This article is the ninth in a series from the ASEAN GenAI Startup Report 2024. GenAI Fund invests in early-stage GenAI startups across Southeast Asia, focusing on growth strategies and exit opportunities.

As the GenAI landscape evolves rapidly across the globe, ASEAN startups find themselves at a crucial juncture, poised to expand beyond regional confines into international markets. 

The ASEAN GenAI Startup Report 2024 outlines how these startups, enriched by a diverse and dynamic regional ecosystem, are now looking to leverage their technological innovations on a global scale. The drive towards international expansion is not just a growth strategy but a necessity in the increasingly interconnected world of technology.

The imperative for global expansion

ASEAN’s GenAI startups are increasingly looking to global markets to capitalize on their innovations, driven by the need to access larger markets, attract international investments, and compete with global tech giants. This push is supported by the unique characteristics of the ASEAN market—a diverse linguistic and cultural landscape that offers startups a testing ground for technologies that can be adapted for global use.

However, global expansion presents a set of challenges and opportunities that require careful strategising and execution. ASEAN startups must navigate complex international regulatory environments, cultural nuances, and competitive landscapes where they often face well-entrenched incumbents.

Strategies for successful internationalisation

• Leveraging regional strengths for global advantage

ASEAN startups often develop solutions that address complex, region-specific challenges, which can also be relevant to global problems. For instance, solutions developed for managing ASEAN’s linguistic diversity in GenAI applications have implications for other multilingual markets globally. 

Startups like Vietnam’s Mesolitica and Singapore’s KeyReply showcase how regional innovations can appeal to a global audience, particularly in fields such as natural language processing and customer service automation.

• Building strategic partnerships and alliances

Forming partnerships with international tech firms, academic institutions, and industry leaders can provide ASEAN startups with the necessary leverage to enter new markets. These partnerships can facilitate knowledge exchange, reduce market entry risks, and provide credibility to emerging startups. Collaborative ventures can also open up channels for startups to integrate their offerings with global platforms, enhancing their visibility and scalability.

For example, collaboration between Singapore’s AI startups and global cloud providers has enabled these companies to utilise state-of-the-art infrastructure to scale their solutions rapidly while also gaining exposure to a global customer base through their partners’ extensive networks.

• Participating in global accelerator programmes

Global accelerator programs offer invaluable resources, including mentorship, investor connections, and market entry support. ASEAN startups are increasingly participating in such programs to gain insights into global market dynamics and refine their go-to-market strategies. These accelerators act as bridges, helping startups navigate the complexities of global expansion while providing them with the tools to succeed.

Also Read: The Gen AI evolution and Indonesia’s path to economic transformation

Programs like Google’s AI Accelerator and AWS’s Startup Loft provide platforms for ASEAN startups to showcase their innovations, connect with global investors, and learn from some of the leading minds in the industry.

• Navigating regulatory landscapes

Understanding and complying with international regulations, especially in sectors like healthcare and finance, where GenAI applications are prevalent, is crucial for ASEAN startups. The complexity of data protection laws, AI ethics, and cross-border data flows requires startups to be well-prepared and adaptable.

Adopting a proactive approach to regulatory compliance can not only mitigate risks but also serve as a competitive advantage, demonstrating a startup’s commitment to global standards and best practices.

The road ahead for ASEAN GenAI startups

As ASEAN startups expand their horizons, the journey involves adapting to diverse market conditions, continually innovating, and maintaining the agility to respond to global trends. The success of their global expansion efforts will significantly depend on their ability to leverage regional strengths, foster strategic partnerships, and effectively navigate the international regulatory environment.

By embracing these strategies, ASEAN GenAI startups are not just exporting technology; they are becoming integral players in shaping the global GenAI landscape. The journey is fraught with challenges, but for those that navigate it successfully, the rewards are substantial—not only in terms of growth but also in their impact on global technological advancement.

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As Singapore grapples with a rapidly ageing population, the need for innovative mobility solutions has never been more critical. Strutt, a homegrown tech startup, is setting its sights on transforming the landscape for wheelchair users with its revolutionary mobility device, the Strutt ev¹.

This wheelchair incorporates intelligent co-pilot technology and a custom sensor suite for mobility users.

The ev¹ aims to represent a significant leap forward in assistive technology, enhancing the autonomy and quality of life for the 100,000 wheelchair users in Singapore—a figure expected to rise substantially by 2030. Aligned with Singapore’s Smart Nation initiative, the ev¹ intends to become a testament to the nation’s push towards inclusivity through advanced technological solutions.

Unlike traditional wheelchairs, the Strutt ev¹ focuses on solving real-world challenges, such as navigating crowded spaces, manoeuvring through narrow corridors, and handling complex terrains. These obstacles often limit the independence and confidence that mobility devices are meant to provide.

Tony Hong, CEO of Strutt, emphasises the company’s problem-solving ethos: “Our goal is to change how people experience mobility devices by addressing these everyday challenges. We have assembled a team of experts in advanced sensing, robotics, and autonomous driving—expertise rarely seen in this sector—to develop innovative solutions that make a tangible difference.”

Also Read: These startups are using AI to help improve the lives of people with disabilities

One of the ev¹’s standout features is its intelligent co-pilot system, which assists users in navigating challenging environments while keeping them in control. The wheelchair employs LiDAR sensors and smart algorithms, commonly used in autonomous vehicles but adapts them to prioritise user control over automation.

“Our approach is user-centred,” Hong explains. “Unlike autonomous cars, where the system makes decisions independently, our technology ensures that the user remains in control. The co-pilot system reduces the cognitive load on the user while responding intuitively to their intentions.”

Enhancing safety and user experience

Strutt’s innovations extend to the finer details. The Smart Wheels system enhances stability on various surfaces, including inclines and wet terrains, while a robust lithium iron phosphate (LFP) battery ensures superior safety, longevity, and reliability.

Additional features, such as a 3D environment display and real-time rear-view camera, give users greater predictability and trust in the device.

The experience of testing the ev¹ underscores its impact. During a visit to Strutt headquarters, e27 gets to try a wheelchair prototype.

Navigating through obstacles with the wheelchair felt markedly different from traditional alternatives. The co-pilot system allowed seamless movement, minimising the effort required to navigate complex paths.

“We have rethought everything from the ground up,” says Chief Designer Barney Mason. Unlike many mobility devices that rely on off-the-shelf components, the ev¹ was designed with custom-built systems to address users’ specific needs.”

Also Read: Turning intimidation into innovation: Embracing sustainability’s new opportunities

A global stage for innovation

In January 2025, Strutt will showcase the ev¹ at the Consumer Electronics Show (CES) in Las Vegas. This marks a pivotal milestone for the company as it introduces its innovative solution to a global audience.

“CES is the perfect platform to raise awareness about our product and technology,” Hong shares. “It is not just about reaching potential users but also their families and caregivers, who often influence purchase decisions.”

Strutt’s participation at CES will kick off a soft launch of the ev¹, followed by rigorous testing with alpha and beta users. The company plans to refine its product based on user feedback before launching pre-orders in 2025.

Beyond the technology itself, Strutt is committed to redefining the business model for mobility devices. Currently, the company prioritises research and iteration to ensure its solutions meet user needs.

“We have spent much time listening to feedback from diverse users and incorporating their insights into our design process,” says Mason. “We aim to address the real-life challenges that current products fail to solve.”

Hong adds that the ev¹ represents just the beginning of the company’s vision to create a more inclusive society. By combining cutting-edge technology with user-centred design, Strutt is not merely building a mobility device but reshaping how people think about assistive technology.

The company’s efforts reflect Singapore’s broader ambitions under the Smart Nation initiative. As the ev¹ prepares to debut, it underscores how local innovation can address global challenges.

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Image Credit: Strutt

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Let’s start with some knowledge check:

• Do you know the difference between biodegradable plastic and recycled plastic?
• Can you distinguish between natural, naturally derived, natural-identical, and organic products?
• Do you ever wonder how the brand you buy from sources its raw materials?
• Do you always read the detailed labels before purchasing your chosen product?
• Have you ever heard about the controversial concept of ‘greenwashing’?
• How do you verify whether a product is genuinely organic?
• Can you effortlessly differentiate between natural products and organic ones?
• What do claims such as ‘environmentally friendly’ indeed mean to you?

If any of the questions are challenging, this article will help you make more mindful decisions when adopting products, especially in the beauty sector. The global market for sustainable products is growing, driven by consumer awareness. Clean and sustainable beauty products are toxin-free, environmentally friendly, and ethically sourced. Some organisations have defined harmful ingredients and practices in this regard.

Now, clean beauty is not a new concept, at least in the West, but in the Asian market, awareness and adoption are picking up, albeit slowly. APAC might not be the leader in health and wellness, but its global market share has skyrocketed.

In 2007, it accounted for 19 per cent, and in 2023, it was 30 per cent – this is an exciting trajectory for natural and clean beauty brands wanting to come into Asia or for newer brands to build a niche segment.

Let’s look at some stats: 

• The beauty market in APAC stands at US$2B, and clean beauty accounts for seven per cent of this entire segment.
• The CAGR for clean beauty is 40 per cent YoY compared to the overall beauty segment, which is six per cent.
• A study of 23,000 beauty shoppers found that almost half (48 per cent) want more information and clarity about brands’ values and environmental commitments.
• Nearly three-quarters (73 per cent) of consumers surveyed in Europe, the Middle East, and Asia say they want to adopt a more sustainable lifestyle. In emerging Asian markets, this proportion rises to 87 per cent.
• People in emerging Asian markets, such as the Philippines, Thailand, and Malaysia, are 87 per cent more willing to engage in sustainable consumption than people in any other countries surveyed. 

Reducing cosmetic carbon footprint

We can significantly reduce our carbon footprint in the cosmetic sector by carefully choosing our everyday products. There is a difference between clean and organic/natural/green beauty. While organic, natural, and green describe the origin and agricultural practices used to source product ingredients, they don’t always imply sustainability. Green cosmetics primarily feature natural, naturally derived, and organic ingredients while avoiding synthetic substances.

In contrast, sustainable ingredients address all dimensions of sustainability — environmental, ethical, social, and economic — at every stage of the product’s life cycle. Clean beauty, as a subset of sustainability, focuses on using safe products for both the body and the environment.

The widespread practice of greenwashing has deceived people into thinking that they are using products that are organic, natural, or sustainable, leading to more harm than good for the environment. Greater transparency and accountability in the industry are needed, as many claims are vague, misleading, or unfounded. Many of us need help to tell if hair and skin care products are ethical from the packaging.

The environmental toll of commercial beauty products

The environmental impact of cosmetic ingredients extends from sourcing and production to disposal. Conventional products often contain harmful ingredients and contribute to environmental pollution. Examples include harmful chemicals in sunscreens harming marine life, palm oil production causing habitat destruction, and bee-derived ingredients impacting pollination cycles.

Also Read: How Retykle is weaving sustainability into the fabric of children’s fashion

Manufacturing waste and microplastics are also significant concerns. Additionally, animal testing and the presence of toxins in personal care products further contribute to environmental issues. With no standard regulation governing cosmetics, it can be challenging for consumers to distinguish genuine claims from greenwashing tactics employed by brands.

Navigating to a greener alternative

The current scenario encourages building cleaner and healthier habits for embracing sustainability. Consumers are more knowledgeable and scrutinise brands’ marketing claims. The Clean Beauty Movement supports brands using eco-friendly products with minimal environmental impact and ethically sourced ingredients. Industry regulatory bodies and the European Union Directive aim to improve product labelling standards and to ban commercial malpractices. Plant-based, vegan products are gaining acceptance due to their gentle yet effective properties.

Reducing your carbon footprint with clean beauty

Besides skin benefits, clean beauty products have a smaller environmental footprint due to sustainable sourcing and manufacturing processes. Sustainable sourcing encompasses more than just clean ingredients and eco-friendly packaging; it involves the entire supply chain in making the world a fairer and more ethical.

According to Vaayu.tech website, the vast majority of the beauty sector’s greenhouse gas emissions come from three activities:

• Sourcing raw materials to make products and packaging: Deforestation can lead to peatland degradation, contributing to more than 10 per cent of global annual CO₂ emissions.
• Consumer use of products —  70 per cent of carbon emissions attributable to the industry could be eliminated if people simply used refillable containers.
• Packaging — Beauty accounts for a staggering 120 billion packaging units annually, with approximately one-third of landfill waste attributable to the industry. Only 14 per cent of packaging makes it to a recycling plant, nine per cent is recycled, and the rest is headed directly to landfills.

Brands’ social responsibility and ethical codes of conduct demonstrate their commitment to society and the environment. For instance, regenerative farming practices, such as biodynamic farming, aim to enhance soil fertility, water quality, and biodiversity, thereby reducing the carbon footprint of agricultural activities.

Also Read: Can a small business owner be sustainable in a sustainable manner?

We require fertile and healthy land to cultivate many of the ingredients used in our beloved beauty products. As conscious consumers, we can make informed choices to minimise product waste and support companies that have made genuine moves toward ethical production. Certifications like COSMOS, Leaping Bunny, NATRUE, and FairTrade provide credibility to brands’ claims and reassure consumers that the brand they buy from has authentic claims.

Other certifications, such as B Corp, UEBT, and Cradle to Cradle, promote the highest social and environmental responsibility through scoring systems. Proper government mandates and regulations also ensure that the entire supply chain of beauty products impacts local communities’ lives and economic opportunities.

Natural, organic product production and partnerships between local producers and brands are widespread, providing an economic advantage over artificially produced synthetic ingredients in the lab.

Conscious consumerism and sustainable lifestyle

Packaging heavily impacts the beauty industry’s sustainability. Research by Olay shows that 80 per cent of purchased beauty products are not actively used, leading to a significant waste issue. The industry produces 120 billion units of packaging yearly, with only 14 per cent making it to recycling plants and nine per cent being recycled. Utilising recyclable and refillable packaging and promoting minimalistic design can help reduce this environmental impact.

Conclusion

Rethink your business models and whole ecosystems, embrace circular thinking, and take responsibility for the entire lifecycle of your products. Educating consumers about the significance of sustainable cosmetics packaging empowers them to make informed choices. Transparent communication about your cosmetic packaging choices, eco-friendly certifications, and recycling instructions enables consumers to actively participate in reducing their environmental footprint. 

As end consumers, we play an equal role in minimising our carbon footprint through our conscientious daily choices. Sustainability is a lifestyle choice; we can make a difference by switching to cleaner options in our daily product use. Simply getting ourselves a little more educated about the products we consume and evaluating the brand’s sustainable efforts by looking holistically at the entire product lifestyle will be the first step towards a sustainable lifestyle. 

Join the clean beauty movement for a healthier body and healthier planet. 

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Image credit: Canva Pro

This article was first published on July 31, 2024

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Messaging applications are now necessary “digital fronts” to businesses and embracing them as go-to communication channels has proven to transform customer connection. However, many businesses in Asia-Pacific (APAC) still face significant gaps in maintaining customer context across various touchpoints, according to the IDC Future of Customer Experience Survey 2023.

What do people expect of businesses when it comes to seamless customer experiences, and how can businesses better prepare for that?

Integration across their customer journey

A survey by Gartner has found that high-effort transitions between service channels lead to significantly worse customer experience outcomes. 93 per cent of respondents reported high customer satisfaction when there was a seamless channel transition, as compared to seven per cent when faced with high-effort channel transitions. In the same vein, messaging applications should have features that nudge customers along throughout the full customer journey in an integrated and unified manner.

Messaging applications are relevant in many use cases, from customer service and support to marketing and advertising. Businesses should identify key interactions and map them back to touchpoints, experimenting with new ways of maximising customer communication channels and leveraging crucial moments for conversion. Data on customer behaviour at each point also bring valuable customer behaviour insights to light, which businesses can distil into strategies that encourage purchase.

For example, WhatsApp is integrating AI to help businesses create advertisements on Facebook and Instagram reminding customers when they have left an item in their cart or offering a discount for a purchase they have been waiting to make. Integrated with Communications Platform as a Service (CPaaS) platforms, these advertisements become fully trackable with analytics that will help businesses understand user behaviour, evolving the information into valuable data-driven decisions for customer service, reengagement, and loyalty-building.

A priority on privacy

Recently in Singapore, scammers have been using messaging and social media applications to attack, with Meta platforms and Telegram among the growing number of sites used as a form of contact in 45 per cent of scams. Messaging applications were used as a mode of contact in 8,336 scam cases, increased from 6,555 in the same period last year.

In the face of ever-evolving cybercrimes, customers are demanding privacy-focused platforms offering end-to-end encryption as they become more conscious of their digital footprint and security of their personal information. This shift has led to the emergence of alternative messaging applications that prioritise user privacy, appealing to a segment of the market that values privacy and security above all else.

Also Read: To Voice AI or not: The changing face of customer experience

Its rise indicates a broader trend toward more secure digital communication and has spurred innovation in the industry to offer smart security functions that improve data protection across different channels. In Asia, LINE TAXI, a ride-hailing app worked with Infobip to tackle data privacy challenges by integrating features like number masking, ensuring safer, more secure rides for their expanding user base.

Super apps are the next frontier

We are also witnessing the rise of super apps in the region such as Grab and WeChat. These applications have transformed simple messaging applications into one-stop-shop platforms that seamlessly blend various aspects of daily life into a single application that offers a range of integrated services including e-commerce, mobile payments, and ride-hailing.

As consumers, we are already familiar with super apps – it has become the norm for customers to complete their entire commerce journey from browsing, instant messaging to payment processing all within these applications.

For businesses, super apps are simplifying workflows and keeping all customer interactions in one place. It gives access to previous customer interactions and preferences to quickly resolve queries while tailoring the customer experience. They can in turn also fuel data-driven business decisions, allowing insight into consumer trends to plan for future products, services, pricing, and promotions.

One of the most well-known super apps is WhatsApp, which firmly established itself as the leading messaging platform in the region with its versatile features like video calls and voice messaging. Infobip’s messaging trends report also highlights a staggering 421% increase in WhatsApp messages across APAC in 2023. The platform’s widespread adoption underscores its role not just in personal communication but also in business interactions, where it serves as a crucial tool for customer engagement and operational efficiency.

Also Read: Meeting the customer where they want to be, in an omni-channel world

Improved customer experiences, powered by AI

The future of messaging lies in unlocking the potential of AI. AI integration is revolutionising messaging application capabilities with more natural, context-aware, predictive, and intelligent responses. Fuelled by advanced language models, AI-powered messaging applications can analyse entire conversation histories to provide more relevant, appropriate, and tailored responses, suggestions and assistance for more satisfying user experiences.

AI also plays a crucial role in bolstering privacy in messaging applications. By enabling advanced security features that conduct real-time threat detection, authentication, and encryption, as well as monitor, identify and block malicious activity, AI-powered privacy enhancements create safer and more secure messaging environments that protect customer information.

Moreover, generative AI will drive a boom for digital personal assistants. AI-powered digital personal assistants within super apps will enhance user experiences by providing recommendations, automating tasks, and streamlining workflows, fully integrating the experience from awareness to purchase and levelling that up with convenience and personalisation.

Businesses must move in lockstep with this evolving messaging landscape to leverage these powerful tools that help them deliver exceptional customer experiences.

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Editor’s note: e27 aims to foster thought leadership by publishing views from the community. Share your opinion by submitting an article, video, podcast, or infographic.

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