Tesco Lotus and Lazada are trying to get customers outside Bangkok to try out online shopping by introducing online shopping kiosks in some of their Express and Talad convenience stores outside the city.
Strong online growth drives new development
Tesco Lotus has just installed a bunch of Lazada kiosks in their Tesco Lotus Express and Talad shops and if successful, it plans to introduce them at 200 stores every year. These kiosks let people order anything from the online Tesco Lotus shop on Lazada and have their order shipped to their house.
Chakkit Chatupanyachotikul, head of Tesco Online at Lazada, said “since the launch of the Tesco Lotus shop on Lazada in 2014, sales had grown consistently. The percentage contribution of online shopping to Tesco Lotus' overall business was in the single digits, but is growing strongly”.
The Tesco Lotus Shop on Lazada grew by 300% in the past year alone, and the company expects online business to at least double every year, thanks to the organic growth of mobile usage in Thailand, as well as innovations and Tesco Lotus's offers to its customers. Tesco owns an 8.3% stake in Lazada so is well placed to benefit from this relationship.
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