Lazada, which was hatched from the German startup incubator RocketInternet, has now developed into the largest online shopping platform in Southeast Asia. Lazada has its own sites in six Southeast Asian countries. It not only sells local products, but also provides consumers with international products from all over the world. Its product categories include clothing, toys, household products, sports equipment, 3C products, etc. It is a comprehensive e-commerce platform.
? “Amazon in Southeast Asia”, targeting Chinese sellers
On September 19, 2015, Lazada officially released its Chinese name “Lazada” in Shenzhen . This also marks the beginning of the Lazada platform’s deployment in the Chinese market. Lazada hopes that more global merchants will participate and jointly contribute to the Southeast Asian market with a population of 550 million. The China station is a useful attempt for Lazada to build a global seller territory, especially after Alibaba acquired Lazada. , its operations in the Chinese market will also receive more possible cooperation and support.
For the Chinese market, not only consumers have huge demand for overseas products, but a large number of small and medium-sized sellers are also eager to sell their products overseas. Made in China, which is popular overseas, has had an important impact on the world economy. Chinese products with high quality and low price have huge potential demand overseas. However, differences in culture, language, payment, etc. at home and abroad, coupled with the large number of countries in Southeast Asia and the fragmented markets, have put China’s small and medium-sized businesses in difficulty in exporting goods.
In order to solve this problem, while developing local business, Lazada is also seeking commodity export solutions for many Chinese merchants. In order to make products made in China widely recognized by consumers in Southeast Asia, the Lazada platform has established a comprehensive service system in the dimensions of culture, language, payment, and delivery.
? A team with diverse backgrounds provides “Pan-Asian” e-commerce solutions
With 11 countries in Southeast Asia, there are large differences in language, currency, etc. difference. In order to solve this problem, e-commerce platforms need to provide differentiated services to consumers in different regions. It is not difficult to find that many e-commerce platforms in Southeast Asia currently generally support multi-language systems.
As the largest e-commerce platform in Southeast Asia, Lazada has introduced a professional talent team to solve this problem, thereby providing platform merchants with “Pan-Asian” e-commerce solutions.
In terms of logistics and distribution, Lazada can guide merchants to choose appropriate shipping ports and provide merchants with global transportation solutions. This solution can flexibly select appropriate services based on the characteristics of the goods, and Lazada The “last mile delivery” service also makes logistics and distribution more efficient and convenient. In addition, Lazada’s cross-border operations team can help merchants build logistics systems that support multiple languages in Southeast Asia, effectively solving the communication problems between merchants and consumers.
In terms of payment, the Lazada platform provides a variety of payment methods. However, since the credit card penetration rate in Southeast Asia is at a low level, the payment method is mainly cash on delivery. The e-commerce market in Southeast Asia is still in its infancy, and consumers do not have high trust in online consumption. Cash payment is recognized by the majority of consumers for its low-risk advantage.
In addition, consumers can also make online payments through the HelioPay online payment platform, but now this platform can only be used in Singapore and the Philippines. However, at the end of 2015, Thai consumers were able to enjoy the convenience. Fast online payment service.
In 2014, the total number of annual customers of the Lazada platform reached 5 million, the average daily visits reached 4.5 million, the number of single product SKUs reached 1.6 million, and the number of logistics partners reached 51. There are 58 “Mile Delivery” center sites. Currently, Lazada is planning to lay out the 020 market. It is believed that relying on massive online resources, Lazada will have good development prospects in the 020 field in the future.
As of November 2015, Lazada has conducted a total of 6 rounds of financing, with the total financing scale reaching US$710 million.
In the Southeast Asian e-commerce market with many countries and complex markets, language, currency and logistics are pain points that plague many e-commerce platforms. . The current Southeast Asian e-commerce market is still in its infancy. If local e-commerce platforms represented by Lazada can solve payment, logistics and other problems, it will undoubtedly unleash huge market demand.