Lazada Philippines is committing over P3 billion to expedite e-commerce adoption in Mindanao, as part of the Alibaba-owned platform’s broader efforts to make online shopping more accessible and affordable nationwide.
“We’re definitely talking about billions of pesos. It may vary depending on the year, but between shipping subsidies, seller support, and infrastructure, it’s more than P2 billion to 3 billion for sure,” Lazada Philippines chief executive Carlos Otermin Barrera said in an interview Monday, ahead of the company’s 6.6 mid-year sale event.
The e-commerce giant has laid out a three-pronged strategy to boost Mindanao’s digital economy, beginning with heavy buyer-side investments.
These include lowering delivery costs, which have historically been the highest nationwide, by over P40 per shipment and subsidizing promotions and vouchers to attract new users.
“Mindanao has one of the lowest e-commerce penetration rates in the country, and we’re addressing that head-on with aggressive online marketing and sampling campaigns,” Barrera said.
Lazada is also doubling down on support for sellers in the region with the recent opening of a dedicated office with account managers focused on onboarding and nurturing new entrepreneurs.
Over 500 local sellers have already joined the platform in the past few months, aided by co-funded vouchers, commission waivers, and growth packages to help them gain traction.
On the logistics front, Lazada is expanding its fulfillment network by building new hubs and strengthening its ecosystem in Mindanao, while actively partnering with financial service providers to offer “buy now, pay later” options for consumers and tailored financing solutions for sellers.
As Lazada ramps up these investments, it is also leveraging artificial intelligence to improve customer service and optimize its marketplace experience.
“What sets us apart is the mix—we’re not just about fashion and electronics. You can shop for your milk, groceries, and beauty essentials, too,” Barrera said.
For this year’s 6.6 sale, shoppers can expect up to P2,000 in discount vouchers, time-limited group deals, and influencer-led campaigns tailored to the Philippine market, one of the top influencer-driven markets in Southeast Asia.
“The Philippines is a standout market for content creators and influencers. We earmark funds and deploy them based on performance. We’re one of the top two countries in terms of influencer impact,” he said.
