Lazada Pledges to Cultivate Eight Million eCommerce Entrepreneurs and SMEs by 2030

“Our vision is to help small businesses globally.”

Jack Ma, Founder of Alibaba

Lazada Group, an South-East Asia based e-commerce company that Alibaba acquired, has pledged to support eight million eCommerce entrepreneurs and small-medium enterprises (SMEs) in Southeast Asia to grow and thrive by 2030. The company also announced its commitment to create an inclusive and sustainable eCommerce ecosystem in the region and champion opportunities in technology and logistics infrastructure to benefit its ecosystem of sellers, consumers and local communities.


At the opening speech of a panel discussion hosted by Lazada on the state of eCommerce in Southeast Asia, Lucy Peng, Executive Chairwoman and Chief Executive Officer, Lazada Group, said: “Having overcome the early challenges of building up the business and industry in a nascent landscape, we now want to lead our ecosystem through the era of robust digital transformation. Our focus is on creating a trusted platform connecting sellers to the Southeast Asian consumers. By enabling sellers with our technology and logistics capabilities, we want to help sellers flourish, to become sustainable businesses that will contribute to Southeast Asia economic growth in the long run.”

 

Building entrepreneurs into thriving businesses in the digital economy 

 

As the region’s leading online shopping and selling platform, Lazada is committed to establishing eCommerce as a prolific facet of the evolving digital economy. Healthy and flourishing SMEs are key components of a thriving eCommerce ecosystem – their existence helps unlock the full potential of Southeast Asian nations, allowing the region to digitize.

 

An area that came under spotlight during the panel discussion was SMEs’ eCommerce knowhow and access to local consumers. To help sellers reach more customers, Lazada has developed various initiatives, comprehensive tools and dedicated trainings that enable sellers of all sizes to attract, engage and convert more consumers into sales.

 

That being said, Lazada continues to aspire to do more. “New generation of sellers no longer view eCommerce as a good-to-have, but a necessity in order to drive success. And eCommerce players like Lazada can be strategic partners to sellers who are committed to their professional and business growth.

 

 

On cross-border trade, another common challenge faced by SMEs raised at the panel, Simon Baptist, Global Chief Economist and Managing Director, Economic Intelligence Unit (EIU) in Asia, said, “Singapore has led the way in actively pursuing an agenda for open trade borders. However, there are still challenges for SMEs, especially in Indonesia, the Philippines, Thailand and Vietnam, due to a lack of access to financial and support services, as well as a need to develop capacity in e-payments and eCommerce.”

 

Supporting digital consumer growth with improved infrastructure

 

Faced with limited fulfilment players, a small and fragmented transportation sector, as well as vastly different infrastructure landscapes, logistics remains a huge challenge for eCommerce players big and small across Southeast Asia.

 

“Our research showed that logistics is a challenge, particularly in archipelagos like Indonesia and the Philippines. Road networks, as well as the retail and distribution network, came up as higher-risk areas for eCommerce firms,” said Baptist.

 

On customer experience, data and technology are the two key factors that will dynamically evolve the experience for online shoppers, due to Southeast Asia’s heterogeneity.

 

eCommerce businesses that can leverage data to navigate specific local consumer tastes and direct consumers to take desired actions are well-poised to succeed.

 

 

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