Lazada to migrate RedMart onto its platform on March 15

Singapore

ALIBABA-BACKED Lazada will be integrating home-grown e-grocer RedMart onto its platform on March 15, as part of the group's plan to accelerate the growth of its supermarket business in South-east Asia.

This means that shoppers will be able to buy groceries and fresh produce along with Lazada's other products on a single platform.

RedMart, which was acquired by Lazada in 2016 for an undisclosed sum, will be moving to Lazada at 12 am on March 15. Users can expect the same shopping experience as the new RedMart will feature a similar design and functions as the current app and website, the company said.

Existing RedMart customers can continue shopping on the app and website until 11.59 pm on March 14, before the migration kicks in. Thereafter, they will have to download the Lazada app to continue using the service.

Orders on the new RedMart on Lazada will continue to be fulfilled by RedMart in customers' chosen two-hour delivery slot from 7 am to 10 pm daily, while orders with other Lazada sellers will be fulfilled separately.

Lazada's latest move is aimed at catering to the rising demand of supermarket shopping as consumers increasingly buy their groceries online, the company said.

It added that the grocery market in South-east Asia is expected to be worth some US$309 billion by 2021, with shoppers filling their baskets online more than twice a month.

Elsewhere in the region, Lazada is looking to launch its grocery and supermarket business in at least one other city from the second half of this year.

Spearheading the group's push into the supermarket business in South-east Asia is RedMart co-founder Roger Egan, who has been appointed as Lazada Group head of supermarket. He will oversee the expansion, launch and operations for Lazada's supermarket business and delivery network across the region, the company said.

Asked why it took about two years for Lazada to announce RedMart's integration into its platform, co-president of commercial at the Lazada Group Jing Yin said that the firm was in no hurry to complete the transition because its priority was to upgrade its technical capabilities and improve customer experience.

As for the group's strategy in growing the online supermarket business in the region, Mr Egan said: "We are startup guys - and each one of these new markets will be like a new startup where we have to cater to the local preferences and local customers and local logistics network."

He later added: "Whether we do it ourselves or partner with people, I think we're open."