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A diner at a Hema restaurant in Shanghai takes her dish after it is delivered by a robot. Photo: Simon Song

School of WeChat: the China study tours teaching tech to Singapore

  • From studying messaging app WeChat to guided tours of state-of-the-art Hema supermarkets, Singaporean firms are seeking to learn from China’s e-commerce success
  • The surge of interest comes as the city state knuckles down on digital development with an eye on the lucrative Chinese market
WeChat

When Singaporean restaurant owner Tan Hock Yong visited Shanghai on a WeChat study trip, he was amazed at how easily Chinese shoppers paid bills using the app, even at traditional wet markets and street stalls.

Over the five-day visit in 2017, he attended talks by Chinese e-commerce experts, who opened his eyes to some of the opportunities for his business.

“It was far more than I had imagined,” says Tan, 48, the managing director of Kim’s Place Seafood in Singapore’s eastern Joo Chiat neighbourhood.

Returning to the Lion City fired up with ideas, he urged his diners to post photos of food on WeChat, which produced a big boost in business for the 54-year-old family firm.

Singaporean business executives and owners are going on WeChat study trips. Photo: Alamy

Using WeChat, he now also offers a spin-and-win game through which customers can bag a free plate of fried fish skin, lime juice, or Tan’s grand prize – the restaurant’s signature black pepper crab. Since his China trip, Tan estimates revenue has shot up 20 per cent.

His story is an increasingly familiar one in Singapore, where small and medium-sized enterprises have been looking to Chinese tech solutions to drum up business.

ALL EYES ON CHINA

China study tours have grown in popularity in Singapore, with a focus on data analytics, artificial intelligence, automation, and mobile payments.

The WeChat immersion trips in Shanghai have been jointly developed by Nanyang Polytechnic’s Singapore Institute of Retail Studies (NYP-SIRS) and Dodoca Information Technology, a Singaporean-Chinese venture.

Dodoca Singapore helps companies set up official WeChat merchant accounts and online stores. Managing director Felice Lin says WeChat has become a way of life in China, and Singaporean businesses can also benefit.

“We don’t just teach theoretical knowledge, but give companies an immersive platform to experience the convenience of mobile payments … This kind of deep environment can only be felt when you go to China to study it in person,” says the Shanghai native, who moved to Singapore 10 years ago.

A girl has fun with an automatic cashier desk at a Hema Supermarket in Shanghai. Photo: Simon Song

Last year more than 400 participants from Singaporean small and medium-sized firms and institutions joined a WeChat study tour, and Dodoca Singapore plans to bring another 500 this year.

Others interested in Chinese tech advances have headed for the Hangzhou headquarters of e-commerce giant Alibaba, or studied its state-of-the-art Hema supermarkets, which offer a combination of online and offline shopping options. A typical Hema Supermarket allows users to order groceries online and have them delivered to their homes within 30 minutes, or they can shop at the physical stores and have their purchases delivered to their doorstep. Alibaba is the owner of the South China Morning Post .

NYP-SIRS also offers a trip to Chongqing’s technology park, Xiantao Big Data Valley, in western China, to learn about the shared economy, and to the headquarters of Zhubajie, one of China’s largest crowdsourcing platforms. Zhubajie uses artificial intelligence to match businesses with contractors willing to undertake projects for them.

Others interested in Chinese tech advances have headed for the headquarters of e-commerce giant Alibaba or studied its state-of-the-art Hema supermarkets. Photo: AFP

To date, NYP-SIRS has brought close to 1,000 retail executives and business owners to China. Director Megan Ong says: “China’s prowess in mobile and e-commerce, as well as the huge market potential, is a massive draw for many.”

But also driving demand for the tours is Singapore’s vision of becoming a “smart city” and the government push behind it.

Lawrence Loh, associate professor at the National University of Singapore Business School, says implementing innovative mobile marketing strategies will be a “game-changer” for Singaporean firms looking to gain traction in overseas markets.

“SMEs can team up with huge e-commerce platforms and supply small, unique items, which the platforms can then sell to the end consumer worldwide,” Loh says.

The mascot of Zhubajie, one of China’s largest crowdsourcing platforms. Photo: Simon Song

NEW WAYS OF BUSINESS

Among the small Singaporean companies that have made the switch to WeChat marketing is women’s clothing boutique Choice, based in Clarke Quay. Owner Carmen Liao, 32, was inspired to do so after seeing how Chinese retailers creatively engaged with their customers during her study trip to the country last year.

She says she now prefers WeChat’s more “informal, comfortable setting” to using rival Facebook for her marketing.

Liao’s customers are increasingly choosing to pay with WeChat – both tourists and Singapore residents – most of whom come from China, Hong Kong, Taiwan and Australia.

Shoppers can view the store’s clothing collection, request deliveries and even get fashion advice from Liao via the app. She also monitors competitors using the platform.

“Nowadays it’s a friend-to-friend business. I have customers messaging me saying: ‘Hey, I have an event tomorrow, what do you suggest I wear?’ Customers like to feel you are concerned about them,” she says.

“When customers have a closer connection with you, they will stick with you for a long time.”

NO ONE SIZE FITS ALL

But as Singapore plays catch-up to China on e-commerce and digitisation, industry veterans say the city state should develop its own strengths and niche in the field, rather than be a jack of all trades.

The National University of Singapore’s Loh says the city must target specific areas to be a leading player. “The ironic observation about China is that it is big, yet it is agile. So it is not size that makes you inflexible. It is about how things are organised. When things are well run, size actually gives you the advantage, because agility can tap more options,” Loh says.

“Singapore is small and has the advantage of being nimble. But it does not have the size advantage. Thus it cannot stretch its agility to cover all and sundry, but must be more focused and targeted.”

Dodoca Singapore is planning to expand its services to firms in Malaysia, Indonesia, Vietnam, Myanmar, Cambodia and even the United States that may be interested in learning about WeChat and other Chinese tech. Managing director Lin says that, with such a strong wave of enthusiasm for the e-commerce trend, all manner of companies stand to benefit, including hers. Citing a saying popular with Chinese entrepreneurs, she says with a laugh: “It’s like when the typhoon comes, even the pig can fly.” 

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