How To Sell More On Lazada

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How To Sell More On Lazada
How To Sell More On Lazada
How To Sell More On Lazada
List of Updates

  Content Updates               Detail                                               Related Pages            Update Date

  Lazada platform interface`s    The homepage, searching result page, and            P7-8, P11-12, P15-17,    4/1/2018
  changes                        product page                                        P21-23. P29, P32, &P38
  Lazada Website Update          Findability Optimization                            P18                      2/3/2018

  Seller Center Update           Stock Allocation Display Update                     P30 & P31                2/3/2018

                                                             Strictly Confidential                                          2
How To Sell More On Lazada
Agenda

  1. Understand the Customer Journey

  2. Drive Traffic to Your Store
       i.     Impression
       ii.    Views
       iii.   Conversion

  3.   Lazada Ranking Algorithm

  4.   Leverage on Lazada Resources
       i.     Lazada Communication Channels
       ii.    Promotional Campaigns
       iii.   Lazada University

                                              3
How To Sell More On Lazada
Understanding the Customer Journey
Main Process

         Discovery              Research                 Purchase              Awaiting                Delivery
                                                                               Fulfilment

                          Where the customer
  Where customer first                             Where the customer
                          searches for a product                         Where the customer
  hears about Lazada                               chooses delivery &                            Where the customer
                          and compares different                         receives order status
  e.g. Newspaper Ads,                              payment option, and                           receives items
                          products to make a                             updates
  FB ads, Word-of mouth                            makes payment
                          decision

                                                                                                                      4
How To Sell More On Lazada
Understanding the Customer Journey
Influencing factors

                                                             Research

 Customers`                        Product Search             Product Comparison               Make a Purchase
 point of view

Key Metrics                         1. Impression                    2. Views                    3. Conversion

                                    Good Content                 Good Content                     Good Content
Key Factors
                           Attribute Fill Rate (Filters)   Attribute Fill Rate (Filters)       Competitive Pricing
                               Relevant Assortment            Competitive Pricing          Attribute Fill Rate (Detailed)
                                                                 Product Rating                  Product Rating

*Gets your products on the top pages per category
                                                                                                Stock Availability
                                                                                                   Seller Rating
                                                                                                                            5
How To Sell More On Lazada
Agenda

  1. Understand the Customer Journey

  2. Drive Traffic to Your Store
       i.     Impression
       ii.    Views
       iii.   Conversion

  3.   Lazada Ranking Algorithm

  4.   Leverage on Lazada Resources
       i.     Lazada Communication Channels
       ii.    Promotional Campaigns
       iii.   Lazada University

                                              6
How To Sell More On Lazada
Drive Traffic to Your Store
 1. Impression   2. Views     3. Conversion

How can I make sure the customer finds my product?

                                                     7
How To Sell More On Lazada
Drive Traffic to Your Store
 1. Impression         2. Views         3. Conversion

                                               Good Content – Category
 Customer Behavior:
• Customers search through category tab.
• Sellers must create SKUs under the correct deepest category, otherwise 0 exposure.
                      Home Page                                              Searching Page

         Clear Category Navigation

                                                                                              8
How To Sell More On Lazada
Drive Traffic to Your Store
 1. Impression     2. Views        3. Conversion

                                          Good Content – Category

 Seller Action: Choose the correct category

 Seller Center    Choose the correct category        Web Platform   Check how good sellers categorize
                                                                    similar items

                                                                                                        9
How To Sell More On Lazada
Drive Traffic to Your Store
 1. Impression      2. Views    3. Conversion

                                      Good Content – Category

                 Good Example                                            Bad Example

                                                                                         This should be mini
                                                                                        dress, not maxi dress.

                                                    How to fix?
                                                    • Wrong Category Level 1:
                                                       o Delete and re-create; or,
                                                       o Contact HK PSC for revising.
                                                    • Wrong Category Level 2 to 6:
                                                       o Revise by Mass Update on your own.             10
Drive Traffic to Your Store
 1. Impression   2. Views     3. Conversion

                                   Good Content – First Image

                                                                Using white background image is
                                                                not mandatory.

                                                                But, having a white background
                                                                image will increase the chances of
                                                                your product being displayed on the
                                                                home page.

                                                                                                  11
Drive Traffic to Your Store
 1. Impression          2. Views           3. Conversion

                                                    Good Content – Naming

  Mostly prefer to search with specific criteria               Result: Shortlisted products display in the result page

 Example as below. Product traffic of the right page possibility has been increased by several times!

                                                                                                                         12
Drive Traffic to Your Store
 1. Impression      2. Views            3. Conversion

                                                   Good Content – Naming

                 Good Example                                              Bad Example

                               1. Concise name                                    1. Pile up words with
                               2. Key attributes                                  similar meaning
                               included                                           2. No color indicated
                               3. logical name                                    3. Illogical name

                                                                                                          13
Drive Traffic to Your Store
 1. Impression       2. Views        3. Conversion

                                           Attribute Fill Rate (Filters)
Customer Behavior:
                                                                           When no filter applied
 Example

 • Too many items under search result.
 • Most probably, customers will browse
   the first few pages only.

 • Customers use filters to sort out the                                   When 4 filters applied
   items that they have interest.
 • Using filters help to reduce the
   search result from 25,312 items to
   246!
 • Items with complete attributes will
   have much higher traffic.

                                                                                                    14
Drive Traffic to Your Store
         1. Impression                2. Views               3. Conversion

                                                                      Attribute Fill Rate (Filters)

    Seller Action:
•           Mandatory attributes: Must fill in correct value.
•           Optional attributes: Strongly suggest to fill in correct value.
    Seller Center

                                                                                   Web Platform       Attributes
                                                                                                        Filter

        Tips: Compare the filters that are on the catalogue page relevant to your product .                        15
Drive Traffic to Your Store
 1. Impression   2. Views     3. Conversion

                                    Attribute Fill Rate (Filters)

  Good Example

                                                            Optional     Fill in all attributes
                                                            attributes        applicable.

  Bad Example                                                            Only fill in mandatory
                                                                              attributes.

                                                                                                  16
Drive Traffic to Your Store
 1. Impression       2. Views       3. Conversion

                                            Relevant Assortment

Why?
• Increased chances of meeting a larger pool of
  customers’ needs
• Offer the luxury of comparison
• Higher exposure and traffic

How?
• Sell variety of models/product variation within the
  same category

Tips
1. Check assortment at top of page, these are the
   fast moving ones
2. Check products with high demand in the market

                                                                  17
Drive Traffic to Your Store
 1. Impression           2. Views             3. Conversion           (Applicable for MY, TH, SG)
                                                       Findability Optimization

      The new search algorithm focuses on real time user level personalization. Sellers can improve their
      search ranking by following the below guidelines:

      Product Title
      •  Product title is an important factor for search, so ensure your titles follow content guidelines; a good title would include:
         Brand, Model, Attribute 1, Attribute 2. e.g. ‘Apple iPhone 8 64GB Silver’.
      •  The key is to include keywords that are relevant to the product and that users would search.
      Attributes
      •    More attributes (e.g. screen size, color etc.) used in both product recall and personalization ranking, so ensuring each
           product has complete and accurate attributes will improve product visibility in both filters and search.
      Customer Satisfaction
      •  Customer satisfaction is judged by multiple factors, including: seller and product reviews; the higher customer
         satisfaction, the better.
      Services
      •   Sellers that provide the payment options that customers prefer may have a higher chance of getting visibility.
      Product Performance
      • SKU performance is an important factor in search. E.g. the more valid clicks and orders an SKU gets the better its rank.
         Although sellers can’t directly control this, they can influence via low prices and good content.

                                                                                                                                         18
Agenda

  1. Understand the Customer Journey

  2. Drive Traffic to Your Store
       i.     Impression
       ii.    Views
       iii.   Conversion

  3.   Lazada Ranking Algorithm

  4.   Leverage on Lazada Resources
       i.     Lazada Communication Channels
       ii.    Promotional Campaigns
       iii.   Lazada University

                                              19
Drive Traffic to Your Store
 1. Impression   2. Views     3. Conversion

How do I convince a customer to click on my product?

                                                       Good Content - Image

                                                       Good Content - Naming
                                                       Competitive Pricing
                                                         Product Rating
                                                                               20
Drive Traffic to your Score
  1. Impression       2. Views        3. Conversion

                                        Good Content – Image & Naming

Why?
• This is what customers will notice at first glance
  and influences if they will click to the product
  page and explore further or purchase
• It will differentiate your product from others

How?
• Image - Follow the Lazada Image Guidelines
  which are designed to give customers a good first
  impression of your product, enticing them to click
                                                       Freebie Template
  on it
    o Details please see Product First Image on
        Lazada University
    o Add freebie to your first image

• Naming - Ensure your product name includes key
  attribute and frequency searching words.
                                                                          21
Drive Traffic to your Score
 1. Impression      2. Views        3. Conversion

                                              Competitive Pricing

Why?
• For two identical products, pricing plays an
  important role in a customers decision to
  purchase

How?
• Compare your price with your competitors
• Don’t forget to check prices in physical stores as
  well as online

Tips
1. Always set a special price to attract customers`
   attention.
2. Ensure your RRP is real– do not put a higher RRP
   to have a high discount – you reduce your
   credibility to the customer

                                                                    22
Drive Traffic to Your Store
 1. Impression       2. Views       3. Conversion

                                               Product Rating

Why?
• Customers feel confident in purchasing products
  with good reviews from other customers.

How?
• Ensure that your product is of the highest quality.
• Ship out your products within the stated time frame
• The product delivered to the customer must match
  the description, color, specification etc. stated on
  the product page

                                                                23
Agenda

  1. Understand the Customer Journey

  2. Drive Traffic to Your Store
       i.     Impression
       ii.    Views
       iii.   Conversion

  3.   Lazada Ranking Algorithm

  4.   Leverage on Lazada Resources
       i.     Lazada Communication Channels
       ii.    Promotional Campaigns
       iii.   Lazada University

                                              24
Drive Traffic to Your Store
  1. Impression         2. Views   3. Conversion

 What will influence customers to buy my products over competitors?
       Good content                        Competitive pricing   Attribute Fill Rate (Detailed)

        Seller rating                         Product rating          Stock availability

                                                                                                  25
Drive Traffic to Your Store
  1. Impression     2. Views       3. Conversion

                                   Good Content – Product Description

Why?
• The more information and better quality pictures
  on the product page, the more confident
  customers will feel about purchasing your product

How?
• Include as much information on your product as
  possible
• When uploading products, avoid leaving out
  recommended fields just because it’s not
  mandatory

Tips
1. Include images/videos and detailed information
   under product description.
    o Details please refer to Product Description
        on Lazada University
                                                                        26
Drive Traffic to your Score
  1. Impression      2. Views         3. Conversion

                                            Good Content – Images

Why?                                                                      Good Example
• The more information and better quality pictures
  on the product page, the more confident
  customers will feel about purchasing your product
• More images allow a customer to make a more
  informed decision by analyzing the product on
  pictures (in addition to reading the description),
  greatly enhancing the likelihood the purchase is           Show
                                                             Video here
  correct

How?
• Provide 360o view of your product
• Follow Image Guideline
                                                                          Bad Example
Tips
1. Show video under the Image part, via inserting a
   “Video URL” in Seller Center
                                                                                   27
Drive Traffic to Your Store
   1. Impression       2. Views       3. Conversion

                                             Good Content – Pricing

Why?
• For two identical products, pricing plays an important role
  in a customers decision to purchase

How?
• Compare your price with your competitors
• Don’t forget to check prices in physical stores as well as
  online
• Give attractive discounts on recommended retail prices
• Know how the multisource feature works

Tips
1. Always set a special price to attract customers` attention.
2. Ensure your RRP is real– do not put a higher RRP to have
   a high discount – you reduce your credibility to the
   customer

                                                                      28
Drive Traffic to Your Store
  1. Impression        2. Views        3. Conversion

                                           Attribute Fill Rate (Detailed)
Why?                                                                  Seller Center
• Provides customers with more information, which
  gives the customer the confidence to purchase.
• Product turns up in the right categories when
  filtered

How?
Ensure you create your products                                                       Web Platform
✓ With the right attributes

Tips
1. Mandatory attributes are marked with the
   asterisk (*) symbol in Seller Center, for a single
   upload method and marked in red in a mass
   upload template
2. Filling out maximum attributes helps with
   product boosting and brings your product to the
   top of the page.
                                                                                                     29
Drive Traffic to Your Store
   1. Impression       2. Views        3. Conversion     *ID, PH and VN only. MY, TH, SG please see next page.

                                                 Stock Availability

Why?
• Customers can’t buy your product if it is out of
  stock
    o The product will not appear on the site OR
    o The product will appear but the customer will
       not be able to order due to “Out of Stock”
• Maintaining sufficient stock levels will ensure that
  there are no missed sales opportunities for your
  shop

How?
• Keep track of stock levels especially for
  popular/top selling products regularly
• Ensure checks on stock levels are done prior to
  campaigns when there will be increased
  customer traffic to the website

                                                                                                                 30
Drive Traffic to Your Store
  1. Impression                2. Views               3. Conversion             (Applicable for MY, TH, SG)
                                                         Stock Allocation Display Update

                Before                           After                                                   Click on ‘History’ to view details of past stock operations
                                                                                                         and ‘Detail’ to view the quantity of all stocks.

                               Before                     After
                            Allocated Stock        Dropshipping Stock
   Comparison
                                                    Withholding Stock
                            Reserved Stock
                                                     Occupied Stock

                            Available Stock            Sellable Stock
Notes:
•   Withholding Stock: Withholding Quantity refers to the inventory that has been ordered but has not been paid and is within the withholding period. If the payment is
    overdue, the withholding inventory will be automatically released to the sellable inventory.
•   Occupied Stock: Occupancy Quantity refers to the inventory of the valid transaction that has been paid but is waiting for delivery
                                                                                                                                                                       31
Drive Traffic to Your Store
   1. Impression          2. Views          3. Conversion

                                                         Seller Rating

Why?
• A good seller rating will increase the likelihood of
  customers buying products from you instead of another
  seller

How?
• Check your weekly performance report and always work
  on improving the seller rating.

Tips
• Order Fulfillment: Ship out your orders within the stated
   time frame to improve customer satisfaction.
• Customer Services: Increase the response rate and
   speed to answer customers` questions.
• Product Quality:
     1) Ensure SKU description matches the product. Provide
         detailed description to reduce the possible
         concerns/doubts from customers.
     2) Add reminders in the SKU description, or put a “Thank
         you” card in the parcel sent to customers.
                                                                         32
Agenda

  1. Understand the Customer Journey

  2. Drive Traffic to Your Store
       i.     Impression
       ii.    Views
       iii.   Conversion

  3.   Lazada Ranking Algorithm

  4.   Leverage on Lazada Resources
       i.     Lazada Communication Channels
       ii.    Promotional Campaigns
       iii.   Lazada University

                                              33
Lazada Ranking Algorithm

Example                    Description

                           • Search Algorithm prioritizes results via content
                           • The algorithm decides based on the relevance for
                             the customer to update the search result page.
                           • Main factors are:
                               1. Product name needs to be concise;
                               2. Category needs to be accurate;
                               3. Competitive pricing;
                               4. Using white background first images
                               5. Provide detailed product attributes
                               6. Ranking Score: determined by showing the
                                  product with the highest relevancy on top for
                                  the customer. Factors include click and
                                  conversion rate.
                           • Mismatches between Category and Name are
                              penalized and the product will be de-ranked.

                                                                              34
Agenda

  1. Understand the Customer Journey

  2. Drive Traffic to Your Store
       i.     Impression
       ii.    Views
       iii.   Conversion

  3.   Lazada Ranking Algorithm

  4.   Leverage on Lazada Resources
       i.     Lazada Communication Channels
       ii.    Promotional Campaigns
       iii.   Lazada University

                                              35
Leverage on Lazada Resources
i. Lazada Communication Channels

                                                                         ➢ Email is the main communication channel in Lazada.
                                                                           Receive all our latest information regarding
                                                                            •Promotions
                                                                            •Webinars for promotions and promotion tools
                                                                            •Suggested products and price for promotions
                                                                            (Applicable for some products of priority sellers only)

                                                                         ➢ Check your emails regularly, including your spam box

                                                                         ➢ Please contact Crossborder Partner Support Center by
                                                                           filling out the Online Request Form if you wish to change
                                                                           contact email address

 We have noticed a strong correlation between Sales and email Open
 rate. The Sellers who follow our tips and get implicated are the ones
 who sell the most on the platform.

                                                                                                                                       36
Leverage on Lazada Resources
ii. Promotional Campaigns

                                                   4 Major Regional Campaigns per Year

    Tet / Lunar New Year                   Lazada Anniversary                       Ramadan                               Online Festival

   February:                                                                 June:                                  November-December:
                                          March:
   • Celebrate the lunar new                                                 • Celebrate Ramadan with               • Biggest sale with mega days on
    year in SEA                           • Celebrate Lazada’s birthday                                              11/11 & 12/12
                                                                              Lazada
   • MY, ID, SG, TH, PH and VN            • MY, ID, SG, TH, PH and VN                                               • MY, ID, SG, TH, PH and VN
                                                                             • ID and MY

                    On-going Local Campaigns                                                Typical Campaign Sales Uplift

      January    February        March    April        May          June             Daily Revenues

       July       August     September   October     November     December

                                                                                                      Normal   Campaign
                                                                                                       Day       Day

                                                                                                                                                       37
Leverage on Lazada Resources
ii. Promotional Campaigns

              Seller Action: Join by storewide discount or via Promotion tool in Seller Center

                            Web Platform                                                      Mobile APP

                                           During campaign, deals take up the most of Homepage.

                                                                                                           38
Leverage on Lazada Resources
iii. Lazada University

                         Training Materials                                         Training Sessions
       You could watch the video and PDF to learn by yourself.   Register and attend to the free online sessions we provide.

                                                                                                                               39
Related Files

 Please login to Lazada University and download the following files:

 •    How to Mass Update
 •    Image and Content Guidelines
 •    Product First Image
 •    Product Description

     More Questions?
         ▪ Check out our FAQ page
         ▪ Contact Crossborder Partner Support Center:
             ➢ Hong Kong Partner Support Center

                                                                       40
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