1.

0 COMPANIES OVERVIEW

 Lazada

Lazada Group is a Southeast Asian E-Commerce company founded by Rocket Internet in 2012 and is
owned by Alibaba Group. Lazada targets customers accessing the Internet via desktop,
smartphone or tablet and the goal of its performance marketing activity is to acquire new
customers and generate revenue while defending its position as a market leader. As one –stop
shopping destination in South Asia, Lazada offers an easy way to monetize website and apps
through its affiliate program by a revenue-sharing model with up to 10% commission from
each generated orders.

 Lelong
Lelong is a surname, and may refer to Charles Lelong (1891-1970) a French track and field
athlete. Jacques Lelong (1665–1721) a French bibliographer. Lelong.my, Malaysia’s home
grown online marketplace provides complete and affordable E-Commerce platform for buyers
while exposing them with a variety of products and services from more than 10,000 sellers.
Lelong.my is one of the largest E-Commerce online shopping platform in Malaysia offering the
finest selection of products and dedicated to provide the opportunity for customers to own the
best online shopping experience to shop and buy hassle free. Lelong.my mission statement is
“Serving the community and bringing a high standard of quality into homes and businesses by
providing an avenue for on-line trading at a low cost”.

 11Street

11Street is a trustworthy and convenient marketplace that offers a great variety of products at
competitive prices. It strives to revolutionise customers’ online shopping experience by making
it more personalized and engaging. 11Street has a diverse selection of product categories which
are tagged on fashion, electronics, groceries, health & beauty, kids & baby, leisure & sports,
home & living and books & services including E-Vouchers. 11Street is also an optimised
marketplace where its merchandise ecosystem, education and training programs can fully
support sellers regardless of the size of their business. Besides that, 11Street is an open
marketplace operated by Celcom Planet Sdn. Bhd, joint venture between Axiata Digital
Services Sdn. Bhd, SK Planet Ltd and PUC Ventures Sdn Bhd.
 1.1 BUSINESS MODEL
No Item Lazada Lelong 11Street
1. Business B2B2C B2C, C2C B2B2C
Model
2. Customer  Offer lower price  Offer more than 1.3  Offer variety of
value  Free Delivery with million products across products at
proposition payment option categories. competitive price
 Variety of products  Offering One-Stop E-  User friendly and
 User friendly Commerce Solutions navigation
 Promotion by offering  Offering Online  Offering Online
discounts, cash Payment Service Payment Service
voucher, clearance  User friendly and  Frequent deals and
sale and flash sale navigation promotions

3. Key resources  Technology using  All purchases made  Escrow system

agile development through NetPay system. provide safe
method. Faster and  Payment system which transaction.
safer. accredited by Bank  Skilled IT personnel
 Skilled IT personnel Negara, are covered
under the Buyer
Protection Program
(BPP)
 Skilled IT personnel.
4. Key Process  Helps seller /  Saving Time and Money.  Free member
merchant to conduct  User friendly web line registration and
stock management, for easy access. product listing
ensuring availability  Implement fee for store.
and packing of the
product. Free store.
5. Profit  Received 2% profit  Provide online trading at  Zero cost of
from data network low cost. comparing prices
provider.  Pricing by product through internet.
 Commission paid to bundling – selling  Commission 1-10%,
web owner based on strategy. 4-20% (for
consumer access evouchers)
goods in the website.
6. Key  Built partnership  Managed by Interbased  Join venture with
Partnership program with many Resources Sdn. Bhd Axiata Digital
shops and brands  Provide free education Services, SK Planet
leverage such as Friso, classes covers e- and PUC Ventures
Mead Johnson, Nestle, Commerce tips and  Competitive
Nescafe and lots more. challenges to web transaction rates
owner or seller.  Large marketing
fund for campaigns
and promotions.
2.0 SUMMARY OF BOTH EVALUATIONS
3.0 SWOT Analysis

SWOT Analysis is a framework used to evaluate a business’s competitive position and also to
develop strategic planning. SWOT stands for Strengths, Weaknesses, Opportunities and
Threats. SWOT Analysis assesses internal and external factors, as well as current and future
potential. Below are the SWOT Analysis for these three popular E-Commerce sites in Malaysia
which are Lazada, Lelong and 11Street.

1. Lazada

STRENGTHS WEAKNESSES

 Global reach. Lazada Malaysia is a  Products’ quality. Lazada runs on

part of Lazada Group which operates full low cost leadership, so when the
Southeast Asia’s number one online cost is low, the outcome is the low
shopping and selling destination in quality of products. This will affect
Indonesia, Malaysia, Philippines, the business especially when
Singapore, Thailand and Vietnam. customers leave bad reviews in the
 Wide array of choices. Lazada website.
offers over 20,000 products for its  Long delivery timing. Delivery time
customers, ranging from electronics, are based on the date of dispatch, not
gadgets, accessories, sports and the time of ordering. LEX-Lazada
automotive to health and beauty Express may extend to days or weeks
products, as well as home appliances and this causes inconvenience to the
from local to international brands. customers.
 Low cost or cost leadership. Since  Impossibility of physical
Lazada’s overall cost is low, the examination. Almost every
prices of the products sold will be low products sold cannot be touched or
as the prices have been marked down hold and customers are only relying
from their original prices. This will on the pictures and description of the
attract customers to shop in Lazada. products before they can proceed
with the order.

OPPORTUNITIES THREATS

 Can be accessed anywhere and  Competitors. Competition is

anytime. Customers are able to increasing day by day. Though
access Lazada using its mobile app to Lazada leads in terms of website
buy any desired products or even to traffic, but Shopee overtook Lazada
sell and run business from anywhere. to rank as the best app on both
 Lower selling rate. The barrier of Google Play and iOS App Stores.
entry to sell online gets lower which  Security and fraud. Since Lazada is
will cause the increase in numbers of one of the biggest E-Commerce sites
merchants and new sellers. At the in Malaysia today and with that
same time, will influence popularity comes scammers taking
competition. advantage of it. Besides that, Lazada
system does not need the owner of
old email to verify any changes,
 which made it is easier for people to
exploit it.

2. Lelong
STRENGTHS WEAKNESSES

 Niche market. Almost everything  Website not updated. The website is

can be sold in Lelong. Even if the not fully responsive to certain mobile
products are targeted to smaller devices as some pages are responsive
markets, the customers will always but some are not which can be a bit
be somewhere on the net. confusing for customers.
 Wider selection of products.  Low popularity. Even though
Almost anything can be found in Lelong has been in the E-Commerce
Lelong and this gives customers a world in Malaysia for more than 10
wide variety of choices of their years, however the popularity of
desired products. Lelong is still low compared to the
 Faster shipping. Faster shipping other E-Commerce businesses.
helps to reduce shipping costs and  Expensive price. Some of the
this means Lelong will spend less products sold in Lelong are expensive
money on expedited shipping and at compared to Lazada, Lelong and
the same time able to eliminate more others. Customers are likely to seek
expensive shopping options for its for other websites to purchase their
customers. desired products.

OPPORTUNITIES THREATS

 High availability. Along with each  Competitors are catching up.

and every click of the mouse is in Lelong has to compete with other E-
operation. Customers who are busy Commerce businesses such as
during day time still be able to have Lazada, Shopee, 11Street to stay
opportunity to shop as per their ahead in the business.
convenient time even during late 
night hours.


3. 11STREET
STRENGTHS WEAKNESSES

 Attractive website. 11Street website  Hard to gain customers’ trust.

has indirect influence on its While 11Street is known by public
customers’ shopping behaviour. The but it still needs to gain the trust of its
potential customers. The lack of trust
 website is easy to use, navigate and among customers are due to the
also time saving in loading the page. several problems such as website’s
 Lower price. The website offers a lack of security, payment issues and
great variety of products at so on.
competitive prices. This will attract  Data security. Customers are always
customers to buy products using found themselves insecure about the
11Street. safety of their personal and financial
details as these information can be
easily uncovered by hacking made by
irresponsible people.
 Personal aspect. A great number of
customers prefer to buy products at
the stores compared to buying online
as the products sold online cannot be
try or hold.
OPPORTUNITIES THREATS

 Lower barriers for entry. Allows

almost anyone to sell their products
online via social media like
Instagram, Facebook and others.
 Payment conflicts. The payments
are handled by an automated
electronic system which is prone to
errors especially when it handles
large amount of payments on a
frequent basis with more than one
recipients involved.
4.0 Enhancements Proposed for E-Commerce Business

When it comes to E-Commerce internet site s, it is all about functionality, feature article, and
design. Lazada, Lelong and 11Street are the three popular E-Commerce sites in Malaysia that
we have evaluated. The success of many web sites are determined by not only the products
whirled and how well the internet site is marketed, but also by the feature the websites offer
for both the clients and the website possessor. As evaluated, Lazada, Lelong and 11Street have
several weaknesses in terms of website features that they have developed so far. Examples as
listed below need to be enhanced. The data and puppet we have shared so far should be enough
to get started in building a display case for pageboy speed optimization and to improve the E-
Commerce sites public presentation.

1) SEO Friendly URL Test

2) HTML Page Size Test

3) Site Loading Speed Test

4) Google Analytics Test

5) Media Query Responsive Test

6) Inline CSS Test

a) Getting Google Analytics

Google Analytics is a valuable ally in the E-Commerce battle for customer clam. The insights
it provides contains a wealthiest of entropy about the site, the visitant and where they came
from. All this information can be used to find new customers and increase conversions. Using
Google Analytics can give a better understanding on the effectiveness of the marketing efforts,
better understanding of the visitors and optimizing the store for conversions and gross revenue.

b) Leverage a Content Delivery Network (CDN)

A Content Delivery Network or Content Distribution Network (CDN) consists of a grouping
of optimized waiters that are dispersed around the world. It distributes the load of delivering
content via the host that is closest to the visitor’s fix. Essentially, the copy of site content are
stored in each location to shuffle a local user’s experience faster and more reliable. CDN with
tag direction system (TMS) is used to improve the E-Commerce site performance. Instead of
relying on just one server, the CDN will wrench tags from the most optimal server and load
them on the fastest server(s). Given the increasingly international nature of E-Commerce,
leveraging a CDN or CDNs can both increasing upper and reducing price.

c) Organize Tracking with Google Tag Manager

To successfully optimize the E-Commerce website and digital selling strategy, host of customer
data must be collected. Unfortunately, all those JavaScript tracking tag end — for general
analytics, conversions and goals and behavioural retargeting can eventually slow down the site
performance. It is also a time and resources essence for the marketing teams to deploy, test and
proctor the tags throughout the system. As explains, by adding, updating, and maintaining all
those tags, it becomes cumbersome for developers, so vendors like Google created tag
management systems to simplify things.

A tag management system (TMS) like Google Tag Manager condenses all of the MarTech tags
into one JavaScript request. According to Tag Inspector, this supporter is to reduce the number
of required outside call and also making this request asynchronously (in the background, letting
the quietus of your website load independently of the response result). Likewise, if a tag
nonstarter causes the website to go down, having a TMS enables the website to remove the tag
quickly.

d) Optimize Website Layout

After launching the E-Commerce site, it is important to test the website’s layout, language, and
placement of conversion elements. When customers visit the website, it must be easy and
simple to check out so that they will feel naturally inclined to purchase products. Besides that,
the language displayed on the landing and product pages must be tested as well as the language
in the conversion elements and even the strategic placement of icons and elements.

One really nifty tool is Mouseflow which is a free heat map software that reveals valuable
patterns in customers’ behaviour on website. One of the most popular heat maps is the
movement heat map that reveals the most attractive parts of website which based on the visitor
movement data to the website. With a colour guide, Mouseflow will tell where do customers
spend the most time and the least amount of time. If a specific area of page receives more
attention (in white) consider moving your conversion elements to those more attractive areas.
Mouseflow’s heat maps can help to improve the conversions, increase sales and keep prospects
interested.

e) Use Pay Per Click Advertising as a Balance to Search Engine Optimization

Pay per click advertising is similar to search engine optimization except it is paid ads in the
search engines as opposed to organic listings. Pay per click advertising is present at the top of
the search results for different groups of keywords that advertisers specify at the beginning of
a campaign.

For many companies, pay per click advertising is a complement to their SEO efforts that reap
results in the long-term, while PPC can return results in the short-term since they are paid for.
SEO can be best described as an oven, since it heats up overtime and takes a while to cool
down. PPC is more like a microwave that heats up quickly and cools down quickly. When
spending on PPC the ads turn on immediately, but they turn off just as quickly when the
campaign is complete, losing all the company’s rankings for particular keywords that were paid
for through PPC.

f) Minify Code

Poorly coded HTML, CSS, and JavaScript on the web page can seriously slow down the site’s
performance. For an easy fix, Google Developers have created a process known as
“minification” and offer a list of HTML, CSS, and JavaScript-specific resources to help. More
detailed guidance is provided by kangax/html-minifier on GitHub:

Figure 1
g) Search Engine Optimization

One of the most important and manual methods of optimizing a successful E-Commerce
website is making sure that the search engines are optimized. With today’s Search Engine
Optimization (SEO) standards, it is now more important than ever to make sure that the website
is constantly updated with rich and relevant content, promotes a good user experience (UX),
and is optimized to be as error-free as possible.

The content within the website should be rich, reliable, and provide information to the
customers that is useful and relevant to what they are looking for. For example, if the website
is selling camping supplies, it is wise to provide detailed product information and possibly even
host sections of website that offers generous amount of contents that elaborate on the topics of
camping, supplies, or related subjects. Using keywords within content in a genuine way will
also flag the website as a matching result in search engines when customers are looking for
something specific.

h) Build ‘Assortment Intelligence’ Tool

Customers are forcing retailers to change their pricing strategies. Therefore, it is imperative
that multichannel retailers apply flexibility when it comes to their price structuring in order for
them to retain customers. Retailers are turning to assortment intelligence, a tool that facilitates
an unprecedented level of 24/7 visibility and valuable insights into competitors’ product
assortments. Businesses can monitor their competitors’ product mix, which would be
segmented by product and brand as well as the percentage of overlap. This intelligent tool then
provides businesses with the ability to quickly adjust their own product-mix and pricing with
high accuracy. The intelligent software puts retailers in a strong position to make specific
assortment and planning decisions, and track the business impact of those actions.

k) Reduce Redirects and Broken Links

Additional performance issues can be caused by too many redirects and broken links. While
redirects are helpful to send visitors to new URLs, they should be used sparingly. 302 redirects,
which indicate a page has been moved temporarily can hurt your SEO, trigger additional HTTP
requests and delay data transfers. Instead, use a “cacheable redirect” or Shopify’s built-in
redirects function which are 301s by default within the Navigation panel.

l) Easily Understood Navigation

Good navigation helps new customers find what they are looking for without hassle. On the
other hand, poor navigation frustrates them and may even lead them to abandon the site. The
main idea is to present a clear path from the landing page to checkout.
Much of the time, this is going to constitute presenting only the most crucial categories or pages
in the main navigation and delegating less important destinations to drop-downs or the site
footer. If the site has quite a few products and navigation is getting tricky, the built-in Layered
Navigation widget can be added thus allowing customers to filter their search results by colour,
size or other criteria.

m) Media Queries

Media queries have existed since the early 2000s, but it wasn’t until 2012 that they became a
W3C recommended standard. Like fluid grids, media queries represent a cornerstone
technology behind responsive web design. Thanks to media queries, a website can gather data
that helps determine the size of the screen a visitor is using to access it. Once it has that
information, it then conditionally loads CSS styles that are appropriate for that particular screen
size.

5.0 CONCLUSION

Electronic commerce eliminates the construct of national borders in transactions between

enterprises and customers. It will increase the amount of cross border transactions that happen
and can thus be a force within the creation of more and more borderless markets. The
emergence of cross-border transactions on the web provides developed and developing
countries (both corporations and individuals) the chance to participate in world markets and
might be a tool for overcoming the disparities between countries (or individuals) in access to
data.

Staying current with the most recent selling trends and techniques is crucial for any no-hit E-
Commerce web site. It is vital to deliver relevant, attention-grabbing and valuable content and
product that really suite the wants of the target market. Reach resolute customers in a very kind
of ways in which and ensure everybody are operating with a team of specialists with varied
talent sets. Besides that, looking over at the web site analytics to look at trends will keep the
website optimized and at the same time tracking the results.