The social commerce market is already worth more than $13 billion in Southeast Asia, however the checkout course of is full of friction. Many sellers don’t have on-line storefronts and as an alternative use social media and messaging apps, which implies fee is made by switching to banking apps or wallets.
This implies low conversion charges, say the founders of Beam. The Thailand-based startup created a one-click fee answer for social commerce sellers and has raised $2.5 million in seed funding led by Sequoia Capital India and Southeast Asia’s Surge, with participation from Partech Companions.
Beam was based in 2019 by Nattapat Chaimanowong, Mike Chinakrit Piamchon and Win Vareekasem. The trio had been pissed off by the method of filling out data repeatedly for issues like memberships, bank cards and visas and started engaged on a enterprise thought to streamline type filling, which was Beam.
Vareekasem informed TechCrunch that after constructing a number of MVPs, the staff discovered that one of many largest teams coping with the issue had been retailers. “Type filling alone couldn’t resolve gross sales conversions, so funds needed to be built-in too, in the end realizing a a lot bigger, burning downside we’re going after.”
Many social commerce sellers ask for peer-to-peer cellular banking apps, which implies they settle for fee by sharing account numbers. This can lead to poor conversions due to restricted fee choices and a number of work to handle funds.
Beam says its checkout course of takes simply 20 seconds. It accepts all main fee service suppliers in every market, like BNPL leaders Atome and Tempo, and claims sellers utilizing their fee answer have elevated checkout success by as much as 30%. Sellers additionally get monetary savings by paying decrease transaction charges, since they don’t must pay the subscription and platform charges charged by e-commerce marketplaces.
Beam monetizes by charging a flat proportion for every transaction based mostly on the fee methodology. For instance, it expenses 2.95% for bank card transactions. Its typical shopper are medium-sized companies that course of just a few hundred orders every day, and promote within the trend, magnificence, residence and residing and electronics sectors.
Beam is presently centered on Thailand, with plans to increase into Southeast Asia. Whereas there are different startups centered on eradicating friction from social commerce, like Opaper, Vareekasem stated Beam differentiates by specializing in end-to-end consumer checkout experiences for each customers and retailers, ensuring that the previous can try in only one click on after they store on-line.