What is Lazada- An Ultimate Guide

Picture of June Andria

June Andria

As the Content Manager at NextSmartShip, I specialize in crafting compelling narratives and innovative content that engages our audience and drives our brand forward.

Picture of June Andria

June Andria

As the Content Manager at NextSmartShip, I specialize in crafting compelling narratives and innovative content that engages our audience and drives our brand forward.

Table of Contents

Are you someone who heard about how great of a marketplace Lazada is, and you’re eager to sell on it now? Well, let us assure you that you aren’t alone in this boat. In fact, the majority of the sellers in Southeast Asia try to sign up on this platform to make the highest possible sales.

Southeast Asia is doing quite well in the online selling world, and this region’s online economy reached around $100 billion for the first time in 2024. However, the drive isn’t stopping here, and the platform is expected to triple in economy in next year.

So, if you, as a seller, want to sign up on this platform quickly but also want to know some details about Lazada and whether is Lazada legit, then this article has it all covered. Hop on below to read a detailed guide on everything you should know about Lazada.

Part 1. What is Lazada?

Not many people have heard about Lazada. If you recently came across this platform or heard about it from someone, then we are sure that the first thing that may have come to your mind is what is Lazada. Well, if that is the case, then we’re here to inform you.

Lazada is one of the biggest online marketplaces currently operating in Southeast Asia. The platform has over 100 million active users and sells around $21 billion worth of products every year. The service acts as a B2B/B2C marketplace and doesn’t charge local sellers any fee to use its marketplace services, tools, and logistics options until a sale is made.

So, if you are a retailer who runs a business in Southeast Asia, you should consider Lazada’s online presence as a means to reach a wider audience and increase sales. The platform is excellent, and if you are interested in learning how it works, then we have this aspect covered for you as well.

Part 2. How Does Lazada Work?

Given that Lazada is a B2B2C marketplace model, it has become a platform where merchants can quickly sell goods. However, many people question how this is carried out. If you are wondering how Lazada works, then let us break it down for you as well.

Lazada is a company which offers products in the following categories:

  • Electronics
  • Groceries and Pets
  • Health and Beauty
  • Home and Living
  • Women and Men Fashion
  • Automotive and Motorcycle

With its many product options across different categories, Lazada serves as a marketplace that helps numerous sellers connect with potential buyers for their products. When any customer places an order through Lazada, the seller is updated, and the order process and sale are completed.

Once done, Lazada then charges a commission fee and additional services fee from the seller.

Part 3. Lazada Shipping Options

On Lazada, the default delivery assigned is Lazada Standard Delivery. However, Lazada provides other options. In fact, there are several different shipping options on the platforms.

Each delivery shipping option has different details. Hence, when choosing your delivery option, you must adjust it based on the delivery package they are sending. A few of the best Lazada shipping options are:

– Standard Shipping

The standard shipping option is a default (non-bulky) option provided by the service, making it one of the most common shipping solutions. The primary reason for this is that the option has a low threshold for the order amount.

Once you, as a seller, have created a selling account, the standard delivery will be automatically set up in your store. The shipment reaches the customer through this option in 1 to 15 working days.

– Priority Shipping

Priority shipping refers to packages that need to be delivered on time. This delivery option is available for all products, and the service ensures delivery of parcels faster than the regular Standard Delivery. In this delivery option, the placed orders would be prioritized on delivery, and customers can expect their orders to be delivered within two days after the order is confirmed. However, products shipped off using this method need to fulfil a few essential criteria, so be sure to check those out.

Delivered by Seller

This particular delivery option is not provided to all sellers and only applies to those who sell some specific types of items. It is applicable for sellers whose products require special handling or treatment, like fresh or frozen produce, installation, or surpassing Lazada’s Standard measurement (over 100 kg or more than 200 cm on any side).

– Collection Point

The collection point delivery option allows your customers to pick up their orders at the location they like and have chosen. These locations can be places like convenience stores, etc., and the service is applied to products that fall under specific categories, like Fashion and Accessories.

– Fulfillment by Lazada

Fulfillment by Lazada (FBL) is a service where the products are stored, packed, and shipped directly from the Lazada warehouse to the customer. This helps the platform ensure that your customers can enjoy a fast and convenient delivery service.

However, the platform assures you that the shipped products still belong to the seller or brand. The FBL simply acts as a consignment model, and the seller still has full control over the prices and stocks for the products being shipped out through this method.

Part 4. How to Optimize Your Lazada Business?

how to optimize your lazada business

Many sellers often question the tips they can implement to optimize their products on Lazada. Well, there are several ways through which you can optimize your products and make them rank higher on the search results. So, if you are someone looking to boost sales and generate more sales, all you have to do is follow the points we have mentioned below:

– Use a 3PL for your Lazada Orders

The easiest way to optimize your Lazada orders and keep them streamlined is by opting for a 3PL service. These services can easily be connected to online stores like Lazada, and from there, they can seamlessly keep track of your orders. Not only this, but they would also pick, pack, and ship the orders as they keep coming to your doorstep and stock your products in the warehouse to ensure that you don’t run out.

One of the best 3PL services that we can guarantee will provide you with the best services for your business is NextSmartShip. The service has intelligent technology, which makes fulfilment and inventory management much easier. So, check the 3PL service out today and give it a try.

NextSmartShip Fulfillment

– Write a Good Products Listing

One crucial factor which can help you optimize your Lazada business ranking is the quality of your product listings. Optimizing your product listings can majorly improve your product’s visibility and make your products attractive to potential customers. How can you do this?

Well, the product title should be short and contain all the necessary keywords. Using the right keywords may increase your exposure and help users find related products on your page more easily.

– Use Coupons

During the peak shopping seasons, Lazada also offers special campaigns and coupons, which help the platform drive better sales and raise attention to it. When these campaigns are activated, sellers should consider offering coupons, discounts, and unique deals to drive more customers to it.

If there is one thing any purchaser or customer likes, it is getting a good discount on the products they have been eyeing. So, ensure that you use your coupons and discounts wisely and attract more clients.

– Multi-Channel Marketing

Multi-channel marketing is another great way to optimize your Lazada business. Multi-channel refers to the use of media channels for marketing products and messages. Sellers can use emails, social media, print, and other means and channels to interact with their customers to enable a more comprehensive campaign.

– Get More Orders from Lazlive

Lazlive is a means for sellers to show and sell their products to the customer base in real-time. It works as a live stream, where sellers can initiate a live video and feature the products to the customers who have joined the stream. They can also continuously make offers on the products and maintain proper communication between them and the customers.

This way, they can not only sell more goods and products effectively but can also encourage and develop a more solid relationship with their customers. During the live stream, sellers can highlight top-selling products in the live stream session.

Conclusion

Lazada is a popular platform in Southeast Asia with over 155’000 sellers selling products of all kinds. If you are a small business or seller who plans on expanding your customer base and is inclined towards Lazada, then we are sure you’d want to gain some information on this platform. If that is the case, then we hope this article was helpful for you. If you want to optimize your Lazada business, then we suggest you check out the best 3PL services of NextSmartShip.

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