Interpretation of common charges in Lazada bills
As one of the largest platforms in the Southeast Asian e-commerce market, Lazada has attracted many cross-border sellers. However, in cross-border sales, many sellers are confused about the charges on Lazada bills because they involve multiple currency exchanges and various handling fees. Below, we will explain them one by one.
Common expense items in Lazada bills
Product Sales: Sales amount, that is, the sales revenue achieved by the seller on the Lazada platform.
Commission Fee: Commission is the transaction fee charged by Lazada. It is calculated based on a certain percentage of the sales amount (usually 2-5%) and deducted from the seller¡¯s sales income.
Shipping Fee: Shipping fee is the shipping fee charged by Lazada. It varies according to different regions and countries and different transaction rights. It is usually paid by the buyer, but there are also cases where Lazada subsidizes “free shipping” for certain orders.
Logistics Fee: Logistics fee is also the transportation fee charged by Lazada, but this fee is charged by the logistics company entrusted by the Lazada platform, so it is different from Shipping Fee.
Warehouse Fee: Warehouse fee refers to the storage fee incurred by the seller to store inventory in the warehouse designated by the Lazada platform. Storage fees are paid by the seller, and the fees are calculated differently depending on the size.
Service Fee: Service fee is the support service provided by Lazada to sellers, such as promotion, consultation, etc. Charging standards vary according to different circumstances. For example, advertising service fees are calculated based on event promotion budgets.
Answers to related questions
1. Why does Lazada charge commissions and logistics fees?
Lazada charges commissions and logistics fees in order to provide better service and support. Lazada will provide sellers with public service facilities and tools, such as logistics, promotion, etc. However, there is a cost for sellers to use these tools.
2. Why does Lazada charge storage fees?
The storage fee is due to the warehouse storage service provided by Lazada to the seller. If you, the seller, store your products in a Lazada warehouse, there will be some costs, such as warehouse costs, insurance fees, electricity fees, etc. All of these costs required to keep the warehouse running come with warehousing fees.
3. How to optimize costs?
In order to optimize Lazada¡¯s fees, sellers can start from three aspects: products and pricing, logistics, and operations and complaints. Sellers may consider making product and pricing changes to reduce commission fees and shipping costs. Sellers can also optimize their logistics methods and take advantage of free shipping offers. Finally, sellers can reduce the number of appeals through operational skills and careful analysis of bills.
In short, through in-depth understanding and analysis of Lazada billing expenses, expenses can be optimized more efficiently when operating the platform and greater profits can be achieved.