Analyse Asia

Today marks the 10th year anniversary of the Analyse Asia podcast. Our founder and host, Bernard Leong penciled his reflections on how the podcast has grown over the past decade and the lessons learnt in the process.

How Temu Became the Trendsetter in E-Commerce Logistics - Jing Yang from The Information "You can probably argue that Temu is now the trendsetter instead. Their local work warehouse, which some call the semi-managed model as compared to the fully managed model, which is the direct shipping from China model, actually inspired Shein and Ali-Express. They both have done the same. We have seen that different countries around the world have reacted quite differently to this, right? We'll get into the controversy in the U.S. a little bit, but I'm sure you're aware that in France, for example, they're trying to do some sort of "fast fashion penalty." A similar thing is happening in Brazil, where they have already passed a law mandating that lower-level imported e-commerce parcels have to pay additional tax. I think similar things also happening in Thailand, I believe it's being discussed, right? It's definitely going to be interesting, but then Obviously, we are all consumers at the end of the day. Additional competition and an innovation in business model definitely eventually benefits consumers." Main Site: https://lnkd.in/geMp3gdT YouTube Video: https://lnkd.in/gDCNx6ha Newsletter Signup: https://lnkd.in/gWedr5RK LinkedIn Page: https://lnkd.in/dH-rpqXf #Temu #Ecommerce #Logistics #Innovation #GlobalExpansion

How Temu Avoids Amazon’s Capital-Intensive Fulfillment Model by Jing Yang from The Information "There are some of them, but the vast majority of them are still Chinese sellers who are just like of this scale that already have inventory in the U.S. So the sellers themselves basically managed to ship the goods very likely via maritime freight, ocean freight from China to their own warehouses in the U.S. Then they also need to handle the delivery themselves. What is really interesting in the past month, is that you see Amazon is trying to become Temu and Temu is trying to become Amazon. In a gross general simplification, that's what it looks like. However, though, what Temu is trying to do with the local warehouse program is that there has been no sign to suggest that Temu actually wants to do this kind of capital-intensive in-house logistics buildup, like what Amazon has done with Fulfilled by Amazon. Instead, they're just delegating this to capable and sizable sellers." - Jing Yang Main Site: https://lnkd.in/geMp3gdT YouTube Video: https://lnkd.in/gDCNx6ha Newsletter Signup: https://lnkd.in/gWedr5RK LinkedIn Page: https://lnkd.in/dH-rpqXf #Temu #Amazon #Ecommerce #Logistics #BusinessStrategy

How Temu’s Local Warehouses Are Driving Sales in the U.S., accounting for 20% of the global sales - Jing Yang from The Information "Since March 2024, Temu launched this local warehouse program. why is it called local warehouse instead of local seller? I'll explain in a little bit. But basically, Temu started signing up merchants who already have inventory stored, say, in the U.S. Or Europe, wherever it's now available in several markets in Europe, the U.S., Canada, New Zealand and Australia. So if you are a seller who already has an inventory, say, in the United States, and you want to sell to the United States, then you can join. The same goes for Europe and the other places. It has grown so fast. It's like an incredible speed. And I reported that this part of the business, Essentially, products that shipped from a local warehouse in the U.S. To the hands of U.S. Consumers already represented 20% of Temu's GMV in the U.S. This was 2 weeks ago. I believe the number is probably even higher now." - Jing Yang Main Site: https://lnkd.in/geMp3gdT YouTube Video: https://lnkd.in/gDCNx6ha Newsletter Signup: https://lnkd.in/gWedr5RK LinkedIn Page: https://lnkd.in/dH-rpqXf #Temu #Ecommerce #WarehouseProgram #USMarket #businessgrowth #amazonecommerce

Fresh out of the studio, Joon Nak Choi, Adjunct Associate Professor at The Hong Kong University of Science and Technology and founder of Learnovate Technologies Limited, dives deep into the future of education and AI. JC shares his career journey and the back story of why he started Learnovate focusing on AI-assisted grading and what it is meant to solve for the users. Last but not least, JC shares his perspectives on how the future of education will evolve with generative AI and explains what success will look like in the next few years. "The humans are going to be empowered to become superheroes like Tony Stark, and because you have your loyal A.I. assistant, Jarvis, doing all this stuff in the background, that's the example I always use when I give lectures on this topic. What ends up happening is that you need to make sure you can use A.I. correctly. If you offload too much, offload inappropriately, or become too dependent on AI for tasks where you shouldn't be dependent, then suddenly, you're no longer Tony Stark. You're one of those fat human descendants in Wall-E. The ones who can't even get back in their own chairs because they've forgotten how to walk, they've forgotten how to think, they're being fed a steady diet of soda pop from AI." - Joon Nak Choi Episode 462 Full YouTube Video: https://lnkd.in/gjKanx4p Full Transcript: https://lnkd.in/gxmE5ZvP

Amazon Reduces Commissions and Tests Temu Clone to Compete by Jing Yang from The Information "If we look at Shein and Temu together as rivals to Amazon, then first what Amazon did last year was that they reduced the commissions on some of the low priced, apparel products. Which really, barely scratched the surface now that we look at it in hindsight. But at that time, it definitely was seen as like a move that, okay, Amazon is now going on defensive. What happened earlier this month is a story that I broke first, and was also vitally reported as that Amazon is actually testing a Temu clone section on his website. We don't really know what it's going to look like, but very likely if it goes live, then when you go to the Amazon website, there might be a separate entry point. That gets you to this sort of discounted or bargain version. And then that features on goods directly shipped from China." - Jing Yang Main Site: https://lnkd.in/geMp3gdT YouTube Video: https://lnkd.in/gDCNx6ha Newsletter Signup: https://lnkd.in/gWedr5RK LinkedIn Page: https://lnkd.in/dH-rpqXf #Amazon #Temu #Shein #Ecommerce #BusinessStrategy

How Amazon Paved the Way for Shein and Temu in the U.S. - Jing Yang from The Information "Bernard Leong: How did Amazon enable the expansion of Shein and Temu into the USA market?   Jing Yang: I think maybe from two ends. From the consumer end, obviously,   Amazon educated the US consumers on  online shopping which is very evident, right? But, I would say that the other very important part is that about half of Amazon's third-party sellers are actually from China.  So then this means that Amazon also helped educate Chinese from Chinese factories to Chinese merchants  about the concept of selling from China to around the world via the Internet" Main Site: https://lnkd.in/geMp3gdT YouTube Video: https://lnkd.in/gDCNx6ha Newsletter Signup: https://lnkd.in/gWedr5RK LinkedIn Page: https://lnkd.in/dH-rpqXf #Amazon #Shein #Temu #Ecommerce #GlobalExpansion

The Unique Profiles of Amazon and Temu Sellers Explained by Jing Yang from The Information #ecommerce "There's something like arbitraging between both sides. So there is a possibility that these suppliers can still go direct to Amazon, except that it's going to be very difficult for them. They provide that one-stop shop for Temu to arbitrage them like a middleman. Did I understand that correctly? I would say it's not really like an arbitrage. The typical seller profile on Amazon is quite different from that of a typical Temu seller. a typical Amazon seller in China is usually a wholesaler, who actually sources these goods from the factories, or maybe other wholesalers. Then the typical seller in Temu is the factory itself. And then this is very important because this makes it different, quite different. This makes it quite difficult for the typical Temu seller to join Amazon. And why, and vice versa." - Jing Yang from The Information Main Site: https://lnkd.in/geMp3gdT YouTube Video: https://lnkd.in/gDCNx6ha Newsletter Signup: https://lnkd.in/gWedr5RK LinkedIn Page: https://lnkd.in/dH-rpqXf #Amazon #Temu #Ecommerce #OnlineSelling #MarketplaceDifferences

Our founder Bernard Leong was on the TechBurst Talks Podcast hosted by Charles Reed Anderson to simplify AI for the layman, and you can hear him explaining the different aspects of AI from technology explanations to AI safety and how it can be applied to business enterprises, and how to think of #GenerativeAI as an infinite intern. For the full video, you can watch it here: https://lnkd.in/gfX6RCAD

Amazon vs. Temu: How They Make Money from Sellers by Jing Yang #ecommerce "In addition, Amazon has spent a lot of time and money building their fulfilled by Amazon, logistics capability, which is something adopted by quite a lot of third-party sellers, but then this, is also what propels Amazon's fast delivery. This service is not free for sellers. So they have to pay to use Fulfill by Amazon. In addition, Amazon also charges. The commission fees, right? So I would say these 3 things are the main ways Amazon makes money. But then, by comparison, Temu makes money from basically pocketing the price difference between what they sell to what they make, what sellers sell, what gets provided to them, and what customers pay for. There's something like arbitraging between both sides. So there is a possibility that these suppliers can still go direct to Amazon, except that it's going to be very, very difficult for them." - Jing Yang from The Information Main Site: https://lnkd.in/geMp3gdT YouTube Video: https://lnkd.in/gDCNx6ha Newsletter Signup: https://lnkd.in/gWedr5RK LinkedIn Page: https://lnkd.in/dH-rpqXf #chinasourcing #ecommerceconversion #temu #amazonecommerce