E-commerce: the major battle is in their warehouses, delivery services
VietNamNet Bridge - The major battle among e-commerce firms is quietly occurring in their warehouses.


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Euromonitor estimates the 32% growth rate for the e-commerce market




At 11 am every day, the cargo classification system of LEL Express, the delivery unit of Lazada Group in HCM City, begins operation. This is an automated conveyor which extends from the warehouse’s entrance door to exit door.

At the entrance door, goods are placed on the conveyor belt and go to DWS device. which classify the goods according to weight and delivery routes. 

Undetermined packages will be transfered to the end of the conveyor belt for checking again before being returned to the system. All the phases are automatic. 

"It takes about one minute to classify one package of goods," explained Vu Duc Thinh, director of LEL Express.

After a series of problems that occurred in sale promotion campaigns recently, leading e-commerce firms in Vietnam realized that the delivery time will be the next problem they need to settle.

After a series of problems that occurred in sale promotion campaigns recently, leading e-commerce firms in Vietnam realized that the delivery time will be the next problem they need to settle.

A standardized delivery process consists of three steps. E-commerce firms see partners to get goods. Later, the goods are carried to warehouses where the classification is implemented. And finally, goods are delivered to buyers.

According to Thinh, it is nearly impossible to save time in steps 1 and 3, and this can be done only with the second step – goods classification.

Tiki makes every effort to shorten the delivery time, offering 2-hour delivery service. It has applied a solution that optimizes storage and pickup.

With the solution, goods are optimally arranged with the occupancy rate of 90 percent. Refrigeration and electronic goods are put near the door and separated from other goods.

Along the length of the storehouse, there are at least 80 shelves 2m high. The the distance between two shelves just enough for two people to collect. 

At the bottom of each shelf, there are different colors on the bottom to distinguish the size of the goods ordered.

Software plays an important role in the company’s goods arrangement. Tiki’s workers may put books, swimming glasses and sportswear on the same tray, but the system will rearrange and show the best way to pick up goods.

Shoppee recently launched a trial service of delivering goods within four hours, applied to sellers and buyers in certain districts of HCM City.

Euromonitor estimates a 32 percent growth rate for Vietnam’s e-commerce. 

There are 50 fast delivery units now in the market.


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Kim Mai

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