Home > Blog > How to Sell on Lazada Marketplace in Southeast Asia

In the digital age of technology, there are a plethora of options available for sellers to sell their products using online marketplaces. Gone are the days when there were a few marketplaces. In the third decade, especially after the outbreak of the pandemic, online marketplaces have become a savior for both the buyer and the seller as the former gets the option to swear by a variety of products while the latter gets the opportunity to boost business sales volume.

But the increasing options have also created a cluster in the minds of the sellers. Measuring the benefits, and drawbacks of each might seem like an easy task but it could be daunting in nature if you don’t research well.

Talking about the eCommerce industry in the ASEAN countries, there has been a dramatic upsurge in online sales as according to an article by HKTDC Research 40 million people chose online over offline in 2020 alone, increasing the total number of sellers to 400 million from 250 million in 2015. Moreover, Indonesia has been found to have the highest eCommerce adoption with 87% of its internet users having purchased online via devices.

Are you looking to sell across South East Asia? Well, Lazada is one of the most well-known marketplaces in the South East Asian countries. If you are determined to expand your business in the region, it should be on your top-5 list. Let’s check out the exclusive features of the marketplace that can help you build retail capabilities and amplify your business profit margins.

Why Should You Start Selling On Lazada?

Being one of the best marketplaces platforms in the Southeast Asia region, Lazada has the advantage of a wider customer base over other marketplaces. Moreover, Lazada is one of the biggest shopping marketplaces in the SEA region. As per an article by Money Learning Centre, they have more than 300 million Stock Keep Units (SKUs) across all product categories. Apart from their highly affordable fee module, you can leverage their UX- focused design features. Let’s study the reasons for selling in the marketplace.

  • Robust Logistics Support: With end-to-end logistics support, Lazada helps the sellers to strengthen their delivery expertise while fulfilling orders quickly.
  • Secured Transactions: Having a safe and seamless transaction infrastructure, they offer intuitive and innovative digital payment options which are beneficial to both the sellers and the customers.
  • Variety of Options: Merchants and sellers who wish to sell on the platform have a plethora of options to sell across 18 categories under the convenience of one roof.
  • Gigantic Sales Events: Lazada presents huge retail opportunities amid the last quarter of the year with huge sales events highlighted by the double number dates; 9/9, 10/10, 11/11, and 12/12Every year a huge number of bargain hunters swear by the idea of the one-day sales events.
  • New Sellers: For those who are budding entrepreneurs, it’s a great opportunity to acquire customers as the platform has the power to help you retain more prospective buyers.
  • No Hidden Cost: Another advantage Lazada has over other marketplaces is that there is no hidden cost charged by them, helping you amplify the profit margins.
  • Easy-To-Use: While the backend of other sales channels could be quite tricky, It’s simple to use infrastructure that helps you sell products with just a few clicks can help you create a fully immersive experience.
  • Single Lazada Account: One of the best things about Lazada is that you can sell your products in different countries with just a single Lazada account without worrying about the logistics in multiple accounts.
why should you start selling on lazada marketplace

With lined-up features of Lazada, you need to follow the below-mentioned steps while starting your own business on Lazada.

Step-By-Step Guide to Onboard as a Seller on Lazada

#1 Registration Formalities 
In order to sell on Lazada, your first step is to register your company on the platform and fill in the necessary documentation. If you have a local business license, Lazada gives you an option to register over Lazada Local.

#2 Dive into Training Sesh
To become a successful seller on Lazada, training sessions are a must. Curated to help you give in-depth information about the interface, the training process focuses on each and every detail so that you are well acquainted with terms and policies.

#3 Activating Seller Account
After the registration, your account will be checked thoroughly for verification purposes. Once it is done, you will be sent an email, containing instructions that you need for the next steps.

#4 Product Listings 
Listing products on Lazada is your initial step to proceed with the selling process. In order to sell efficiently, you need to fill in the details of the products online, including product specifications, product description, image, etc. While you must add each and every detail of the product, it’s important to be precise and write crisp copy.

Pro tip: Use high-resolution images to seize the attention of the prospects!

What to Sell on Lazada?

Known for its versatility, Lazada is the marketplace where a seller can sell any sort of product, right from gadgets to apparel to home appliances. The best part about the marketplace is that it does not charge hidden fees from its sellers. Nonetheless, it’s important for you to understand their fee model in order to learn their commission structure based on which you will be making your sales. Also, if you are planning to start your own business on Lazada, through this commission model of Lazada you will get a blueprint about the particular products that can yield more revenue.

Lazada Fee structure consists of the following: 

  • The commission structure of the order varies according to the category of the product. Generally, it ranges from 1% to 4%.
  • Coming over to the Value added tax, it depends on the country you want to sell your products in. While Lazada Malaysia charges the lowest fee of 6%, you will be charged the highest in the Lazada Philippines, which accounts for 12%.
  • If we talk about the account processing fee, it is 2% of the total sales price.
  • Products such as drones, DSLR, Laptops, printers, scanners, televisions, etc., charge a 1% commission.
  • Talking about the product categories including, Health & Beauty, Home & Living, Pet Supplies, Fashion, Travel & Luggage, and more, charge 4%. 

lazada marketplace fee tructure in southeast asia

4 Strategic Ways To Grow Sales On Lazada

One of the most crucial aspects of selling over a marketplace is the competitive nature that makes it complex for the sellers to distinguish themselves from the competition. Here are a few techniques you can use to grow your business sales with Lazada. Read On!

1. Robust Inventory Management – 

  • Manage your inventory operations seamlessly to keep a track of the stock-in-hand so that you don’t witness the situation of stockouts.
  • Deploy a single panel that can allow you to have better control over your inventory. You can enable inventory management systems like Unicommerce, which helps you to minimize the risk of overselling while automating inventory tracking for increased cash flow.
  • Update inventory across the marketplace by automating the operations that can increase the visibility of stock, minimizing the order cancellations

2. Streamlined Order Management – 

  • Manage your order operations by deploying one of the best order management software systems –  Unicommerce that enables sellers to allocate orders and deliver them quickly
  • Integrate your system with barcode scanners that will eventually facilitate smooth order processing and returns management
  • Emphasis on order returns to manage both RTO & CIR returns while hastening the order returns process to build long-term relationships with your customers

3. Diversified Product Range – 

  • Include a wide range of products in your portfolio so that your customers don’t feel monotony in your shopping format
  • Make the most of the cutting-edge technology, and try to bring differentiation factor in your product
  • Introducing diverse parameters, including multiple colors, shapes, designs, usage, will help you to persuade the customers easily

4. Cross Border Selling With LazGlobal Seller – 

  • If you are based in China/Korea/Japan, Lazada gives you an option to become an international seller
  • Take the benefits from LazGlobal Seller and access a wide array of tools to expose your offerings to a wider customer base
  • Maintain your logistics and fulfillment center in such a way that it becomes easier for you to manage your social presence beyond the borders from the convenience of your devices
strategic ways to sell on lazada marketplace in southeast asia

To wrap it up, it could be highly fruitful to register your interest in Lazada if you are planning to make a mark in ASEAN countries because undoubtedly Lazada is one of the biggest platforms in the region. Moreover, you can be hyper-active in maintaining your account hygiene over the marketplace, which will eventually pull off the attention of your customers. So, go on and get ready to boost your business with Lazada Marketplace.

Read how businesses are growing with Unicommerce –