For small and medium-sized businesses (SMBs) on Shopify, expanding to platforms like Shopee and Lazada may seem overwhelming. If your Shopify store is thriving, you might think you’ve covered all your bases.
But here’s a startling fact: Southeast Asia’s e-commerce market is projected to hit $350 billion by 2025, with Shopee and Lazada leading the charge.
Are you leaving money on the table by not leveraging these powerhouse platforms? Let’s explore why Shopify sellers should consider integrating with Shopee and Lazada, the challenges they may face, and the long-term benefits of this approach.
The Gold Rush You’re Missing Out On
Shopify excels in establishing a strong brand identity and providing a customized shopping experience. However, Shopee and Lazada offer unparalleled reach and convenience in Southeast Asia.
These platforms attract millions of active buyers and are known for their seamless shopping experiences, making them essential for sellers looking to scale.
Why Shopee and Lazada Matter
- Shopee: Dominates mobile-first shopping in Southeast Asia.
- Lazada: Backed by Alibaba, with massive logistical infrastructure.
- Combined Reach: Over 400 million monthly active users.
- Customer Trust: Built-in payment solutions and robust return policies.
- Logistics Support: Established networks across Southeast Asia.
Pros and Cons at a Glance
Aspect | Shopify | Shopee & Lazada |
|---|---|---|
Brand Control | Full control over branding and design | Limited branding control |
Customer Loyalty | High potential for repeat purchases | Loyalty shifts based on price and convenience |
Reach | Requires marketing efforts for visibility | Large built-in audience |
Fees | Monthly Shopify fees, no transaction fees | Commission and transaction fees apply |
Logistics | Self-managed or third-party integrations | Built-in logistics support |
Ease of Use | Customization requires effort | Plug-and-play simplicity |
The Good, The Bad, and The Profitable
🌟 Advantages
1. Instant Access to Massive Traffic
Both platforms attract millions of daily users, including price-sensitive shoppers who may not discover your Shopify store. This enables SMBs to reach new audience segments effortlessly.
- No need to build audience from scratch
- Built-in customer trust
- Lower customer acquisition costs
2. Local Payment Integration
Shopee and Lazada support regional payment methods, including cash-on-delivery (COD), and handle transactions in local currencies—options that Shopify may not easily provide.
- Support for regional payment methods
- Cash on delivery options
- Local currency handling
3. Built-In Logistics Support
Both platforms simplify shipping, offering services like Lazada Logistics and Shopee SPX Express, making cross-border commerce and returns hassle-free.
- Trusted delivery systems.
- Warehousing solutions for scalability.
- Reduced logistical complexity for sellers.
4. Marketing Tools
Shopee and Lazada offer seller-focused marketing tools such as flash sales, paid ads, and campaign participation, making it easier to boost visibility without advanced marketing expertise.
- Flash deals and campaign opportunities.
- Platform-specific advertising tools.
- Audience-targeting features.
🚧 Challenges and Solutions
While the benefits are undeniable, Shopify sellers may encounter these challenges:
1. Platform Fees
Both Shopee and Lazada charge transaction fees and commissions that can eat into your profit margins.
- Commission rates + payment fees (2-8% on Shopee, 2-9% on Lazada)
Solution:
- Factor fees into pricing strategy.
- Offset costs with higher sales volume.
2. Inventory Management
Managing inventory across multiple platforms can become complex, particularly for SMBs with limited resources.
- Multiple platforms = complexity
Solution:
- Use integration tools for inventory synchronization.
- Automate stock updates to prevent overselling.
3. Customer Service Demands
- Different platform requirements
Solution:
- Implement unified customer service tools.
- Leverage chat automation for quick responses.
4. Price Competition
Marketplace shoppers prioritize convenience and price, potentially undercutting brand loyalty.
- Race to the bottom pressure
Solution:
- Offer unique or premium products.
- Highlight value-added services or features.
Integration Made Easy: Tools to Simplify the Process
Efficient integration tools make expanding to Shopee and Lazada more manageable:
1. Osco: Shopee, Lazada, TikTok (from $9/month)
- Connect to multiple Marketplaces: Shopee, Lazada, TikTok Shop
- Keep inventory in-sync between Shopify and Marketplace in real-time
- Publish new products to Shopee, Lazada, TikTok Shop in one-click
- Link existing products on Shopee, Lazada, TikTok Shop easily
- Import Marketplace orders into Shopify
2. Easy Shopee, Lazada & TikTok (from $5/month)
- Add products to Shopee, Lazada & TikTok in 1 click
- Keep your Shopify stock, prices, title, description, images and variants in sync
- Orders are imported into Shopify and synced when shipped or cancelled
- Link or import existing products on Shopee, Lazada & TikTok to Shopify
- Over 60 options to tweak the app to fit your workflow
Short-Term and Long-Term Benefits
Short-Term Benefits
- Boost Sales Volume: The immediate benefit of listing on Shopee and Lazada is increased sales by reaching their massive user base.
- Brand Discovery: SMBs can use marketplaces as a stepping stone for customers to discover their Shopify store.
Long-Term Benefits
1. Revenue & Risk Diversification
Expanding to Shopee and Lazada reduces dependency on Shopify, protecting your business from sudden traffic drops or policy changes. Higher sales volumes across platforms can reduce per-unit costs in manufacturing and logistics, improving overall margins.
- Not dependent on single platform
- Protection against policy changes
- Market presence sustainability
2. Brand Recognition
Presence on multiple platforms builds trust and increases visibility, solidifying your brand in a competitive market.
- Multi-platform presence builds trust
- Increased brand visibility
- Cross-platform customer recognition
3. Market Intelligence
Selling on Shopee and Lazada provides invaluable data on customer preferences, pricing trends, and competitor activity, which can inform your overall business strategy.
- Better understanding of regional preferences
- Price point optimization
- Product trend insights
4. Scalability and Regional Growth
Utilize the built-in infrastructure of Shopee and Lazada to scale and expand into new markets.
- Easier regional expansion
- Built-in growth infrastructure
- Cross-border possibilities
Success Tips from Top Sellers
- Start Small
- Begin with best-selling products
- Test market response
- Scale gradually
2. Maintain Brand Consistency
- Unified messaging across platforms
- Consistent pricing strategy
- Cohesive brand imagery
3. Leverage Platform Features
- Participate in platform campaigns
- Use platform-specific tools
- Engage with platform communities
4. Monitor Analytics - Track cross-platform performance
- Identify winning strategies
- Optimize based on data
Making the Leap: Is It Right for You?
Expanding to Shopee and Lazada is ideal if:
- You’ve established stable operations on Shopify.
- You’re ready to scale regionally and handle higher sales volume.
- You want to diversify revenue and reduce risk.
The Bottom Line
For SMB Shopify sellers, expanding to Shopee and Lazada isn’t just a growth option—it’s a smart strategy to stay competitive in Southeast Asia’s thriving eCommerce market. These platforms provide unmatched access to millions of customers, streamlined logistics, and valuable market insights.
At Soodo, we specialize in helping brands like yours scale seamlessly across platforms. From integration to strategy, we empower SMBs to meet customers where they shop and grow sustainably.
The Southeast Asian market is waiting. Are you ready to take your Shopify success to the next level?
For further insights, explore our resources:
Soodo
http://soodo.coSoodo is a cross-platform eCommerce growth parther for DTC Brands | We scale brands across Shopify, Lazada & Shopee - to meet their customers where they shop.