How to Sell on Lazada Singapore

Selling on Lazada, one of the largest ecommerce platforms in the Southeast Asian region, is an excellent opportunity for ecommerce sellers. Founded in 2012, Lazada has grown to become a significant player in the ecommerce industry. In this comprehensive guide, we’ll walk you through the steps to become a successful Lazada seller.

Why Sell on Lazada Singapore?

According to Statista, during the initial quarter of 2022, Lazada recorded around 7.18 million monthly visitors, positioning itself as the second-most-visited ecommerce platform in Singapore in terms of monthly clicks.

This vast user base provides a massive audience without geographical limitations, making it an ideal platform for both local and international sellers.

Key advantages of selling on Lazada Singapore

1. No Hidden Fees: Lazada offers sellers a straightforward fee structure with no fixed payment fees or listing fees. This transparency allows you to plan your budget effectively.
2. Free Shipping: Lazada offers free shipping options, enabling you to focus on growing your online business without worrying about additional shipping expenses.
3. Cost-effective Shipping: The platform provides cost-effective shipping solutions and a centralised order tracking system, making it easier for sellers to manage their logistics.

Set Up Your Lazada Seller Account

Properly setting up your Lazada seller account is the first and vital step to start selling on Lazada. There are two types of sellers on Lazada — individual or corporate. Each requires different identification documents.

Individual account:

• Singapore identification card (NRIC / PR ID)
• Recent bank statement

Corporate account:

• Business registration document (ACRA Bizfile)
• Recent bank statement
• a Trademark Certificate or letter of authorisation (for Lazmall applicants)

Registration Steps

1. Register with Lazada: Begin by visiting the Lazada desktop site and selecting “Sell on Lazada.” You can register as a local seller by providing your email address, shop name, and creating a password. For LazMall or Redmart, follow the prompts to get started.
2. Document Verification: Depending on your seller type, you’ll need to upload specific documents. Individual sellers typically need to provide an image of their NRIC, while corporate sellers may need to submit ACRA business information. You’ll also need a recent bank or credit card statement for verification.
3. Account Verification: After submitting your documents, your account will undergo verification, usually taking one to two business days.

Link Your Bank Account

Once your account is verified, proceed with linking your bank account or other payment options to your Lazada seller account. This step is crucial to receive payments from your sales. Always keep your linked bank account details up-to-date to avoid payment issues. Also, consider currency conversion fees for paying international suppliers when you choose a bank.

Optimise Product Listings and Categories 

1. Accurate Product Information: Provide clear product titles, detailed descriptions, and high-quality images that showcase your products. A well-crafted product listing not only attracts customers but also improves your search rankings on Lazada, leading to increased sales.
2. Proper Categorisation: Ensure your products are categorised correctly to appear in the right search results. Select the most relevant product categories and subcategories based on your product’s features and target audience.
3. Competitor Analysis: Analyse your competitors’ pricing, product listings, customer reviews, and marketing tactics. Adapt and refine your strategies to gain a competitive edge.

Inventory Management

Efficient inventory management is crucial to meet customer demand and avoid surplus stock. Monitor your inventory regularly, update it as needed, and adopt effective order management practices like the First In First Out (FIFO) method to minimise spoilage.

Manage Orders, Shipping and Refunds 

Efficient order and shipping management ensures customer satisfaction on Lazada Singapore. Timely and accurate order fulfillment is essential. Follow Lazada’s packaging guidelines, provide accurate shipping details, and ensure orders are processed and shipped within the stipulated time frame.

Maintain a clear and fair return and refund policy to resolve issues promptly and satisfy customers. Analyse reasons for returns to improve products and services. This will help with maintaining a high seller rating for trust and credibility.

Know Your Lazada Seller Fees

Lazada seller fees vary based on the type of transaction. Common fees include commission fees (2% + GST) and payment fees (2% + GST). Additional fees may apply for balance withdrawals. No commission fee will be charged for the first three months for new sellers.

How to Withdraw Your Lazada Singapore Balance

You can withdraw your Lazada seller balance either automatically or manually. Automatic withdrawals occur every Monday (excluding public holidays), while manual withdrawals can be initiated at any time. The first manual withdrawal in a week is free, with subsequent withdrawals incurring a fee of 0.2 SGD/request.

Seek Professional Advice

Starting a business and managing finances can be challenging. Consulting with a highly experienced team at Counto can save you time, money, and potential headaches. Counto offers ecommerce specific accounting and bookkeeping services for Singapore online sellers.

Additional Tips to Boost Your Sales on Lazada

• Employ SEO tools to incorporate relevant keywords.
• Offer free shipping to stand out.
• Encourage customer ratings and reviews.
• Consider social media advertising on platforms preferred by your target audience.
• Offer discounts and promotions especially during special events and sales periods on Lazada to attract customers.
• Utilise Lazada’s Marketing Tools including LazLive (live streaming feature) and Seller Picks.

Summary

Selling on Lazada Singapore has distinct advantages. To become a top Lazada seller, master the strategies to optimise your product listings, manage orders, boost sales, and maximise your success on this prominent ecommerce platform.

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