Benefits of Using SPX Express for E-commerce Sellers

In Southeast Asia, e-commerce is rapidly growing and becoming a major force in the retail industry. This growth is being driven by a number of factors, including the increasing availability of smartphones and internet access, the growing popularity of online shopping, and the rising disposable income of consumers in the region.

One of the key challenges for e-commerce businesses in Southeast Asia is providing fast and reliable fulfilment. This is because consumers in the region are increasingly demanding faster shipping times. Faster fulfilment can have a significant impact on customer loyalty.

Shopee, a leading e-commerce platform in Southeast Asia, operates in 11 countries in the region. With a recorded 375 million users in 2022, Shopee extends its network of warehouses and its flagship logistics,  SPX Express, to e-commerce sellers on the platform. 

Let’s deconstruct the many ways that SPX Express contributes to the growth of e-commerce sellers, when should you opt for it and other alternatives to complement your e-commerce business.

What is SPX Express?

SPX Express is the official logistics provider for Shopee-registered businesses. It offers a variety of shipping services in addition to its rich network of warehouses to help sellers manage their inventory and meet the fulfillment demands of consumers in the region.

 Shopee’s impressive network of over 1,000 warehouses and delivery centres in Southeast Asia makes it possible to set competitive fulfillment timelines in the region.

Benefits of SPX Express for Sellers

SPX Express offers a range of benefits to e-commerce businesses, enabling them to streamline their operations, enhance customer satisfaction, and achieve their business goals. These advantages have been discussed below:

1. Faster Delivery

SPX Express prioritises fast and efficient delivery, ensuring that your customers receive their orders promptly. With its extensive network of delivery partners, SPX Express delivers parcels to over 300 million people across Southeast Asia, reducing delivery times and keeping customers happy.

2. Quicker Payouts

SPX Express facilitates quicker payouts to sellers, ensuring that you receive payment for your orders in a timely manner. This allows you to reinvest in your business, manage your cash flow effectively, and maintain a healthy financial position.

3. Better Handling of Goods

SPX Express takes great care in handling your goods, ensuring they reach your customers in the same pristine condition they left your warehouse. With convenient drop-off points, accurate returns, and proper handling procedures, SPX Express minimises damage and loss, protecting your valuable products.

4. Cheaper Shipping

SPX Express offers competitive shipping rates, allowing you to pass on savings to your customers without compromising your profit margins. Their affordable shipping solutions make it easier for you to reach a wider audience and expand your customer base.

5. Automated Air Waybills

SPX Express streamlines the shipping process by providing automated air waybills, saving you time and effort. This eliminates the need for manual paperwork, reducing errors and simplifying order fulfilment.

6. Deliver Orders without Upfront Payment

SPX Express enables you to deliver orders without requiring upfront payment from your customers. This enhances customer convenience and encourages them to complete their purchases, boosting your sales and revenue.

7. Accepts Bulky Deliveries

SPX Express accepts bulky deliveries, up to 30 kgs (actual or volumetric weight), catering to a wider range of products and expanding your sales potential. This flexibility allows you to offer a broader selection of items to your customers, increasing their satisfaction and loyalty.

How does SPX Express work?

Shopee’s SPX Express provides an efficient and convenient way for sellers to handle shipping and delivery. Here’s a step-by-step breakdown of how the process typically operates:

1. Order Preparation and Packaging: Upon receiving an order, the seller prepares the parcel according to the attached order details. It’s crucial to use the provided Air Waybill (A6 size) from the Shopee Seller Centre and ensure proper packaging with bubble wrap or void fillers to protect products during transit. However, it’s important to note that liquid and fragile items are shipped at the seller’s risk.
2. Pick-up Option: Eligible sellers can opt for the pick-up service, which doesn’t require any upfront payment. This service is subject to the seller’s location and fulfilment of certain eligibility criteria.
3. Delivery by SPX Express: If the parcel meets the delivery terms and conditions, SPX Express proceeds with the delivery to the designated recipient.
4. Payment Release: Shopee releases the balance of the order payment to the seller once the buyer receives the parcel. This ensures a secure and reliable transaction process for both sellers and buyers.
5. Adjustment for Shipping Fees: In case the actual shipping fee determined by SPX Express surpasses the estimated shipping fee based on the weight set by the seller in the product listings, Shopee deducts the excess shipping fee from the seller’s payout and releases the remaining balance to the seller.
6. Pick-Up Eligibility: The SPX Express Pick-Up option is available exclusively for West Malaysia sellers meeting the criteria of an average daily order count of ten or more paid orders in the last 30 days.

For more information, you can also refer to the official page of SPX Express on the Shopee website.

Signing up for SPX Express

If you’re interested in incorporating SPX Express into your available shipping options, the process is straightforward. Here’s how to get started:

To enable SPX Express, you can submit a change request form. This form is the initial step to integrate this shipping service into your e-commerce operations.

Please note that there are a couple of reasons your sign-up may not be immediately reflected:

• Invalid Sign-up Credentials: Ensure that your sign-up credentials are accurate and up-to-date to expedite the process.
• Missing Pick-up Address: Make sure to provide a complete and accurate pick-up address to facilitate the efficient pick-up and delivery of your parcels.
• Exceeding weight limitations: SPX Express accepts bulky deliveries, allowing flexibility in your product offerings. However, the weight is limited to a maximum of 30kg (actual or volumetric weight).

Shopee Express not for you? What other fulfillment options do you have?

While SPX Express offers a compelling solution for many e-commerce businesses, it’s important to acknowledge that it may not be the perfect fit for everyone. Factors like shipping costs, specific delivery needs, or regional limitations can influence your decision. If you find yourself seeking alternative fulfilment options, here are some promising contenders:

1. In-house Fulfilment

This option involves handling all aspects of order fulfilment yourself, from packing and shipping to returns management. While it offers complete control and potentially lower costs, it requires significant time, resources, and space.

2. Third-party Logistics (3PL) Providers

In cases where specific requirements aren’t met, also consider the services of a third-party logistics provider (3PL) like Locad. A 3PL can offer customised solutions, specialised handling, and additional services that may be essential for your business’s growth. 

Whether it’s warehousing, inventory management, or tailored shipping solutions, a 3PL can complement your shipping strategy and fill any gaps that Shopee Express might leave. 

3. Local Delivery Services

For local businesses or those with a concentrated customer base, local delivery services like Lalamove and GrabExpress can be a cost-effective and efficient solution. They offer on-demand delivery services, often within the same day or within a few hours.

4. Dropshipping

This model involves partnering with a dropshipping supplier who stores and ships your products directly to your customers. This eliminates the need for you to manage inventory or handle shipping, but it can result in lower profit margins and limited control over product quality and shipping times.

Closing Thoughts

Through this article, we’ve explored the numerous benefits of utilising Shopee Express for e-commerce sellers. From hassle-free shipping to reliable delivery services, Shopee Express has proven to be a game-changer for businesses seeking efficient solutions for their shipping needs.

Signing up for SPX Express can be a decision that can streamline your shipping processes, enhance customer satisfaction, and ultimately boost your e-commerce business. Remember, your journey toward e-commerce success is within reach, and with the right shipping solutions, your business can thrive in the digital marketplace.