The Thor Group from Singapore and Focus Technology are jointly launching a cross-border e-commerce platform
SINGAPORE, March 24, 2021 / PRNewswire / – Singapore-based consumer entertainment platform Thor Group and the online commerce operator Focus Technology (002315.SZ) plan to jointly launch a cross-border e-commerce platform for the European market in the second quarter of 2021.
Headquarters in Singapore, Thor Group specializes in online recreational games and financial services and has offices in several Southeast and South Asian countries with hundreds of professional employees spread across the two regions. The company will now commence its cross-border e-commerce business, serving consumers directly through its partnership with Focus Technology, a company with extensive experience in international B2B commerce.
Thor: From gaming to e-commerce
Thor Group isn’t the first company to expand from gaming to e-commerce across multiple markets. Sea Group’s Shopee e-commerce platform is a case in point. In the third quarter of 2020, Shopee’s app downloads had exceeded 195 million. Shopee and Lazada are the two main ecommerce platforms in South East Asia.
Vice President of the Thor Group Frank Lee said: “Our research and analysis shows that the core competencies accumulated in the gaming sector, such as technology applications, have proven to be particularly effective E-commerce.
“The main reason we chose the European market is because the continent is the world’s largest market in terms of the volume of cross-border e-commerce, as well as better infrastructure and a relatively favorable market environment. Europe provides better access to financial institutions, “said Johnson Young, CEO of the JV founded by Thor Group and Focus Technology. “We decided after considering all considerations, with the underlying logic that of all possible markets, the European market would be the easiest for us to open up. Also, the market is fragmented in different countries and regions while no single company dominates the market. In such a competitive environment, we can enter the market faster by leveraging our understanding of local users and the coverage of existing user groups. ”
Expanding from gaming to e-commerce has both obvious advantages and disadvantages for business operations. Zhang Shule, a commentator for the internet and games industry, said, “The expansion of game developers into e-commerce depends on how they do it. Thor Group has the e-commerce “gene” as it started with esports and gaming equipment. The company can market its products by hosting esports events or becoming title sponsors, or on its own e-commerce platform sell, both of which do not require the know-how that would be required if it were really an “interdisciplinary” effort. The advantage is that Thor can target users in a targeted manner, the disadvantage is that there is little room for vertical expansion. It is also difficult to encourage cross-border sales of other products with a similar user base by relying on the attributes of esports and game users. ”
Focus: Transition from the service business to direct service for the consumer
The leading assets in Focus Technology’s e-commerce portfolio include the international B2B trading platform Made-in-China.com and the cross-border B2B trading platforms Crov.com, inQbrands Inc. and Doba.com.
Public data shows that as of the end of 2019 the value of China reached cross-border e-commerce B2C transactions 170 billion yuanwhat less than 1% of the China $ 4 trillion in foreign trade. In 2020, the COVID-19 epidemic has greatly accelerated the pace at which consumers around the world have adopted online shopping. As China took the lead in the recovery of supply chains, cross-border e-commerce platforms had to take more responsibility for stabilizing foreign trade, leading to more investment in the industry. In addition to established internet giants, above all Alibaba, Tencent and JD.com, emerging market leaders like ByteDance also ventured into the market.
Regarding the partnership between Thor Group and Focus Technology, Mr. Zhang said, “Timing is not a problem, but success ultimately depends on whether the two companies have enough strength together to support such a cross-border e-commerce platform, the previous cross-border one Ecommerce platforms of various sizes haven’t seen any real success, let alone the need to build a fully vertical platform. ”
Johnson Young Said, “Our main advantage is that we are experts in both the ability to increase traffic and the supply chain, compared to most other platforms, the two elements that are critical in markets worldwide where the success of the The website or platform’s ability to drive traffic depends. ”
SOURCE Thor Group
