Company’s Mission and Vision

Mission:

Lazada’s mission is to provide a convenient and reliable online shopping experience for consumers in Southeast Asia. They aim to offer a wide range of products, competitive prices, and efficient delivery services to meet the diverse needs of their customers in the region.

Vision:

While the specific vision of Lazada may evolve over time, at its core, it has been focused on becoming the leading e-commerce platform in Southeast Asia. This includes expanding its product offerings, enhancing the seller ecosystem, and improving the overall online shopping experience for its users.

Main Markets and Target Audience:

•  Lazada primarily operates in the Southeast Asian region, which includes several countries. As of my last knowledge update, these countries include:
  
  

1. Indonesia: Lazada is one of the leading e-commerce platforms in Indonesia.
2. Malaysia: Lazada has a significant presence in the Malaysian e-commerce market.
3. Philippines: It’s also a prominent e-commerce platform in the Philippines.
4. Singapore: Lazada caters to the e-commerce needs of customers in Singapore.
5. Thailand: Lazada operates as a key player in the Thai e-commerce market.
6. Vietnam: Lazada has a substantial presence in the Vietnamese e-commerce landscape.

Lazada’s target audience primarily includes consumers in these Southeast Asian countries. Their audience is diverse, ranging from young to middle-aged individuals and families, and encompasses various income levels. Lazada offers a wide range of products, including electronics, fashion, beauty, home appliances, and more, to cater to the diverse needs and preferences of its customers.

Account Opening

• Visit Lazada Seller Center: To begin your selling endeavor on Lazada, you’ll need to visit the Lazada Seller Center, which is the dedicated platform for sellers.
  
  
• Create an Account: The first step involves creating a seller account on Lazada. You’ll need to provide essential information such as your name, contact details, and business details during the registration process.
  
  
• Fill Out the Request Form: After successfully creating your account, you’ll be prompted to fill out a request form. This form is essential for Lazada to gather crucial information about your business and verify your eligibility as a seller.
  
  
• Required Documents: As part of the verification process, Lazada may request certain documents from you.
  
  These typically include:
• Business Registration: You’ll need to provide proof of your business registration, which may include your business license or certificate of incorporation. This document confirms the legal status of your business.
• Trademark/Letter of Authorization: Depending on your product category and brand ownership, Lazada may require a trademark certificate or a letter of authorization from the brand owner. This ensures that you have the right to sell the products you list on the platform.
• Bank Statement: A recent bank statement is often required to validate your financial capability and ensure that you have a valid bank account where Lazada can deposit your earnings.
• Basic Store Assets: You may also be asked to provide basic store assets, such as images, logos, and store descriptions, to create an attractive and professional storefront on Lazada.
• Review and Approval: Once you’ve submitted all the necessary information and documents, Lazada will review your application. The time it takes for approval may vary, and Lazada will notify you of the status of your application during this process.
• Start Selling: Upon approval, you can start listing your products on Lazada and manage your online store through the Seller Center. This platform provides various tools and resources to help you manage your inventory, pricing, and customer interactions effectively.

Marketplace Costs

Opening a seller account with Lazada generally does not involve any major upfront fees or deposits, allowing sellers to register, list their products, and begin selling without significant initial costs. This is in contrast to some online marketplaces, particularly in China, where initial deposits can be substantial.

• Lazada’s commission rates and other fees are structured as follows:

1. Commission Rates: New sellers on Lazada will be charged a commission of 8% on the total value of their sales, including shipping fees. This rate represents an increase from previous years. However, to support new sellers, Lazada offers a 50% discount on the commission for the first month’s sales, effectively reducing the commission to 4% for that period.
2. Overall System Fee: Sellers are subject to an overall system fee, which is a flat rate charged per order, currently set at 3.5% of the total order value. For example, a $100 sale would incur a $3.50 system fee.
3. Listing Fees: To list a product on Lazada, sellers are charged $0.30 per product. This fee is applicable each time a product is listed or relisted on the platform.
4. Shipping Fees: Sellers are responsible for shipping fees, which vary based on the weight and size of the product, as well as the shipping destination. Lazada offers a shipping calculator to help estimate these fees, and sometimes free shipping is available for certain products and promotions.
5. Payment Service Fees: Sellers using Lazada’s online marketplace may incur fees ranging from 1 to 2 percent, with a current surcharge of 2 percent for deliveries to certain countries. It’s advisable to consult with payment service providers like World First and Payoneer for the most up-to-date information, as these costs can vary over time.
   
   

It’s important to note that these fees can change, and it would be prudent for sellers to consult Lazada’s official resources or reach out to Lazada directly for the most current and specific information regarding account opening fees, commission rates, and other expenses.

Logistics

• Partnered Logistics Companies

 Lazada partners with multiple logistics companies to ensure efficient delivery of products. These partnerships are crucial for handling the massive volume of orders and ensuring timely deliveries. The specific logistics companies may vary based on the country and the region within the country. Commonly, Lazada integrates local courier services along with its in-house delivery arm, Lazada eLogistics (LeL), to manage the delivery process effectively. These partnerships are strategic and are often based on the service quality, coverage area, and delivery efficiency of the logistics providers.

• VAT and Other Tax Obligations

•  Operating in multiple countries, Lazada is subjected to various tax regulations including Value Added Tax (VAT) and other local taxes. The platform enforces strict adherence to these tax obligations to maintain its compliance with local laws. For sellers on Lazada:

1. VAT Compliance: Sellers are typically required to manage their own VAT obligations. This involves charging the appropriate VAT on their sales and remitting it to the relevant tax authorities.
2. Other Taxes: Depending on the country, there may be additional taxes like customs duties or import taxes. Sellers are advised to consult with tax professionals to understand their specific obligations.

Country-Specific Logistics Arrangements

• Each country where Lazada operates may have unique logistics arrangements due to variations in infrastructure, regulations, and customer preferences.
  For instance:

1. Customs and Import Regulations: These vary significantly across countries. Lazada and its logistics partners often have processes in place to handle customs clearance, but the responsibility may also fall on the sellers or buyers, depending on the country’s regulations.
2. Remote Area Deliveries: In countries with challenging geographies, Lazada might have specific arrangements with local couriers to ensure deliveries to remote areas.
3. Cash on Delivery (COD): In some Southeast Asian countries, COD is a popular payment method. Lazada accommodates this by integrating COD services into its logistics operations.

Warehouse Management

 Lazada, a prominent e-commerce platform in Southeast Asia, offers a range of services for local and international sellers, including warehousing and shipping options.

• International Seller Options on Lazada:

1. As an international seller, you can access a large customer base in countries like Vietnam, Singapore, Malaysia, Thailand, the Philippines, and Indonesia.
2. The platform does not charge upfront fees for setting up a store, but a commission fee based on
3. your location and sales applies. This fee can range from 2% for regional sellers to 2-4% for international sellers.
4. It’s important to be aware of the product restrictions. Certain categories like weapons, chemicals, or any items not aligned with local regulations are prohibited. Additionally, there are size limitations for the packages.
5. To become a seller, you need an authentic business license and a registered company. For sellers from Mainland China, an Alipay account is necessary.
   
   

• Lazada Local Warehouses:

1. Lazada has an extensive logistics network with over 400 facilities, including warehouses, sorting centers, and hubs, ensuring efficient first-mile parcel deliveries.

• International Warehouse Options:

1. International warehouses are strategically placed in different countries, allowing for efficient global trade. They serve as central hubs for managing inventory, fulfilling orders, and optimizing logistics across borders.
2. Direct Shipping from Turkey:

For items sourced from Turkey, services like warehousing and logistics are available. Companies like PartnerTrade offer comprehensive services, including customs and internal warehousing in Türkiye, ensuring careful storage and delivery of goods.

 
Lazada Global Shipping (LGS):

• LGS is an in-house solution dedicated to cross-border sellers, offering services from storage to last- mile delivery. It allows sellers to ship products to Lazada’s fulfillment center in Hong Kong, from where Lazada handles storage, repacking, labeling, and delivery.
• The delivery time for international shipments varies but is typically between 8 to 17 days, depending on the destination and logistics.

ShopiVerse Dashboard:

• Marketplace Processes
• Product Management and Listing
• Order Management and Customer Services
• Reporting and Analysis Tools