How to Start Selling to Southeast Asia Shoppers on E-commerce Platforms
The dynamic e-commerce landscape of Southeast Asia is a fertile ground for international brands targeting market expansion. With its rapid user growth and a diverse consumer base, the region offers plenty of opportunities for those who can navigate its unique market dynamics. Southeast Asia represents a golden opportunity for international brands due to its large, engaged, and tech-savvy young consumers eager for diverse and quality products from around the world.
This blog aims to provide a comprehensive guide on how to sell on popular Southeast Asian e-commerce platforms like Shopee and Lazada. We’ll also offer tips on how to capture Southeast Asian audiences for international brands looking to enter this lucrative and growing market.
The two most popular platforms in Southeast Asia are without a doubt, Shopee and Lazada. In 2023, the Gross Merchandise Value (GMV) of both platforms in Southeast Asia were 47.9 billion and 20.1 billion respectively. Shopee is the top e-commerce platform in countries like Singapore, Malaysia, Thailand, Vietnam, Indonesia and the Philippines, while Lazada is second in all of these countries except Indonesia, where it is the third most-used e-commerce platform.
Consumer behaviour in Southeast Asia is characterised by high mobile usage, with many consumers preferring to shop via mobile apps. Payment preferences vary, with a mix of digital wallets, credit cards, bank transfers, and even cash on delivery options. Shopping habits throughout the year are heavily influenced by local sales events, making it crucial for brands entering the market to understand and adapt to these nuances.
Getting Started on Major E-commerce Platforms in Southeast Asia
How to Sell on Shopee
Setting Up a Seller Account:
To start selling on Shopee, international sellers need to register and set up a store. You’ll need to provide the necessary business information, verify your identity, and select your payment options. Shopee's seller guide offers step-by-step instructions for a smooth onboarding process.
Optimising Product Listings on Shopee:
Optimising product listings on Shopee’s e-commerce platform can significantly increase sales by improving discoverability and building trust with potential buyers. To achieve this, follow Shopee’s guidelines:
Structured Product Names: Give your product an accurate and structured name that clearly tells shoppers what the product is about. Include the brand, product model, specification, and size to improve discoverability.
High-Resolution Images: Include high-resolution images from multiple angles to give customers a comprehensive view of the product. Shopee allows sellers to upload up to 12 images, so make use of this limit.
Detailed Descriptions: Write a minimum 400-word description that is original and not copied from the internet. This should include key information such as material, colours, and sizes.
Keyword Usage: Insert relevant keywords at least 1-2 times within the product description to enhance search visibility.
FAQ Section: Include an FAQ section to address common questions and concerns, providing additional information that can help convert potential buyers.
Use Shopee’s Promotional Tools:
Shopee offers a variety of promotional tools designed to attract buyers and boost your store's visibility, especially during high-traffic events. Understanding and utilising these tools can significantly enhance your sales performance.
Vouchers: Create discount vouchers to encourage purchases. Vouchers can be customised for specific products or store-wide discounts, offering a compelling incentive for buyers to complete their purchases.
Flash Sales: Participate in Shopee's flash sales to take advantage of limited-time promotions that generate urgency and attract a large number of shoppers. Flash sales can dramatically increase your product visibility and sales in a short period.
Shopee Coins: Reward customers with Shopee Coins, which they can use for future purchases. This loyalty program encourages repeat business and helps build a strong customer base.
Free Shipping: Offer free shipping promotions to reduce the total cost for buyers. Free shipping is a powerful motivator and can increase your conversion rates significantly.
Bundle Deals: Create product bundles that offer better value when multiple items are purchased together. Bundle deals can help increase the average order value and move more inventory.
Shopee Ads: Utilise Shopee's advertising options to place your products at the top of search results and category pages. Sponsored ads can enhance your product's visibility and drive more traffic to your listings.
How to Sell on Lazada
Setting Up a Seller Account:
To start selling on Lazada, you’ll first need to register as an international seller. This allows you to sell your products across all Lazada platforms. Lazada doesn’t charge an initial fee, instead, they take commission fees when orders are generated (between 2% to 4% of your sale). Visit the Lazada Seller Centre, create your account, and choose the option “Sign Up as LazGlobal Seller”.
Optimising Product Listings on Lazada:
Optimising your product listings on Lazada’s e-commerce platform can significantly boost your sales by improving discoverability and building trust with potential buyers. Follow Lazada’s guidelines to enhance your listings:
Clear and Structured Product Names: Provide a clear and structured product name that includes the brand, product model, specifications, and size. This helps improve discoverability and ensures customers know exactly what they are purchasing.
High-Quality Images: Use high-resolution images from multiple angles, including lifestyle images that show the product in use. Lazada allows up to 8 images per product, so make the most of this feature to give customers a comprehensive view.
Detailed Descriptions: Write detailed product descriptions, ensuring they are original and not copied from other sources. Lazada recommends a minimum of 300 words. Include key information such as material, colours, sizes, and usage instructions to provide a complete understanding of the product.
Keyword Usage: Incorporate relevant keywords naturally within the product title and description to enhance search visibility. Use tools like Lazada's Keyword Suggestion Tool to find the most effective keywords.
FAQ Section: Include a FAQ section to address common questions and concerns, providing additional information that can help convert potential buyers.
Utilising Lazada’s Seller Tools:
Lazada offers a variety of seller tools on their e-commerce platform designed to attract buyers and boost your store's visibility, especially during high-traffic events. Using these tools can significantly enhance your sales performance:
LazMall: Use LazMall for premium branding, offering consumers an assurance of quality and authenticity. This feature helps build trust and increases sales.
Seller Picks: Leverage Seller Picks to highlight your best products and recommendations, making it easier for buyers to find what they’re looking for.
Lazada Sponsored Solutions: Utilise Lazada’s advertising options, such as Sponsored Product Ads and Store Ads, to place your products at the top of search results and category pages. These sponsored solutions can enhance your product’s visibility and drive more traffic to your listings.
Flash Sales: Participate in Lazada's flash sales to take advantage of limited-time promotions that generate urgency and attract a large number of shoppers, boosting visibility and sales in a short period.
Free Shipping: Offer free shipping promotions to reduce the total cost for buyers. Free shipping is a powerful motivator and can significantly increase conversion rates.
Bundle Deals: Create product bundles that offer better value when multiple items are purchased together. Bundle deals can help increase the average order value and move more inventory.
Best Practices for Selling on Southeast Asia E-commerce Platforms
Understanding local cultures, festivals, and languages is crucial for tailoring your marketing strategies to resonate with Southeast Asian consumers on e-commerce platforms.
Align Promotions with Festivals: Schedule promotions around major holiday events like Lunar New Year or Hari Raya, as well as major sales events like 11.11, to boost sales.
Localise Content: Invest in reputable translation services and use native languages as well as culturally relevant imagery to build trust with your Southeast Asian audience.
Effective customer engagement is another key aspect. Southeast Asian consumers heavily value word-of-mouth marketing and rely on local influencers for purchasing decisions.
Use Influencer Agencies: Use platforms like Partipost to find and collaborate with local influencers trusted by Southeast Asian consumers.
Like any other market, e-commerce shoppers in Southeast Asia expect fast deliveries with no delays.
Understand Customs Regulations: Familiarise yourself with shipping protocols to avoid delays and additional costs in each Southeast Asian country.
Partner with Local Fulfilment Centres: Ensure quicker delivery times and better product handling in Southeast Asia.
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