HO CHI MINH CITY, VIETNAM — Tiki, a Vietnamese e-commerce site, will add AIA insurance to its portfolio, signifying a further push into financial services in an attempt to gain market share from larger rivals Shopee and Lazada. A Tiki spokesperson told Nikkei Asia on Tuesday that Vietnamese clients will be able to buy health and life insurance initially, as part of a long-term effort to address more of online buyers’ “financial demands.” According to the company, it would customise services for individual consumers, such as recommending specific insurance packages, and extend into other financial products such as savings programs. The announcement comes as Southeast Asian businesses continue to push out into financial technology in order to increase client loyalty, as evidenced by Grab’s digital bank license in Singapore and a GoTo affiliate’s license in Indonesia. Experts predict that Tiki’s insurance sales will increase if the company can use its technology advantage to effectively evaluate Vietnamese shopper demographics. Dr. Huy Pham, coordinator of RMIT University Vietnam’s FinTech-Crypto Hub, told Nikkei Asia, “Keep in mind, Tiki has a vast database of consumers, and they know who is spending on which things.” Tiki is the largest local internet retailer in Vietnam, and it also offers a credit card through Sacombank. According to iPrice, it lags Sea’s Shopee, which is the most popular among web and iPhone shoppers, and Alibaba’s Lazada, which has the most Android app downloads. Tiki’s rumored merger with Sen Do to build a larger Vietnamese competitor has yet to come to fruition. Insurance should be provided “hassle-free online,” according to Tran Ngoc Thai Son, founder and CEO of Tiki. “Partnering with a global leader like AIA allows us to embrace that vision by creating personalized life and health insurance solutions for everyone, every need, and every circumstance in a seamless, digital-first experience on our platform,” he said in a joint statement with Hong Kong-based AIA on Monday. According to the announcement, the two companies have agreed to a 10-year deal that will allow them to expand into other areas of the internet economy, such as digital health services. JD.com, a Chinese e-commerce giant, and VNG, a Vietnamese unicorn, are among Tiki’s investors. “For the first time on the Tiki platform, we will offer bite-size protection and lifestyle-related goods,” said AIA Vietnam CEO Wayne Besant./n
Read More
