Lazada expands logistics market to provide logistics services for e-commerce sellers

Recently, according to foreign media reports, Lazada's e-commerce logistics service Lazada Logistics plans to expand its user market. Lazada said that in the future, the service will not only be open to Lazada sellers, but will also be provided to sellers who join various e-commerce platforms.

Last August, Lazada announced a rebranding of its logistics services, followed by market expansion plans. The Singapore-based e-commerce company merged the Lazada eLogistics (LEL) and Lazada Express (LEX) brands into Lazada Logistics, which provides logistics services to e-commerce sellers.

Michael Roosevelt, vice president of logistics at Lazada Indonesia , said that rebranding is one of the ways for Lazada to expand its market. Currently, Lazada logistics services are only provided to sellers on the Lazada platform. On Wednesday, Michael Roosevelt said at a virtual press conference that there are currently a large number of small and medium-sized enterprises ( MSMEs) selling on other platforms. In the future, Lazada will provide Lazada Logistics services to sellers who join various e-commerce platforms.

In addition, Michael Roosevelt said that Lazada uses a new logistics system powered by Alibaba technology, namely Multi-Channel Logistics (MCL). The system will provide a single inventory fulfillment solution to help e-commerce sellers, e-commerce brands and e-commerce logistics and transportation industries develop.

Michael Roosevelt pointed out that currently micro, small, and medium-sized enterprises ( MSMEs) are facing two problems. The first is that MSME sellers have difficulties in packaging management and inventory management. The second is that due to the large consumption of buyers during the shopping festival, the demand for goods has increased sharply, which has brought greater logistics and transportation challenges to MSME sellers.

It is reported that in Lazada's fourth quarter 2020 conference titled "Accelerating Indonesia's Digital Economy through E-commerce", a survey of some small and medium-sized enterprises that have not yet been digitized showed that 65% of respondents said that logistics services are the biggest challenge, while 92% of respondents who have already digitized agreed that e-commerce platforms help them overcome challenges in logistics operations.

Li Chun, CEO of Lazada Group, said that logistics services are a very important part of the company. "Lazada's logistics capabilities enable us to provide the best delivery services to customers in Southeast Asia. It is comprehensive and easy for sellers and partners."

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