This trend has led to the emergence of various e-commerce marketplaces, each offering its own unique features and benefits. If you want to stay competitive in this ever-changing market, it’s important to understand the e-commerce ecosystem and choose the right marketplace for your business.

Whether you’re a seasoned online retailer or a newbie looking to dip your toes into the world of e-commerce, this guide will help you navigate the top marketplaces in the Philippines and enable you to make informed decisions about which platforms to use to reach your customers.

Top E-commerce Marketplaces in the Philippines

Here are the top e-commerce marketplaces in the Philippines that offer a wealth of opportunities for both buyers and sellers:

1. Lazada

Founded in 2012, Lazada has quickly risen to become one of the most prominent marketplaces in the Philippines. Lazada’s impact on the retail industry in the Philippines has been significant, thanks to its commitment to delivering a seamless online shopping experience to millions of customers.  

In 2021, Lazada’s Gross Merchandise Volume (GMV) reached an astounding $21 billion, cementing its position as a household name for Filipinos who prefer to shop online.

• Commission Structure: Ranging from 1% to 5%, depending on the product category
• Shipping: Fulfillment by Lazada (FBL). Lazada’s courier partners include Ninja Van, Entrego, Ximex Delivery Express, JRMT, and QDX.
• Monthly Web Visitors: Around 37 million
• Top Selling Categories: Electronics, fashion, home and living

Many businesses have had success selling on Lazada and have shared their stories online. For example, Mayette Jequinto, CEO of Plus Size Boutique, shares how Lazada has been instrumental in the growth of her business. 

Read: How to Sell on Lazada Marketplace in the Southeast Asia

2. Shopee

Launched in Singapore in 2015, Shopee has successfully expanded across Southeast Asia, including the Philippines, attracting millions of buyers and sellers. One of the key reasons behind Shopee’s success is its user-friendly interface, which enables buyers to browse products seamlessly and sellers to set up their online stores quickly and efficiently.

According to Shopee’s financial report for the third quarter of 2021, the company’s GMV in the Philippines reached $6.2 billion, representing a 74.3% year-over-year increase.

• Commission Structure: Ranging from 2.5% to 4% (Applicable to local Marketplace sellers with ≥ 100 completed orders)
• Shipping: Fulfillment by Shopee (FBS). Shopee courier partnerships include J&T Express, XDE, and 2GO. They also offer free shipping promotions to incentivize customers.
• Monthly Web Visitors: Around 72 million
• Top Selling Categories: Electronics, fashion, and beauty. Local brands such as Cherry Mobile and Human Nature are popular in electronics and beauty, respectively.

Big brands such as Unilever have recognized the significant impact of e-commerce platforms like Shopee in the Philippines. According to Jackie Manago Nepomuceno, the Digital Commerce Marketing Manager at Unilever Philippines, Shopee is a strategic partner that helps drive a seamless shopping experience for the omnichannel shopper.

Read: How To Sell on Shopee in the Southeast Asia

3. Zalora

Zalora is a popular lifestyle marketplace that has been operating in the Philippines since 2012. While Zalora’s market share is not as significant as Lazada’s, it has still managed to establish a loyal customer base in the Philippines.

The platform offers a wide range of products across various categories, including fashion, beauty, and lifestyle, and has become one of the leading online retailers in the country.

• Commission Structure: Ranging from 10% to 30%, depending on the type and range of the products
• Shipping: Zalora uses different courier partners such as LBC, Entrego, 2GO, 7-Eleven, and DHL to deliver customer packages.
• Monthly Web Visitors: Around 1.8 million
• Top Selling Categories: Fashion, beauty, and sportswear. Some local brands popular on Zalora are Penshoppe, Bench, Mango, and more.

4. eBay

This global marketplace has firmly established itself in the Philippines, providing retailers with a reliable platform for selling their products. The platform’s extensive user base and global reach provide an unparalleled opportunity for sellers to connect with a vast pool of potential buyers. 

Popular for its auction-style listings, eBay also offers a more conventional B2C marketplace through its eBay Store feature. It allows merchants to offer their products alongside established brands, providing a diverse selection of goods for shoppers. 

• Commission Structure: Ranging from 8% to 10% on the total transaction value. It is important to note that eBay Philippines also charges additional fees for certain services such as listing upgrades, international selling, and PayPal transactions.
• Shipping: eBay Philippines does not have a specific shipping type or carrier that sellers are required to use. Instead, sellers are free to choose the shipping method that works best for them and their buyers.
• Monthly Web Visitors: Around 28 million
• Top Selling Categories: Consumer electronics and gadgets, Fashion and clothing, and Health and beauty products.

Check out what Jeptall and Agsbeagle have to say about how selling on eBay has helped them maintain a work-life balance. 

5. TikTok Shop

TikTok’s massive user base in the Philippines made it an attractive platform for businesses to sell their products; therefore, it has recently launched its own e-commerce feature called TikTok Shop. The innovative e-commerce marketplace brings together sellers, buyers, and creators, all within the TikTok app.

It offers an integrated shopping experience, enabling users to discover and purchase products without leaving the app. Local brands and businesses are also leveraging TikTok Shop to reach a broader audience and grow their sales.

• Commission Structure: To incentivize online retailers, TikTok only charges 1% payment service fees and 0% commission fees.
• Shipping: Sellers can choose their own logistics partner or opt for TikTok Shop’s logistics services. TikTok Shop courier partnerships include Ninja Van for SEA logistics.
• Monthly App Visitors: Over 43 million
• Top Selling Categories: Fashion, clothing, beauty, and home decor

Many online businesses have experienced remarkable success by selling their products on eBay. Check out what Grace Mauyao, the CEO of Botanical Boon Health and Beauty Products, has to say about how eBay simplified their online selling.

6. FB Marketplace

Despite being less hyped than other platforms, Facebook Marketplace is a popular choice for local buyers and sellers to connect. With just a few clicks, users can snap a photo of the item, add a description, set an asking price, and publish their listing.

The integration with Facebook Messenger further simplifies the process, allowing for easy communication and negotiation between parties.

• Commission Structure: Unlike other e-commerce platforms, Facebook Marketplace does not charge fees for listing or selling products.
• Shipping: The seller ships the item directly to the buyer.
• Monthly Web Visitors: Around 79.6 million
• Top Selling Categories: Fashion apparel, furniture, home decor, and electronics.

7. Carousell

Carousell is a highly popular B2C and C2C online marketplace where people can buy and sell both new and secondhand goods. Carousell is renowned as one of the leading e-commerce sites in the Philippines, with a large following in Malaysia, Indonesia, Cambodia, Taiwan, Hong Kong, Macau, Australia, New Zealand, and Canada.

Thanks to its user-friendly interface, easy-to-navigate categories, and extensive range of products, Carousell has become a go-to destination for people looking to buy and sell goods online.

• Commission Structure: Sellers have to pay a fee to post ads, and costs vary by category.
• Shipping: Carousell courier partnerships include GrabExpress, Lalamove, AngkasPadala, MrSpeedy, Transportify, LBC Express, 2GO Express, and DHL Express.
• Monthly App Visitors: Around 2.3 million
• Top Selling Categories: Cars, property, fashion, home and living

8. Metrodeal

Metrodeal is an undisputed market leader in Southeast Asia when it comes to discount vouchers for retail, dining, leisure, and travel. The easy-to-use platform makes it simple to upload your deals and reach a massive audience of deal-hunters.

It is primarily a platform for purchasing vouchers for products and services rather than physical products. You just have to visit the website to register and fill-in the needed details. The account executives will contact you as soon as they have available slots.

• Shipping: Shipping type will depend on the seller and the product being shipped. Metrodeal may offer various shipping options, such as standard shipping, express shipping, or local pickup.
• Monthly Web Visitors: 77,000
• Top Selling Categories: Travel deals, dining deals, health and beauty deals.

Let’s Make Selling Easy!

Meanwhile, as you look for the right marketplaces to sell on, it’s also important to be ready with the right technology provider to help you streamline your orders, inventory, and warehouse. This will give you the ease and flexibility to sell on multiple marketplaces, making your business more efficient and profitable.

Whether you’re a small business owner just starting out or a large enterprise looking to expand your reach, the Philippines’ e-commerce marketplaces offer plenty of opportunities for growth and success.

So go ahead and explore the options available, weigh the pros and cons, and take the leap toward expanding your business in the world of e-commerce. Who knows, you might just find the perfect marketplace to take your business to new heights!

Explore our platforms:

• Advanced Logistics Tracking and Returns Management Platform
• Automate Reconciliation of Orders, Returns and Payments
• Best Warehouse Management System in the Philippines
• Inventory Management System to Maximize Philippines Businesses Profitability

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But the increasing options have also created a cluster in the minds of the sellers. Measuring the benefits, and drawbacks of each might seem like an easy task but it could be daunting in nature if you don’t research well.

Talking about the eCommerce industry in the ASEAN countries, there has been a dramatic upsurge in online sales as according to an article by HKTDC Research 40 million people chose online over offline in 2020 alone, increasing the total number of sellers to 400 million from 250 million in 2015. Moreover, Indonesia has been found to have the highest eCommerce adoption with 87% of its internet users having purchased online via devices.

Are you looking to sell across South East Asia? Well, Lazada is one of the most well-known marketplaces in the South East Asian countries. If you are determined to expand your business in the region, it should be on your top-5 list. Let’s check out the exclusive features of the marketplace that can help you build retail capabilities and amplify your business profit margins.

Why Should You Start Selling On Lazada?

Being one of the best marketplaces platforms in the Southeast Asia region, Lazada has the advantage of a wider customer base over other marketplaces. Moreover, Lazada is one of the biggest shopping marketplaces in the SEA region. As per an article by Money Learning Centre, they have more than 300 million Stock Keep Units (SKUs) across all product categories. Apart from their highly affordable fee module, you can leverage their UX- focused design features. Let’s study the reasons for selling in the marketplace.

• Robust Logistics Support: With end-to-end logistics support, Lazada helps the sellers to strengthen their delivery expertise while fulfilling orders quickly.
• Secured Transactions: Having a safe and seamless transaction infrastructure, they offer intuitive and innovative digital payment options which are beneficial to both the sellers and the customers.
• Variety of Options: Merchants and sellers who wish to sell on the platform have a plethora of options to sell across 18 categories under the convenience of one roof.
• Gigantic Sales Events: Lazada presents huge retail opportunities amid the last quarter of the year with huge sales events highlighted by the double number dates; 9/9, 10/10, 11/11, and 12/12. Every year a huge number of bargain hunters swear by the idea of the one-day sales events.
• New Sellers: For those who are budding entrepreneurs, it’s a great opportunity to acquire customers as the platform has the power to help you retain more prospective buyers.
• No Hidden Cost: Another advantage Lazada has over other marketplaces is that there is no hidden cost charged by them, helping you amplify the profit margins.
• Easy-To-Use: While the backend of other sales channels could be quite tricky, It’s simple to use infrastructure that helps you sell products with just a few clicks can help you create a fully immersive experience.
• Single Lazada Account: One of the best things about Lazada is that you can sell your products in different countries with just a single Lazada account without worrying about the logistics in multiple accounts.

With lined-up features of Lazada, you need to follow the below-mentioned steps while starting your own business on Lazada.

Step-By-Step Guide to Onboard as a Seller on Lazada

#1 Registration Formalities 
In order to sell on Lazada, your first step is to register your company on the platform and fill in the necessary documentation. If you have a local business license, Lazada gives you an option to register over Lazada Local.

#2 Dive into Training Sesh
To become a successful seller on Lazada, training sessions are a must. Curated to help you give in-depth information about the interface, the training process focuses on each and every detail so that you are well acquainted with terms and policies.

#3 Activating Seller Account
After the registration, your account will be checked thoroughly for verification purposes. Once it is done, you will be sent an email, containing instructions that you need for the next steps.

#4 Product Listings 
Listing products on Lazada is your initial step to proceed with the selling process. In order to sell efficiently, you need to fill in the details of the products online, including product specifications, product description, image, etc. While you must add each and every detail of the product, it’s important to be precise and write crisp copy.

Pro tip: Use high-resolution images to seize the attention of the prospects!

What to Sell on Lazada?

Known for its versatility, Lazada is the marketplace where a seller can sell any sort of product, right from gadgets to apparel to home appliances. The best part about the marketplace is that it does not charge hidden fees from its sellers. Nonetheless, it’s important for you to understand their fee model in order to learn their commission structure based on which you will be making your sales. Also, if you are planning to start your own business on Lazada, through this commission model of Lazada you will get a blueprint about the particular products that can yield more revenue.

Lazada Fee structure consists of the following: 

• The commission structure of the order varies according to the category of the product. Generally, it ranges from 1% to 4%.
• Coming over to the Value added tax, it depends on the country you want to sell your products in. While Lazada Malaysia charges the lowest fee of 6%, you will be charged the highest in the Lazada Philippines, which accounts for 12%.
• If we talk about the account processing fee, it is 2% of the total sales price.
• Products such as drones, DSLR, Laptops, printers, scanners, televisions, etc., charge a 1% commission.
• Talking about the product categories including, Health & Beauty, Home & Living, Pet Supplies, Fashion, Travel & Luggage, and more, charge 4%. 

4 Strategic Ways To Grow Sales On Lazada

One of the most crucial aspects of selling over a marketplace is the competitive nature that makes it complex for the sellers to distinguish themselves from the competition. Here are a few techniques you can use to grow your business sales with Lazada. Read On!

1. Robust Inventory Management – 

• Manage your inventory operations seamlessly to keep a track of the stock-in-hand so that you don’t witness the situation of stockouts.
• Deploy a single panel that can allow you to have better control over your inventory. You can enable inventory management systems like Unicommerce, which helps you to minimize the risk of overselling while automating inventory tracking for increased cash flow.
• Update inventory across the marketplace by automating the operations that can increase the visibility of stock, minimizing the order cancellations

2. Streamlined Order Management – 

• Manage your order operations by deploying one of the best order management software systems –  Unicommerce that enables sellers to allocate orders and deliver them quickly
• Integrate your system with barcode scanners that will eventually facilitate smooth order processing and returns management
• Emphasis on order returns to manage both RTO & CIR returns while hastening the order returns process to build long-term relationships with your customers

3. Diversified Product Range – 

• Include a wide range of products in your portfolio so that your customers don’t feel monotony in your shopping format
• Make the most of the cutting-edge technology, and try to bring differentiation factor in your product
• Introducing diverse parameters, including multiple colors, shapes, designs, usage, will help you to persuade the customers easily

4. Cross Border Selling With LazGlobal Seller – 

• If you are based in China/Korea/Japan, Lazada gives you an option to become an international seller
• Take the benefits from LazGlobal Seller and access a wide array of tools to expose your offerings to a wider customer base
• Maintain your logistics and fulfillment center in such a way that it becomes easier for you to manage your social presence beyond the borders from the convenience of your devices

To wrap it up, it could be highly fruitful to register your interest in Lazada if you are planning to make a mark in ASEAN countries because undoubtedly Lazada is one of the biggest platforms in the region. Moreover, you can be hyper-active in maintaining your account hygiene over the marketplace, which will eventually pull off the attention of your customers. So, go on and get ready to boost your business with Lazada Marketplace.

Read how businesses are growing with Unicommerce –

• How Edamama achieved 99.99%+ Fulfillment Rate?
• How Luxurious Craving achieved 6K+ Order Management?
• How PayO Asia achieved 10X Growth in Sales?
• How Ellana Cosmetics achieved 99.99% Order Fulfillment Rates?
• UniShip – Advanced Logistics Tracking Platform
• UniReco – Automated Reconciliation of Orders, Returns and Payments
• Key Challenges & Benefits of Marketplace Payment Reconciliation
• Benefits of Shipping Notifications
• Top E-commerce Marketplaces for Businesses in the Philippines

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