๐ Lazada Fees in Singapore โ A Quick Guide for Sellers
Selling on Lazada? Itโs a great way for small businesses in Singapore to growโbut letโs be real, the fees can sneak up on you. ๐ฌ Here's a breakdown of the main fees you need to know before listing your products.
๐ธ 1. Commission Fees
Lazada takes a cut from each sale based on your product category. ๐ As of May 2024: Commission rates range from 1% to 4% (can be higher depending on what you sell).
๐ Tip: Always check the latest rates on Lazada Seller Centre and adjust your prices accordingly.
๐ณ 2. Transaction Fees
Every sale comes with a ~2% transaction fee, deducted automatically. This applies to most payment methods (credit card, Lazada Wallet, etc.).
๐ Tip: Include this in your pricing strategy, or itโll quietly eat into your profits.
๐ 3. Shipping Fees & Free Shipping Programme
Lazadaโs Free Shipping Programme boosts sales BUTโฆ โ You might have to absorb part or all of the shipping fees. โ Lazada offers subsidies, but not always enough.
๐ Tip: Calculate carefully if offering free shipping makes sense for your margins.
๐ข 4. Lazada Ads = Paid Visibility
Two main ad types: โ Sponsored Search Ads โ Sponsored Display Ads
These help you rank higher or reach potential buyers, but they come at a cost.
๐ Tip: Only invest in ads if you can track ROI clearly. Donโt just buy trafficโbuy profitable traffic.
๐ธ 5. Refund Fees
Yes, even refunds have fees. Lazada charges a small admin fee when processing returns. Itโs not hugeโbut if returns are frequent, it adds up fast.
๐ Tip: Reduce refunds by improving your product descriptions, images, and customer service.
โ Pro Tips for Staying Profitable
โ Always price with all fees in mind โ Use Lazada Ads strategically โ Donโt rush into Free Shipping without running the numbers โ Keep an eye on fee structure changes
๐ฃ Want help managing your Lazada store's finances?
At Counto, we help small businesses: ๐ผ Track profits ๐ผ Handle bookkeeping & GST ๐ผ Stay compliant with IRAS ๐ผ Simplify accounting for online stores
๐ Learn more ๐ Check out Counto
