As the US market becomes more expensive and its estimates less and less related to fundamental indicators, local venture capitalists are actively looking for new markets for growth. Many keep an eye on the countries of Southeast Asia. It is a diverse but very strong potential market with a focus on Vietnam, Thailand, Indonesia, Malaysia, Singapore, and the Philippines.
The digital and technology industries in the region have enjoyed a huge boom in recent years. According to Jungle Ventures, technology startups in Southeast Asia had a total estimate of $ 340 billion in 2020, and they expect this to triple by 2025.
This market is quite complex. Many entrepreneurs are hampered by fears about the difference in mentality and lack of understanding of how to do business there. However, here are three compelling reasons why Southeast Asia is a great market that needs to be considered right now.
Each of the countries is at a different level of development, but what they have in common is a wide variety of opportunities for the adoption of new technologies and proven business models. The rapidly emerging middle class is reflected in the quality of consumption and is now defining the market. According to McKinsey, 163 million solvent households are expected to appear in Southeast Asia by 2030.
Partly due to this increase in the prosperous user profile, the participation of the population in the digital environment is increasing. According to a study by Google, Temasek, and Bain & Co., more than 40 million new users joined the Internet in 2020. And even more remarkable, 94% of these users say they plan to continue to actively use digital services