Alibaba Group Holding is looking to ramp up its cross-border e-commerce strategy by getting merchants on its premium Tmall shopping site to sell to consumers in Southeast Asia through subsidiary Lazada.
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“This is the first time that Tmall has established a direct connection to Lazada’s platform to facilitate the seamless onboarding of sellers,” a representative from Singapore-based Lazada said on Tuesday, adding that this initiative started last month. Alibaba owns the Post.
The cross-border e-commerce expansion for invited Tmall sellers will not require them to set up a new store, hire local teams or manage logistics.
“Once they send their products to a designated China-based warehouse, Lazada will manage the rest end-to-end: from logistics, cross border customs clearance to sales and post-sales customer service in the local languages,” the Lazada representative said.
Lazada will handle store listings across Singapore, Malaysia, Thailand, Vietnam and the Philippines by leveraging its artificial intelligence capabilities, according to the representative. That would cover AI-translated product information and reviews to local pricing adjustments, including foreign currency exchange, local taxes and sales margins.
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A number of global brands, including audio electronics firm Harman International and sports equipment company Spalding, have already signed up to the invite-only initiative, according to Lazada.
The new programme for Tmall merchants reflected Alibaba’s commitment to bring a wider array of products to Southeast Asia’s internet economy – a market that is forecast to reach more than US$330 billion this year, according to data from the US International Trade Administration.