Seller Fees & Statement of Account

2

Agenda

1. Understanding Lazada fees

2. Payment cycle

3. Computation of payout

4. Shipping fee

5. Account statement on Seller Center

6. Tax invoice

7. Seller support

3

Definition of Key Terms

Term Description

COD Cash on Delivery

Listing Price The price indicated by the Seller for the sale of goods on Lazada’s platform, including GST but excludes any coupons or other unilateral discounts providedby Lazada to Buyers

Platform The Lazada website, lazada.com.my, and any other internetdomain property or mobile application owned by Lazada

Product An item ordered by the buyer from Lazada’s platform

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Understanding Lazada Fees

For every order that is fulfilled by Merchants, Lazada charges the following feeson delivery of a product to the customer:

Type of fee Definition Calculation

Commission fee A fee payable to Lazada Listing unit price xfor the service of providing Commission rateThe e-commerce platform (+GST)for sales transaction

Shipping fee Amount charged for 3PL chargeable weight x Lazadatransporting product from rate cardone location to another. (Merchant is responsible for the

Input of measurements)

Payment fee Payment gateway fee for Listing unit price x 2% prepaid and handling fee (+GST)

imposed by 3PL for COD

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Understanding Lazada Fees

Administrative FeeA fee of RM53.00 will be imposed by Lazada for non-compliance withSection 4 of the Marketplace Agreement.

The below gives a snapshot of common occurrences :

customer

Type of transaction Definition Calculation

Fake Order Status Order status appears as “ready to ship”, but the product still not packed and ready to be handed to the shipper

RM53 (inclusive GST)for each product

Wrong fulfilment Wrong item being delivered to the

Counterfeit product Fake product, which is an imitation of original product or replica of a brand name, violating any intellectual property right

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Understanding Lazada Fees

Lazada also charges other fees which are variable depending on thetransactions, as follows :

Type of fee Definition Calculation

Shipping fee Shipping fee charged by Lazada for the 3PL chargeable weight x

(product returned) item(s) returned by the Customer due to Lazada rate card +GSTan error caused by Merchant. Example : Wrong, damaged or defectiveproduct

Cancellation fee A fee that would be charged to the Unit price x commission merchant due to not fulfilling an order rate x 2.5 + GSTwithin 24 hours (Minimum amount

RM10 and maximumRM50 for every item)

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Understanding Lazada Fees

Lazada would credit the seller’s account in the following circumstances :

Type of credit Definition Calculation

Commission credit Commission would be Commission fee charged at(Return) reversed on receiving a valid the time of order

return from the customer

Shipping fee credit Amount received by Lazada on 2nd kg onwards behalf of the Seller

Seller credit Any other credit not indicated above, arising from dispute which would be credited to the Seller after being confirmed by PSC ’s investigation

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Agenda

1. Understanding Lazada fees

2. Payment cycle

3. Computation of payout

4. Shipping fee

5. Account statement on Seller Center

6. Tax invoice

7. Seller support

9

Lazada Payment Cycle

1st 14th• First payment cycle is from the – of the month

15th 30th 31st• Second payment cycle is from – / of themonth (Depending on which date the month ends)

• Payments will be received after 5 working days from the end of each payment cycle

Twice Monthly Payment Cycle

1st 14th +5 working days

1st payment cycle Payout Period

15th End of month +5 working days

2nd payment cycle Payout Period

* Do note that the actual payment period will be extended to as long as 5 – 8 working days, this is done to allocate the duration of your financial service provider. The calculations will be enclosed in your payment details upon receiving them.

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Agenda

1. Understanding Lazada fees

2. Payment cycle

3. Computation of payout

4. Shipping fee

5. Account statement on Seller Center

6. Tax invoice

7. Seller support

11

Computation of Payout Per Order

Payout = Listing Unit Price – Commission – Shipping fee - Payment fee

Example of normal payout

RM2,199.00

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Computation of Payout Per Order

Description Rates Total (RM)

Unit Price 0 RM2,199.00

Commission 2% RM43.98

GST for Commission 6% RM2.64

Payment Fee 2% RM43.98

GST for Payment Fee 6% RM2.64

Shipping Fee (incl. GST) RM5.00 RM5.00

Net pay-out 2,100.76

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Agenda

1. Understanding Lazada fees

2. Payment cycle

3. Computation of payout

4. Shipping fee

5. Account statement on Seller Center

6. Tax invoice

7. Seller support

14

Shipping Fee

These rates, terms and conditions may change from time to time.

Areas 1st kg Subsequent kg

WM – WM RM5.00 RM1.50

WM – EM RM10.30 RM10.60

EM-EM (Sarawak- RM5.00 RM8.80

Sabah & SarawakRural Areas)

EM - WM RM10.30 RM10.60

Within Sarawak RM5.00 RM1.50

Major Towns

Within Kota RM5.00 RM1.50

Kinabalu Area

Shipping cost is the responsibility of merchant. If merchant correctly inputs product weight and size, merchant will only bear the first kg with the balance hipping fee being borne by customer.

Rates Negotiated By Lazada

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Reason for Extra Shipping Fees

Inaccurate package’s dimensions

Seller updated wrong package’sdimensions & weight in Seller Centre

& weight

X 15

Actual dimensions

515

Actual weight = 5kg

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Agenda

1. Understanding Lazada fees

2. Payment cycle

3. Computation of payout

4. Shipping fee

5. Account statement on Seller Center

6. Tax invoice

7. Seller support

17

How to View Account Statement on Seller Center

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2

From your seller center homepage:1) Go to “Finance”2) Select “Account Statement”

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Seller Center Account Statement

An account summary for successfully delivered orders

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Seller Center Account Statement

Credit

Debit

Item level charges including price credit, subsidy and adjustments

Approved claims made against delivered orders

General credit related to delivered orders

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2

3

Lazada fees (payment, commission, shipping) for delivered orders

I Penalty imposed, if any, be Lazada for delivered orders

General debit related to delivered orders

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2

3

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6

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5

6

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Seller Center Account Statement

Refunds will be for returned or cancelled orders

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Seller Center Account Statement

For paid transaction, payout will show the final amount receivable by seller and the date payment completed

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Account Statement on Seller Center

Estimated date of pay-out: 12/May/2017 to 14/May/2017 it will take a couple of days to reflect in your account statement.

Estimated date of payout: 12/May/2017 to 14/May/2017 it

will take a couple of days to reflect in your account

statement.

For NOT PAID transaction: Seller Center will show the estimated

fund transfer date

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More Granular and Detailed Information in Account Statement Layout

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Visibility on Bundle Charges

For bundles, sellers are provided with visibility on the value of bundle offerings– orders placed vs costs (discounts offered).

Bundle discount charges are now available in Seller Center account

statement.

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How to Generate Transaction Report From Seller Center

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3 4 5

1) Go to “Finance”2) Select “Transaction Overview”3) Select the date range4) Choose type of transaction data

you need to export5) Click on “Export”

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How to Generate Transaction Report From Seller Center

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6) Click “Download” once the export report is ready7) Open “Finance Export” file to view all data

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Agenda

1. Understanding Lazada fees

2. Payment cycle

3. Computation of payout

4. Shipping fee

5. Account statement on Seller Center

6. Tax invoice

7. Seller support

28

Tax Invoice Cycle

1st 19th 20th – 28th

Month 1

Month 2

Tax Invoice

•

•

•

Lazada would send invoice to sellers every month.

The tax invoice will be distributed to sellers on 19th of the following month.

If seller does not receive the invoice & finds any discrepancies in the tax invoice, contact

General form on Seller support center.PSC by filling up the

Sellers verify and feedback (if

discrepancy found)Send invoice to sellers

The subject month for tax invoice (full

month)

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Agenda

1. Understanding Lazada fees

2. Payment cycle

3. Computation of payout

4. Shipping fee

5. Account statement on Seller Center

6. Tax invoice

7. Seller support

30

Seller Center

Partner Support

CenterLazada

University

Service Market

Place

Seller

Community

Seller Support

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2

3

4

Thank you