SingPost launches new e-commerce business unit

Singapore Post (SingPost) has integrated its e-commerce division, SingPost e-commerce, with leading US-based  e-commerce providers TradeGlobal Holdings (TradeGlobal), which SingPost recently acquired, and Jagged Peak (Jagged Peak), to launch SP Commerce.

The new business unit aims to build a global e-commerce logistics solution and to provide access to China and the rest of Asia Pacific markets. SP Commerce, an omni-channel enablement for global brands and retailers, will facilitate commerce between geographies, providing the necessary infrastructure for customers to gain easy access to e-commerce markets around the world.

SingPost currently provides end-to-end eCommerce logistics solutions to more than 100 mono-brands such as Adidas, Calvin Klein, Cole Haan and Muji.

“The launch of SP Commerce marks a significant milestone in SingPost’s transformation from a domestic postal service provider to a global eCommerce logistics enabler. We are well positioned to provide the gateway for brands and retailers,”Marcelo Wesseler, chief executive officer, SingPost e-commerce.

“Other than bringing businesses abroad, we are also focused on facilitating commerce in the domestic US market as we believe that a strong business foundation in the home market makes a solid springboard for global expansion,” he added.

The integration of TradeGlobal and Jagged Peak seeks to help SingPost expand its e-commerce logistics footprint in the US.  With about 1,000  e-commerce clients globally, SingPost operates more than 50 distribution centres across at least 18 countries – including major e-commerce markets in the US, Europe, China and the rest of Asia Pacific.

It also shipped 4.6 million packages in cross-border  e-commerce volumes in November which represents about 60% increase year-on-year. SingPost processed about US$3 billion in Gross Merchandise Value (GMV) annually through its e-commerce networks. e-commerce related revenue remains robust and was 29 per cent of SingPost Group’s revenue for the half year ended 30 September 2015.