Seriously, if you can, don’t just sell on Shopee, Lazada and TikTok Shop. Focusing solely on Shopee and other marketplaces as an e-commerce seller can potentially be problematic for a few reasons.
Here are 5 reasons why you should not just sell on Shopee and other marketplaces.
1. Over-dependence on a single platform:
Relying too heavily on one marketplace leaves your business vulnerable to changes in Shopee’s policies, algorithms, or commission structures. If Shopee were to suddenly change its terms or make decisions that negatively impact your sales, your entire business could be severely disrupted.
2. Limited audience reach:
By only selling on Shopee, you’re missing out on potential customers who may prefer other e-commerce platforms like Lazada, TikTok Shop, Facebook or even your own branded website.
Diversifying your sales channels allows you to tap into different customer segments and markets.
3. Lack of brand-building:
Selling solely on Shopee makes it harder to build your own brand identity and recognition inside and outside of the platform. Think about it, as a normal shop, how much branding do you truly get?
As a shopper, do you really remember the stores you buy your items from? Most of the time, branding does not really go far in Shopee because of the limitation to how far you can push your brand on the platform. Generally, you will know a brand from outside of Shopee, but go to there to make a purchase.
Developing a strong, independent brand presence can improve customer loyalty and open up more opportunities for growth.
4. Missed cross-selling/upselling potential:
If customers only find you on Shopee, you have limited ability to offer them complementary products, subscriptions, or other monetization models. Having a presence on multiple channels allows you to better understand your customers and provide a more comprehensive shopping experience.
5. Increased competition and margin pressures:
The Shopee marketplace is highly competitive, which can lead to price wars and reduced profit margins for sellers. Diversifying to other channels can help you avoid over-reliance on a single platform’s commission structure.
So Remember, Don’t Just Sell On Shopee
To mitigate these risks, it’s generally recommended for e-commerce sellers to adopt an omnichannel strategy. This involves selling across multiple platforms (such as Shopee, Lazada, your own website, etc.) to reach a broader audience, build brand equity, and reduce dependence on any single channel. Leveraging e-commerce fulfillment services can also help streamline operations across multiple sales channels.