Singapore wants to go Digital. So shouldn’t you as well?
Especially if the Singapore government is willing to invest (pay) you for it. More than $80 million for these programmes and they are willing to cover your business 70% of the costs.
There’s two programmes
- 70% Off! – CDG – This is more structured where you have to apply through Spring and actually stat why you need the improvement and what the results are for.
- 40% Off – PIC. This is a more loose programme where it’s automatic from your tax bill.
Spend It When It Makes Money
Free money from the government is good, but only spend it when it actually makes money. Otherwise a saving of 70% is still a waste of time and money of 30%.
Case Study Ecommerce:
A client of mine runs a book shop. Sales have been continually dropping from $80,000 a week now down to $20,000. Reason: people are shopping elsewhere and online.
Next he’s having hiring problems. Tighten labour laws mean hiring foreign employees are next to impossible. He’s seeing a wage rise of 25% just having to hire locals.
Finally, increased rentals. Shopping malls in Singapore are constantly raising rentals. A triple hit.
Solution: Setup Opencart Ecommerce
We shifted his business digital, setting up an Opencart ecommerce online store . About $10,000, give or take. Opencart is an premium economy product, but for a business his size he did not want to mess around. That’s just his cost operating just 1 store with 1 employee for 1 month. With a PIC grant, that cost is now $3,000. That’s great so far.
Smell Test: Does Ecommerce make money?
YES! Why… lower costs.
1: Employee costs.
He’s using the same employee that normally has nothing to do between 2.30 to 5pm each day. So costs are 0.
2. Rental costs.
$0.00. No extra space required. At the same time, he has a new market. THE WHOLE SINGAPORE.
3. Sales and Marketing
We did the smallest campaign you could do. Some basic SEO and a couple of posters at the shop. A few hundred a month. If you’re looking for Rich Dad Poor Dad. He’ll have it.
Final Verdict: Ecommerce Works!
Yes, going digital worked wonders for his business. Without the grant, setting up an Ecommerce store was a medium term winner. With the grant at $3,000, it’s a terrific opportunity even in the short term.
Makes sense… more importantly makes money.