Lazada Indonesia turns six
By Yunnie Marzuki April 13, 2018
- Will begin to sell Indonesian products to Malaysia and Singapore in May 2018
- Has over 50,000 local SMEs on its platform and owns six warehouses
LAZADA Indonesia celebrated its sixth anniversary and announced that it will start to ship its first batch of local products from 150 SMEs to Malaysia and Singapore next month.
Lazada Indonesia chief marketing officer Achmad Alkatiri said, “It’s part of our #UpgradeUKM programme which is to make them go ‘from local to global’.”
He explains that Malaysia and Singapore were chosen as the first two countries because it is easier and many Indonesians are staying there.
“We welcome all local SMEs to participate in this programme as long as they have the capacity to produce in bulk and can meet the demand from these communities.”
All local products will be categorised under “Indonesian Corner” in Lazada Malaysia and Singapore’s websites and shipped to designated warehouses every week.
Achmad also aims for this programme to be sustainable by curating the most popular products, the sellers, and demand.
For six years, Lazada has continued to offer a variety of breakthroughs and innovations to improve the quality of service websites and features on their shopping application.
Starting with introducing the FBL (Fulfillment by Lazada), they then launched a seller app to aid marketplace sellers, facilitate seller promotion through running special campaigns and building capacity for sellers across Indonesia through the #UpgradeUKM programme.
For consumers, Lazada launched a new look on their application that is more personal, tailored and caters to the needs of each individual. In addition, Lazada continues to increase the number of variations of products available, both from within and abroad.
It now owns and maintains six warehouses in Jakarta, Medan, Makassar, Surabaya, and Balikpapan. It also has over 50,000 SMEs on its platform with over 250 million SKUs available.
Lazada Indonesia co-chief executive officer Duri Granziol tells Digital News Asia that the strategy to maintain the business is to continue offering a variety of products, monitoring SMEs on product quality, and providing better delivery services.
He also thinks that Indonesia is a competitive market for Lazada and the challenge is to grow the market.
“E-commerce is a forefront in Indonesia. There are a lot of similar companies that help us to educate the market, so that people understand how e-commerce works. We are so small in terms of retail, so we need to grow our market, not steal each other’s markets.”
He says that cash on delivery (COD) still remains the most desirable payment method followed by bank transfers.
Granziol adds that Lazada Indonesia may collaborate with e-wallet players such as DANA (backed by EMTEK and Ant Financial) to help customers who do not have bank accounts and to enable various transactions.
As a token of their gratitude and appreciation for consumer loyalty throughout their journey, Lazada will hold a three-day mega campaign to commemorate their anniversary from April 25 to 27, 2018, with products discounted by up to 96%.