Empowering ASEAN Startups to Lead Innovation
The Association of Southeast Asian Nations (ASEAN)* is defined by the principle of “unity in diversity.” This organization aims for harmony among its member countries, rather than merely being a collection of nations. The ten member countries each have their own unique ethnicities, languages, and cultures, yet they coexist under the ASEAN framework. Similarly, ASEAN startups utilize a variety of technologies, but they share a common goal: to address regional challenges and social issues faced by the countries in the region, while also fostering growth in the Asian market as a whole.
*ASEAN: The Association of Southeast Asian Nations was founded in 1967 and consists of ten member countries: Brunei Darussalam, Cambodia, Indonesia, Lao PDR, Malaysia, Myanmar, Philippines, Singapore, Thailand, and Vietnam. One of the objectives of this association is to create an economic community by reducing tariffs, liberalizing trade within the region, and promoting cultural cooperation.
The ASEAN-Korea Centre, an intergovernmental organization dedicated to enhancing cooperation between the two regions, has been organizing the annual ASEAN-Korea Startup Week to support ASEAN startups in entering the Korean market and to strengthen connections between ASEAN and Korea. Now in its seventh year, the event took place from October 21-23 in Seoul, South Korea. The event highlighted the talent and passion of ASEAN startups and showcases the transformative potential of Asian startups.
Assembly of promising ASEAN startups
H.E. Maria Theresa B. Dizon-de Vega, Ambassador of the Philippines to Korea and Chairperson of the ASEAN Committee in Seoul (ACS), stated, “The initiative to bring together startups from the ASEAN region and facilitate their engagement with Korean companies aims to share ideas and strengthen the innovation ecosystem.” Ms. Win Min Phyoe, Head of the Trade and Investment Unit at the ASEAN-Korea Centre, noted that this year’s event was different from those held in previous years because Ambassadors from all 10 ASEAN Member States were invited. This arrangement offered a unique opportunity for the Ambassadors to engage with the participating startups. Also, as this year is the 15th anniversary of the ASEAN-Korea Centre, and the 7th year since the Centre launched the Startup Week as its annual event, the program was scaled up and was renamed ASEAN-Korea Startup ‘Innovation’ Week, focusing on innovative sectors. Along with a pitching contest, the ASEAN startups had the opportunity to interact with venture capitalists and visit various Korean startup support organizations to enhance their capabilities.
Kickstart in a 10-minute audition
The pitching competition featured 30 startups, with three representing each of the 10 participating countries. Each startup had just 10 minutes to present: five minutes for their presentation and five minutes for a Q&A session. The “10-minute audition” went by quickly. The ASEAN startups were energetic and fast-paced, eager to showcase innovative ideas. From AI to FinTech, FoodTech, Blockchain, HRTech, ClimateTech, and more, these startups demonstrated their potential.
The panel of judges consisted of five experts from various Korean venture capital firms: BK Ventures, Lotte Ventures, HYU Holdings, Sparklabs Group, and KUDOS Financial Services Group. After the presenters briefly introduced their companies, including their mission, product or service offerings, technology descriptions, milestones, future roadmaps, and team members, the judges were invited to ask questions. Some of the questions included, “Do you have a localization strategy for the Korean market?” and “How do you plan to enhance the business viability of your product or service?” Mr. Byeong Kyu Lee, CEO of BK Ventures, commented, “Above all, we focused on how well the startups analyzed the Korean market and their level of interest in entering Korea. I hope the startups gain a deeper understanding of the Korean investment ecosystem and engage more with investors.”
The 2024 winners revealed
Guess who? The top honor was awarded to the Singaporean foodtech startup, Prefer. In second place was Alterpacks, a biotech startup from Singapore, followed by the Vietnam-based fintech startup, Finan, in third place. The winners of the pitching competition were awarded cash prizes and unique opportunities. The first prize winner will be invited to NextRise 2025, a startup fair in South Korea, where they will receive practical support to expand their business in the country.
Following this victory, Prefer has been actively seeking a partner company to establish a serious presence in the Korean market. They produce “bean-free coffee” with the goal of reducing costs and addressing food shortages. Mr. Jake Berber, co-founder of Prefer, remarked on their success: “We’ve been preparing and practicing our pitches for the past two years to reach this event. Our biggest achievement so far is winning here,” he stated.
One startup that has successfully analyzed the current Korean policies and market characteristics is Alterpacks. CEO Ms. Karen Cheah stated, “The Korean government and consumers are looking for alternatives to single-use plastics. South Korea is an up-and-coming market for us.” The company produces biodegradable containers using agricultural waste. The new material they’ve developed is twice as inexpensive as plastic and offers high strength. Ms. Karen stated that they are actively participating in trade shows in Korea and other parts of Asia while preparing to establish an office in South Korea.
Finan is a public system created to support micro and small businesses facing financial and technological challenges. According to CEO Mr. Hai Nam, he launched the business to develop a comprehensive mobile ERP system designed to help small businesses transition online and facilitate e-commerce, especially in the aftermath of COVID-19. The company addresses several key issues, including limited online visibility, increased competition, and rising capital costs. Currently, the app has gained 600,000 users and continues to grow rapidly. Following a recent award, Mr. Nam announced plans to expand the business across Asia by partnering with regional banks.
Some startups have adopted innovative strategies to address some of humanity’s biggest challenges. This year, the Innovation Prize was awarded to Nextacloud Technologies, a startup from Brunei Darussalam. This new category recognizes innovative companies, even if they may not have immediate commercial viability. CEO Mr. Agus Muslim expressed both his gratitude and surprise at receiving the Innovation Award. “We are happy and proud that the judges recognized the social impact of our solution,” he said. His team developed a blood donation app that had increased the number of blood donors in Brunei Darussalam by 35%. They are also collaborating with corporations to encourage younger generations to donate blood. Mr. Agus described his startup with a simple statement: “Saving more lives.”
Connect the innovation dots
The ASEAN-Korea Startup Innovation Week offered a valuable opportunity for meaningful exchanges. The event featured a “Fireside Chat Session” where Asian startups gathered in Korea to share their insights. Additionally, there were 1:6 group mentoring sessions with global VC mentors from Korea and self-networking opportunities for startups from different countries to share new ideas. LocaMos, a blockchain-based marketing solution from Vietnam, expressed, “We faced challenges in analyzing the market due to the differing lifestyles between Southeast Asia and Korea. I learned a lot about the Korean market here today.” ONZ, a mobility startup from Brunei Darussalam, added, “It was incredibly beneficial to meet so many esteemed investors. I was able to ask them candidly about their views on entering the Korean market, which I am very interested in.”
Connectivity is key. Early-stage startups in Korea and the 10 ASEAN Member States have been scattered like individual dots across different regions. When these dots are connected, they form lines. By linking together countless dots with an infinite number of lines, we can ultimately create a harmonious picture, just as ASEAN has found unity in its diversity. Together, we are stronger. Every Asian startup is an innovator.
