If you’re a business owner in the Philippines, you better get online fast. Why? Because the e-commerce market here is booming like crazy. According to International Trade Administration, the Philippines’ e-commerce market is expected to reach $24 billion, with 17% growth through 2025. This growth largely contributed to 73 million online active users in the country. So don’t miss out on this opportunity and start selling your products on e-commerce marketplaces today.
The continual growth of the e-commerce market, however, has resulted in a sudden increase in online marketplaces in the country. If you’re looking for a way to sell your products online, you might be overwhelmed by the number of options available right now. But don’t worry, we’re here to help you.
We’ve scorched every corner of the internet to come up with a list of the top 5 e-commerce marketplaces in the Philippines for businesses. We took a closer look to understand why these e-commerce marketplaces are best for your business.
What are E-commerce Marketplaces?
E-commerce marketplaces also known as e-marketplaces are online shopping platforms that allow multiple businesses to sell their products in one place. They can be in the form of a website or an app, while some companies offer both an app and website to connect sellers and buyers.
These online platforms usually cover a broad range of products from furniture and appliances to clothing and self-care products. When you display your products on e-commerce marketplaces, they handle every transaction on their platform.
This includes storage, product pick up, delivery, and remittances for cash on delivery orders. To help their online seller, these e-commerce sites also offer customer support and analytics reporting.
The entire marketplace runs on one software infrastructure, allowing all the vendors to sell their goods under the umbrella of one website. In terms of revenue, these companies take a percentage of the sales on any product sold across the platforms.
Top 5 E-commerce Marketplaces for Business in the Philippines
As the Philippines’ e-commerce market continues to surge, the number of e-marketplaces also grows exponentially. While having a presence on these e-commerce sites is a good idea, you don’t need to go after them all at once. You just need to find the best online marketplace for your business. If you don’t know where to start, you may consider selling your products in these leading e-commerce marketplaces.
1. Shopee
Shopee is a Singaporean company that was established way back in 2015. The company entered the e-commerce scene in a very interesting way. Shopee launched its app before its website. This was a strategic decision by Shopee, as it recognized that mobile was the future of e-commerce in Southeast Asia.
Shopee has achieved remarkable success and become the top e-commerce marketplace in the Philippines by adopting this strategy. The platform continues to grow and attract more customers. In April, its website platform had 51.7 million visits according to SimilarWeb’s data.
Selling on Shopee offers many advantages both for individual sellers and businesses. Shopee sellers can get comprehensive seller support, free marketing tools, and an access to integrated logistic system. Shopee also created a Seller Education Hub to help their seller boost their e-commerce sales on their platform.
Monthly Visits: Around 50 million monthly visits
Commission Structure: Shopee takes 3.36% to 6.72% commission on Shopee Mall and 3.50% to 5% commission on Shopee Marketplace.
Shipping Solutions: Shopee Xpress, 2Go, XDE Logistics, Ninja Van, Flash Express, M Lhuillier, and J&T Express
Product categories: Gadgets, fashion, and beauty, home and living accessories, personal care.
2. Lazada
Founded way back in 2012, Lazada is one of the pioneers of the e-commerce ecosystem in the Philippines. Currently, Lazada ranks as one of the most prominent e-commerce marketplaces in the country, with 40 million monthly website visitors.
Aside from the Philippines, Lazada has a strong presence in other Southeast Asian countries including Indonesia, Malaysia, Singapore, Thailand, and Vietnam. It covers an extensive range of products and offers different features to help its Sellers.
If you want to sell on the Lazada platform, you will get all the resources and tools you need on the seller center. Lazada also provided several courses and Livestream programs at Lazada University. The online marketplace also offers its own logistics and fulfillment service to all its sellers.
Monthly Visits: Around 40 million monthly visits
Commission Structure: Lazada takes 1% to 5% commission to Marketplace Seller and 3% to 7% to Lazmall Seller.
Shipping Solutions: Lazada Logistics, J&T Express, Flash Express, XDE Logistics, Ninja Van, Grab Express, Work Link Delivery, and YTO Express.
Product Categories: Gadgets, fashion, and beauty, home and living accessories, personal care.
3. Zalora
If you are in the fashion industry, it is crucial for you to have your business on Zalora. This e-commerce marketplace is among the leading fashion and lifestyle e-commerce players in the Philippines.
Zalora has approximately 214,000 visits last April according to SimilarWeb’s data. Aside from the Philippines, Zalora has also a presence in 7 other Asian countries such as Singapore, Indonesia, Malaysia, Brunei, Hong Kong, Taiwan, and Macau.
Selling on Zalora can get you a lot of benefits. With the marketplace’s strong reputation, putting your product alone on their platform can enhance your brand credibility. What’s more, you can also leverage Zalora’s advertising platform to help you market your brand. Zalora also has a good track record of customer service both for sellers and buyers.
Monthly Visits: Around 200,000 visits
Commission Structure: The commission per product ranges from 10-30% but may vary depending on the product category.
Shipping Solutions: LBC, Entrego, 2GO, 7-Eleven, and DHL
Product categories: Lifestyle and fashion apparel
4. TikTok Shop
We know what you’re thinking right now. Can I really sell products on TikTok? The answer is yes. The fast-growing platform has gone beyond entertainment with the new e-commerce feature – TikTok Shop . With a massive user base, TikTok shop has now become an important part of e-commerce businesses in the Philippines.
Unlike the three previous online marketplaces, TikTok shop lets you sell your products with fun and engaging videos, live streams, and product showcase pages. Since there are a lot of creators in TikTok, it’s also a perfect platform if you want to invest in influencer marketing.
One of the biggest advantage of selling on TikTok Shop is the very low commission fee. TikTok only takes a maximum of 2.5% commission from the final order/payout settlement.
Monthly Visits: 2 billion visits
Commission Structure: The commission per product ranges from 1.3 to2.5% depending on the product category
Shipping Solutions: Ninja Van, but TikTok shop sellers can choose their own logistics.
Product categories: Fashion, clothing, beauty, lifestyle, and home decor
5. Facebook
Facebook isn’t only one of the most used social media platforms, but it has also been a hub for e-commerce for a long time. Like other e-commerce marketplaces in this list, Facebook lets users buy and sell items easily. Users can also browse items by category, location, and price. To negotiate prices, they can chat directly through chat.
Facebook offers different ways for selling products on its platform. For instance, businesses and entrepreneurs have been using the Facebook marketplace since 2016. Merchants can also create an online store on the Facebook page, through Facebook shops. There are also selling groups that can connect you to people with the same demographics. Another option is Facebook Live where you can sell in real-time through live-streaming
Monthly Visits: 17 billion visits
Commission Structure: Facebook doesn’t charge commission fees.
Shipping Solutions: Sellers choose and arrange their own logistics.
Product categories: Fashion, clothing, beauty, lifestyle, and home decor
Sell More on Top E-commerce Marketplaces in the Philippines
Finding the best e-commerce marketplaces for business is crucial for your success. When you are in the right place, you can reach your audience and sell more effectively. Keep in mind that you don’t need to stick to one marketplace. Setting up online shops on multiple platforms can extend your reach and flexibility to make your online business more profitable.
The only problem is that running multiple shops can be challenging. But that’s where Be Global E-commerce Corporation comes in. We offer comprehensive services to help you excel on online marketplaces.
Our e-commerce management team will guide you from creating your online store to setting up the marketing strategy and fulfillment. We also offer logistic arrangements from warehousing to last-mile delivery to ensure that your customers get your product swiftly and safely.
Contact us today and let’s make your e-commerce journey a lot easier.
