Why Selling On Lazada And Shopee Is Risky For Your Business


While there are many benefits to selling on ecommerce platforms such as Lazada and Shopee, there are also certain risks that you should be aware of before committing to them for your business. Here’s a look at some of the potential pitfalls you may come across!

Low Margins: Selling on these platforms can mean that businesses earn lower margins than they would if they sold directly to customers. This is because each platform takes a percentage of every sale, meaning that less profit is returned to the seller.

Lack Of Control: On many of these platforms, sellers have limited control over product listings or advertising campaigns – this can lead to issues such as inaccurate descriptions causing customer dissatisfaction or misleading ads impacting buyers’ expectations.

Limited Visibility: It’s easy for products to get lost in the search results due to the sheer number of offerings available – this means that promotion through things like targeted campaigns or even manual outreach is often necessary if you want your items found quickly by potential customers.

Increased Competition: With so many sellers now using these platforms, competition has become much tougher – businesses must keep up with pricing wars whilst also maintaining standards such as customer service or item quality in order for them to stand out from other vendors!

Rules & Regulations: Ecommerce sites follow their own set of rules and regulations which may differ from the ones imposed by traditional stores - ensure you understand any legal implications before signing up, lest you find yourself in breach at a later stage without realizing it!

In summary then, while selling on ecommerce sites like Lazada and Shopee offer several advantages, it’s important to know what risks come along with them too - ensuring that your business remains profitable in the long run despite any setbacks encountered along the way!

Top Recommended Tools

No items found.

Note: Links on this post are affiliate links. I may receive a commission if you decide to sign up for the tools recommended. If you know me, I only recommend the best solutions for your business.

Don't miss these stories:

Ready to Grow Your Brand?
Book a consultation With Burhaan

Book A Consultation