SK Planet opens e-commerce service in Malaysia

SK Planet CEO Seo Jin-woo, center, celebrates the launch of the company’s Malaysian e-commerce service “11street” alongside publicity ambassadors Lee Min-ho, right, and Emily Chan in Kuala Lumpur on Friday. / Courtesy of SK Planet

By Yoon Sung-won

SK Planet, Korea’s leading e-commerce service operator, launched its “11street” e-commerce service in Malaysia on Friday.

The company, which operates the online open-market service in Korea, will provide the online service and a compatible mobile application in Malaysia. Celcom Planet, a joint venture established by SK Planet and Malaysia’s leading mobile carrier Celcom Axiata in November, will handle the Malaysian business.

“We have entered Malaysia’s e-commerce market early considering the country’s rapid market growth and high Internet penetration rate,” said Celcom Planet CEO Kim Ho-seok. “We will operate a differentiated e-commerce business here based on 11st Street’s business know-how and competitiveness both in online and mobile shopping.”

The company held a launching ceremony in Kuala Lumpur on Friday, with Malaysian actress Emily Chan and Korean actor Lee Min-ho as official public ambassadors.

The SK Group e-commerce affiliate plans to introduce 11st Street’s key services such as an around-the-clock customer service center as well as support programs for sellers such as sales education, business consulting and a free product photo service.

The company also plans to tap into Celcom Axiata’s subscriber base, the largest in the country.

Malaysia, with a 7 percent annual growth rate and high Internet and smartphone penetration, has been considered a market with high prospects for the online commerce industry. Global e-commerce enterprises such as Japan’s Rakuten and Germany’s Rocket Internet have already entered the Malaysian market.

For SK Planet, the Malaysia market is its third global business. SK Planet established a joint venture “n11.com” in Turkey in 2013 and another one called “elevenia” in Indonesia last year.

Its business in Turkey posted about 160 billion won sales in the fourth quarter last year ― the largest among local competitors. The business in Indonesia is ranked third in the local market.

SK Planet said it aimed to become the leading business in Turkey in terms of annual trade this year and second and Indonesia, outpacing global competitors such as eBay and Rakuten.

In Korea, the company has launched aggressive marketing activities in the mobile commerce market which has been growing rapidly.

According to the market research agency Nielson Korea Click, a total of 10.1 million mobile users have accessed to 11st Street’s mobile website and application in February, excelling its marketing competitor eBay Korea’s Gmarket and Auction.