What’s the future of retail? E-commerce & shopper entertainment, says Lazada Singapore CEO
The COVID-19 pandemic has made society go digital. And the retail industry has been affected by this too. To keep up with digitalisation, sellers should learn how to use e-commerce platforms better. But what does the future of retail look like?
Here’s what the CEO of Lazada Singapore, James Chang, had to say about how COVID-19 has affected e-commerce, demand for certain items, and Lazada’s business operations.
Lazada is an e-commerce startup that’s headquartered in Singapore. They combine tech, logistics, and payment solutions for Southeast Asians to buy and sell on their online marketplace.
The COVID-19 pandemic closed shops and entertainment facilities in Southeast Asia. Since shoppers couldn’t head to malls for retail therapy, many of them turned online instead. And that’s led to a business boom for Lazada.
“There were suddenly more online shoppers as well as an influx of new sellers … The challenge was to fill that gap by creating opportunities for both sellers and consumers, and we did so by holding more campaigns dedicated to local SMEs and international brands,” said James.
Amid the rise of e-commerce, Lazada has pivoted its business strategy towards “shoppertainment”.
Brands and sellers on Lazada can engage with online shoppers through interactive in-app games and livestreams. For example, through the in-app streaming feature LazLive.
Often, brands engage a popular influencer to host their livestream and give out e-vouchers. This way, brands can connect with their customers in real time. They also entice customers to spend more in-store.
“The trend of livestreaming is picking up: across Southeast Asia, Lazada’s LazLive sessions altogether had 27 million views in April alone.”
Games are becoming a way for e-commerce sellers to connect with customers. For example, players can play games on the Lazada app to win currency and exchange them for vouchers. Then, they can use these vouchers to buy from sellers.
“We also introduced social elements in these games to allow players to invite their friends and enjoy the games together.”
So as we move toward a post COVID-19 new normal, businesses should look into providing more customer entertainment, not customer service.
Analysts say the online shopping trend will remain even after physical shops open. According to James, e-commerce will be a part of a company’s business strategy or even the core of it.
That means businesses have more opportunities to reach a larger customer base. But it also means business owners need to be tech-savvy and adapt to online marketplaces.
In short, retail businesses need to:
Related: For startups: How to create an effective recruitment framework for your hiring needs
But even hiring and talent acquisition has gone digital. Clearly, this trend to digitalization has impacted all employers, not just those in retail. It’s a good time to reinvent our business practices and adapt them to a more digital future, where everyone is always online.
