Media entertainment group Astro has tied up with Korean multimedia retailer GS Home Shopping Inc to create an e-commerce service on its TV channels called Go Shop.
Go Shop is Astro’s first foray into the e-commerce domain.
“It also allows us to diversify our business and tap into a growing global industry that is projected to be worth RM3.6 billion in Malaysia by 2020 with online shopping on a rising trend,” said Dato’ Rohana Rozhan, chief executive officer, Astro.
The total capitalisation of the joint venture company is RM70 million, and is estimated to generate RM500 million in annual revenue over five years, said Astro.
GS Home Shopping is an online commerce company, based in Korea. The company provides online shopping channels to customers through various channels such as mobile, catalogue, satellite TV and IPTV. It operates home shopping networks in eight countries: Korea, Malaysia, China, India, Indonesia, Thailand, Vietnam and Turkey.
Astro is expecting the project to generate strong growth. According to Astro, there is a readily addressable market of 4.3 million homes and 17 million consumers.
“Today 55% of internet users in Malaysia shop online, and across multiple devices. This is anticipated to grow significantly as broadband penetration grows, incomes rise, credit and debit cards proliferate, and as Malaysians increasingly trust and recognise the benefits of shopping,” said Dato’ Rohana.
The company is expecting to leverage its network of TV viewers. The service was soft-launched on 1 November 2014, with over 115,000 products ordered to date, said Astro. Currently, 60 products are available, with plans to double this within a year.
Customers can call the 24 hour Go Shop toll-free number, 1800-82-0088, or visit http://www.goshop.com.my;to place their orders.
Delivery times range between two and five working days nationwide and multi payment options are available including locally issued credit cards, debit cards, Easy Payment Plan, online bank transfers and cash on delivery.