etaily bags $17.8 million for e-commerce enablement platform powering global brands in Southeast Asia

etaily has announced a $17.8 million Series A funding round as it scales its end-to-end e-commerce entry platform for brands to engage audiences across South East Asia.

This was led by Chinese and Taiwanese PE firm SKS Capital and co-led by Singapore’s Pavilion Capital.

Other investors were Japanese SBI ICCP Fund and Kaya Founders. The round also saw participation from the Magsaysay Family, Chan family, Foxmont Capital and JGDEV, the corporate venture capital arm of JG Summit Holdings.

etaily’s cap-table also includes other high profile SEA retailers and conglomerates such as the Ayala Corporation, the Cheng family behind the department store chain Landmark, as well as angel investors including Paulo Campos, former Co-Founder and CEO of Zalora and Anthony Oundijan, Managing Director and Senior Partner of Boston Consulting Group. 

Headquartered in the Philippines and founded in 2020 by Alexander Friedhoff, pictured below, former Zalora team member, etaily has served more than 50 global consumer brands and processed over 10 million orders on platforms such Lazada, Shopee and direct-to-consumer brand.com online stores.

Gross sales in 2023 have tripled and are on track to reach $100 million over the coming years.

Its portfolio of exclusive brands currently comprises Levi’s, Crocs, Skechers and Reckitt, bringing its total brand count to more than 50, managed on +200 storefronts. Its own brands range from categories such as pets supplements, health, personal care and food and beverage. 

Friedhoff says: “For the last three years, we've focused our passion into crafting something great at etaily – an all encompassing commerce powerhouse.”

“From the very birth of our lifestyle products to their swift delivery through our state-of-the-art operations ecosystem. Our unique digital approach sets us apart, making etaily the architect of digital brands and retail.”

“Today, people in the region buying something online from the leading retail and digital brands such as Crocs, Levi’s, Skechers, Fila and many others - all of it is being powered by etaily’s infrastructure.”

“With our unbeatable ecosystem, more than ever demanding online first strategy, and adaptable digital operations, we're poised to transform retail in the Philippines and SEA. As the tides of e-commerce reshape the retail landscape, our agile, fully digital platform promises brands a successful journey into the future.”

Friedhoff adds: “Unlike markets such as the US and Europe, where population growth is at a historic low - or in China’s case, declining - SEA’s consumer pool is expanding fast. In fact, the region’s working age population is set to grow by 23 million people by 2030, according to Bain & Co. and Meta’s 2022 SYNC SEA report.”

“The Philippines already has the youngest population in SEA. At the same time, household incomes are expected to rise, with 51 million new high and upper middle class households to emerge by 2030.”

“This combination of a burgeoning working population and higher household incomes will lead to an uptick in consumption. SEA will add about 140 million new consumers by 2030, representing 16% of the world’s consumers.”

“Given the current trajectory, with e-commerce as a percentage of total sales surging, SEA may well be poised to become the ‘next China’ in terms of e-commerce growth potential.”

“Although SEA consists of several distinct markets without the same geographic cohesion and language uniformity as China, commerce platform companies such as etaily have made it convenient for brands to sell into multiple markets through localised operations, brand, data and technology capabilities.”

etaily will deploy the fresh capital to deepen its presence in SEA, enhance its distribution platform for brands, and expand its brand portfolio.

In addition, further investments will be made into its proprietary technology stack including its operating system, data analytics and AI platform etaily clarity.

SKS Capital founder Jack Chen comments: "We are excited to participate in the exciting consumer transformation taking place in the Philippines and SEA.”

“We are dedicated to collaborating with outstanding and promising organisations that are poised for growth. etaily's asset light strategy, along with their extensive knowledge of e-commerce, supply chain, and their utilisation of data driven insights to understand consumer behaviour and demand, offer significant prospects for incorporating advanced omnichannel technology solutions into brand operations.”

“This will enable substantial growth in the near future. Our brand portfolio is ready to be distributed by etaily.”