ISSP branches out into new services for digital era

Internet Solution & Service Provider (ISSP) has branched out into three new emerging businesses to tap increased local demand for digitally-driven business in the connected era.

The three are: payment gateway service provider; professional services such as consulting and business backup and recovery; and e-commerce platform provider.

“We forecast those three areas will constitute our flagship businesses in the future, helping to drive our total revenue to reach 250 million baht in 2017, up from 135 million last year,” said ISSP president Bundit Wongdwatanasin.

Around 35% of this year’s revenue is expected to stem from internet service, 30% from cloud-based service, 15% from e-payment platform solutions including e-wallet and payment gateway, another 15% from consulting, and backup and recovery services and the remaining 5% from its e-marketplace business.

ISSP’s two core businesses are internet and cloud-based services.

Mr Bundit said the three new businesses are expected to create new long-term revenue streams for ISSP, helped by sweeping changes in the digital ecosystem and consumer behaviour, which increasingly demands social media connectivity, as more and more people are shopping online.

He said ISSP, which has provided internet service for two decades, is moving away from the traditional, low-margin business, as three years of intense competition have made it stagnant.

The local cloud-based service market, meanwhile, has also faced fierce competition, especially from financially healthy, global cloud service providers.

“We expect the three new businesses to generate half of our total revenue by 2021, aided by the rapid growth of digital payment usage,” said Mr Bundit.

He also said companies are bracing for big challenges on how to change their own business ecosystem and the overall internet ecosystem that influences consumer acceptance of innovative products and services.

“E-commerce, social media connectivity, big data and Internet of Things are set to be the four core influencers in the digital business and social media ecosystem over the next five years,” he said.

Differentiation of services and products will no longer be enough for companies to grow or survive, while providing innovative, technology-mediated services will be vital for companies to suit consumers’ digital lifestyles, said Mr Bundit.

ISSP has 800 enterprise customers, 40% of which are small and mediumsized businesses.