Benefits of a Logistics Engine for Lazada

Table of Contents

Get the latest e-commerce industry news, best practices, and product updates!

When you are a small-sized business looking for a way to upscale and streamline your processes, having a Lazada store, along with other e-commerce channels can be pretty overwhelming. Most of the time, when we start building up our online stores, we only think of one platform just to test the waters. But as the opportunities come our way, there really is no logical choice but to seize them. 

However, our capacities to manage really need to keep up because opening up another channel or platform necessitates double or even triple the amount of work we put into order management, fulfillment and delivery. Of course, that is not to say that the major e-commerce channels do not provide help in managing your online stores. But the name of the game today is synergy and streamlining. And we always want the best for our customers.

As much as possible, we want our customers’ shopping experience to be fulfilling, easygoing and hassle-free. That’s why a lot of multi-channel and omnichannel e-commerce systems are springing up nowadays to help us manage our online stores, fulfillment centers and delivery chains in the most streamlined way possible. Logistics engines such as Locad are readily offering up their services to provide an integrative approach in the way we handle our e-commerce processes. In this article, we discuss the positive points of having a logistics engine by your side, and how it revolutionized how we manage our online stores and product orders within just one system.

Logistics engines let you join all your stores in one place

Especially in the Southeast Asian e-commerce market, and chiefly due to the multitude of online marketplaces operating, it can be hard for online brands to establish a solid online marketplace presence. This is what’s called fragmentation of the market. You might be present in one or two of the online marketplaces but these platforms have their own following and subscribers thus making it hard for you to reach those who consider themselves loyal to just one platform. The tendency is to stretch your presence across all these platforms but managing all these marketplaces at once can be pretty messy and taxing. 

Aside from Lazada, there are other marketplaces in Southeast Asia such as Tokopedia, Bukalapak, Shopee and Blibli in Indonesia. Malaysia also has Shopee, 11th Street, and Mudah. Compared to the US Market, the Southeast Asian market is relatively more fragmented. In the US, Amazon, Walmart and Target are the three major platforms online shoppers use. This makes it much easier for brands to manage. Other problems such as differing payment methods and varying country-level rules and regulations make it harder for sellers to manage their online marketplaces. 

With the use of a logistics engine though, these major problems can be alleviated on a certain level and some of the most worrisome issues can be eliminated. When it comes to storing your product, a trusted logistics engine can offer you the service of a shipping engine. When you avail of this service, the logistics engine provider will store your products safely in a partner warehouse near your customers’ location allowing for faster and more streamline direct-to-customer delivery. What’s good is that you only pay for the inventory you actually use and not a fixed amount every month. What’s better is that if you choose a logistics engine provider that has worldwide-scale operations, you can be sure that the best of your products are well taken care of in a country where you have local customers, but is undeniably too far away for you to directly manage.

Once you avail of the services of a logistics engine provider, you also get to have a centralized sales management channel which is just one application you can use to manage all your product orders and pending deliveries across all the channels you chose to sell your products in. With the sales management channel, you can link and integrate all your shops in Lazada, Shopee, Woocommerce, Shopify, Tiktok, just to name a few. With the order management system which shows up prominently in your unified dashboard, you also can ensure the smooth transition from your store to delivery to your customers’ doorstep. Some of the processes such as stock location can even be automated, and the service also gives you the ability to link with the logistics provider to track the deliveries.

You also get a glimpse into your product inventory which allows you to manage product supplies in different platforms, and in different locations around the globe. If you still update your inventory, though, in the traditional way by using a spreadsheet on your computer, you also have the option to upload your accomplished spreadsheet and make it reflect on your sales management channel in no time. The services of a logistics engine provider will greatly unburden you from lots of paperwork that have previously eaten up your time and you can focus on strategizing your marketing plans and the overall growth of your online business.

Direct-to-consumer fulfillment is much faster with a logistics engine

The direct-to-consumer (D2C) retail model is consistently overtaking the wholesale model in terms of scope and importance, especially with the rise of e-commerce platforms wherein producers, suppliers and sellers can directly interact with their consumers. However, it can be a true hassle if you yourself, a small business owner, has to handle thousands or even tens of thousands of orders every day by yourself. 

Tons of different, albeit small problems bother you every day, which when seen together, take up a lot of your time and energy. These range from choosing the right kind of package material that suits your product, ensuring that the delicate products are well-protected and can withstand the travel risks, and printing the correct shipping labels. 

When you were starting on a much smaller scale before, you even have the time to personally pack your products and sort them. But things could not stay that way all the time, especially when you’re aiming for growth. If you are just one person running the business, or even if you have a small team, these particulars and the consequent handling of all the issues that arise can be stressful and too much for you and your team. When you are starting to feel that things are a bit heavier to handle, that probably is the best time to seek help from your trusty logistics engine provider. 

With the help of a logistics engine provider, you can be sure that your products and orders are packed swiftly and safely with the help of fulfillment providers. Some logistics engine providers offer same day pick and pack services, meaning you just have to send them the products and they will be doing the sorting and preparation for delivery, all within a day so the orders are ready for speedy delivery.

Inside your sales management channel, you also have access to information pertaining to the multiple locations where your warehouses are located and you can all see them neatly presented in one tab. Through this integrative process, you can see whether or not you have enough stock in your inventory at a certain period, so you can easily point out where your stockout hotspots are and prevent these incidents from happening. With all the information on your Inventory tab, you can also strategize on how to maximize the storage space you are renting on all your warehouses and recalibrate where to put your best-selling products, and sort them according to the locations that demand them the most. 

Hassle-free shipping and tracking with a logistics engine

According to studies, 69% of Lazada buyers will not shop again in a store when their orders are not delivered within the promised date. Speedy delivery, and accurate shipping processes contribute to the overall satisfaction of customers, leveling up first-time customers into loyal buyers. If your shipping performance is subpar, you can expect lower ratings which could ultimately affect the success rate of your store. So you really have to put serious work in optimizing and streamlining your shipping and delivery tracking efforts. When you are scaling up, logistics engine providers can assist you in the process of making your online process bigger, better and bolder.

Logistics engine providers offer inside their service better shipping optimization. Take for example the logistics engine provider, Locad. Locad partners with multi-location partner warehouses where your products can be stored for a reasonable fee. Logistics engine providers also have multi-location fulfillment centers which lets you stock up your best-selling and fast-selling products in the specific warehouses near locations where demand for them is high. 

The picking and packing process is completely unburdened from you and your team, and turned over to professionals who are trained and capacitated when it comes to the delivery of higher volumes of products. This lets you focus on product innovation, brand strategy and customer care.

Logistics engine providers, mainly because it integrates the most important process of e-commerce fulfillment, offers a relatively more affordable rate of shipping, especially when you are planning to expand to newer regions across the world. Depending on your situation, these logistics engine providers can suggest to you the most suitable logistics provider to reduce costs and last-mile delivery time for your local and cross-border shipping. When things are set up like this, you can sift out the most necessary expenses and avoid the unnecessary ones. Logistics engine providers also give you an overview of additional tax expenses to guide you in deciding which areas should be your priorities.

As soon as your product is released from the warehouses for delivery, you can also get accurate and timely reports on how your deliveries are doing, and whether or not there are disturbances in the flow of your fulfilled orders from the warehouse to the customer’s homes. Delivery management becomes all the more easier with automated features which pick up from the information your customers are putting in, which are stored in a single database allowing for faster processing of orders. You can also choose the nearest warehouse to your customer as the jump-off point of your last-mile delivery ensuring the orders come on time, and at the accurate locations your customers expect. Aside from all these, the sales management channel brought to you by your logistics engine provider can include in your reports some insights and suggestions on how to improve the marketability of your least-selling products and make them appeal more to your customer base through suggested promotional activities, combos, and bundles.

The future is integrated with a logistics engine

A logistics engine at your service is a true game changer. It will provide you with an unprecedented level of coordination and integration to help you mark an advantage in today’s fast-paced world of e-commerce and online selling. With a logistics engine, you will get inventory distribution automation, warehouse storage in the most strategic of places, and accurate and speedy delivery to give your customers the ultimate satisfactory experience, and give you a record-breaking sales rate in no time.

With the logistics engine’s revolutionary optimization of e-commerce process, you will get to manage all your stores in one hub, ensure inventory in several warehouses at the comfort of your own home office, have your products picked and packed on the same day, have them delivered at the right place, and at the right time, and not worry whether or not they got lost in the way.

Logistics engines are designed to help you carry the heavy weight it takes to propel your online business to greatness. Whether you are a small business wanting to scale up, or an established brand aiming to cement your e-commerce presence, we recommend you consider shooting your most trusted logistics engine provider to inquire about how you can avail of their services. Once you have already decided on availing of these services, let us know so we can congratulate you. And oh, don’t forget to tell us the tales of how helpful the optimization and streamlining will be to your beloved business venture.

More Logistics Content


Sign up, and we will get back to you within 24 hours to discuss what services would be best for your business needs. Or speak with us now and tell us what you need.

Don't miss out on the latest news!

Get the latest industry news, best practices, and product updates!

Up to $250K USD Credits for Locad Customers!

Sign up today and accelerate your growth with Locad’s Partners. Unlock deals across SaaS, Agencies and more.

Exclusive benefits to ace your e-commerce game this 2023 with Locad’s desk calendar!