Many international exporters reside outside of Asia and want to sell cross-border on Lazada.
A common question is therefore how you can deal with customer returns and failed deliveries. Who will take care of the parcels and is it even possible to get them back, while you are on the side of the globe?
Luckily, you don’t need to be physically present at all. The process can be managed with the help of Lazada’s logistics services and with a separate 3PL company.
In this article, I go into greater detail and explain the information you need to know about how to manage failed deliveries and customer returns on Lazada.
- Acceptable reasons for customer returns on Lazada
- The process for customer returns and failed deliveries
- How to manage returns and failed deliveries for cross-border sales
- Lazada’s re-routing process for failed deliveries
Acceptable reasons for customer returns on Lazada
Lazada’s return policies are pretty much the same for all ASEAN countries. Customers can return products in all countries, except for Vietnam, based on the following reasons:
- The product was not as advertised (content / image / specifications)
- The buyer received the wrong item
- There are missing parts / items
- The buyer received counterfeit products
- Issues related to the product quality (damaged / defective / used / below expectation)
In Thailand, customers can also return products simply due to a “change of mind”. This is needed for Lazada to comply with Thailand’s consumer protection laws and is thus not negotiable.
In case a product doesn’t fit, due to the wrong size, for example, customers cannot return products in any of the other countries.
It’s not strange that O2O becomes increasingly big and where eCommerce buyers first try out a product offline in a store and then buy it in a store, or vice versa.
Are there price limits for product returns and cross-border sales?
Yes, products that cost less than USD 10 (in local currencies) cannot be shipped back to Lazada’s sortation center in Hong Kong.
The reason behind this is that the transaction costs and shipping costs will be greater than this amount and it’s not worth managing the return. In some countries like Vietnam, returns are also not possible due to tax reasons.
Keep in mind that the exchange rates change continuously. In general, the following values apply:
- Indonesia: IDR 130,000
- Malaysia: RM 40
- Philippines: PHP 460
- Thailand: THB 350
- Singapore: SGD 14
How long time after the purchase can customers return products?
Buyers can return products within 7 days in Thailand, Malaysia, the Philippines, and Indonesia.
In Singapore, customers can return products within 14 days. As mentioned, Vietnam doesn’t accept any returns to sellers at all that are located overseas such as China.
Process for customer returns on Lazada
If case Lazada cannot re-sell your product to another local buyer within 7 days (14 days in Singapore), the return process is like follows:
- Customer receives the product
- Customer decides to return the item
- Lazada performs a quality check (QC)
- Products valued above USD 10 are shipped back to Hong Kong
- Products arrive in Hong Kong
- Products to be delivered or picked up by the seller
The lead time from Lazada’s quality check until you receive the products is usually 10 – 60 days.
Process for failed deliveries on Lazada
Sometimes, last-mile deliveries fail to end customers. This can happen if you are absent during the day when Lazada tries to ship a parcel to your home. Perhaps you are at your office and didn’t expect the delivery at the time.
Some of the most common reasons for failed deliveries are:
- Consignee not at home
- Lazada could not reach the consignee
- Wrong consignee information
Customer returns and failed deliveries can affect your sales and brand reputation. It’s important that you manage this carefully for a great customer experience.
Process for failed deliveries
- The shipping company fails to deliver the parcel to the customer
- The shipping company makes 2 more attempts to deliver the parcel
- If failed, it’s kept in a local cross border venture for up to 4 weeks
- Lazada tries to resell the product locally (Singapore excluded)
- After 4 weeks, the product is sent back to Hong Kong
- The product arrives in Hong Kong
- The product is delivered directly to the seller, or picked up at Lazada’s sortation center
How to manage product returns as a cross-border seller on Lazada
First of all, you need to register with Timeslogistics’ return system by creating an account and fill in your company address.
When managed, go to Seller Register and fill in your postal address for returned items, your name, company name, and contact person.
To check your returned items, visit Timeslogistics’ website (times-reverse) and go to “My Return Order”.
Here, you can see all items that have been returned to Hong Kong. You’ll see two different reasons/codes:
- Failed delivery (FD)
- Customer return (CR)
If you want to retrieve the products, press on “Book for Self-Pick”. If not, you can simply press the “Dispose” button and Lazada will scrap the package.
After you’ve pressed on “Book for Self-Pick”, you can visit Lazada’s sortation center in Hong Kong on the selected date.
When do I need to pick up my returned products at Lazada’s sortation center?
Click on “Book for Self-Pick” within 15 business days from the day your item arrived in Hong Kong.
You need to press on “Book for Self-Pick” at least 24 hours before visiting the sortation center. In addition, you need to send an email with information about your visit to the persons in charge at Timeslogistics.
Visit the sortation center and collect the items within 15 business days from the item inbound date.
How can I get back my returned products?
If you’re a seller in Hong Kong, Lazada will deliver the returned products to the address you input in Timeslogistics.
Thus, if you open a company in Hong Kong and use Hong Kong as your fulfillment hub, your products will be delivered to your doorstep.
If you operate outside of Hong Kong, your seller-selected items can be picked up at Lazada’s sortation center, free of charge.
So how can I pick up my products if I’m not present in Hong Kong?
According to Timeslogistics, separate 3PL companies normally help non-Hong Kong based cross-border sellers with the collection of returned products.
They later send back the products to the country of residence of the seller.
In Korea, Rincos operates on behalf of Lazada (instead of Timeslogistics) and delivers returned packages directly to cross-border sellers based there.
Chinese cross-border sellers, on the other hand, use Lazada fulfillment centers in Shenzhen and Yiwu (not Timelogistics sortation center in Hong Kong).
Lazada’s re-routing process for cross-border sales
Lazada has introduced an efficient re-routing program that highly benefits cross-border sellers.
In all countries, except for Singapore, you’ll find a number of cross-border ventures. Here, failed deliveries are kept for up to 4 weeks, waiting for other locals to buy them.
And it’s 100% free of charge for you as a seller. Lazada takes care of all the work.
Do I still need to pay the first shipping fee and payment service fee, in case of delivery fails?
Yes, you need to pay for both the initial shipping and the payment service fee. However, you don’t need to pay for the shipping back to Hong Kong.
How can buyers return products via popstations?
Buyers in Singapore, for example, can return products via so-called popstations. These are return stations that buyers can visit 24/7.
If you plan to sell in Lazada, you should get an understanding of how these work. Below I have summarized the steps involved when buyers return products to popstations.
- Step 1: View all orders
- Step 2: Choose the order you want to return
- Step 3: Press return
- Step 4: Select return reason
- Step 5: Write a message / Select drop off
- Step 6: Select SpeedPost for popstation return
- Step 7: Click submit
- Step 8: Click on more details
- Step 9: Key in the tracking number
On Lazada’s website, you can find the closest popstation to your home for optimal convenience.