With the rapid development of the Internet, the cross-border e-commerce industry has taken off, and a large number of cross-border e-commerce platforms have emerged in the market. As one of the well-known cross-border e-commerce platforms in Southeast Asia, Lazada has attracted a large number of sellers to settle in. If you want to develop on the Lazada platform for a long time, you need to have a certain understanding of the platform. Today we are going to talk about what are the business models of Lazada?
Lazada’s business model mainly includes the following aspects:
1. B2C model of the third-party market.
As an online shopping mall, Lazada sells goods from various sellers to consumers.
2. Platform provision.
Lazada provides a platform for sellers to register and upload products, and serves customers by displaying these products, accepting orders and managing payments and logistics.
3. Cross-border e-commerce.
Lazada operates in many countries in Southeast Asia and cooperates with more than 2 million cooperative sellers.
4. Distribution model.
By uploading more new products and placing orders probabilistically, it helps stores survive the initial stage.
5. Boutique model.
Through refined operations and product selection, we can create hot products and bring greater profits to enterprises.
On the Lazada platform, the more common business models are the distribution model and the boutique model.
The distribution model is very friendly to novice sellers. Sellers do not need to purchase products by themselves. They only need to grab products on supply platforms such as 1688 through ERP, and then
put them on the shelves of their own stores through product distribution. Its advantage is that it can reduce the cost pressure of sellers, and the conversion of traffic is relatively good, which can allow novice sellers’ stores to smoothly pass the initial stage. However, the disadvantages are also obvious. Although the distribution operation is not difficult, the workload is also very large. If the new products put on the shelves by the sellers cannot meet the needs of users, there will be no orders. Therefore, sellers need to put new products on the shelves and deliver them on the shelves every day. At the same time, the requirements for suppliers are relatively high, and they need stable supply as strong support.
The profit of the boutique business model is relatively high, because it pays more attention to the quality and uniqueness of the products, which can attract more consumers. By making high-quality products, companies are able to create popular styles, which can bring greater transformation and revenue to the store.
The boutique business model does not require a high number of products in the store, only about 30-40 pieces are needed. Compared with quantity, this model pays more attention to product selection. Only by making a good choice of products can you have the opportunity to create popular products and form popular styles, which will bring greater effects to the store.
However, the boutique business model has high requirements for operations and requires operators to have good analytical capabilities. Operators need to analyze data to understand whether the product can be loved by buyers and whether it is likely to become a hit product. Only through in-depth data analysis can wise decisions be made to enhance the competitiveness of products.
Lazada’s business model is mainly a distribution model and a boutique model. Sellers can choose a suitable business model according to their own needs. If you want to know more about the Lazada platform, you can pay attention to Lianlian Cross-border Payment.