Sept 16, 2021
By LazBeat staff
As part of its ongoing commitment to creating a strong and sustainable eCommerce ecosystem in Southeast Asia, Lazada Group last month announced the official rebranding of its logistics arm. The new Lazada Logistics division brings together what was previously known as Lazada eLogistics, which managed third-party providers, and Lazada Express, the company’s own parcel-delivery service, and also introduces multi-channel logistics services that allow for the fulfilment and delivery of orders across all eCommerce platforms.
The rebranded Lazada Logistics reflects the eCommerce platform’s efforts and commitment to create a one-stop end-to-end logistics solution for brands, sellers and other partners in a region that’s becoming an increasingly significant player in the global eCommerce boom, especially amid the coronavirus outbreak.
“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 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,” Lazada Group Chief Logistics Officer Andy Huang said.
The consolidation of logistics resources and the rollout of multi-channel logistics services means that orders can be handled and dispatched via Lazada’s own fleet, third-party partners or channel-nominated fleets, creating greater flexibility for partners while also ensuring a better and more consistent customer experience.
“More and more, the services that Lazada offers are becoming essential services that people rely on, not just as a point of convenience but a point of must,” explained Lazada Thailand CLO James Marchant. “That really drives how we set up our business and how we look to service people,” he added.
WATCH: Introducing Lazada Logistics
Delivering Innovative Solutions
While upgrades to Lazada’s logistics operations have no doubt been accelerated by the pandemic, innovating new solutions in the management and flow of parcels has always been a core part of the company’s ethos, especially as eCommerce demand has grown exponentially throughout the years.
For example, Lazada Vietnam’s logistics lead, Thinh Vu, recalled how major changes were implemented following the explosive surge in customer orders during the 2017 12.12 mega campaign. “That experience made us change our strategy, to build up our capacity and scale,” he said, adding that, instead of resting on its laurels, Lazada has continued to challenge itself to maintain its position as the region’s eCommerce logistics pioneer.
“Our main mind-set is to always question ourselves on how we can be better, how we can serve our customers better. Everything is about improving service,” echoed Philippe Auberger, who heads logistics at Lazada Indonesia. The opening of multifunctional hubs and mini fulfilment centres as well as the decision to get some last-mile fleets to do first-mile pickups are just some recent examples of improvements made to operational agility and flexibility, Auberger said.
For Lazada Singapore CLO Gerald Glauerdt, the Lazada Logistics rebranding serves as a particularly meaningful milestone that shows just how much the company has invested in building up its logistics capabilities. When Lazada started out in 2012, orders were processed manually on Excel sheets and facilities left much to be desired (ask Glauerdt and he’ll recount tales of snake infestations and conniving landladies with a laugh). Now, the logistics division offers smart inventory and routing solutions powered by advanced technology, and its network spans over 400 state-of-the-art facilities, including warehouses, sortation centres and hubs.
“The market is developing very fast. For example, in 2012 or 2013, just the mere fact of getting something delivered and it appearing at your doorstep with a driver was already fantastic and a great customer experience. Obviously now, customers have evolved. And if it’s next-day delivery, it’s almost not good enough. People are requesting same-day deliveries, or two-hour deliveries. This evolution and constantly looking for new ways of doing transport and fulfilment will continue. And it’s very important that it never stops,” Glauerdt said.
Powered by the People
Aside from its cutting-edge technology, robust network and advanced supply chain infrastructure, Lazada Logistics is also a celebration of the resilience and dedication of the people who deliver the company’s first-in-class service.
“We have been evolving in our systems, we have been evolving in our processes, we have been trying to fine-tune and get our networks much better, but it’s always the people who continue to amaze me with how much they go way beyond in order to get the job done and to make our customers happy,” Lazada Malaysia’s logistics chief, Sunil Singh, said.
The professionalism of Lazada’s logistics personnel has seen them confront earthquakes, floods and, of course, COVID-19. During the height of the pandemic, logistics frontliners across the region continued to work tirelessly to ensure that the public could still access daily essentials from the safety of their homes. In the Philippines, some staff members even walked for kilometres to get to work when public transport was halted during lockdowns, said Lazada Philippines CLO Allan Ancheta.
“I am amazed and humbled at how our people just go above and beyond,” Ancheta said. “That to me is just amazing, and it epitomizes the spirit that we have at Lazada.”