Alibaba-backed Lazada operates in six APAC markets, and offers a route to market for both local small- and medium-sized sellers as well as global brands. In this blog we outline three things consumer brands should consider when thinking about selling on Lazada.
With more than 100 million monthly active users, the marketplace saw order volumes double in 2020 compared to the previous year. It's the perfect time to explore Lazada if you are interested in selling on marketplaces in Indonesia, Malaysia, Philippines, Singapore, Thailand, or Vietnam.
Brands considering selling on Lazada should remember that each of the markets in the Asia Pacific region are culturally unique, at a different stage of ecommerce development, and vary hugely in the number and spending power of their online shoppers.
Although 70% of South East Asia’s consumers have internet access, online sales penetration is still low, with spending power rising as the middle-class population expands. The good news is that ecommerce growth is relatively fast in all of the markets Lazada serves.
During Alibaba’s 11.11 shopping festival in November 2020, Lazada broke its own records, with 400,000 brands and sellers serving 40 million customers in one day. Given these results, Lazada believes it can maintain a sharp growth trajectory as its customer base continues to grow.
We’ve previously written about how social selling has become a popular trend among Chinese and South East Asian consumers, and this includes ecommerce livestreams. Much like other marketplaces in the APAC region, Lazada has been quick to adapt to new ways of selling, with its livestreaming platform LazLive.
Brands selling on Lazada can offer games on the platform as part of its “shoppertainment” strategy to engage the region’s online population, many of whom are relatively new to the market. During 11.11 in 2020, 11 million livestreaming views were recorded and Lazada suggests a strong uptick in sales from this activity.
While many of the brands and sellers on Lazada currently are smaller local enterprises, much focus is being placed on courting large international brands who may be seeking a route to market in the APAC region.
In a bid to increase its appeal to such brands, the marketplace has built a premium platform–LazMall–for brand owners, retailers, and authorized distributors to sell on.
LazMall reportedly has 70 million unique users buying from 18,000 brands; and regularly innovates to ensure that the customer experience keeps them engaged and buying. In addition, LazMall offers customers a 15-day return policy and guarantees the authenticity of products–which is crucial in a region where counterfeit products are common.
When creating an ecommerce strategy for the APAC region, we recommend cross-border selling as a starting point, and Lazada is great for enabling this. For this reason, you must think strategically about the APAC trade partner or trade partners you work with to ensure that they have the experience and scale to support you in all the countries that the marketplace supplies.
If you’re interested in selling on Lazada–or want to discuss how we could help to grow your Asia Pacific online sales by acting as your authorized partner for marketplaces in the region–contact us today.
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If you’re in the global ecommerce space, you are most likely aware of Amazon, and probably selling your products on the marketplace. With over $470 billion in sales in 2021 alone, Amazon stands as the third largest company in the world based on revenue. The ecommerce giant is a household name in the U.S. and working hard to grow its market share across five continents worldwide.
Having your products available on Amazon and being competitive there, though, are definitely two different things. If you want to really succeed on Amazon, you’ll need specialized insight into how Amazon works and how to make it work for you. So, for many brands, it’s a great idea to work with an Amazon Search Engine Optimization (SEO) agency.
At Pattern, Amazon SEO optimization service is one of our key competencies. We understand that technology, data-driven insights and expertise are the most important tools brands can leverage to win top listing spots on digital marketplaces. With expert teams and years of experience, we help brands conquer the Profitability Death Spiral as they compete with other products and sellers online. We offer Amazon SEO agency services as a core solution to brands that need more resources to get ahead.
An Amazon SEO agency serves brands by improving their products’ rank and listing performance on Amazon. They make strategic decisions about ad spending and placement that lead to higher traffic, conversions, and revenue for ecommerce brands.
A great Amazon SEO Agency partner will:
Unfortunately, many Amazon SEO agencies profit in unfair ways from your brands’ perceived success based on the ROAS numbers they provide. This is done through including branded search terms in ROAS reports, which naturally skew listing performance.
Let’s say, for instance, your brand is called “Annie’s” and you sell lollipops. Your brand has a very high likelihood of winning the top listing spots on Amazon for lollipop search terms that are paired with “Annie’s,” your brand name. So, SEO agencies will spend your ad money on those terms and report a very high ROAS.
To avoid scenarios like these, it’s best to look for an agency that either calculates their profits on metrics other than your ROAS scores or weighs branded search terms differently in the performance metrics reports. Regardless of your Amazon SEO agency’s cost structure, you should align onbranded search terms before committing to a scope of work.
A great indicator of a high-quality Amazon SEO agency is the level of insight they can provide into your competitors’ listing positioning and how it compares to yours. Data fanaticism is so important at Pattern that we’ve developed proprietary technology to display this exact information with precise detail for every brand we work with. In fact, you can find our free version here to see how you compare to some of your top competitors based on ASIN.
It’s certainly possible to improve your Amazon search performance with blind spending strategies. But a truly great solution will help you to know where your dollars are at their most powerful and competitive.
Amazon’s A10 algorithm prioritizes customer satisfaction—it wants to show consumers the best products that align with their search intent to improve conversions and sales. So, the best way to gain momentum on Amazon is to work on incremental wins.
Improving your performance on more obscure search terms that align with your customers’ search intent is a great way to increase ROAS for the long term. A10 will reward your success with better rankings on higher-volume search terms and the virtuous cycle can help you conquer your most-coveted listing spots. And the best part? This process of gaining momentum, if done right, will naturally decrease your ad spend over time as Amazon recognizes your value and works with you to keep your products at the top of consumers’ search results.
As an Amazon SEO specialist, Pattern knows how to help your brand win better success for long-term profitability on Amazon. With our data-driven tools and brilliant teams of ecommerce experts, we help brands with listing management, content optimization, Amazon ad strategies, and more.
Contact us to learn more about our SEO optimization services.