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MALAYSIAN webhosting provider Exabytes Network Sdn Bhd has launched what it described as the country’s first integrated logistics service platform, and also announced its 100% acquisition of Usonyx Pte Ltd.
The Usonyx acquisition would help Exabytes gain immediate market share and extend its leadership position in the South-East Asia region’s webhosting sector, the company said in a statement.
Usonyx is the wholly-owned Singapore subsidiary of Japanese company Clara Online, a hosting provider with operations also in China, Singapore and Taiwan. It claims to be the first webhosting provider to offer Linux-based virtual servers in Japan.
Usonyx provides server hosting services to small and medium enterprises, and has a customer base of over 3,000 organisations, Exabytes said in a statement.
“I am confident that Exabytes’ business will be further accelerated by the growing regional market demands for webhosting, in view of the fact that South-East Asia is being identified as one of the world's fastest-growing markets for e-commerce,” said Exabytes chief executive officer and founder Chan Kee Siak (pic above).
“On average, the market is expected to grow by 37.6% [in 2014] to reach RM113.85 billion (US$34.5 billion) by 2018,” he said, quoting IDC.
“Webhosting is fundamental to the setting up of online businesses for e-commerce trade.
“In addition, according to [the IDC] research, Singapore was the largest e-commerce market in South-East Asia in 2013 – therefore, it is only logical that we select Singapore as the first market to kick off our regional business expansion,” Chan added.
Exabytes is expecting that the acquisition of Usonyx will ramp up its annual overseas’ revenues by up to 20%.
In FY2014 (ended March 31, 2014), Exabytes reported total revenue of RM21 million (US$6.6 million). The company is targeting to achieve 50% overall revenue growth by fiscal 2015.
“Moving forward, we are eyeing more acquisitions or partnerships in the region to accelerate our market share growth,” said Chan, adding that Exabytes plans to penetrate the Indonesian market in the fourth quarter of 2014.
Exabytes also launched EasyParcel, which it claimed combined the delivery of traditional shipping services with the ease and ubiquity of e-commerce mechanisms.
EasyParcel combines the service availability of five established logistics and shipping services providers – Poslaju, Skynet, Airpax, Nationwide and DHL – into a single integrated e-commerce platform, Chan said.
“Exabytes … [realises that] logistics efficiency is becoming the key differentiator for ‘e-retailers’ to succeed. Online retail businesses can easily damage their hard-earned reputations with late or wrong deliveries due to inefficient logistics and return processes,” he said.
Chan said that a recent poll on Exabytes’ e-commerce marketplace EasyMall.my had about 80% of its online shoppers in the South-East Asia region say that shipping and delivery mode is a key deciding factor that influences their purchases.
“The launch of EasyParcel … addresses this challenge by bringing together all the major logistics providers into a single, e-commerce platform that is easy to use and track in order to facilitate fast and competitive shipping services as required by EasyStore.my and any other e-retailer,” he said.
Chan said that EasyParcel was inspired by the concept of online hotel bookings which serve as search points for the best hotel deals and packages.
Any online retailer can use the platform to explore all the shipping and delivery options available to them, compare pricing and terms and conditions, as well as directly track the delivery stages of their goods, Exabytes said.
Exabyte announced the nationwide availability of EasyParcel after its beta version in June received an “encouraging response” from over 2,000 e-retailers and users in Malaysia, the company said.
“Currently EasyParcel only offers domestic shipping services but we are actively looking to partner with more logistic providers to extend the platform with international shipping options,” Chan said.
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