ONLINE SHOPPING & SELLING IN SOUTHEAST ASIA, JULY TO SEPTEMBER 2015

1. ONLINE
SHOPPING
& SELLING IN
SOUTHEAST
ASIA
JULY TO SEPTEMBER
2015

2. 1. ONLINE SHOPPING TRENDS
ONLINE SHOPPING EMBRACED BY ALL GENERATIONS
BEST-SELLING CATEGORIES
FROM BESTSELLERS TO LITTLE-KNOWN GEMS
CUSTOMERS PREFER TO PAY BY CASH
MOBILE-FIRST TRENDS IN SOUTHEAST ASIA
2. ONLINE SELLING TRENDS
ONLINE SELLING EXPLOSION IN SOUTHEAST ASIA
FROM THE QUIRKY TO THE PREMIUM
SOUTHEAST ASIA ATTRACTING GLOBAL SELLERS
3. LAZADA IN SOUTHEAST ASIA
CONTENTS
3
4
5
6
8
9
10
11
12
14
15

3. ONLINE SHOPPING TRENDS
01
LAZADA ONLINE SHOPPING & SELLING IN SOUTHEAST ASIA JULY TO SEPTEMBER 2015 PAGE 3MENU

4. SEA MY VN ID TH PH SG
28%
25%
20%
19%
8%
22%
27%
23%
20%
8%
30%
26%
20%
18%
6%
24%
20%
20%
24%
11%
27%
25%
19%
18%
10%
23%
24%
19%
22%
11%
33%
28%
19%
13%
7%Above 45
36-45
31-35
26-30
18-25
years old
ONLINE SHOPPING EMBRACED
BY ALL GENERATIONS
PAGE 4MENU LAZADA ONLINE SHOPPING & SELLING IN SOUTHEAST ASIA JULY TO SEPTEMBER 2015

5. PAGE 5
BEST-SELLING CATEGORIES
MOBILES & TABLETS
• Mobile phones
• Tablets
• Batteries & chargers
• Mobile accessories
(e.g. cases, cables, screen guards, etc)
FASHION
For men, women, boys and girls:
• Bags
• Shoes
• Clothing
• Accessories
(e.g. hats, socks, belts, ties & bows,
cufflinks, gloves, scarves, etc).
• Watches
• Eyewear and sunglasses
• Jewellery
HOME & LIVING
• Kitchen & dining
• Bedding
• Furniture
• Outdoor & garden
• Home improvement
(e.g. tools, pest repellents, locks, etc.)
• Lightings
• Storage & organisation
• Home décor
• Bath
HEALTH & BEAUTY
• Beauty tools
• Food supplements
• Makeup
• Hair care
• Skincare
• Medical supplies
• Fragrances
• Men’s care
MENU LAZADA ONLINE SHOPPING & SELLING IN SOUTHEAST ASIA JULY TO SEPTEMBER 2015

6. PAGE 6
FROM BESTSELLERS TO LITTLE-KNOWN GEMS
UNICYCLES
& SELF-BALANCING
SCOOTERS
• Sales on Lazada sites in Southeast
Asia doubled between August and
September
• Especially popular in the Philippines with
sales volume doubling month-on-month
in Q3
MOBILE PHONES
• Performed well by volume particularly
in Indonesia, the Philippines
and Thailand
• Demand in these countries driven
by exclusive phone launches
and deals
• E.g. in the Philippines, eight exclusive
phone launches and were 15 flash sales
held in Q3 with brands such as Alcatel,
Cherry Mobile, Lenovo and Xiaomi
AIR PURIFIERS AND MASKS
• Demand for air purifiers
increased exponentially in Malaysia
and Singapore, which were affected
by the haze
• Between August and September,
sales volume increased three-fold
in Malaysia and almost 15-fold
in Singapore
• N95 masks also sold well through
Facebook click-throughs
in Singapore
MENU LAZADA ONLINE SHOPPING & SELLING IN SOUTHEAST ASIA JULY TO SEPTEMBER 2015

7. PAGE 7
OTHER GEMS
Hands-free toothpaste dispenser, sewing machines, and electric home-made
peanut butter machines are a trend in the Philippines.
Filipinos are also taking to the outdoors, going for 4- and 6-men dome camping
tents. They are taking security and safety seriously, equipping themselves with
flashlights with stun gun taser, and with cameras — not just any camera —
but a water-resistant watch with a 4GB hidden camera, a 5MP eyewear spy camera,
and a spy pen camera.
The Secret Garden series of colouring books found its way into Malaysians’ hearts.
HOME PRODUCTS
• In Vietnam, brands KINbar and PEST
Reject topped the chart
• Both brands offered their products
at competitive prices on Lazada during Q3
• KINbar offers locks with alarm, which
are novel items in the country. The brand
has promoted the locks as essentials
for Vietnamese whose main mode
of transport is the motorcycle
• PEST Reject sells ultrasound
and electromagnetic pest repellents
on Lazada. It is likely that the wet
and humid season in Vietnam provides
fertile grounds for mosquitoes and bugs
to breed, driving sales of the repellents
DIAPERS
• Baby products, such as milk formula
and milk bottles, emerged as a top
best-selling category in Malaysia and
Singapore
• Diapers also popular in Malaysia,
Singapore and the Philippines with
growth in customers’ orders coming from
non-metro areas for Indonesia and the
Philippines
• Brands including Drypers, Mamy Poko,
Huggies and Goon feature strongly
• Parents are attracted to the convenience
of purchasing diapers online as these are
bulky items required in bigger quantities
at regular intervals
• These products were also offered at
exclusive rock-bottom prices on Lazada
in these markets
MEN’S FASHION
• While Fashion is the domain of female
shoppers, fashion-related products for
men are sought after in all six countries
• These include men’s watches, bags and
satchels
• In Malaysia, customers are also
purchasing men’s silver and steel
bracelets, and bangles
FROM BESTSELLERS TO LITTLE-KNOWN GEMS
MENU LAZADA ONLINE SHOPPING & SELLING IN SOUTHEAST ASIA JULY TO SEPTEMBER 2015

8. ID
1.
2.
MY
ePAYMENT ONLINE BANKING
MANUAL BANKING
PH
ePAYMENT
ePAYMENT ePAYMENTCOD
TH
ePAYMENT
COD
SG
COD
VN
ePAYMENT
COD
* EPAYMENT = BY CREDIT CARD, DEBIT CARD, EWALLET ** ONLINE BANKING = BANK TRANSFER
PAGE 8
CUSTOMERS PREFER TO PAY BY CASH
Top two preferred payment method
MENU LAZADA ONLINE SHOPPING & SELLING IN SOUTHEAST ASIA JULY TO SEPTEMBER 2015

9. PAGE 9
MOBILE-FIRST TRENDS IN SOUTHEAST ASIA
IDSEA
6.9min
MY PH THSG VN
6.6min 6.3min 8.0min 4.3min 7.9min 5.5min
6.2min 5.9min 5.8min 6.8min 3.7min 7.0min 4.6min
Monthly average time spent per session on Lazada apps
OF GMV COMES
FROM MOBILE
MILLION~16
ANDROID DOWNLOADS
MILLION~5
IOS DOWNLOADS
MILLION~13
LINE FOLLOWERS
MENU LAZADA ONLINE SHOPPING & SELLING IN SOUTHEAST ASIA JULY TO SEPTEMBER 2015

10. ONLINE SELLING TRENDS
02
PAGE 10MENU LAZADA ONLINE SHOPPING & SELLING IN SOUTHEAST ASIA JULY TO SEPTEMBER 2015

11. ONLINE SELLING EXPLOSION IN SOUTHEAST ASIA
PAGE 11
New and Fast Growing Categories in Q3
NEW IN Q3
FAST-GROWING
OTHER CATEGORIES
MENU LAZADA ONLINE SHOPPING SELLING IN SOUTHEAST ASIA JULY TO SEPTEMBER 2015

12. FROM THE QUIRKY TO THE PREMIUM
PAGE 12
ID
NOSE CLIPPERS IN PINK COLOUR,
AND EYEBROW PENCILS EACH AT
USD 0.30
KAWASAKI NINJA 1000 IN GREEN AT
~ USD 20,000
MITSUBISHI PAJERO V6 IN RED FOR
~ USD 8,000
AND INDUSTRIAL WATER FILTER AND PROFESSIONAL
TELEPHOTO LENS IN BETWEEN
CONDOMS ARE GOING FOR
USD 0.30
79” HD TV FOR
USD 3,500
FOOT COVERS AT
USD 0.50
HUGE BULKY EQUIPMENT WITH TREADMILL AT
USD 3,500
REFRIGERATOR AND AIR-CONDITIONER EACH PRICED
USD 2,000
MY
PH
MENU LAZADA ONLINE SHOPPING SELLING IN SOUTHEAST ASIA JULY TO SEPTEMBER 2015

13. FROM THE QUIRKY TO THE PREMIUM
PAGE 13
SG
BATHROOM WALL STICKER FOR
USD 1.00
6-DOOR FRIDGE AT
USD 3,000
COTTON BALLS AND CD-RS FOR
USD 0.50
AERIAL CAMERA WITH DUAL REMOTE CONTROL AT
~ USD 3,500
CAMERA LENS CLEANER FOR
USD 0.20
MOTORCYCLES FOR
~ USD 2,500
TH
VN
MENU LAZADA ONLINE SHOPPING SELLING IN SOUTHEAST ASIA JULY TO SEPTEMBER 2015

14. Germany
Japan
Korea
India
Taiwan
Hong Kong
China
United Kingdom
United States
PAGE 14
SOUTHEAST ASIA ATTRACTING GLOBAL SELLERS
MENU LAZADA ONLINE SHOPPING SELLING IN SOUTHEAST ASIA JULY TO SEPTEMBER 2015

15. LAZADA IN SOUTHEAST ASIA
03
LAZADA ONLINE SHOPPING SELLING IN SOUTHEAST ASIA JULY TO SEPTEMBER 2015 PAGE 15MENU

16. LOGISTICS
PLATFORM
ASSORTMENT
MILLION8
CUSTOMERS
MILLION~5
DAILY VISITS
BILLION~$1.1
ANNUAL GMV
~30,500
ACTIVE SELLER
PARTNERS*
MILLION~10
ACTIVE SKUs
~78%
MARKETPLACE
GMV
76
LAST MILE
DISTRIBUTION
HUBS
10
FULFILLMENT
CENTERS
75
LOGISTICS
PARTNERS
*SELLER PARTNERS INCLUDE MARKETPLACE SELLERS AND RETAIL SUPPLIERS
PAGE 16
LAZADA IN SOUTHEAST ASIA
MENU LAZADA ONLINE SHOPPING SELLING IN SOUTHEAST ASIA JULY TO SEPTEMBER 2015

17. The information contained in this document contains statements relating to the business, financial performance and results of Lazada South East Asia Pte Ltd (“Lazada”) and is intended for general information purposes only.
Some of the information made available contains information of third parties or may be based on statements by third parties. Lazada does not give any representation or warranty, whether express or implied, and no reliance should be placed
on as to the accuracy, completeness or correctness of the information contained herein. Neither does Lazada claim proprietary rights in relation to such third party materials.
Third parties may quote from this report provided the quotations are attributed to “Lazada Group’s Online Shopping and Selling Quarterly Report”. Except as expressly mentioned, all intellectual property rights that exist in this report belong
solely to Lazada.
In no event shall Lazada (and all its related affiliates, officers, employees or agents) be liable whatsoever (in negligence or otherwise), for any loss, or any direct, indirect, incidental, consequential, special, punitive or exemplary damages howsoever
arising from the information contained in this document - even if Lazada has been advised specifically of the possibility of such damages arising - arising from the use or inability to use this report. This report should not form the basis
of nor should it be relied upon in connection with any commitment or contract whatsoever.
Use of this report is at your own and sole risk. Further verification or advice is encouraged in the event any of the information contained in this report is intended to be used.
Lazada Group’s Online Shopping and Selling Trends Report is based
on proprietary data from quarter three (July to September) of 2015.