Thursday, January 14, 2016

Moxian, Inc. (MOXC) is a Pioneer in the Billion Dollar O2O Market

Ecommerce is on the rise. In the U.S., according to Statista, the online statistics portal, retail ecommerce sales climbed over 30% in the last two years, from about $261 billion in 2013 to an estimated $341 billion in 2015. That figure is expected to grow by another 13% in 2016, to $385 billion. It seems as if online commerce will soon strip the malls and marketplaces of shoppers, but maybe not just yet. In 2014, retail ecommerce still represented just a small proportion of retail purchases, according to James Mengdong Tan, CEO of Shenzhen-based Moxian, Inc. (OTCQB: MOXC). In a recent interview with the Business Times of Singapore, he enthused, “…for all the success ecommerce has had, it represents merely 10 per cent of all retail purchases in China and the U.S. in 2014… that leaves a whopping US$7.3 trillion still being conducted in physical stores in the U.S. and China.” Ecommerce may be big, but, so far, it’s still a David compared to the brick-and-mortar commerce Goliath.

How far can ecommerce grow? Most economies, and China and the U.S. are no exceptions, comprise large service segments. In the U.S., according to the Department of Commerce, that figure is over 80%. In China, the service sector is about 48% of GDP, according to an International Business Times report. Many services can only be delivered and used on a personal basis. The list is endless and heading it are the services provided by the vast food and beverage industry. How many wives and girlfriends want to shop for groceries at home? Then again, who in America doesn’t like to dine out? It’s the same in China. If you think America has a lot of Chinese restaurants, you should pay a visit to China. And there are many more service businesses that must continue to deal face to face, such as beauty salons, barbers, gymnasiums, cinemas and theatres, and the live concert industry. Then there are all the professional services for which digital interaction can form only a small part of the relationship. Doctors and lawyers in private practice need to find a clientele just as any merchant does. Even for those things that can be purchased online, we may still want to enjoy a good old-fashioned day out shopping.

This is where Moxian, with its innovative social media and marketing platform, comes in. The Moxian+ online platform is designed especially for small and medium-sized enterprises (SMEs) that provide personal services or tangible products that a shopper wants to touch and see before she buys. And the Moxian+ platform does much more than that. Merchant clients can access powerful data analytics on the demographics of customers and their buying behaviour. This is the burgeoning online-to-offline (O2O) landscape, and Moxian is blazing a trail into it.

The Moxian+ platform is available through two apps, both of which can be accessed by mobile devices. Making its platform accessible by mobile devices is an important part of Moxian’s relentless strategy, since smartphones and mobile devices have very high penetration rates in China. Moxian’s initial marketing forays are in the mainland Chinese cities of Shenzhen and Beijing. In a 2014 story, ZDNet reported that China has over 618 million internet users and that 80% of these accessed the Web through a mobile device.

There’s still a lot of low hanging fruit in the fast developing O2O market. Moxian has been one of the first to recognize that. Back in 2013, its management acquired the software that would later become the backbone of the Moxian+ platform. Since then they have spent over $10 million getting it up to speed to take on the huge opportunities they perceive. Mr. Tan is not daunted by the possibilities. He said in that Business Times interview, “We could be the next Alibaba in the making” Seems he’s not the only one to think that. Moxian already has a market value of over 1 billion dollars.

For more information, visit the company’s website at http://ir.moxian.com/html-en/

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