Not your average neighbourhood shops: Here’s how 2 store owners manage your Shopee parcels

"Rakhis" means "cheap" in Arabic.

It's also the name of a mini mart at 194 Kim Keat Avenue, owned by Syed Muhammad Ghadaffi.

The humble little provision shop opened during the peak of the Covid-19 pandemic.

Speaking to Mothership, Syed said that he "didn’t know what to do" during that turbulent period.

But he was sure of one thing— he wanted to give back to the community in any way he could.

Rakhis (@ Kim Keat and Chai Chee)

Having had some experience setting up businesses, the 49-year-old Singaporean decided to open Rakhis to provide essential items at affordable prices for residents in the neighbourhood.

Initially, Syed's business did well enough for him to open two other outlets in Bedok and Chai Chee.

However, he was later forced to close his Bedok outlet due to poor sales and high rental fees.

With the Chai Chee and Kim Keat outlets left, Syed tried to find ways to sustain his business so that he can continue supporting the community by providing essential items they need.

His solution came in late Dec., 2022, when Shopee approached him at his Chai Chee outlet, asking if he would be interested to be one of Shopee Collection Points.

Thinking it could give his shop publicity, Syed agreed.

What is a Shopee Collection Point?

A Collection Point is a typical neighbourhood shop where Shopee customers go to pick up their parcels, with the self-collection option allowing customers to collect their packages for free with S$0 minimum spend.

Convenience stores, mini-markets, mobile phone shops, eyewear stores, and even shops within shopping malls are just some examples of such Collection Points.

There are currently over 1,500 Shopee Collection Points across Singapore, and most Singaporean households are within 250m from a Collection Point.

Both Rakhis at Kim Keat and Chai Chee have been Shopee Collection Points for almost a year.

"There's more footfall now at both of my outlets. Some customers come to pick up their parcels and end up purchasing items from our shop," said Syed.

In fact, Syed has also become friends with some of the Shopee customers.

"There are a few people who often buy from Shopee and collect their parcels here. I know their names already by now.

I build close relationships with some of my customers who frequently come to collect their parcels. Many of them have become regulars at my store. I also recognise their family members when they come to collect their parcels on one another’s behalf."

About 20 Shopee customers come to Syed's shop each day.

During busy periods, including Shopee's sales, Syed's shop can receive up to 100 parcels in a day.

Syed hopes to expand his business islandwide, now that he has found his footing again with the help of Shopee.

Sin Tien Hwa Radio and TV Service (@ Ang Mo Kio)

Besides Rakhis, another shop that benefited from becoming a Shopee Collection Point is Sin Tien Hwa Radio and TV Service.

Located at 728 Ang Mo Kio Avenue 6, the shop has been around for more than 40 years.

It was started by Madam Lim, who is now 73 years old.

Lim intends to pass the shop down to the next generation. Her daughter, Vivian Tan, mostly mans the shop now.

Over the years, the family has found it increasingly difficult to sustain their business, as it competes with well-established brands.

Before becoming a Shopee Collection Point, the shop rarely attracted new customers.

"This is an old shop, and only regular customers come along," the family told Mothership.

The mother and daughter learnt about SPX, Shopee's integrated logistics channel, through a friend in Sep. 2022, and were pleased that the onboarding process was very easy and seamless for them.

"We filled up an online form, and then Shopee contacted us shortly to evaluate our shop premises. Upon approval, we were then provided on-site training on how to operate as a Collection Point."

The shop eventually saw human traffic increase by up to 200 per cent.

Initially, it processed about 20 parcels a day at the start but it now manages as many as 150 parcels daily.

As the pandemic changed the way businesses operate, both stores persevered and found new avenues to sustain themselves while serving their communities.

Becoming Shopee Collection Points also allowed Rakhis and Sin Tien Hwa Radio and TV Service to foster stronger connections with customers, while bringing more convenience to them, which eventually led to an increase in footfall to both stores.

Shop owners interested in becoming collection points can click here to find out more.

This sponsored article by Shopee made the writer keen to explore the Collection Points in her neighbourhood and opt for self-collection at this coming 11.11 Big Sale.

Top images via Andrew Koay.