Despite a raging pandemic, the internet economy in Southeast Asia (SEA) continued to grow at an exciting pace. In the latest edition of their joint report, Google, Temasek and Bain & Company expected it to hit the US$100 billion mark and triple to US$300 billion by 2025.

It is no wonder that everybody wants a piece of the cake. But in order to be able to seize this opportunity, companies need to come out with new, creative offerings for potential customers.

This is what Clonet is trying to give to the region through their expansion plan from their home country South Korea.

As a mobile commerce platform, it aims to provide an easy and quick way for brands to produce high-quality short videos –that will eventually enable fun and different shopping experience for customers.

The startup claims that brands can produce “eye-catching” short videos at 20 per cent of the cost and 15 per cent of the time compared to the industry average. Customers can buy the products showcased in the videos “with just a single swipe” –without the need for different stages as currently offered by leading social media platforms such as Instagram or YouTube.

In fact, the startup said that it will take only 10 seconds to purchase a product from its platform, instead of the usual three minutes on other platforms.

Also Read: 15 South Korean startups set to pursue the Southeast Asian market

In an interview with e27, Clonet CEO Eric Cha explains that the app is targeting Gen-Z customers who are used to shop products through visual representation. Outside of its domestic market, it is aiming for customers of the same segment who are fans of K-beauty and fashion products.

In his time as a fashion content manager at TikTok, Cha has developed a pool of 800 influencers –including a group of so-called “super influencers” with more than one million followers– and up to 50 per cent of the followers are based in SEA.

“What I understand from my days at TikTok … users in SEA are rapidly growing and I often received queries about K-beauty and other K-products. It encouraged me to explore this further,” he says.

Clonet said it currently hosts more than 300 sales host and influencers. Within just six months since its launch, it recorded 14 per cent sales conversion rate which is said to be 3.5 times higher than that of traditional mobile commerce.

The startup also said that over the past three months, more than 250 brands in their platform have generated over 15,000 videos.

Riding the K-wave

It is no secret that Korean Wave –the flood of products and services from South Korea as triggered by the popularity of the country’s entertainment industry– has hit the SEA region hard.

According to Jang Won-ho, Dean at the University of Seoul’s College of Urban Sciences and Director at the Centre of Global Culture and Social Empathy, as reported by The Jakarta Post, the number of Korean content exports to ASEAN countries had increased from US$800 million in 2015 to US$1.3 billion in 2017.

Also Read: 15 early-stage startups from South Korea to showcase tech at Gitex Technology Week in Dubai

There is no sign of this momentum slowing down just yet, and this is the opportunity that Clonet is seizing.

As part of its expansion plan to SEA, the company started off by setting up an entity in Singapore. But their main plan is to begin by entering the Philippines.

As part of its entry to the Philippines, Clonet introduces a new service called VDVIA which combines Clonet service for fashion products and The Klippers service for beauty products.

It also set up a joint venture with Korean medical beauty company ZISHEL Group and retail giant E-Land Group to support its expansion plan.

Targetting two million downloads in the first year, Clonet also receives support from government agencies such as the Korea Institute of Design Promotion (KIDP) in its expansion plan.

“The support came in the form of extensive research, redesigning, and redevelopment of UI/UX,” Cha explains.

What is next?

In its home market, Clonet aims to widen its offering beyond fashion by including beauty, golf and luxury services. Starting in 2021, it will also include pet and food sectors as well.

Cha also stated that the company is currently fundraising.

“We want to work with VCs with an interest in K-beauty and fashion content and short-form media who can help us hire [talents], increase sales conversion rates,” he closes.

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Image Credit: Clonet

The post How South Korea’s Clonet plans to tackle the Southeast Asian market by riding the K-wave trends appeared first on e27.