Shopee
{{short description|Singaporean e-commerce company}}
{{Use Singaporean English|date=August 2022}}
{{Use dmy dates|date=November 2020}}
{{Infobox company
| name = Shopee Pte. Ltd.
| logo = Shopee.svg
| logo_size = 200px
| logo_caption =
| image = 5_Science_Park_Drive_(Shopee),_Singapore_(2025)_-_img_08.jpg
| image_size = 250px
| image_caption = Shopee's head office in Singapore Science Park
| trade_name = Shopee
| type = Subsidiary
| industry = E-commerce
| founded = {{start date and age|df=yes|2015|02|05}}
Queenstown, Singapore
| parent = Sea Limited
| subsid = Shopee Japan Co., Ltd{{Cite web|url=https://prtimes.jp/main/html/rd/p/000000013.000075777.html|title = ShopeeでJAPAN FINESTキャンペーンがスタート。海外現地モールで日本直送品の露出枠が拡大。| date=18 August 2021 |language=ja }}
| location = 5 Science Park Drive, Shopee Building, Singapore 118265
| location_country =
| area_served = Southeast Asia & Latin America{{cite web |url=https://www.reuters.com/business/retail-consumer/exclusive-seas-shopee-shuts-operations-argentina-chile-colombia-mexico-sources-2022-09-08/ |title=Exclusive: Sea Ltd shuts operations in some Latin American countries, cuts Free Fire staff in Shanghai |first1=Fanny |last1=Potkin |first2=Josh |last2=Ye |publisher= |website=Reuters |date=2022-09-09}}
| key_people = Forrest Li (Founder CEO and Chairman)
Chris Feng (President)
Gang Ye (COO)
| website = {{URL|https://shopee.com}}
| num_employees =
}}
Shopee Pte. Ltd., trading as Shopee, is a Singaporean multinational technology company that specializes in e-commerce.{{Cite web |title=Shopee: The e-commerce platform that knows just what Singapore shoppers want |url=https://www.channelnewsasia.com/today/brand-spotlight/shopee-e-commerce-platform-knows-just-what-singapore-shoppers-want-4636136 |access-date=2025-04-15 |website=CNA |language=en}} It operates as a subsidiary of Sea Limited.{{Cite web |last=Bình - |first=Thái |date=2024-06-21 |title=From Shopee to global online exports |url=https://vneconomy.vn/from-shopee-to-global-online-exports.htm |access-date=2025-04-15 |website=Nhịp sống kinh tế Việt Nam & Thế giới |language=vi}} Shopee was founded in 2015 in Singapore,{{Cite web |date=2019-12-27 |title=How being ‘late’ to e-commerce gave Singapore’s Shopee an edge |url=https://www.scmp.com/tech/enterprises/article/3043561/singapores-shopee-being-late-e-commerce-game-has-helped-its-rise |access-date=2025-04-15 |website=South China Morning Post |language=en}} and subsequently expanded its operations to other countries.{{Cite news |last=Lee |first=Yoolim |date=8 May 2017 |title=Garena Rebrands as Sea After Raising $550 Million in New Funding |work=Bloomberg |url=https://www.bloomberg.com/news/articles/2017-05-08/garena-rebrands-as-sea-after-raising-550-million-in-new-funding |access-date=21 March 2018}}
As of 2023, Shopee is recognized as the largest e-commerce platform in Southeast Asia,{{Cite web |title=Topic: E-commerce platforms in Vietnam |url=https://www.statista.com/topics/12689/e-commerce-platforms-in-vietnam/ |archive-url=http://web.archive.org/web/20241217060722/https://www.statista.com/topics/12689/e-commerce-platforms-in-vietnam/ |archive-date=2024-12-17 |access-date=2025-04-15 |website=Statista |language=en}}{{Cite web |last= |date=2023-08-15 |title=Shopee Leading The Way In E-Commerce Marketing |url=https://worldbrandaffairs.com/shopee-leading-the-way-in-e-commerce-marketing/ |access-date=2025-04-15 |website=World Brand Affairs |language=en-GB}} with a total gross merchandise volume (GMV) of $47.9 billion.{{Cite web |last= |first= |date=2023-10-04 |title=Shopee braces for e-commerce battle in Southeast Asia as competitors close in |url=https://kr-asia.com/shopee-braces-for-e-commerce-battle-in-southeast-asia-as-competitors-close-in |access-date=16 November 2024 |website=KrASIA |language=en}} This figure represents nearly half of the total GMV of the Southeast Asian market. The platform also facilitates online buying and selling for consumers and sellers in East Asia and Latin America.{{Cite web|date=2022-01-12|title=As Shopee expands aggressively around the world, will it become the 'Amazon of emerging economies'?|url=https://kr-asia.com/as-shopee-expands-aggressively-around-the-world-will-it-become-the-amazon-of-emerging-economies|access-date=2022-01-13|website=KrASIA|language=en}}
History
Shopee was established in Singapore in February 2015 as a mobile-focused marketplace that enables users to browse, shop, and sell products.{{Cite web |last=Yap |first=Jacky |date=2015-08-03 |title=Garena And Its Quest To Take Down Carousell With Newly Launched Shopee App |url=https://vulcanpost.com/328891/garena-joins-long-list-companies-trying-take-carousell-newly-launched-shopee-app/ |access-date=2022-08-17 |website=Vulcan Post |language=en-US}}{{Cite web |last=VIR |first=Vietnam Investment Review- |date=2017-10-24 |title=Shopee parent company listed on New York Stock Exchange |url=https://vir.com.vn/shopee-parent-company-listed-on-new-york-stock-exchange-53210.html |access-date=2025-04-15 |website=Vietnam Investment Review - VIR |language=en}} The platform integrates logistical and payment support to facilitate transactions and is designed to operate with minimal physical assets.{{Cite web |last=Ting |first=Lisabel |date=2015-09-09 |title=Safe, easy shopping with Shopee {{!}} The Straits Times |url=https://www.straitstimes.com/tech/games-apps/safe-easy-shopping-with-shopee |access-date=2022-08-17 |website=The Straits Times |language=en}}{{Cite web |last=Lee |first=Terence |date=6 Nov 2017 |title=How Shopee plans to reign supreme in Southeast Asia’s fashion ecommerce scene |url=https://www.techinasia.com/shopees-plan-win-fashion-ecommerce-southeast-asia |access-date=2025-04-15 |website=www.techinasia.com |language=en-US}}
To enhance its competitive stance against other e-commerce companies, Shopee also launched a website.{{Cite web |last=Tegos |first=Michael |date=24 Nov 2015 |title=Garena’s Shopee could be on its way to beating Carousell in Asia |url=https://www.techinasia.com/shopee-p2p-marketplace-southeast-asia |access-date=2025-04-15 |website=www.techinasia.com |language=en-US}} A notable feature of Shopee is its escrow service, Shopee Guarantee, which withholds payments from sellers until the buyers confirm receipt of their orders, thus securing transactions.{{Cite web |last=Husain |first=Osman |date=11 December 2015 |title=5 disruptive ecommerce startups we saw in 2015 |url=https://www.techinasia.com/5-disruptive-ecommerce-startups-2015 |access-date=2022-08-17 |website=Tech in Asia |language=en-US}}{{Cite news |date=2023-05-04 |title=Don't fall for scams: Anti-fraud tips and payment safety features to keep you safe while shopping online |url=https://www.straitstimes.com/tech/shopee-dont-fall-for-scams-anti-fraud-tips-and-payment-safety-features-to-keep-you-safe-while-shopping-online |access-date=2025-04-15 |work=The Straits Times |language=en |issn=0585-3923}}
In 2016, the company launched its seller education platform called Shopee University,{{Cite news |title=Managing Director of Shopee Vietnam: Empowering sellers in their journey on e-commerce |url=https://vietnamnews.vn/economy/825779/managing-director-of-shopee-vietnam-empowering-sellers-in-their-journey-on-e-commerce.html |archive-url=http://web.archive.org/web/20241106031805/https://vietnamnews.vn/economy/825779/managing-director-of-shopee-vietnam-empowering-sellers-in-their-journey-on-e-commerce.html |archive-date=2024-11-06 |access-date=2025-04-15 |work=vietnamnews.vn |language=en}} which aims to help train local entrepreneurs and businesses in setting up their online businesses.{{cite web |date=7 September 2017 |title=Shopee teams up with Facebook to help leading retail brands strengthen their eCommerce presence |url=https://technology.mb.com.ph/2017/09/07/shopee-teams-up-with-facebook-to-help-leading-retail-brands-strengthen-their-ecommerce-presence/ |access-date=10 December 2017 |website=Manila Bulletin}}{{Cite web |last=Cher |first=Benjamin |date=2016-05-05 |title=As market heats up, Shopee launches its own university … kind of |url=https://www.digitalnewsasia.com/startups/market-heats-shopee-launches-its-own-university-kind |access-date=16 November 2024 |website=Digital News Asia |language=en}} In 2017, Shopee launched Shopee Mall with 200 brands in Singapore and the Philippines.{{cite web |date=18 July 2017 |title=Shopee opens online mall for consumers |url=https://sbr.com.sg/retail/more-news/shopee-opens-online-mall-consumers |access-date=10 December 2017 |website=Singapore Business Review}}{{Cite news |title=Online shopping easier with Shopee mall |url=https://manilastandard.net/tech/business0/262630/online-shopping-easier-with-shopee-mall.html |access-date=2021-03-22 |work=Manila Standard |language=en}} On 3 September 2019, Shopee officially opened its six-story regional headquarters at Singapore Science Park.{{Cite news |date=2019-09-03 |title=Shopee opens new regional HQ in line with Singapore's push into digital economy |url=https://www.straitstimes.com/singapore/shopee-opens-new-regional-hq-in-line-with-singapores-push-into-digital-economy |access-date=2025-04-15 |work=The Straits Times |language=en |issn=0585-3923}} The new building spans {{convert|244,000|sqft|m2}} of space, which can accommodate 3,000 employees and is six times larger than Shopee's previous headquarters at Ascent Building. The building was leased by WeWork before it was relinquished to Shopee.{{Cite web |last=oh_yi_na |date=2019-09-04 |title=PMO {{!}} DPM Heng Swee Keat at the Grand Opening of Shopee Headquarters Building |url=https://www.pmo.gov.sg/Newsroom/DPM-Heng-Swee-Keat-at-the-Grand-Opening-of-Shopee-Headquarters-Building |access-date=2025-04-15 |website=Prime Minister's Office Singapore |language=en}}
Shopee has yet to turn profitable despite increasing its gross profit margin year-on-year in the first half of 2022 which is attributed to faster growth in transaction-based fees and advertising income. Coupled with rising inflation and interest rates as well as setbacks in its internationalisation plans, Shopee laid off staff across multiple markets in June 2022, including employees from Indonesia, Thailand, and Vietnam. ShopeePay and ShopeeFood were also reported to be facing cuts.{{Cite web |title=Sea's e-commerce arm Shopee to cut staff across Southeast Asia |url=https://asia.nikkei.com/Spotlight/DealStreetAsia/Sea-s-e-commerce-arm-Shopee-to-cut-staff-across-Southeast-Asia |access-date=2025-04-15 |website=Nikkei Asia |language=en}}
On 15 September 2022, Sea's CEO, Forrest Li, issued a memo to all employees detailing cost-cutting measures aimed at achieving "self-sufficiency" for the company. These measures involved restrictions on business expenses and a temporary suspension of compensation for Shopee's top executives.{{Cite web |last=Pandurangi |first=Nidhi |title=Read the memo Singapore billionaire Forrest Li sent to employees of Shopee, the Amazon of Southeast Asia, as the company's losses widen and it prepares for layoffs |url=https://www.businessinsider.com/shopee-layoffs-memo-singapore-billionaire-forrest-li-full-text-2022-9 |access-date=2022-09-20 |website=Business Insider |language=en-US}} Another round of job cuts was also announced, which affected employees in Singapore, Indonesia, and China.{{Cite news |last=Yun Ting |first=Choo |date=2022-09-19 |title=Some Singapore staff affected in Shopee's latest job cuts |url=https://www.straitstimes.com/business/companies-markets/shopee-cuts-singapore-jobs-in-regional-layoffs-says-affected-staff-will-get-appropriate-compensation-packages |access-date=2025-04-15 |work=The Straits Times |language=en |issn=0585-3923}} In the fourth quarter of 2022, Shopee achieved a positive adjusted EBITDA for the first time, amounting to $196.1 million, indicating improvements in revenue and operating costs.{{Cite web |last=Chiang |first=Sheila |date=2023-03-08 |title=Singapore's Sea Group turns profitable for the first time |url=https://www.cnbc.com/2023/03/08/singapores-sea-group-turns-profitable-for-the-first-time.html |access-date=2025-04-15 |website=CNBC |language=en}}
Business model
Shopee started as a consumer-to-consumer (C2C) marketplace but it pivoted into a C2C and business-to-consumer (B2C) hybrid model.{{Cite news |date=2017-05-22 |title=eIQ Insider: The Natural Progression of C2C Business Models, Garena Shopee’s Venture into B2C |url=https://ecommerceiq.asia/garena-business-model-b2c/ |archive-url=http://web.archive.org/web/20220702202731/https://ecommerceiq.asia/garena-business-model-b2c/ |archive-date=2022-07-02 |access-date=2025-04-15 |work=EcommerceIQ - #1 Ecommerce SaaS platform in Southeast Asia |language=en-US}} The company partners with over 70 courier service providers across markets it serves to provide logistical support for users.{{cite web |url=https://www.sec.gov/Archives/edgar/data/1703399/000119312517312363/d363501df1a.htm |title=Sea Limited Form F-1 |publisher=U.S. Securities and Exchange Commission |date=18 October 2017 |access-date=10 December 2017 }} In Singapore, Shopee collaborates with logistics startup Ninja Van for item pickup and delivery.{{Cite web |last=Hwei |first=Liang |date=2015-12-16 |title=CEO Chris Feng On Shopee's Rise In Southeast Asia, & Avoiding Carouhell |url=https://vulcanpost.com/486471/shopee-garena-marketplace-asia-carouhell/ |access-date=2025-04-15 |website=Vulcan Post |language=en-US}} Other delivery partners in the region include Pos Malaysia and Pos Indonesia.{{Cite web |date=2016-06-02 |title=Shopee partners up with Pos Malaysia |url=https://www.marketing-interactive.com/shopee-partners-pos-malaysia |access-date=2025-04-15 |website=Marketing-Interactive |language=en}}{{Cite web |title=Bizzy acquires Alpha; Shopee partners Pos Indonesia |url=https://www.dealstreetasia.com/stories/indonesia-db-b2b-e-commerce-bizzy-acquires-alpha-shopee-partners-pos-indonesia-for-delivery-72245 |access-date=2025-04-15 |website=DealStreetAsia |language=en}} Shopee also partnered with Delhivery and Ecom Express for deliveries in India before it exited the domestic market.{{Cite web |title=EXCLUSIVE: Singapore's Shopee clocks over 100,000 orders a day in India, emerges as Amazon & Flipkart challenger |url=https://www.moneycontrol.com/news/business/startup/exclusive-singapores-shopee-clocks-over-100000-orders-a-day-in-india-emerges-as-amazon-flipkart-challenger-7758731.html |archive-url=http://web.archive.org/web/20250320193112/https://www.moneycontrol.com/news/business/startup/exclusive-singapores-shopee-clocks-over-100000-orders-a-day-in-india-emerges-as-amazon-flipkart-challenger-7758731.html |archive-date=2025-03-20 |access-date=2025-04-15 |website=Moneycontrol |language=en-US}} In its early phases of growth, Shopee offered subsidies and free shipping to its users although delivery services were still expensive in the areas it serves.{{Cite web |last=LatePost |date=2021-03-24 |title=Here's how Lazada lost its lead to Shopee in Southeast Asia (Part 2 of 2) |url=https://kr-asia.com/heres-how-lazada-lost-its-lead-to-shopee-in-southeast-asia-part-2-of-2 |access-date=2022-08-17 |website=KrASIA |language=en}}
Shopee had also received extreme international attention in 2019 after signing Portuguese and Juventus superstar Cristiano Ronaldo to be the ambassador for the company.{{Cite news |date=2019-08-16 |title=Football: Cristiano Ronaldo unveiled as Shopee's latest brand ambassador |url=https://www.straitstimes.com/sport/football/football-cristiano-ronaldo-unveiled-as-shopees-latest-brand-ambassador |access-date=2025-04-15 |work=The Straits Times |language=en |issn=0585-3923}} That same year Shopee's 9.9 Super Shopping Day campaign featured a video of Ronaldo dancing to "Baby Shark". The video went viral and became a meme in the football community, reaching 19 million people. The campaign resulted in a doubling of Shopee's gross orders and a more than tripling of its e-commerce sales.{{Cite web |title=Shopee x Cristiano Ronaldo |url=https://www.thedrum.com/creative-works/project/shopee-x-cristiano-ronaldo |access-date=2025-04-15 |website=The Drum}} However the ad was panned by football fans due to nature of the company and also CR7 taking part in the endorsement for money. With fans stating "“This gets more crazy to me every time I watch it,” one fan wrote.
Another said: “I’m sure the number of zeroes on the cheque made it worth the embarrassment!!”.{{Cite web |last=Wilson |first=Scott |date=2022-03-02 |title=Cristiano Ronaldo's 'Shopee' advert in 2019 is still terrible |url=https://www.givemesport.com/87978868-cristiano-ronaldos-shopee-advert-in-2019-is-still-terrible/ |access-date=2025-04-15 |website=GiveMeSport |language=en}}
Controversies
= Meet-and-greet with Blackpink =
In June 2019, #ShopeeScam trended on Twitter after Shopee released a promotion in the Philippines that offered passes to a meet-and-greet with Blackpink for the top 568 spenders in their online store.{{Cite news |last=Rose M. Afinidad-Bernardo |first=Deni |date=7 June 2019 |title=Shoppe apologizes for alleged #ShopeeScam at BLACKPINK meet and greet in Manila |agency=The Philippine Star |url=https://www.philstar.com/entertainment/2019/06/07/1924450/shopee-apologizes-alleged-shopeescam-blackpink-meet-and-greet-manila}} Several fans reported receiving notifications that they had won tickets, but which were unilaterally retracted afterward by Shopee.{{citation needed|date=February 2022}} Others posted screenshots that showed Shopee changing their contest mechanics the day before the event. Shopee was investigated by the Department of Trade and Industry for the incident.{{Cite web |last=Canivel |first=Roy Stephen C. |date=2019-06-07 |title=Online store Shopee probed for BLACKPINK promo |url=https://business.inquirer.net/272111/online-store-shopee-probed-for-blackpink-promo |access-date=2025-04-15 |website=INQUIRER.net |language=en}}{{needs update|date=December 2021}}
= Underpaid couriers in Indonesia =
In April 2021, Shopee faced allegations that it was underpaying its couriers in Indonesia after some riders claimed publicly that their pay per delivered package was reduced by the company to US$0.10 per package, down from US$0.34 in the previous year. Couriers that serve Shopee Express deliveries were also not paid basic monthly salaries, though there is a US$7.90 bonus if they can deliver 40 or more packages in a single workday. There is also no compensation for fuel or parking fees. Shopee responded to the allegations that it has a fair incentive scheme that is in line with Indonesia's market and regulations, and what they offer is "highly competitive" within the industry.{{Cite web |last=Florene |first=Ursula |date=2021-04-13 |title=Anger boils in Indonesia as Shopee allegedly underpays its couriers |url=https://kr-asia.com/anger-boils-in-indonesia-as-shopee-allegedly-underpays-its-couriers |access-date=2022-08-17 |website=KrASIA |language=en}}
= Rescinded job offers =
In late August 2022, a user of the Chinese social networking platform Maimai uploaded a post stating that he had relocated as part of a job offer from Shopee to work at the company's headquarters in Singapore. However, the offer was revoked after he disembarked from the plane in Singapore with his family. Multiple job offers were allegedly affected, as other users claimed they had similarly resigned from current positions and terminated housing contracts to join Shopee, only for their offers to be rescinded.{{Cite web |title=Sea's e-commerce arm Shopee to cut staff across Southeast Asia |url=https://asia.nikkei.com/Spotlight/DealStreetAsia/Sea-s-e-commerce-arm-Shopee-to-cut-staff-across-Southeast-Asia |access-date=2025-04-15 |website=Nikkei Asia |language=en}}{{Cite web |date=2022-09-05 |title=Is Shopee a villain or victim in this turbulent economy? |url=https://kr-asia.com/is-shopee-a-villain-or-victim-in-this-turbulent-economy |access-date=2022-09-13 |website=KrASIA |language=en}}{{Cite web |last=高老头供应链 |date=31 August 2022 |title=跨境电商巨头Shopee大规模毁约:刚落地新加坡,被告知offer没了 |trans-title=Cross-border e-commerce giant Shopee massively rescinds job offers: Just arrived in Singapore, told the offer was gone. |url=https://weibo.com/ttarticle/x/m/show/id/2309404808602857898232?_wb_client_=1 |access-date=2022-09-13 |website=Weibo}}
= Toni Gonzaga endorsement =
On September 28, 2022, Shopee Philippines received backlash when rumors started spreading that the platform would introduce Toni Gonzaga as its brand ambassador a day after the company's reported massive layoff. This was confirmed the following day at a press conference. While various reasons were pointed for the backlash from the ethical issues with getting a highly-paid endorser to the endorsers' political activities, Gonzaga only appeared on the company's platform for a total of ten days before introducing another endorser for their 11.11 campaign, businessman and singer Jose Mari Chan.{{Cite web |title=Sho-pissed: Buyers call for mass uninstall, deletion of Shopee after brand teases Toni Gonzaga as new endorser |url=https://coconuts.co/manila/news/sho-pissed-buyers-call-for-mass-uninstall-deletion-of-shopee-after-brand-teases-toni-gonzaga-as-new-endorser/ |access-date=2022-11-10 |language=en-US}}{{Cite web |date=30 September 2022 |title=Empty cart?: Shopee receives backlash after tapping Toni Gonzaga as endorser |url=https://www.cnnphilippines.com/news/2022/9/30/Shopee-receives-backlash.html|archive-url=https://web.archive.org/web/20221110061652/https://www.cnnphilippines.com/news/2022/9/30/Shopee-receives-backlash.html|url-status=dead|archive-date=10 November 2022}}
= Scams and company response =
In 2023, scammers pretending to be Shopee employees caused over S$750,000 in losses through an online job scam. Shopee and the Singapore Police Force (SPF) issues a joint announcement to alert the public.{{Cite news |last=Begum |first=Yasmin |date=May 22, 2023 |title=More than S$750,000 lost to scammers pretending to be Shopee employees |url=https://www.channelnewsasia.com/singapore/more-s750000-lost-scammers-pretending-be-shopee-employees-3506901 |access-date=March 20, 2025 |work=Channel News Asia}}
In April 2024, Singapore's Inter-Ministry Committee on Scams gave Shopee a favorable rating for its anti-scam measures, including user verification, transaction security and loss remediation.{{Cite web |last=Sun |first=David |date=April 11, 2024 |title=Shopee tops latest e-commerce safety ratings; Facebook, Carousell at bottom |url=https://www.straitstimes.com/singapore/shopee-improved-scam-safeguards-in-2023-majority-of-e-commerce-scams-now-on-facebook |access-date=March 20, 2024 |website=The Straights Times}} Also in 2024, Shopee customers lost $399,000 after paying scammers outside the app, based on 179 scam cases reported to police.{{Cite news |date=26 January 2025 |title=Shopee customers lost $399,000 in 2024 after making payments outside app to scammers |url=https://www.straitstimes.com/singapore/shopee-customers-lost-399000-to-scammers-in-2024 |access-date=31 January 2025 |work=The Straits Times}}
References
{{reflist}}
External links
- {{official website|https://shopee.com/}}
{{Major Internet companies}}
{{Online food ordering}}
{{Major information technology companies}}
Category:Online marketplaces of Singapore
Category:Retail companies established in 2015
Category:Internet properties established in 2015