Seller Account Policy

10K1 Published on June 30, 2022

Overview of Seller Account Policies

These policies are crucial and important in the initial stages of a new seller’s journey. Lazada has designed these policies after putting data and experiences together because we want to help every seller be successful in their online business.   

Any breach of Lazada’s Seller Account Policy may result in the issuance of up to 48 Non-Compliance Points and deactivation of your store.

Seller Account Policy - Non-Compliance Points Chart

Possible Consequences

(1) Seller Verification

NA

(2) Listing Limitation Rules

NA

(3) Store Naming Policy

Store Name will be changed to default and possible deactivation

(4) Multiple Stores Guidelines

Up to 48 Non-compliance points

(5) Inactive Seller Policy

Holiday Mode


If you receive a warning for violating our policy and you would like to file appeal request, you may do so in the Growth Center.


Seller Verification

Your onboarding will be subject to Lazada’s verification once the registration of your seller account is successful. This includes the verification of your valid government ID and bank documents, among others.

Please ensure that (a) you submit all necessary documents in the requested format; (b) the content of the document is clear and legible; and (c) the document is valid. All information submitted to Lazada shall also correspond to the information contained in your supporting documents (e.g. government ID and bank documents).

You will be notified of the outcome by email. In the event your onboarding is rejected, you may also view the rejection notification and submit an appeal through the Policy Compliance page in seller center.


Listing Limitation Rules

Listing Limitation Rules are in place to help our sellers focus their efforts on performing products and improve the quality of their overall assortment offerings. It has been observed from historical performance that the store tends to lose traffic and sales opportunities when they have many low performing, duplicate, or similar products.

With this rule, sellers are allowed to upload up to 1,000,000 active products on Lazada. Limits can also be adjusted depending on your seller type. For more information, kindly message PSC.

Alongside this, sellers are not allowed to maliciously upload large volumes of low performing, duplicated, or similar products.

Listing Limitation Rules FAQ

Why do we have limitation on the SKUs we can list?

Based on past data, it is evident that most new sellers have better sales when they begin with a smaller number of items. With a smaller number of assortments, new sellers will be able to take the time to be familiarized with the platform and how to upload their catalog accurately.

We strongly encourage all sellers to focus on the quality of their assortment so as to ensure better store performance and sales.

How can we sell better with limited SKUs?

Having more SKUs with weak variety and product quality will not bring more conversions. With a reasonable size of assortment, sellers are able to ensure better quality information in the Product Display Page. This will improve the overall shopping experience of our customers.

How can sellers generate more sales with limited listings?

1. Making use of Variations

Improve visibility of your high performing products.

Sellers are highly encouraged to make use of variations to display the wide range of assortment they have. Variations can be sizes, colors, designs. A product with multiple variations is still considered as 1 product.

2. Better Product Display Page Information

Increase searchability of your products by improving the Content Score of your store.

Sellers should fill up optional attributes to make their products more searchable. Sellers should also ensure that their Product Display Page (product description, product image) should be informative and accurate so as to improve conversion rate.

3. Optimize Assortment

Remove duplicate or similar products and the low performing products.

Monitor the performance of products and be aware of which products do not perform as well as others. Sellers should regularly update their assortment with the better selling products by deactivating the low performing ones and replace them with products with better performance. In this way, sellers will be able to optimize the performance of their assortment.


Store Naming Policy

1.Introduction

1.1.As part of the onboarding process for a new seller, the seller must provide Lazada with a store name and this is an important consideration as it serves as the identity of the seller on the Lazada platform, and it also serves as a keyword that a buyer may use to search for your business online.

1.2.All sellers must comply with the Store Naming policy (the “Policy”) when providing or updating their store name on the Lazada platform.


2.Policy

2.1.Where applicable, a seller’s store name shall:

a. Reflect the nature of seller’s business;

b. Be consistent with the seller’s physical storefront, website, stationery, and as known to customers;

c. Not be misleading.


2.2.A seller’s store name shall not have the following specifications as part of the store name:

a. Lazmall store names;

b. Registered brand names;

c. Derogatory, offensive or sensitive words;

d. Sexually suggestive or explicit content (including profanity, offensive slang terms, terms that are common signals for pedophilia, bestiality, or sexual violence);

e. References to violent or terrorist activities;

f. Only copyright and trademark words or phrases;

g. Existing and any other major platform words (such as Lazada, Lazmall, LazGlobal, Taobao Collections, Alibaba etc.);

h. Only category name;

i. Only numbers;

j. Only country name (if you wish to include country name, you may do so in brackets and should appear at the end of the name);

k. The words flagship, official, exclusive distributor unless you are one and if so, Lazada may require you to furnish proof of such authorization;

l. Only one generic word (e.g. Stores, Whatsapp);

m. Duplicates, such as names that are exactly similar to existing stores;

n. Comparison words (e.g. usage of words such as ‘vs’, ‘better’);

o. Specific products are banned from being sold in your country; and

p. Phone numbers, links, .com.

2.3.A seller’s store name shall adhere to the following format:

a. A string of text or alphanumeric without any special characters and in English or the respective country’s local languages.


3.Enforcement

3.1.The following enforcement actions may be taken against a seller who is found to be in violation of the Policy:

a. Store name being reset to default settings.


4.Suggestion on Length of Store Name

4.1.The store name should be easily searchable, and it is recommended to keep the length of your store name within 6 words or 50 characters.

4.2.You may refer here if you wish to obtain more information on how to change your store name.


Multiple Stores Guidelines

The following rules pertaining to seller accounts are set in place to ensure order is observed on the platform:

  1. Sellers who have been terminated from the Lazada are not allowed to open a new account and trade on Lazada. Sellers who have been deactivated from the platform may have their other associated stores deactivated as well.

  2. Sellers are not allowed to create multiple stores with similar assortment range.

  3. Sellers should not willfully imitate other seller’s store decoration, products, or content, which can cause confusion or difficulties for buyers in identifying the seller.

  4. A unique identity should only have a maximum of 20 active stores with different assortment range at any given time.

Sellers are strongly advised to conduct themselves in a fair and professional manner on the Lazada platform or when representing as a Lazada seller. We do not tolerate cheating or fraudulent behavior. If a seller is found to be involved in any form of cheating or fraudulent behavior, Lazada will not hesitate to take further actions in order to maintain a trusted, reliable, and healthy eCommerce community.

Sellers who fail to comply with the Seller Account Rules will be issued up to 48 Non-Compliance Points. This will result in an immediate deactivation of the seller’s account.

If you receive a notification for violating our policy and you would like to file appeal request, you may do so in the Growth Center.

New sellers may face account restrictions such as Order Volume Limits or temporary deactivation if they are deemed to be suspicious. These restrictions may be lifted once the seller has been verified,


Inactive Seller Policy

At Lazada, we work towards the common goal to be able to provide our customers with a healthy range of assortment from active selling sellers. When buyer purchases from an Inactive Seller*, the order goes unnoticed and ends up being cancelled leading to poor customer service and potential loss of sales.

*Inactive sellers are defined as sellers who did not manage their accounts actively for the last 60 days, sellers who have high cancellation rates, and no delivered history in the past 60 days, or sellers who consistently have high cancellation rates.

To detail, we have Inactivity AND Poor Performance as criteria for Inactive Sellers:

Inactivity

Poor Performance

Last 4 Weeks Cancellation Rate > 10%

AND

Cancelled Items >=5

AND

# of Items Delivered in the Last 30 Days = 0

AND

Transit to Ship (TTS) Rate = 0%

AND

Ready to Ship (RTS) Rate = 0%

AND

Seller Age > 60 Days

W-1 Cancellation Rate > 30% for 4 consecutive weeks

Expectation from Sellers

Sellers are expected to be actively selling on Lazada in order to ensure a good experience for all buyers. We understand that sellers do go on vacations and if there is nobody to manage the orders while you are on vacation, you are strongly encouraged to set your store to holiday mode.

Holiday Mode settings should be done at least 2 business days prior store closing so that you have enough time to complete any pending orders before the actual closing date. For example, if you intend to go on Holiday Mode on March 16 - 20, then please set shop closing latest by March 14.

Please click here to learn more

This helps you too! You will avoid creating unhappy experiences or ratings for your store; where buyers purchase from you while you are away on vacation and end up having their order cancelled because you are not around.

What will happen when a seller appears to be inactive?

When a seller is clearly inactive after 60 days, the status of the store will be automatically changed to "Holiday Mode".

If you meet the criteria detailed above, you will see a notification at the top portion of the Seller Center indicating that your store has been put to ‘holiday mode’ because of inactivity:

When a store is on "Holiday Mode", your products are not visible on the platform. Once ready to start taking orders and manage deliveries again, sellers can simply log in to their Seller Center account and re-activate their stores/turn off "Holiday Mode". This is to reduce cancellation which will potentially lead to negative seller ratings.

What can sellers do?

When a seller is ready for taking orders and manage deliveries, sellers can log in to their Seller Center account and re-activate their stores. This is to reduce cancellation which will potentially lead to negative seller ratings.

You can re-activate your store by following the steps below:

1.Go to Seller Center > My Account > Profile

2.Select “Holiday Mode”

3.Turn off “Holiday Mode”

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