AWS gets new supply chain features

🏭️ Software for manufacturers - AWS recently unveiled its newest features at the Amazon Web Services Reinvent conference in Las Vegas. Manufacturers get a big spotlight as its newest services support manufacturers to use AWS’ data lake, demand planning and machine learning. These are set to launch in 2024.

Its newest features are:

📝 AWS Supply Chain Supply Planning

• Uses demand forecasts to help predict, position, plan and replenish goods for lower inventory costs and respond quicker to supply/demand changes.

🚚 AWS Supply Chain N-Tier Visibility

• Orders and demand forecasts can be shared with trading partners. Makes communication between customers and suppliers simpler, especially with supply changes.

♻️ AWS Supply Chain Sustainability

• Lets you request, collect and audit sustainability data between partners. Can include life cycle assessments, product safety certificates or hazardous substances used.

💬 Amazon Q in AWS Supply Chain

• Uses conversational, generative AI to tell you what’s happening across their supply chain (inventory level, opportunity costs, etc.)

Buy Now, Pay Later is still on the rise

❓️ What it is - Buy Now, Pay Later (BNPL) means that customers buy items and pay over time. It’s usually targeted to Millenials and Gen Z and grew in demand after COVID and inflation surges. BNPL is also easier to access than credit cards, short term loan tools or store cards and more convenient during recessions

🇺🇸 US Numbers - In the US, 47% more used BNPL on Black Friday compared to a year ago. Its used more by Black, Hispanic and female consumers at the lower to middle income range. Despite its convenience, 10% still incur late fees.

🌏️ Asia Numbers - In Asia, BNPL will account for 4.1% of ecommerce payments in Asia by 2026 according to GlobalData. 70% of adults in SEA are underbanked, have no bank account or debit/credit cards.

🔎 Company watch - Companies like TikTok struck a partnership deal with Atome in Malaysia to have BNPL in its shop. Allowing for deferred payments of 3 or 6 months. Razer, Grab and Shopee also have these options.

Thailand wants stricter policies on cheap online products

🛡️ Protecting Thailand - Cheap and low quality products from China are hurting small businesses in Thailand. They are now calling for ways to protect SMEs like having corporate tax for online Chinese sellers or requiring ecommerce licenses like Indonesia.

📦️What others did - Indonesia’s strategy was to ban social commerce as a whole, a big blow especially for TikTok Shop. India was also in talks about banning the inventory model earlier in 2023. This model means that the inventory is owned by the ecommerce company, like Amazon, and is sold to consumers directly.