What Is The Pulling Effect Of Lazada On Ali'S Performance?

According to the world clothing shoes and hats net, a year ago today, Ali spent $1 billion to gain electricity from Southeast Asia.

Control right.

One is the largest e-commerce platform in Southeast Asia, one is China.

How did the two giants merge and leveraged the emerging market in Southeast Asia? What has happened to Lazada in the past year after taking stock of the acquisition?

Pulling Ali's international retail revenues doubled

Then, after the acquisition of Lazada, what is the pulling effect of Lazada on Ali's performance?

In August of last year,

The first quarter financial report of fiscal year 2017 was released for the first time after Ali acquired Lazada.

At present, the international retail business in Ali's financial report includes two businesses: speed sell and Lazada.

According to the report, Ali's revenue from international retail business reached $168 million in the first quarter, accounting for 4% of its total revenue, up 123% from the same period last year.

In the first quarter, Ali accounted for only 2% of the international retail business in Ali's revenue, and this number doubled to 4% after joining Lazada in the quarter.

Sharing Ali merchants to introduce China's big names

The addition of Lazada not only promoted the growth of Ali's international retail business, but also gave more opportunities to Ali system merchants.

In the Alibaba earnings conference last May, Zhang Yong, chief executive of Alibaba, clearly pointed out that Ali would take advantage of its own retail platform merchants to help domestic retailers enter the Lazada platform and sell products to Southeast Asian consumers.

The business integration plan is more radical this year.

In March this year, the report pointed out that Alibaba is working with Lazada group for the first time to provide some products of Taobao online to consumers in Singapore.

Lazada Alexis Lanternier, Singapore's chief executive, said that Lazada will open new proprietary websites to connect directly to Alibaba's largest online sales platform.

On the basis of the existing 5 million products, 400 thousand new Taobao products will be added at the beginning of the new website.

In addition, in January this year, Lazada Malaysia station officially launched the "Oriental Pavilion". At present, the Chinese brands entering Malaysia Lazada station include HUAWEI mobile, Semir apparel, camel dress, QCY Bluetooth headset, puppy appliance and Bluedio blue string.

Lazada CEO Hans-Peter Ressel said that "Oriental Pavilion" introduced some brands of Tmall platform to Lazada, which made Malaysia consumers more convenient to buy cost-effective products.

At the same time, with the improvement of purchasing power of Malaysia people, brand entry can also better promote products.

In addition, he also mentioned that since the Lazada platform was entered in August 2016, the sales revenue of the 16 Chinese brands in the Southeast Asian market has exceeded about 2000000 yuan.

Thanks to the monthly sales growth brought by "Oriental Pavilion", Lazada Malaysia has also become the fastest growing market in Southeast Asia.

Docking big data docking logistics payment system

In addition to introducing Chinese merchants into Lazada, Ali has gradually exported its own electricity supplier service system through Lazada to build a complete ecosystem.

In July last year, Ali announced that it shared a big data analysis platform with Lazada, in order to provide relevant consumers with the data to sellers, hoping to enable Chinese sellers to enter the blue ocean of 500 million Southeast Asia.

Lazada Thailand CEO Alessandro Piscini revealed that Lazada will use the Alibaba's large data platform, which helps the seller to understand product data and consumer behavior, thus adjusting its own business.

In terms of payment, in August last year, Lazada Indonesia co-CEO Florian Holm announced in a recent interview that it would introduce Alipay into Indonesia.

He disclosed that Lazada's original payment tool HelloPay will integrate with Alipay, because the latter has a better anti fraud system.

In fact, Lazada has some help in accessing Alipay to Lazada's Southeast Asian development.

In February of this year, Alibaba CEO Zhang Yong said that the proportion of goods on delivery to Lazada, the largest electricity supplier in Southeast Asia, is very high, but there is still a lot of cash on delivery. Therefore, Alipay wants to enter the Southeast Asian market and popularize secured pactions.

In addition to payment, Ali logistics system is also in the Lazada docking.

In August last year, Vice President Lin Wan, vice president of cross border and warehousing rookie networks, told the media that the rookie network had begun to dock with Lazada's logistics system.

It points out that Lazada's self built logistics team Lazada Express has 6 sorting centers, 11 distribution centers, 84 last mile distribution stations, and 75 local third party logistics providers, and 20 in Indonesia.

The role of Lazada in these third party logistics is much like a rookie. It is responsible for planning the best routing and sorting with technology, and selecting the best lines in different regions, so that goods can be more close to buyers and reduce costs.

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Layout outside Ali: playing finance and playing fresh

Besides docking with ALI resources, Lazada itself has not been idle in Southeast Asia expansion.

Specifically, the layout of Lazada mainly includes 3 aspects: logistics, finance and new channels.

1. Logistics:

In addition to access to rookie logistics, in December last year, Lzada also signed a cross-border e-commerce cooperation agreement with China Post Group. The two sides will expand cooperation in warehousing, supply chain finance and other fields on the basis of cross border logistics delivery.

In addition, in March of this year, Lazada also announced the unification of the first LGS express delivery list of six countries including Singapore, Philippines and South Korea. The logistics code will be sorted according to sorting centers only.

In addition, Lazada also launched a "re sending cargo" service in Indonesia and Thailand.

The service is a refund service launched by Lazada. When consumers return, they can return to Lazada in the local temporary warehouse. Lazada is free for sellers for 4 weeks. If consumers buy the same products in 4 weeks, they will be shipped directly from the local warehouse, and the seller will not have to bear freight. If there is no new order within 4 weeks, the goods will be sent back to China.

2. Finance:

Last June, CIMB Bank Berhad announced that it would provide special loans to Lazada platform sellers in Malaysia.

This special loan, called Enterprise Clean Loans (ECL), does not need to be mortgaged. Each seller can borrow 300 thousand LGL for a period of 5 years.

As long as the complete information is submitted, it can be approved within 48 hours, and the loan will be paid within 24 hours.

3. new channels:

At the end of last year, there were media reports that Lazada plans to buy RedMart of Singapore company for about $50 million.

The move is also aimed at expanding its influence in the Southeast Asian market.

Founded in 2011, Redmart is an online fresh grocery sales company. It has its own distribution fleet, providing fresh and frozen food daily delivery to home service, delivering products within two hours, and has strong logistics capabilities.

RedMart said that through this cooperation, it will further expand the logistics and technology platform, expand product mix, and provide more convenient services to consumers in Singapore.

The rise of Lazada's export electricity supplier in China proves that new market and new blue ocean still have opportunities in the industry.

In any case, the global market is very big, and there are many changes.

The cross-border electricity supplier has already ushered in a "singularity". In the past, the mode of conquering the European and American market is not very suitable. Global trading is the future king.

Then, in the "singularity" period, how to seize the opportunity and strive to become a "tyrant" in the industry? In the afternoon of April 20th, the billion power network will hold a special forum on cross-border electricity supplier singularity in Shanghai, which will require the cross-border export electricity suppliers to sell and the platform to talk about the new opportunities of export business.

Concerned about micro signal "export business" to restore the singularity to get free access channel.

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