BMFS (Buy More & Enjoy Free Shipping)

Partiban Periannan (Head of PSC)

Introduction

Buy More & Enjoy Free Shipping programme allows Seller to fully pass on the shipping cost to Customers and in addition, encourages Customers to purchase more than a certain price point to enjoy free shipping

How to achieve best results of offering free shipping without letting your profitability take a hit?

Why should you apply for Buy More & Enjoy Free Shipping programme

Overall better in price competitiveness and cheaper basket cost for shoppers

How to calculate a favorable threshold

 

What if I don’t want to absorb bulky products’ shipping cost?

General categorisation of pre-defined categories tagged under “potential” bulky – excluded from BMFS threshold

How to apply for Buy More & Enjoy Free shipping programme

Formstack Application: Available Here

BMFS PDP Outlook

BMFS PDP Outlook with pre-defined bulky sub-categories exclusion

Buy More & Enjoy Free Shipping Lazada page

Buy More & Enjoy Free Shipping (BMFS) will be featuring Sellers on BMFS programme on a rotational basis (weekly/bi-weekly) as part of an initiative to increase visibility and to promote basket building on a Seller store level.

Here’s the link to the BMFS page which will occasionally be featured with campaign days via banner.

 

FAQ's

What is Buy More & Enjoy Free Shipping Programme?

Buy More & Enjoy Free Shipping Programme is a model where Sellers no longer absorbs shipping cost on an item level and customer pays for the full shipping cost. Sellers then set a Free Shipping threshold (i.e. RM50) where if customers purchases above RM50 from the Seller’s store, Sellers will absorb the shipping cost on behalf of customers.

Who bears the shipping cost?

Below the threshold set (i.e. customer purchases at RM48 from Seller), customer will pay for the full shipping cost. Above the threshold set (i.e. customer purchases at RM60 from Seller), Seller will absorb the full shipping cost and customer enjoyed free shipping.

How does this affect my shipping reimbursement?

No impact. Shipping fee paid by customer will be paid out to Sellers together with the sales item payout period. Given customer enjoys the free shipping due to purchases above threshold, no shipping payout will be transferred to Sellers. Shipping charges from Finance will still proceed as Business As Usual.

What about my bulky products? Will they also automatically be eligible for free shipping?

No, they will not. We will only configure by selective Sub-Category Level 3 of items to be eligible for the threshold free shipping. Please see attached for Sub-Category Level 3’s that are eligible once Seller store is setup for the programme. Please refer to the  spreadsheet for Sellers to view which sub-categories are enabled for BMFS and which are not, if selected for bulky exclusion BMFS. 

What about my high value item?

Do include the shipping cost into your high value items.

Is this programme only online for a certain duration? Will there be auto termination?

No. Once requested, the programme will be ongoing until a request of termination and/or request of threshold change is received. Unless otherwise advised specifically by Sellers.

How can I apply for this programme?

There is a form stack application available Here. Alternatively, you could also engage our Partner Support.

 Do I need to select different thresholds for West Malaysia and East Malaysia (if applicable)?

Yes. Shipping cost differs when Sellers and Customers are located at 2 different continent.

What are the shipping costs to West Malaysia and East Malaysia?

Click Here and refer to Lazada New shipping fee rates

Am I required to reduce my unit price onsite after I participate in this programme? If yes, how should I calculate the drop in price?

Yes, Sellers will be required to reduce unit price after participating in this programme as Sellers no longer need to incorporate shipping cost into unit price. However, if thresholds are applied, there’s a need to consider a certain percentage to be included in the unit price to ensure Sellers are able to cope with the shipping cost absorption.

Who do I contact for cancellation and threshold changes?

Cancellation and threshold changes can be done via a request email to Partner Support. Alternatively, threshold changes can be done via the formstack available (same process as new application).

Can I select certain SKUs or Categories to be part of/excluded from the threshold applied?

We will assess this on a case by case basis. Justification will be required.  Please refer to the  spreadsheet for Sellers to view which sub-categories are enabled for BMFS and which are not, if selected for bulky exclusion BMFS. 

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