Shopee now allows SMEs to sell overseas
Shopee has expanded its Shopee International Platform (SIP) in Singapore, allowing small and medium-sized enterprises (SMEs) to sell to customers in Malaysia, Thailand and soon, the Philippines, without additional costs. The initiative, supported by Enterprise Singapore (EnterpriseSG), aims to remove the complexities of cross-border e-commerce, helping Singapore-based businesses grow regionally with minimal risk and investment.
Previously, SMEs looking to expand beyond Singapore had to create and manage separate storefronts for each country, a process that added operational burdens and logistical challenges. With SIP, Shopee takes care of cross-border shipping, order fulfillment, customer service and even localized marketing, allowing businesses to focus on their core operations. Sellers only need to fulfill domestic orders to Shopee’s Singapore warehouse, where the platform then manages international logistics and customer engagement.
The new changes have already shown promising results. During the three-month pilot phase that began in September 2024, over 8,000 Singapore sellers joined the platform, leading to an eightfold increase in orders and gross merchandise value. Many SMEs that previously hesitated to expand due to high upfront costs and uncertainty about foreign demand now see real potential in regional markets. For example, Candy Cottage, a Singapore-based confectionery retailer, reported a 5% increase in monthly sales after joining SIP. Similarly, Global Pet Company successfully reached new customers abroad without the extra expenses of setting up physical retail stores.
Cindy Khoo, EnterpriseSG’s Managing Director, emphasized the importance of internationalization for local businesses, stating that diversification is key in today’s economic climate. She highlighted that Malaysia and Thailand, two of Southeast Asia’s fastest-growing digital economies, present profitable opportunities for Singaporean sellers.
Chua Kel Jin, Shopee Singapore Director, noted that one of the biggest advantages of SIP is its ability to simplify expansion while minimizing financial risks. He pointed out that many SMEs struggle with concerns such as foreign currency fluctuations, regional consumer preferences and logistics barriers. By managing these challenges, SIP provides a structured way for businesses to test new markets before making significant investments. The program also helps sellers navigate customs regulations and optimize product listings based on demand in each target country.
A new SIP feature is set to roll out, allowing high-performing sellers to have more control over pricing, product selection and promotions for Malaysia, further enhancing their competitiveness in the market. While Singaporean SMEs may face pricing competition from regional sellers, Chua believes they have an edge in product innovation, quality and customer service.
The expansion to the Philippines will further broaden market access, particularly for businesses in high-demand sectors such as premium pet products, food and lifestyle goods. As SIP evolves, it is set to become an increasingly valuable tool for SMEs looking to enter the regional markets with minimal financial and operational strain.
