offline, this impedes the nation’s digital transformation journey and economic advancement, and by extension, Southeast Asia’s economic growth. 

How has Bukalapak’s tech capabilities empower underserved MSMEs to transform every aspect of their business and overcome the digital divide?

To bridge the big digital divide between merchants of modern stores and the warungs in Indonesia, we provide targeted solutions for the underserved MSME community to grow and propel the nation’s digital transformation journey. Through Mitra Bukalapak, we transform these traditional stores into modern all-commerce retailers, allowing them to compete with larger corporations. 

Not only can warungs and small kiosks easily order stock of goods from Mitra Bukalapak app and having them delivered at their doorsteps, but they are also now able to sell a wide variety of products, ranging from groceries to digital products like phone credits, electricity tokens, and gaming vouchers, as well as providing numbers of services such as money transfer, e-wallet top-ups, bill payments, and goods delivery.

Going further, with specialized platforms we are currently developing, our solutions are designed to help small businesses that are critical to everyday life and work in Indonesia, from warungs to eateries, building material and auto part stores to barbershops and more thrive in an increasingly digital world.   Specifically, we aim to provide access to digital tools for MSMEs to expand their businesses to both the offline and online communities, allowing them to appeal to a wider pool of audiences and generate higher customer engagement. 

For example, we launched BukuMitra, a standalone app from the SaaS feature on Mitra Bukalapak app that allows business owners to do book-keeping, debt recording and repayment in an easy and secure manner. Our other specialized platforms, including gaming marketplaces, e-grocery, merchant solutions, and fintech, are designed to build infrastructure for our MSMEs within and outside our ecosystem to keep on growing. Additionally, to improve digital inclusion, we started a campaign to donate 10,000 laptops to women and students in Indonesia. 

We also provided business training sessions, workshops, and seminars for 15,000 women in 2021, out of which, 83% of the participants live outside of Java. This is in line with our commitment to empower women to run their own businesses by providing them with business financing options.

How has the pandemic impacted Bukalapak?

During pandemic time, digital acceleration in Indonesia is happening rapidly, which means that many people are starting to realize the importance of digital platforms in Indonesia. So, the pandemic did not change our approaches, it merely accelerated our plans in making sure our products are available, introducing different digital products, and giving more access to Mitras for physical goods. 

Especially for warungs, at the beginning of the pandemic, a lot of our Mitras were losing their offline traffic. The warung owners themselves are reluctant to shop for their stock of goods at crowded places. As a company, we tried to help them in both ends (supply and demand). We delivered goods directly to their doors, all they needed to do was tap on the Mitra Bukalapak app on their phone. 

On top of that, through our tight-knit Mitra community, we teached them to start selling and marketing their products through day-to-day online channels such as WhatsApp and Instagram. We also equipped them with our SaaS tools (Sebar Poster) which allows them to create their own posters to share with neighbors / friends / customers. The pandemic has also driven digitalization and e-commerce growth, making goods delivery an essential element. 

However, rolling out infinite offline touchpoints has been one of the major challenges for Indonesia’s logistic corporations that are operating on this archipelago. Realizing that warung can be part of the solution, we rolled out the BukaSend feature to allow our logistic partners to connect to millions of offline touchpoints, without having to incur vast amounts of incremental investment, while also helping our Mitras earn extra revenue and help grow their business.

Currently, we are also building a new specialized platform with the goal of supporting businesses universally in the future. This does not mean we are changing our existing platform, but rather, we are building a more structured platform where we can make our processes more agile and fast-paced.

With fintech ambitions in the horizon, are there plans to build an ecosystem beyond just e-commerce? Is there a super app goal?

Rather than an e-commerce player, we’d prefer to position ourselves as an all-commerce player. Our business lines include marketplace, offline to online (o2o), business to business (b2b), financial services, logistics, and many others with the focus on serving merchants and mitras as customers.

We are beyond just an online marketplace because we see value in helping businesses and consumers in Indonesia overcome growth barriers, capture new opportunities and thrive in an increasingly digital world through its technology – from access to credit and financial services, to the creation of new product offerings and reaching more customers through digital channels.

Keeping this momentum moving forward, you could say our goal is to be the super tech enabler for Indonesia’s MSME transformation and various business verticals. When it comes to fintech, we have BMoney, our all-in-one investment platform, in collaboration with Ashmore, that allows everyone to start investing seamlessly and securely from only Rp 1000. 

Recently, we took a stake in Bank Allo– a fully licensed digital bank, that has a range of offerings in terms of businesses and personal accounts, PayLater, savings and deposits, payment, and transfer options. By partnering with two behemoths in CT Corp and the Salim Group, who have an incredibly large and captive user base with more than 100m frequent customers, we should be able to make an instant impact.

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