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Commerce Minister Phumtham Wechayachai Urges Thai Businesses to Adopt Same-Day Delivery Strategy to Compete with Chinese E-Commerce Giants

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Thai business operators should amp up their operational strategies to stay ahead of their competitors, Commerce Minister Phumtham Wechayachai emphasized yesterday. Reflecting on the significant advancements made by Chinese e-commerce giants like JD.com, TikTok (Douyin), TaoBao, and Meituan, particularly through the introduction of same-day delivery services in selected areas, he underscored the continuous need for upgrading business methodologies.

His remarks followed a comprehensive report delivered by Oranuch Wannapinyo, director of the Department of International Trade Promotion’s (DITP) office in Guangzhou, which underscored the soaring popularity of same-day delivery services among Chinese consumers. As highlighted in the report, instant delivery has now become the go-to option for a majority of users on Chinese e-commerce platforms—with a staggering 64% of customers opting for this speedy service whenever available.

The DITP report further elaborated on the drastic behavioral shifts prompted by the Covid-19 pandemic, revealing that an overwhelming 75% of consumers now express a clear preference for same-day order delivery. In response to this trend, Chinese platforms have proactively introduced a variety of expedited delivery options to cater to their customers’ needs.

For instance, Alibaba recently rolled out its instant delivery service on its popular e-commerce app, TaoBao, along with the courier service Ele.me. Meanwhile, JD.com has taken customer satisfaction to new heights with their impressive nine-minute delivery guarantee through JD Instant Delivery. Not to be left behind, Douyin—the Chinese counterpart of TikTok—has jumped onto the fast-delivery bandwagon, with numerous shops, including the tech giant Xiaomi Home, joining the initiative.

Minister Phumtham advised Thai business operators to keenly study and emulate the successful strategies employed by these Chinese platforms. He believes this approach could significantly benefit small- and medium-sized businesses in Thailand, helping them stay competitive in an increasingly cutthroat market. Recognizing and adapting to these trends will not only enhance customer satisfaction but also bolster the overall growth of the Thai business sector.

38 Comments

  1. Danielle B. July 29, 2024

    Same-day delivery in Thailand sounds great, but do we even have the infrastructure for it?

    • Alex Ng July 29, 2024

      Infrastructure might be a problem now, but isn’t that why we should invest and improve?

      • Danielle B. July 29, 2024

        Sure, but it’s easier said than done. Who’s going to fund all this?

      • kennytheK July 30, 2024

        Isn’t it the government’s responsibility to facilitate this kind of growth?

      • Alex Ng July 30, 2024

        Government alone can’t do everything. Private sector needs to step up too.

  2. Samantha July 29, 2024

    This puts a lot of pressure on small businesses. Do they even have the resources to compete here?

    • N.E. July 29, 2024

      Exactly, the big companies can afford it, but small businesses can’t!

    • Paul E. July 29, 2024

      Maybe there could be a shared delivery platform that small businesses can use?

  3. Chamnan Th. July 29, 2024

    Phumtham’s idea is good in theory, but will it really work in practice?

    • SaiHints July 29, 2024

      Good point. We need pilots and data before going all in.

    • Chamnan Th. July 30, 2024

      Exactly, everyone’s just talking about it but no one’s showing actual plans.

  4. Marcus July 29, 2024

    Thai businesses should focus on improving product quality first.

  5. Fiona H. July 30, 2024

    Why do we always have to copy China? Can’t we come up with our own strategies?

  6. Big.Fish July 30, 2024

    Same-day delivery just adds unnecessary stress to workers.

    • Tony Y. July 30, 2024

      True, many delivery drivers are already overworked as it is.

    • Maya P. July 30, 2024

      But isn’t convenience the whole point of e-commerce?

  7. Joe July 30, 2024

    This will ruin smaller cities. They don’t have the workforce or logistics.

  8. David July 30, 2024

    Nine-minute delivery? That’s insane! How do they even achieve that?

    • Cate D. July 30, 2024

      Advanced tech and concentrated warehouses, maybe?

    • Arun July 30, 2024

      Also, likely a lot of worker exploitation.

  9. Len July 30, 2024

    Sounds like a plan, but it’s the execution that matters.

  10. Mitch K. July 30, 2024

    Thailand’s traffic alone makes same-day delivery unrealistic.

  11. Sunny C. July 30, 2024

    Why not focus on efficient next-day delivery instead? It’s more feasible.

    • LH July 30, 2024

      Agree. A step-by-step approach makes more sense.

  12. R35 July 30, 2024

    This is an urgent wake-up call for Thai businesses. Adapt or die.

    • Marina July 30, 2024

      Harsh but true. The market is evolving rapidly.

    • Nitha July 30, 2024

      Easier said than done. They need support and resources.

    • R35 July 30, 2024

      That’s where the government and private sector partnerships come in.

    • GrowGreen22 July 30, 2024

      Absolutely, collaborative efforts are the way forward.

  13. Tara July 30, 2024

    Are customers even going to pay extra for this service though?

    • Jason R. July 30, 2024

      Depends on the product. Probably yes for high-urgency items.

    • Nithiwat M. July 30, 2024

      True, but most people would rather wait to save money.

  14. Charlie July 30, 2024

    What about the environmental impact of super-fast deliveries?

  15. P.N. July 30, 2024

    It might actually cut emissions by reducing multiple small trips to stores.

    • James P. July 30, 2024

      That’s just a small part of the overall impact, though.

  16. Debbie July 30, 2024

    This is just a gimmick to boost short-term sales.

  17. Zee T. July 30, 2024

    Innovative, but will rural areas ever see this kind of service?

    • LamThang July 30, 2024

      Probably not. Urban areas will get priority.

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