Logistics firms may get their fingers burned in SEA

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Hi there,

With the pandemic, extreme weather, inflation, a war, and rising gas prices, it seems that we’re living in unprecedented times.

In the past few months, spiraling fuel prices in India, where I live, have caused the average monthly budgets of households to shoot up by nearly 10%.

A similar situation prevails in Southeast Asia, where most countries have seen a sharp spike in fuel costs.

This has weakened the purchasing power of consumers. Making the matter worse, some logistics companies have been adding a surcharge to their services. The CEO of Indonesia-based Deliveree, which has recently raised US$70 million in series C funding, says charging more still doesn’t help with the situation.

In times of crisis, innovation is a must. What can companies do to offset customer attrition?

In this week’s Big Story, my colleague Jofie finds out how logistics and ecommerce companies have to rework their strategies to survive and thrive in the current market conditions.

In the Hot Take, I analyze the US$400 million acquisition of Japanese eyewear brand Owndays by Indian unicorn Lenskart. Can the eyewear giant make waves in Southeast Asia?

– Samreen

THE BIG STORY

SEA logistics players brace for rising gas prices

Image credit: Timmy Loen

Costs are directly hit, but the ramifications may be larger for ecommerce. Some players from both sectors are opting for a wait-and-see approach.

THE HOT TAKE

Why Lenskart’s Owndays acquisition is a big deal

NEWS YOU SHOULD KNOW

FYI