Ecommerce’s best friend is the MVP this week

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Hello readers,

Here’s a surprise: The second top-funded startup this week isn’t from China or India, but from Thailand. And the one we’re talking about is ecommerce logistic startup Flash Express, which has raised US$200 million, zooming past other companies like Razorpay and Ninjacart.

What makes ecommerce logistics such an attractive vertical? We lay out some resources you may need to keep track of all the trends and movements in this industry.

1️⃣ Happy ecommerce, happy logistics

The rise of online shopping during the Covid-19 pandemic has ultimately accelerated the delivery and logistic industry, but only for the ones dealing with ecommerce. For example, Chinese delivery company SF Holding’s business, which focused almost exclusively on ecommerce, has risen by almost 50% since the beginning of the pandemic. On the other hand, multinational delivery giant FedEx has borrowed $1.5 billion to build up its cash reserves as well as took measures to protect its cash flow and liquidity.

2️⃣ Logistics also caught the attention of an oil giant

Incubated by oil and gas titans Shell, Connected Freight aims to optimize deliveries and help both suppliers and buyers save time and costs. Founded in 2018, the startup brings retailers, suppliers, and third-party logistics providers under one platform so that they can interact in real-time.

3️⃣ Another best friend of ecommerce

As more people look to build their own ecommerce businesses, ecommerce enablers – businesses that help brands manage and grow their online sales – are also on the rise. One such company is N-Squared, which was set up by ex-Lazadians and became profitable in 2018 doing so. And in China, Alibaba-backed ecommerce enabler Baozun is also profitable, listed on Nasdaq, and has a market value of about US$2.2 billion.

The biggest deals by country

Influx of VC money in Southeast Asian countries (2018 to 2020). Full chart here.

Pitch decks for your reference

Lists of most active investors in the region

List of top-funded startups in Asia

Thoughtful reads