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CJ is Going to Integrate With  Lazada for Dropshippers

Create Date: 2019-07-15 09:26:01

CJ Dropshipping, an e-commerce platform which is integrated with products sourcing, stocking, printing and shipping for customers on Shopify, Oberlo, eBay, Amazon, Etsy, etc. Lazada, known as the “Amazon” of Southeast Asia, Asia’s No. 1 online shopping and selling destination, attracts wide attention from much cross-border e-commerce practitioners: more than 4.5 million visitors per day and serves more than 600 million customers. CJ is going to integrate with Lazada!

General information about Lazada Group

Southeast Asia’s No. 1 Online Shopping and Selling Destination
Launched in 2012 by Rocket Internet, Lazada is the number-one online shopping and selling destination in Southeast Asia – present in Indonesia, Malaysia, the Philippines, Singapore, Thailand, and Vietnam. With 300 million SKUs available, Lazada offers the widest range of products in categories from beauty, fashion and consumer electronics to household goods, toys, sports equipment, and groceries.

Focused on delivering excellent customer experience, it offers comprehensive customer care and hassle-free returns through its own first and last-mile delivery arm supported by approximately 100 logistics partners. Lazada Group is majority owned by Alibaba Group Holding Limited (NYSE: BABA).

Lazada helps more than 100,000 local and international sellers, as well as 2,500 brands, serve the 560 million consumers in the region through its marketplace platform, supported by a wide range of tailored marketing, data, and service solutions. Lazada offers an excellent customer experience through a wide network of logistics partners and it's own first- and last-mile.

The developments and achievements of Lazada

Lazada Group is a Southeast Asian e-commerce company founded by Rocket Internet in 2012 and owned by Alibaba Group. In 2014, Lazada Group operated sites in Indonesia, Malaysia, Philippines, Singapore, Thailand, and Vietnam and had raised approximately US$647 million over several investment rounds from its investors such as Tesco, Temasek Holdings, Summit Partners, JPMorgan Chase, Investment AB Kinnevik and Rocket Internet.

Its sites launched in March 2012, with a business model of selling inventory to customers from its own warehouses. In 2013 it added a marketplace model that allowed third-party retailers to sell their products through Lazada’s site; the marketplace accounted for 65% of its sales by the end of 2014.

In April 2016, Alibaba Group bought a controlling stake in Lazada to support Alibaba’s expansion plans in Southeast Asia.
In August 2018, Lazada is the largest e-commerce operator in Malaysia, Vietnam, Thailand, and the Philippines, based on average monthly web visits. In December 2018, Peng Lei was replaced by Pierre Poignant as CEO of Lazada, with Peng Lei taking the role of executive chairwoman.

Offices of Lazada

Headquarter: 8 SHENTON WAY, #43-01 AXA TOWER, SINGAPORE 068811
Malaysia: Level 20, Menara Worldwide, 198 Jalan Bukit Bintang 55100 Kuala Lumpur
Singapore: 8 SHENTON WAY, #43-01 AXA TOWER, SINGAPORE 068811
Philippines: 23F Net Park Building, 5th Avenue, Bonifacio Global City, Taguig City 1634, Metro Manila, Philippines
Vietnam: Floor 19, Saigon Center Building, Tower 2, 67 Le Loi Street, Ben Nghe Ward, District 1, Ho Chi Minh City, Vietnam
Lazada updates its brand slogan on 20th, 2019

Lazada launched a new branding campaign -- Go Where Your Heart Beats On June 20th, 2019. This is the first update for Lazada in the previous five years, aims to elevate the company’s role from trading & shopping to a “lifestyle destination”. The new Lazada slogan with more vigor and vitality was developed and designed by a consulting company -- Superunion Singapore and the subsequent campaign was launched by an advertising company -- Wunderman Thompson Singapore.

It is reported that this repositioning is supported by Lazada "shoppertainment" (brand entertainment consumption) strategy, which aims to improve the shopping experience for consumers, empower sellers and continue cooperation with local communities (such as “mompreneurs” and rural sellers).

Pierre Poignant, the CEO of Lazada group announced that “as the pioneer of e-commerce around the area, we first introduced Lazada in Southeast Asia which provides an easy online shopping experience for customers. We become the leader seven years later and we aim at serving 300 million customers by 2030.

Fishing gear, cycling and camping products have obvious potential in 2019

It is known that the demand for sports & outdoor products keeps increasing every year in Southeast Asia. So far, the global market size of Lazada sports & outdoor has reached $ 110 million, and it is anticipated that the global market size will reach $ 300 million us dollars in 2019. In the future sports & outdoors will tend to be more casual, more likely a way of life, therefore, sports & outdoor products with great potential will become necessary commodities in daily life.

*Three core categories of sports & outdoor products including:
outdoor recreation -- account for 42% (mainly including bicycles, fishing gears, camping products, etc.);
shoes & clothing -- account for 36%;
exercise & fitness equipment account for 17% (equipment & accessories).

*Core market of sports & outdoor products on Lazada including Thailand, Philippines, Malaysia, and Indonesia, as well as Singapore and Vietnam, which are growing relatively fast.

-Lazada is inclined to will focus more on shoes and clothing in 2019 from the perspective of the secondary category. All relevant data including its global proportion and repurchase rate shows that this category has fast growth, high repurchase rate, and proportion.
-Electronics and jogging suits are the strong growth category under the sports leisure category.
-In addition, Lazada mainly focuses more on outdoor categories, such as fishing gear, cycling, and camping cause fast development and high proportion.
-70% of the buyers are male, and the age group is around 20-40 years old, while 30% are female according to consumer portraits of Lazada. It indicates there is great potential for female buyers in sports & outdoor products.

Four types of sellers that needed & preferred on Lazada

Firstly, vertical category: mainly & specialized categories, such as sports shoes, fishing, cycling, NO grocery stores.
Secondly, cost performance: to meet the needs of mass consumers, the average price is about RMB 50 - 100.
Thirdly, brand type: local incubated brand or consignment brand, have an idea on the brand operation.
Last but not least, high quality: good quality, high repurchase rate, then win public praise.

Essential skills for high-quality merchants on Lazada

Firstly, product positioning. Understand market demand, develop competitive and differentiated products that meet customers’ demands.
Secondly, operation capability. Be familiar with e-commerce operation experience, including background tools, data analysis, hot words searching, commodity optimization and another basic operation capability.
Thirdly, high-quality stores. Integration of Operation 4P (product, price, place, and promotion) integrity, as well as ad store development planning.
Last but not least, the ability of cross-border localization. Including familiar with logistics, tax rates, policies, tread analysis of local consumer preference, after-sales, quality assurance, etc.

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