Thailand's Priceza wants more of that Southeast Asia pie
After Thailand and Indonesia, price comparison service Priceza wants to enter Malaysia, Singapore, Vietnam and the PhilippinesBy Elaine Huang 02 Sep, 2014
Thailand-based price comparison website Priceza recently announced plans to further expand in Southeast Asia, with its sights set on Malaysia, Singapore, Vietnam and the Philippines.
To do so, however, it will be raising US$2 million to US$3 million in a Series A round next year.
For background, Priceza was founded in 2009. In 2013, it received an investment of about THB 20 million (US$625,000) from Japanese investment firm CyberAgent Ventures. In the same year, the startup entered Indonesia, its first market outside home country Thailand.
Given that Priceza has many competitors in Indonesia, like PriceArea, PricePanda and Telunjuk, the company has done fairly well in the largest Southeast Asian country. In a given month, Priceza sees more than 6,000 users in Indonesia.
Collectively, Priceza sees more than 11 million monthly page views, and attracts more than four million shoppers each month. Additionally, there are 5,000 stores on Priceza Thailand and another 5,000 stores on Priceza Indonesia, featuring a total of more than 1.6 million products in Thailand and more than two million products in Indonesia.
About 95 per cent of all stores on Priceza are small- and medium-sized enterprises such as ThaiShope, PPDeliver, Miss B Shop, PetLoft, and Lafema. The remaining five per cent are large-scale stores and marketplaces like Central Online, The MALL (MGlobeMall, 7-11 (ShopAt7), iTrueMart and Zalora.
According to the Bangkok Post, 70 per cent of Priceza’s revenue can be attributed to commission fees, while the rest would typically come from online advertising.
Going forward, the company has set various lofty goals. In the next three years, it is looking to see a 50 per cent annual growth in total user base numbers, and have its stores hit more than THB 100 million (US$3.1 million) worth of total sales per month. Additionally, the startup expects that more than 40 million people will visit Priceza to shop online this year.
It is also highly likely that these online shoppers will visit Priceza via their mobile devices. In August 2014, 46 per cent of Thai users accessed the website via their mobile phones, while 44 per cent did so via desktops, and 10 per cent visited Priceza via tablets.
“From the consumer behaviour on Priceza and the practice of shopping online for Thais, it was found that Thais are increasingly becoming more familiar with shopping via mobile phones,” said Thanawat Malabuppha, CEO, Priceza. He added that the proportion of mobile traffic should grow to reflect more than 50 per cent.
Priceza also took the opportunity to announce the Priceza Grand Sale which started yesterday and will end on September 9, 2014. The sale is being touted as the “largest gathering of online shops”; it will feature some 5,000 stores and give away prizes such as a 3D Smart TV, smartphone, tablet, computer notebook, discount vouchers and more.
The company is looking to generate more than THB 100 million (US$3.1 million) of sales in the nine-day period.
Check out more startups like Priceza at Echelon Thailand happening this September 18-19! Get your tickets here.