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According to reports, SingaporeLazada has laid off employees at different levels in multiple departments, including those in the e-commerce and marketing departments. The affected employees received an email on January 2nd and had a separate meeting with the company's personnel department on January 3rd.
LazadayesOne of the largest online shopping websites in Southeast Asia. Obtaining German Entrepreneurship IncubatorRocketInternet Supported by SamwerBrothers, Lazada primarily targets users in Indonesia, Malaysia, the Philippines, and Thailand. Lazada Group has been the flagship e-commerce platform of Alibaba Group in Southeast Asia since 2016. In December 2023, Southeast Asian e-commerce company Lazada obtained $634 million in capital from its parent company Alibaba Group.
Lazada's leadership team has undergone many changes in the past few years. In June 2022, the CEO of Lazada Group was replaced by James Dong, who had previously served as the CEO of Lazada Thailand and Vietnam. For its parent company Alibaba, 2023 has been a turbulent year as the company cancelled its plan to spin off its cloud business and underwent a management restructuring.
Lazada did not provide any details regarding the number of layoffs, compensation, etc. to the public.Lazada's Singapore spokespersonIndicating:"We are actively adjusting our workforce to better position ourselves and meet future business needs in a more flexible and streamlined way. This transformation requires us to reassess our labor needs and operational structure to ensure that Lazada can better provide future security for our business and employees."
For Alibaba,Lazada has always played an important role in its international business sector, and this significant layoff move means that Lazada is truly feeling tremendous pressure. Meanwhile, Lazada's main competitor Shopee also carried out large-scale layoffs last year, which may reflect the deterioration of the local e-commerce market environment in Southeast Asia.
Looking at the entire industry,Lazada is facing fierce competition from many competitors: in addition to heavyweight players such as TikTok Shop and Temu entering the market, local e-commerce giants such as Tokopedia and Bukalapak dominate, and a group of giants are fiercely competing in Southeast Asia. It is not easy for Lazada to stand out.
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