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Lazada Seller Guide: What’s in It for Me in 2021?

Lazada Seller Banner Sphere Agency ThailandLazada Seller Banner Sphere Agency Thailand

Selling online has become a way to go for many SMEs these days. Even big companies now sell their goods through digital eCommerce or social platforms like Amazon, eBay, Alibaba, Facebook Shops etc. One such platform is Lazada

Lazada is the second most popular eCommerce platform in Thailand and has substantial holdings in the rest of Southeast Asia. They offer sellers a wide range of benefits, including free shipping, discounts, cashback incentives, and much more. However, becoming a seller on Lazada or LazMall requires dedication and commitment.

So you might wonder, what's in it for you to sell on Lazada in 2021? Let's find out and see how to get started.

Lazada Thailand Homepage

Let’s Get To Know Lazada First

Lazada, along with Rocket Internet, was founded by Maximilian Bittner. They initially raised funds From 2012 to 2013 with the help of prominent investors, such as JP Morgan being one of them.

They launched their first Lazada Marketplace in Singapore in 2014. During the initial phase of the project, they suffered enormous amounts of losses. But eventually, this proved to be a great move.

The cause for the loss is that people prefer shopping in brick and mortar stores at the time. Also, there weren't enough people who owned a credit or debit card. They did not find it easy to compete with companies like Amazon. 

The year 2016 turned out to be a turning point for them. By the time, Alibaba decided to have a controlling interest and also backed them up financially. On top of that, they were allowed to use the intellectual property protection platform from Alibaba. 

Now, they have over 155,000 sellers and 3,000 brands doing business across Southeast Asia and became the region's leading online eCommerce platform. It has 300 million products on its platform and is considered a marketplace leader in product variety.

With a strong presence in six countries, they connect this vast and diverse region through technology, logistics and payments capabilities. Lazada is expected to gain 300 million customers by the year 2030.

How big is the market for online shopping in Thailand?

Thailand's e-commerce industry continues growing at a rapid pace. In 2017 alone, Thai consumers spent more than $2 billion online – almost twice as much as in 2016. This year, we expect that number will increase even further. By 2021, there will be over 30 million internet users in Thailand. Of these, nearly half are expected to shop online. So if you want to sell your products or services online, this is an exciting time to do so.

In addition, many large companies have already started selling their goods through the Lazada app. These include household names such as Samsung, LG, Asus, Acer, HP, Dell, Lenovo, Toshiba, Fujifilm, Canon, Nikon, Olympus, Panasonic, Sony, Microsoft, Intel, AMD, Qualcomm, Garmin, Bose, Philips, Apple, Amazon, eBay, Rakuten, Alibaba Group, JD.com, Haier, TCL Communication, Xiaomi, Oppo, Vivo, OnePlus. 

Read our Top Thailand eCommerce and Social Media Commerce Trends for the New Normal in 2021 for more ideas.

Lazada Seller Center

Their Business Offerings

Lazada Marketplace

Launched in 2013, Lazada Marketplace connects retailers with millions of new customers. It offers a full suite of services to aid sellers, from customer care support to a vast distribution network and marketing analytics. Merchants sell a wide array of products across 18 categories, with health & beauty and fashion growing the fastest. As well as home & living, mother & baby, mobile devices and home appliances, among others.  

LazMall

LazMall E-Marketplace is the biggest virtual mall in Southeast Asia and connects shoppers to over 18,000 brands. Launched in 2018, it provides consumers with the assurance of 100% product authenticity, guaranteed fast delivery, and a 15-days return policy. LazMall is the preferred platform for brands and sellers to engage and create a customised experience for their customers directly.  

Cross-Border

The mission of Cross-border is to bring the world to Southeast Asia and provide a gateway for Southeast Asian brands to reach international consumers. A wide assortment of products is offered through the Global Collection channel. Customer purchases can be delivered within seven days of placing an order, thanks to Alibaba’s technology infrastructure and unrivalled logistics network.

Lazada University

What’s the Benefit for Sellers?

There are many reasons why people choose to become a seller. Here are some of them:

1) You can reach out to millions of potential customers in just one click!

According to the DIGITAL 2021: THAILAND reportHootsuite stated that 83.6% of Thai internet users aged 16 to 64 had purchased a product or service online. That's quite a significant number if you compare it to our current population.

2) Learn to sell with Lazada University

Newbies can use the training resources at Lazada University to become savvy sellers. There's also the Lazada Service Marketplace, where sellers can outsource online-selling services such as creating a professional store design or creating banners for campaigns or live streams. 

3) Sell anywhere with mobile app.

Digital nomad online shoppers are familiar with shopping on the go via mobile app. And to support their vision for mobile shopping, sellers can also sell products on the go. And apparently, the Lazada Seller Center app is more user-friendly and convenient than its web counterpart.

You can push your product listings live just by using your phone. However, you will need a computer and a printer to print out the waybill during the processing of orders.

As for the digital marketing of your products, the app lets you create vouchers and join promos straight from the app.

4) Get paid faster & easier

Sellers get paid within 24 hours after receiving payment. The money comes directly to your bank account without any fees charged by Lazada. They offer free international wire transfer services. They also provide instant cashback rewards when buyers make purchases.

5) Easily manage inventory levels

With Lazada Inventory Management System, you don't need to worry about stockouts anymore. It automatically updates inventory information every day based on real-time data provided by Lazada. With IMS, you can easily track sales performance, monitor customer feedback, and keep up with market trends.

6) Save time and effort

The Lazada application has been designed to help you save time and energy so you can focus on what matters most – growing your business. For example, there are no shipping charges, returns, refunds, or taxes involved. All transactions happen instantly once payments are received.

7) Earn commission

Earn 10%-20% commissions on all items sold on Lazada Marketplace and LazMall. Plus, earn an additional 5% bonus commission on each sale made under the referral program.

You can refer friends who want to start selling on Lazada Marketplace. Once they complete their first purchase, you'll receive $10 worth of credit to spend on anything in Lazada and LazMall.

8) No minimum order value

There is no minimum order requirement. So whether you're starting off small or looking to expand your business, you won't be limited by this rule.

9) Easy access to global markets

Lazada offers over 1 million products across 200 countries and regions. You can reach millions of potential customers worldwide.

10) Free listing fee

No listing fee required! Just upload photos and descriptions of your products and list them at Lazada.com.

11) Fast delivery

Your goods will arrive fast even if it's shipped internationally. Your package will take between 3 - 7 days, depending on the destination country.

12) Safe transaction

All transactions are safe and secure. There are multiple layers of security measures that protect both buyer and seller accounts. 

How do I get started?

If you want to start selling on Lazada, then stay tuned for our next article and we will show you exactly how it works. We will go through everything you need to know about setting up shop on Lazada Marketplace and LazMall. You'll gain all the knowledge you need to set up your own online store successfully.

Frequently Asked Questions

What is Lazada Seller Picks?

Lazada Seller Picks is a free promotional feature that allows eligible sellers to enhance their potential best selling products on Seach Engine Result Pages (SERPs). Seller Picks improves visibility sales from search up to 60%, increases Page Views for SKUs boosted in Seller Picks, and adds visibility for your products due to better product ranking.

What does it cost to sell on Lazada?

Becoming a marketplace seller is overall free, but you will need to keep in mind these 3 costs that will add up.

  1. Commission: depend on product, ~5% for LazMall
  2. Payment fee: 2% on every order
  3. Shipping fee: learn more

What Types of Sellers Are on Lazada?


There are 3 types of Seller options during the Seller Signup process.

  1. LazMall Seller
  2. Local Seller
  3. LazGlobal Seller

Should I sell on Lazada Marketplace or LazMall?

Lazada Marketplace is an open e-marketplace where any online merchant can sign up and start selling. While LazMall is reserved for brands that pass specific criteria. They will qualify for Lazada's extensive campaigns and gain access to promotional tools like LazMall Badge, Flagship Store and Lazada Seller Picks.

What is LazMart?

LazMart is a subset store inside LazMall where you can buy everyday items. The items from LazMart are directly shipped from a warehouse and managed by Lazada itself. You can type "LazMart" in the search bar to discover products from the store.

What is e-Marketplace in general?

E-Marketplace or Electronic Marketplace is a website or social media shopping platform that caters to many products and shops, similar to a physical flea market or department store. The service model of E-Marketplace is open to those who are interested in opening their shop. Sellers can sell the products via E-Marketplace. There are usually facilitations including payment, purchase of goods, delivery service, marketing, promotion, business planning, and a business promotion centre.

Need a helping hand in setting up shop on Lazada?

If you're planning to become a digital seller but still got no idea where to go and what to do, our team at Sphere Agency is here to hold your hands through all the process. No more worries from setting up an account, documentation, marketing through social media to finally selling your first item! Check out our eCommerce Service and contact us today!

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By Micky on July 30, 2021

ABOUT SPHERE

Sphere is a digital agency that helps brands create meaningful relationships with today’s highly-connected consumers. Based in Bangkok, Thailand, we offer end to end digital solutions built on strategy and driven by data.

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