How Shopee’s Latest Updates Transform Selling for Malaysian E-commerce Merchants

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Shopee has become synonymous with online shopping in Malaysia, consistently ranking as the leading e-commerce platform. As of April 2024, Shopee Malaysia is the most visited Retail website in the country, drawing nearly 44.12M monthly visits. Their dedication to innovation and understanding their customer base are key to this success. Recognizing the massive influence of Gen Z, Shopee partnered with the popular girl group BINI as brand ambassadors in 2024. This is one of the strategic moves by the e-commerce giant to resonate with younger demographics and stay at the forefront of e-commerce trends.

However, a seamless and safe shopping experience remains paramount for all users. This article explores how Shopee Malaysia’s exciting 2024 feature updates and strategic partnerships are designed to achieve just that. We’ll delve into these latest seller updates from Shopee Malaysia, their impact on customer experience, and how efficient logistics is crucial for e-commerce success. We’ll also explore how a 3PL company like Locad can further empower Shopee sellers in Malaysia to deliver an exceptional shopping experience.

Feature Updates on Shopee in 2024

Shopee’s commitment to a seamless and secure shopping experience goes beyond brand ambassadors. In 2024, they introduced four key feature updates designed to empower customers further and elevate their overall experience:

  1. COD Unboxing: Return on the Spot: This innovative feature allows customers to inspect their Cash-On-Delivery (COD) orders upon delivery. If they’re unsatisfied, they can return the item immediately and receive a full refund on the spot. This eliminates the hassle of traditional return processes and builds trust by empowering customers with greater control.
  2. Simpler Returns and Refunds: Gone are the days of lengthy back-and-forth communication with sellers for returns. Shopee’s streamlined process allows customers to initiate returns and refunds directly through the platform without involving the seller. This simplifies the process, saves time, and ensures a swift resolution.
  3. On-Time Delivery Program with Discounts:  Shopee’s commitment to timely deliveries goes beyond customer satisfaction. Effective June 17th, 2024, they implemented a Late Shipment Rate (LSR) program with a revised threshold. Previously set at 5%, the new threshold allows for a 10% grace period before penalty points are incurred. Here’s how it works:
  • Sellers exceeding 10% LSR: Those exceeding the 10% on-time delivery target will receive penalty points.
  • Penalty Point Tiers: The number of penalty points depends on the volume of late orders. Sellers with less than 50 late shipments receive 1 point, while those with 50 or more incur 2 points.

These penalty points directly impact a seller’s store visibility and sales volume.  Since on-time deliveries are crucial for customer satisfaction and seller success, partnering with a reliable 3PL (Third-Party Logistics) provider known for efficient fulfillment becomes even more important.

By choosing a 3PL with a proven track record of on-time deliveries, sellers can minimize their LSR and avoid penalty points. This empowers them to capitalize on the on-time delivery program’s potential for increased sales and a positive customer experience.

  1. Shopee Video for Seller Engagement:  Shopee Video empowers sellers to showcase their products in a dynamic and engaging format, fostering deeper connections with potential customers.  Beyond product listings and static images, videos allow sellers to:
  • Demonstrate product features: Live demonstrations and close-up shots bring products to life, allowing viewers to understand their functionality and benefits.
  • Address customer questions: Sellers can host live Q&A sessions, fostering a more interactive experience and addressing buyer concerns in real time.
  • Create a personalized experience: Videos can showcase sellers’ personalities and brand stories, building trust and loyalty with potential customers.

The significance goes beyond just engagement. Shopee offers rebates for sellers who leverage Shopee Live, further incentivizing them to use this powerful sales tool. This encourages live streaming as a primary channel for product promotion and customer interaction.

While Shopee Video empowers sellers on the customer engagement side, Locad provides crucial support on the logistics front.  The flexible storage infrastructure offered by Locad allows sellers to scale their inventory needs efficiently, reducing the burden of costly fixed overheads. This translates to greater control over operational costs.

Optimizing Logistics, Storage, and Fulfillment of Your Shopee Store

Shopee’s feature updates in 2024 hinge on a critical factor: efficient logistics, storage, and fulfillment.  And a seamless customer experience relies heavily on smooth operation behind the scenes.

Challenges and Opportunities

While these updates enhance customer experience, they also introduce logistical hurdles. First, sellers who rely on 3PL for Shopee fulfillment and cannot offer COD for shoppers will stand to lose out on potential sales opportunities.  Features like COD unboxing and faster returns demand a more agile and responsive fulfillment system.  Imagine a scenario where a customer initiates a COD return upon delivery. The platform needs to efficiently manage the returned item, update inventory, and potentially trigger a refund – all within a short timeframe.

Potential Solutions

To overcome these challenges and ensure efficiency, Shopee can explore several solutions:

  • Streamlined Warehouse Management: Technology plays a vital role. Implementing warehouse management systems (WMS) can optimize inventory tracking, order picking, packing, and even kitting or assembly for complex orders.  For perishables and canned goods, employing a First-Expiring-First-Out (FEFO) approach ensures stock rotation and reduces spoilage.
  • Strategic Partnerships with Fulfillment Carriers and Centers: Expanding beyond in-house capabilities can be crucial. Partnering with strategically located fulfillment centers close to customer hubs creates greater flexibility in order fulfillment capacity. Diversifying the network of last-mile carriers is also important. While some carriers may accept only card transactions, other Malaysian carriers may accept COD delivery, allowing you to cater to both tech-savvy and traditional buyers..
  • Advanced Data Analytics: By harnessing the power of analytics, Shopee sellers can gain valuable insights for route optimization. Analyzing historical data and customer buying patterns allows for more efficient delivery planning, reducing transit times and fuel costs. Most importantly, demand forecasting also becomes more accurate, enabling proactive inventory management and preventing stockouts.

This focus on efficient logistics ensures that sellers can band with Shopee to meet the promises of its feature updates.  By implementing these solutions, Shopee can empower sellers, and expedite deliveries.


Shopee’s 2024 feature updates represent a bold step towards a more customer-centric future.  Features like COD unboxing, simplified returns, and on-time delivery programs not only empower customers but also create a win-win situation for sellers.  By fostering trust and transparency, these updates can increase customer satisfaction and conversion rates for sellers.

Furthermore, strategic partnerships with companies like Locad can further empower Shopee to achieve seamless and efficient fulfillment. Locad’s provision for a robust Order Management System, advanced data analytics, and scalable fulfillment infrastructure can directly address the challenges posed by Shopee’s new features. This translates to faster deliveries, reduced costs, and a more streamlined experience for both sellers and customers.

Shopee’s commitment to innovation, coupled with efficient logistics solutions from partners like Locad, paves the way for a thriving e-commerce ecosystem in Malaysia.  Are you a Shopee seller looking to capitalize on these exciting opportunities?  Explore how Locad’s solutions can help you streamline your operations, optimize fulfillment, and ultimately achieve long-term success on the Shopee platform.

Shopee leverages data analytics and machine learning to personalize user experience, optimize logistics, and power features like targeted advertising and fraud detection.

Limited rural infrastructure, high logistics costs, and trust issues with online payments are some key hurdles.

Growing smartphone penetration, rising internet access, and increasing awareness of online deals and convenience drive online shopping behavior.

Shopee reigns supreme, with Lazada remaining a strong competitor in the market.

The Malaysian e-commerce market is booming with revenue in the eCommerce Market is projected to reach US$7.88bn in 2024.

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