“The logistic network is the backbone of Daraz’s operation. Our service mainly depends on delivering the orders as quickly as possible. This includes enhancing our in-bound traffic; that’s obtaining the items from sellers, as well as the outbound, and last mile delivery where it goes to the customer. At all junctures of this process, efficiency and speed are key. Therefore, we have highly invested on this operation, creating one of the largest fleets currently operating in the island,” stated Darshika Attanayake, Chief Operations Officer of Daraz.
Highlighting the expansion of Daraz Hubs and its benefits, Darshike added, “Currently we have over 40 hubs covering the country. The hubs serve several purposes in our operations. Overall it increases efficiency and creates a seamless process. Hubs also gives visibility of tracking the delivery, a faster lead time and builds trust between the buyers and sellers, because customers have a physical location for any point of transaction; from ordering to picking up the package or returning it.” Each DEX Hub consists of a minimum of 50 riders, together with administrative officers and customer service. The Hub network allows regional level interaction with stakeholders and enhances the Daraz community. It also operates as education centers for those who are new to e-commerce.
In order to gear up for the traffic during 11.11. Daraz has expanded their hubs by moving to larger spaces, in order to increase capacity during the campaign. Additional drop off stations in several districts have been opened for seller convenience. In addition, the Seller Self-check has been implemented, which allows sellers to drop off their packages more efficiently. More delivery heroes have joined the Daraz team to ensure the fast delivery promised during 11.11., as well as additional warehousing and sort space have been accumulated to the already existing space.
According to Muditha Premarathne, Chief Commercial Officer, Daraz’s Seller Base has had a 170% growth from last year to this year, with approximately 20,000 new sellers signing up during this period, and currently the live Seller Count stands at 50,000. New sellers have been acquired throughout the year in all category verticals, as a result of an aggressive push done on social media and acquisition to attract potential sellers. More importantly, Daraz also conducted daily webinars to new sellers to learn everything about their selling process.
As the pandemic and constant lockdowns resulted in an aggressive development in the E-Commerce Industry as online businesses were the prime solutions to customers’ needs, Daraz worked tirelessly to provide the best possible service to all its sellers and ensured all their needs were fulfilled despite the constant lockdowns, with facilitations in cash flow support as well as warehousing solutions and pickups of orders
Speaking about how prepared the sellers are to cater to 11.11., Muditha commented, “The sellers are eagerly waiting to drive their business growth during the 11.11 campaign. The enthusiasm and hype are real for 11.11 as the sellers have adopted Daraz Seller tools to increase their visibility and traffic towards their stores during the mega campaign period. We also observe a daily growth in the number of deals submitted for the campaign”.
In order for sellers to gain the best E-Commerce experience for the upcoming 11.11 Campaign, the Daraz Marketplace team has worked tirelessly to provide the best possible services. Some of the most highlighted new initiatives that have been implemented ahead of 11.11. include, sending out targeted communications based on the seller’s revenue potential and making them aware of the potential that they can achieve, providing the benefits of Seller Tools, Daraz University and Business Advisor in creating their awareness of how to grow the business in Daraz, competitions such as, Daraz First, Daraz Operations Waddo, Customer Happiness Champs, Daraz Killer Deal Bonanza and Free-Shipping Spree were launched in order to create a high seller engagement during 11.11. In addition, exciting prizes worth Rs. 10 Million are in store for the sellers to drive high level of campaign engagement.
Moreover, Daraz introduced Reverse Deal Hunting (RDHL); a brand-new concept catered to sellers to suggest the best price for their top selling SKUs ahead of 11.11. In addition, a considerable number of compliance related actions are put in place in order for sellers to follow the Daraz SLAs. (Price Hike, Out of Stock Notifications, Packaging Guidelines). Daraz has also taken steps to provide Mega Campaign Packaging Material Promotions to sellers ahead of the campaign and special webinars were conducted to sellers to deliver the benefits of participating in the 11.11 Campaign.
While the Daraz Seller base consist of around 15% Large Scale Business/ Brands, the rest of the 85% are SMEs who are looking to expand their business on Daraz using the online channel opportunities to create a wider market for their products. Daraz has provided dedicated campaign support to the SME segment to make sure they utilize the tools and meet the competencies needed to perform well during the mega campaigns.
“A campaign like 11.11. can strengthen SMEs in various ways. It helps them achieve their first ever 6 Digit Payout, increase their store visibility by 3 times and store traffic by 6 times. The use of seller tool adoption will drive more sales towards their stores and they are able to acquire and retain more customers through 11.11.,” added Muditha.