Many sellers are looking for business opportunities on the Lazada platform, but they often face some confusion when choosing to open a local store or a cross-border store. This article will further explore the differences between Lazada local stores and cross-border stores and how to succeed on this e-commerce platform.
I. Indonesian local store rules
1. Conditions for opening a local store
Local phone number and bank card: To open a store in Indonesia, sellers need to have a local Indonesian phone number and bank card.
Local business license or seller’s personal passport: Sellers must provide an Indonesian business license or personal passport as identity verification.
2. Limitation on the number of local stores
Sellers can only open one local store. This regulation is intended to ensure that the seller’s business activities are consistent with their local qualifications and maintain market order.
Cross-border stores allow multiple site stores to be opened on the platform, providing cross-border sellers with greater flexibility.
3. Shipping requirements
Local merchants must ship from local locations, which means they need to set up warehouses in Indonesia and store products in the warehouses. This helps speed up order processing and meet the needs of local consumers.
– Cross-border stores can choose to send products to nearby Lazada warehouses, which will then be responsible for shipping. This method is more flexible and particularly suitable for cross-border sellers.
4. Product selection strategy
The product selection strategy of Lazada local stores needs to fully consider the consumption habits, market capacity and competition of local consumers. Sellers need to understand the characteristics of the local market and choose products that meet consumer needs.
Sellers should also analyze the competitive products with high sales on the platform to determine whether they are competitive. In addition, pay attention to the profit and transportation costs of the products to ensure the profitability and sustainable operation of the store.
5. Category restrictions
Lazada sets some category restrictions for cross-border sellers, such as not allowing the sale of liquid products and adult products, etc. These restrictions are regulated by the national customs. Therefore, cross-border sellers need to abide by the platform regulations and pay attention to avoid illegal sales.
Local stores do not have these restrictions and can freely sell products of various categories without worrying about price competition.
Although Lazada local stores have obvious advantages in some aspects, it is worth noting that the collection process is more complicated than that of cross-border stores. Sellers need to plan the store type reasonably according to their own needs and capabilities to ensure successful operation.
2. Product restrictions for local stores in Indonesia
For local stores in Indonesia, the platform has no specific product restrictions and can sell products of various categories. This provides sellers with greater freedom and opportunities without being restricted by categories such as liquid products or adult products.
However, cross-border sellers need to pay attention to Lazada’s restrictions on certain categories, as well as the control requirements of national customs. Therefore, when choosing to open a local store or a cross-border store, sellers should make wise decisions based on their products and business strategies.
In general, Lazada’s local stores and cross-border stores have their own advantages and disadvantages. Sellers should choose the type of store that suits them according to their own situation and goals in order to succeed on this e-commerce platform. No matter which type of store you choose, you need to have an in-depth understanding of the platform rules and market characteristics, and constantly optimize your business strategy to meet consumer needs and gain a competitive advantage.