Cross-border e-commerce Lazada is one of the largest online shopping platforms in Southeast Asia, covering countries such as Malaysia, Singapore, Thailand, the Philippines, Indonesia and Vietnam, with a population of 560 million in a vast area. As an original market that Amazon has not entered, the cross-border e-commerce market in Southeast Asia is regarded as a blue ocean. So, what is the operating model of cross-border e-commerce Lazada? Let’s take a deeper look at the question of “What is the operating model of cross-border e-commerce Lazada?”
1. Market position of cross-border e-commerce Lazada
Lazada focuses on six countries in Southeast Asia, covering Indonesia, Malaysia, the Philippines, Thailand, Singapore and Vietnam. The e-commerce market potential in these countries is huge, and it is expected that by 2025, the scale of Southeast Asia’s online economy will exceed US$300 billion. Lazada occupies a leading position in the Southeast Asian market. Among the electrical product apps in the Southeast Asian market, it ranks first with more than 50 million annual active users. In the past four quarters, Lazada’s orders have grown rapidly, continuing to expand its influence in the Southeast Asian market.
2. Operational model of cross-border e-commerce Lazada
The operation model of cross-border e-commerce Lazada is simple and efficient. Sellers only need to receive orders, deliver goods and receive payments without direct communication with customers, which greatly saves time and labor costs and allows sellers to focus more on store operations.
The Lazada platform provides a relatively complete guarantee system, which is particularly important for settled sellers. Compared with the partial protection of consumers on some platforms, Lazada only intervenes and introduces returns and refunds to customers in cases of damaged goods, mailing errors, returns and refunds. All orders can only be shipped after being strictly tested by the Lazada platform. This measure ensures the quality of the goods and customer satisfaction.
3. Lazada’s local stores and cross-border stores
On the Lazada platform, local stores and cross-border stores are two common business models. Compared with cross-border stores, local stores are more suitable for operating under the store group model. Local stores do not need to pay a 6% commission like cross-border stores, so from a profit perspective, local stores have higher profits and weight. In addition, local stores, due to their higher weight, also mean higher exposure, thus reducing the need for advertising investment. Therefore, the advantages of store groups are particularly evident in local store operations.
Summary
The above is the answer to the question “What is the operating model of cross-border e-commerce Lazada?” Cross-border e-commerce Lazada has rapidly emerged and achieved success in the Southeast Asian market with its simple and efficient operating model. With the rapid economic growth in Southeast Asia, huge consumption potential requires corresponding supply capacity. Compared with China and India, Southeast Asia is the most attractive cross-border e-commerce market in Asia. As one of the most attractive cross-border e-commerce markets in Southeast Asia, Lazada provides sellers with broad development space and business opportunities, while also providing consumers with a rich variety of shopping options and a convenient online shopping experience.