Lazada rebrands logistics arm


KUALA LUMPUR – Lazada, Southeast Asia’s leading eCommerce platform has announced the rebranding of its logistics arm, which is now known as Lazada Logistics.

It was formerly known as Lazada eLogistics (LEL) and Lazada Express (LEX), where LEL managed fulfilment and logistics with third-party logistics (3PL) providers, while LEX handled parcel delivery to customers.

Lazada Group chief executive officer Chun Li said over the past decade, Lazada’s proprietary logistic network has reshaped the eCommerce landscape in one of the world’s most populous and geographically diverse regions.

He added that the logistics capabilities have enabled Lazada to provide the best-in-class delivery service to its consumers across the region as well as hassle-free and end-to-end services to its sellers and partners.

“This rebranding reflects the significant progress we have made over the years, powered by our people and technology,” he said in a statement today.

With the rebranding, Lazada Logistics has also introduced its multi-channel logistics (MCL) services, providing a single stock fulfilment solution to help eCommerce enablers and brands across all eCommerce channels seamlessly.

“Whether the consumer orders on Lazada or other eCommerce channels, Lazada Logistics will fulfil and deliver all the orders.

“Under this arrangement, Lazada stores merchants’ and partners’ eCommerce products, enabling the efficient handling and dispatch of orders via Lazada’s own fleet, 3PL partners or channel-nominated fleet,” the company said.

Lazada Group chief logistics officer Andy Huang said in the current climate, consumers have grown accustomed to the convenience of a new shopping norm, and of having their purchases delivered to their doorstep – intact and on time.

“It is now more important than ever that we continue to innovate and introduce new solutions that will help our merchants and eCommerce partners meet the growing demands and expectations of their customers.

“MCL ensures that a consistent brand experience is delivered, and solves many logistics pain points for brands and sellers, allowing them to focus on sales and marketing and scaling their businesses,” he added.

MCL allows brands and sellers to have greater agility and flexibility on inventory control, and relieves them of logistical concerns that include high capital and operational expense associated with order fulfilment, such as the need to maintain warehouse infrastructure and delivery fleets.

“They are also spared the challenges of having to build an extensive network of operations without economies of scale,” said Lazada.

The availability of MCL is a showcase of Lazada’s advanced supply chain infrastructure and logistics capabilities, which offers smart inventory and routing solutions, powered by data and technology.

All brands and sellers can leverage Lazada Logistics’ network of over 400 facilities, comprising warehouses, sortation centres and hubs.

They can also benefit from access to the region’s largest fleet owned by an eCommerce marketplace, and Lazada’s competitive advantage of having control over its end-to-end logistics operations.

More than 85 per cent of total first-mile parcels are handled at Lazada’s own facilities.

In Malaysia, Lazada is the only eCommerce player with an end-to-end integrated, wholly-owned network of warehouses, three sortation centres in Subang, Puchong and Penang, and more than 40 delivery hubs across the country.

“The integration of MCL to our existing end-to-end integrated logistics network will allow us to serve our customers better and faster, especially during the extended lockdown period where Malaysians are increasingly relying on eCommerce platforms to shop for their daily necessities.

“We plan to roll out more new features that can include incentives for sellers to fulfil orders faster and enhance same-day order pickup from sellers – further improving both customers and seller’s experience,” said Lazada Malaysia chief logistics officer P Sunil Singh.