A Complete Guide To Selling On Shopee In 2022!
Across the globe and in each region, the eCommerce landscape is witnessing a gradual paradigm shift. Additionally, this paradigm change can be ascribed to technical development, ground-breaking inventions, and changing consumer purchasing patterns.
The global eCommerce ecosystem will experience significant changes in the upcoming years due to the widespread use of IoT and smartphones, capturing a substantial portion of people’s online screen time.
Among other things, the eCommerce scene in Southeast Asia has undergone fast development and is expected to increase significantly over the next ten years.
While Lazada has always been one of the top eCommerce behemoths, recent years have seen the eventual emergence of some astute rivals.
One of these savvy rivals who plans to compete head-to-head with Lazada is Shopee. In several essential Southeast Asian countries, Shopee has already eclipsed Lazada in active users and mobile app downloads.
Would you like to know more about Shopee? We’ve got you covered, though!
Shopee Overview
Shopee was founded in 2015 and is owned by Sea Group. Its headquarters are in Singapore. And over five years, it has exponentially increased in market share and popularity.
E-commerce sales and fulfillment frequently use mixed C2C and B2C methods. Shopee quickly converted to a B2C model despite being founded as a C2C website. It is now considered one of Southeast Asia’s largest eCommerce platforms.
Despite being relatively new, Shopee is vying with Lazada for the top spot. The Alibaba Group owns Lazada, which has its corporate office in China. It has a strong brand affinity and additional financial support.
However, Shoppe is poised to gain headway in eCommerce and international selling because of its robust and seller-centric approach and techniques, including commission and listing fee exclusions for sellers.
Shopee had a modest beginning, but it has grown to be present in most ASEAN member states, including Singapore, Malaysia, Thailand, Vietnam, Indonesia, the Philippines, Taiwan, and Korea.
Businesses will access some of the most industrialized and fast expanding ASEAN countries by selling on Shopee.
Why Sell on Shopee
Businesses have various options for eCommerce marketplaces based on the nation they intend to develop cross-border selling connections.
If a company wants to sell goods to China, Lazada, which is controlled by the Alibaba Group and has its headquarters, is the only choice.
On the other side, Tokopedia, Indonesia’s eCommerce powerhouse, will be the most excellent fit if a firm is prepared to explore the less-traveled region such as Indonesia.
- Shopee is expanding quickly, like Lazada, Tokopedia, and several other eCommerce platforms. Additionally, Shopee now has a competitive advantage over its rivals because of the no-commission and no-listing charge features.
- Shopee is widely present in important Southeast ASEAN nations. Businesses can thus have hassle-free access to some of the fastest-growing ASEAN countries by selling on Shopee.
- In the upcoming ten years, Shopee is expected to continue to be a significant player. Businesses may now restate their concerns and begin utilizing this eCommerce market to its full potential.
- Although it may vary by country and its laws, Shopee offers free delivery to both customers and sellers.
- The transaction fee for selling on Shopee is 1.5 per cent, which is significantly cheaper than the 2 to 8 percent commission charged on Lazada.
Fulfillment Management on Shopee
Cross-border selling might create a good picture regarding brand reach and growth potential. However, finding a reliable fulfillment solution is essential to its success.
With Shopee, sellers can choose between using a third-party fulfillment center or Shopee’s fulfillment service (FBS).
Fulfillment by Shopee (FBS)
Top or not, many firms fail to guarantee perfect fulfillment. And what better way to avoid all the fuss than to hire someone to handle it? The Fulfillment by Shopee role will now be played (FBS).
Due to Shopee’s handling of the complete fulfillment spectrum, it is one of the sellers’ top choices. When we say “the complete gamut,” we mean everything from order entry through quality control, storage, packaging, and shipping, as well as returns and refunds.
Only a few of the best brands, wholesalers, and top-tier sellers who typically handle a significant sales volume have access to FBS. Only brands and sellers that have received an invitation are permitted to participate in FBS. As a result, unless FBS approves a seller, the seller is responsible for handling fulfillment independently.
Leveraging a Third-party Fulfillment Center
Sellers have the option to use a third-party fulfillment facility to handle all of their fulfillment requirements while they wait to be approved by FBS.
In addition, there are numerous third-party fulfillment facilities and service providers for the Southeast ASEAN marketplaces due to the spike in demand for cross-border selling. The fulfillment facility can be selected based on the current requirement.
Payment Process on Shopee
Payments must be safe, secure, and easy to use for eCommerce to succeed, especially when selling internationally.
Shopee provides customers with various secure yet adaptable payment choices based on the nation they are from. For instance, Shopee customers from Singapore and Thailand can only use debit or credit cards, or they can use bank transfers. Buyers from Singapore and Thailand are not eligible for the Cash on Delivery (COD) option.
For purchasers from Taiwan and the Philippines, there are many different ways to pay. Some of these include bank and ATM transfers.
- Payment with a debit and credit card
- Payment made over the counter (OTC)
- On delivery of cash (COD)
Shopee makes things equally simple and effective for sellers as well. Sellers have two money withdrawal options: bank transfer or by linking their Shopee store to Payoneer. Payments are typically made twice a week and at the beginning and middle of each month.
How to be a Top Seller on Shopee
- Here are some prerequisites for being a Shopee top seller.
- The vendor needs 75 new orders every month.
- The seller needs 35 different purchasers each month.
- The seller’s overall chat response rate must be 70%.
- Minimum shop rating of 4.6
- On Shopee, only genuine products of the highest caliber will be displayed.
- 95 per cent of the seller’s available goods must be on hand.
Questions about selling on Shopee? Speak with Vinculum’s professionals right away!
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