Chairman, Three Rifles Holding, Mr Chong Chong Choong,

Chairman, Kino Biotech Group, Mr Ting Hock Yen,

Distinguished Guests,

Ladies and Gentlemen,

Introduction

1.           It is my pleasure to join you this morning at the launch of the Kinofy platform.

2.      I would first like to congratulate Kino Biotech on the launch of Kinofy, a cloud based e-commerce platform that enables Singaporean brands to enter the Chinese market in a seamless way.  It is the result of Kino Biotech’s years of experience and knowledge in operating as a product brand owner in China.  It is heartening to see that the company has leveraged this experience and knowledge to support other local businesses seeking to internationalise.

Importance of capturing overseas opportunities

3.           Internationalisation is an essential component of companies’ growth strategies in today’s competitive economic landscape.  Enterprises must stay nimble and adapt quickly to emerging external opportunities.  To sustain growth, our companies need to venture into new and diverse markets, expand their international footprint and gain economies of scale.

4.           The Small and Medium Enterprises Development Survey by DP Information Group shows that 60% of respondents had plans to internationalise over the next three years.  Kino Biotech is one such company that has not only embraced internationalisation, but is also leading the way for Singaporean companies to come together and tap on overseas opportunities.

Companies are encouraged to leverage e-commerce platforms to access international markets

5.           E-commerce is an increasingly important channel to access overseas markets.  This is especially so in Asia, where e-commerce penetration rates are expected to see double-digit growth rates.  By 2019, one in every five sales in the Asia-Pacific is expected to be conducted through an e-commerce platform.  

6.           Recognising these trends, the Retail Industry Transformation Map (ITM), which was co-developed by Government and partners such as trade associations and unions, lays out strategies that enable retailers to harness e-commerce to sharpen their competitive edge, and leverage digital channels for overseas expansion.  These are the building blocks towards the retail industry’s vision of an industry with a vibrant mix of highly-productive omni-channel retailers, local brand owners with global footprint, supported by a professional and skilled workforce.

7.           When it comes to leveraging e-commerce, smaller companies might be hesitant to start due to the lack of resources, technical skills or scale as well as difficulties in coordinating processes for e-commerce fulfilment.  Collaboration among industry players can help surmount such challenges.  For example, industry players with more experience and specialised capabilities can take the lead by establishing platforms, like Kinofy, for the benefit of smaller retailers.   

8.           Kinofy is a good example of an end-to-end e-commerce solution that companies of all sizes can use to access overseas markets.  Kinofy offers a range of services to support the entry of merchants into China, such as shipping, warehousing, logistics, and mobile commerce store creation.  Through this platform, brand owners can create their own shop on WeChat, China’s biggest and fastest growing social media platform, to drive marketing campaigns, build their brand equity and develop the knowledge and know-how in selling to Chinese consumers.  Kinofy’s end-to-end solution means businesses will be able to scale quickly, test market viability and build brand awareness in a cost effective way.  This has worked well for brands such as Esthemedica and International Advanced Bio-pharmaceutical Industries, which have benefitted from the speed and ease of setting up and preparing to enter the Chinese market through Kinofy.  I encourage more companies to embark on such collaborative efforts to venture overseas.

Enterprise Singapore will work closely with companies to develop capabilities and access global opportunities

9.           Our government agencies have introduced key partners and worked closely with Kino Biotech to enhance its digital capabilities in the development of Kinofy.  Our economic agencies helped Kino Biotech to list on the Tmall online retail platform and access Chinese consumers.  Kino Biotech also benefited from roundtables and seminars to build up knowledge on cross-border trade, and participated in trade association-led study trips to US, China and Germany to learn best practices in digital transformation and design thinking.

10.        Much of this was enabled by the efforts of International Enterprise Singapore and SPRING Singapore.  Henceforth, Enterprise Singapore, as a single agency championing enterprise growth, will sustain this effort by working with companies committed to build capabilities, innovate and internationalise.

Conclusion

11.        Against the backdrop of a complex and dynamic global economy, Kinofy is a welcome initiative to promote collaboration through a technology platform and help Singapore brands access growth opportunities overseas and succeed.  I congratulate Kino Biotech on the launch of Kinofy and wish you every success.  Thank you.