Lazada Seller Policy (effective Feb 2018)

Partiban Periannan (Head of PSC)

Overview of Seller Policy

Dear merchants we would like to thank you for your continued support you have given Lazada. A New Seller Policy will be launched with implications of major initiatives that will help grow your online business in the longer-term, starting 1st February 2018. For more information on this, please refer HERE

What is it?

  • To train you to be independent and to master marketplace environment 
  • New, simpler, more powerful framework to reward you for exceptional performance and highlight areas to improve on

What’s Great About This?

  • No limits on OVL & POL and reward for sellers who provide good customer experience with tools to grow your  business.
  • Sellers with positive ratings will enjoy privileged access to certain benefits that will help to boost your business growth and increase traffic to your shop. 

Seller Rewards Structure 

Q: What are the various rewards available for Sellers? 

A: Sellers can enjoy the following rewards on Lazada: 

  • Higher ranking on product searches 
  • Shipping and pricing subsidies
  • Participation in campaigns 
  • Preferred Seller Programs 

Q: How will my seller rating impact access to these rewards? 

A: Seller rating is one of the many criteria used by Lazada to select sellers for the above rewards. Sellers are required to maintain a minimum of 30% positive seller rating to be eligible for the rewards.  

Q: How will Seller Rating impact the visibility of my products in search and browsing? 

A: Sellers with a higher rating will enjoy higher visibility in search and browsing product ranking. Sellers below 30% seller rating will have much lower visibility. 

Q: How will seller rating impact my eligibility to any shipping or pricing subsidies offered by Lazada? 

A: Only sellers with Seller Rating of 30% and above will be eligible for the subsidies . 

Q: How will seller rating impact my eligibility to participate in a campaign? 

A: Only sellers with Seller rating of 30% or above will be eligible to participate in Lazada campaigns. However, certain campaigns might require an even higher seller rating to participate. 

Q: How will seller rating impact my eligibility to participate in Premium Seller Program? 

A: Only sellers with Seller Rating of 30% and above will be eligible for program. However, sellers are expected to meet even higher thresholds on seller rating to qualify for top tiers. For further details, please click HERE 

 

Q: How can I regain access to rewards if my seller rating falls below 30%? 

A: Access will be restored when seller rating improves back to 30% and above. 

Q: What will happen if I breach Lazada policies on Counterfeits, Replicas and other fraudulent items? 

A: This could result in SKU or Shop deactivation. Please refer HERE 

Seller Rating 

Q: What is Seller Rating? 

A: After purchasing a product, only verified customers are prompted to rate the seller as positive, neutral or negative and write a review. This is in addition to the product rating and review. 

Q: How is Seller Rating calculated? 

A: Seller Rating is calculated as Total Positive Ratings divided by the Total Ratings. Cancellations will be accumulated as Negative Ratings and be included in the Seller Rating calculation.  

Q: What is the difference between % Positive Seller Rating and "Your Rating" (currently seen on Seller Center home page)? 

A: % Positive Seller Rating will replace "Your Rating" (calculated based on fulfillment, cancellations and returns) which is currently seen in Seller Center home page 

Q: Where can I see my ratings and reviews? 
A: 

  • Seller profile page and product pages (LINK)shows your overall all time rating and individual reviews 
  • Seller Center home page shows your rating in the last 8 weeks (coming in Feb 2018) and reviews in your 'Seller Inbox' (by end March 2018). Evaluation will be based on this rating. 

Q: Where can customers see my ratings and reviews? 
A: Seller profile page and product pages shows your overall all time rating and individual reviews 

Q: What will be shown if I have no ratings? 

A: Your Seller Rating will be shown as “Not enough ratings”. Access to Seller rewards will not be removed. 

Q: I'm getting very few Seller Ratings. Do customers know about this?  

A: Lazada sends email, App and Web push notifications to customers after their order is delivered to submit a review 

Q: Can a customer who did not make a purchase rate a Seller? 

A: No, only customers who have completed a purchase with a Seller can give a rating (Verified Buyers) 

Q: How do we prevent competitor Sellers from buying products and giving bad ratings? 

A: Lazada is conducts spam verification for Verified Buyers based on device ID, IP address etc. to prevent fraud. 

Q: Can I dispute a Seller Rating? 

A: Yes, by contacting the Partner Support Center 

Q: How can I improve my Seller Rating? 

A: You can improve your seller rating by improving product quality levels, fulfilment speed and service level 

You will be able to monitor these in the home page of Seller Center. 

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Q: If my seller rating falls below 30%, what can I do to for my products to get back high visibility? 

A:  

  • Improve product quality, ship faster and respond to buyer questions to increase your seller rating beyond 30% and gain back eligibility to rewards 
  • Utilize Lazada’s paid marketing tools like Sponsored products and vouchers to increase visibility of products 

 

Product Quality 

Q: How is my performance on product quality measured? 

A:  Product quality is reflected in your product ratings and reviews. After purchasing a product, customers are prompted to rate the product on a scale of 1 to 5 and write a review.  

Q: Where can I see my Product Ratings and Reviews? 

A: You can view them on your product pages or seller profile page 

Q: Does my Product Rating include Ratings for other sellers since my products are multi-sourced? 

A: No, Product Ratings are exclusive to a specific Seller 

Q: What is considered a Good Product Rating? 

A: 4 stars and above 

Q: What influences Product Quality level? 

A: Product delivered matches the description on the website, functioning properly, delivered in good condition, no missing parts/accessories/free gifts 

Q: How can I improve my Product Ratings? 

A: Maintain good content quality, QC your products before delivery, use recommended packaging materials to avoid product damage. Please refer HERE 

Q: Can I dispute Product Rating? 

A: Yes, by contacting the Partner Support Center 

 

Fulfillment 

Q: How is my performance on fulfillment measured? 

A: Performance on fulfillment is measured through 3 metrics - % shipped on time, % cancellations, % returns. 

Q: What does % Shipped on time refer to? 

A: Shipped on time refers to % of orders shipped in 2 working days for local sellers and 5 working days for cross border sellers.  This excludes public holidays and weekends 

Q: Where can I see these metrics? 

A: All metrics are available in Seller Center Home Page 

Q: Where can customers see these metrics? 

A: This is available on the seller profile page (LINK) 

Q: How will I be penalized for low performance on these metrics?  

A: There will not be any monetary penalties for low performance. However, a low performance on above metrics will lower your Seller Rating and might make you ineligible for rewards. 

Q: How will OVL (Order Volume Limit) and POL (Purchase Order Limit) work? 

A:  

  • OVL: For sellers with more than 10% of cancellations and have more than 10 orders weekly, an OVL of 50% of the daily average order volume will be applied. This is to better manage the volume of order cancellations.  
  • POL: POL will also be removed from your order management, and you will no longer see ‘POL Limit’ and ‘POL Reactivation Limit’ in your Seller Center 

 

Service Level 

Q: How is my performance on service levels measured? 

A: Performance on service levels is measured through 2 metrics – Buyer-seller Q&A response rate % and average response time  

Q: Where can I see these metrics? 

A: All metrics are available in the Seller Center Home Page 

Q: Where can customers see these metrics? 

A: Customers can view your Avg. Response Time on your product pages under the Q&A section 

Q: How will I be penalized for low performance on these metrics?  

A: There will not be any monetary penalties for low performance. However, a low performance on above metrics will lower your Seller Rating and might make you ineligible for rewards. 

Q: How can I improve my service levels? 

A: Respond to all questions asked by buyers as quickly as possible (within < 12 hrs is recommended) 

 

 

 

 

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