CREATE A WINNING

ASSORTMENT
02/07/21
 ABOUT MYSELF

• Founder of The Liquor Shop

• 15 Years In FMCG B2B Business
• 7 Years In E-Commerce
• Lazada Seller Ambassador since
2018
• LAZSTAR ACADEMY Trainer

© Lazada South East Asia Pte Ltd, [2021]

 COURSE OVERVIEW
INTRODUCTION
Assortment is one of the key to expand your business,
increase sales and retain your customers. We’ll look at
essential tips and strategies to help you create an
assortment plan and grow a profitable business.

WHAT YOU’LL LEARN

1. Define Assortment
2. How Assortment Planning can help your business
3. Identify the strategies in Assortment Planning
4. Make your Assortment visible

© Lazada South East Asia Pte Ltd, [2021]

 01 02
What is Assortment? Assortment Planning

TABLE OF in E-Commerce

CONTENTS
03 04
Strategies for Assortment Planning
Assortment Planning Actions & Risk

05
Make your
Assortment Visible

© Lazada South East Asia Pte Ltd, [2021]

 FOR A COMPLETE LINE UP OF NEEDS
Where do you usually go?

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 WHY INCREASE ASSORTMENT?
The Formula for e-Commerce Sales =

Traffic x Conversion Rate x Revenue per Buyer​

Increase Revenue per Buyer by growing Basket Size

(Bigger Assortment = Higher Chances For Customers To Basket
Build)

1 2 3

PRODUCT PRODUCT MARKETING &

ASSORTMENT FINDABILITY PROMOTIONS
(CAMPAIGNS, TOOLS)

© Lazada South East Asia Pte Ltd, [2021]

 01 02
What is Assortment? Assortment Planning

TABLE OF in E-Commerce

CONTENTS
03 04
Strategies for Assortment Planning
Assortment Planning Actions & Risk

05
Make your
Assortment Visible

© Lazada South East Asia Pte Ltd, [2021]

 KEYS TO A SUCCESSFUL ONLINE BUSINESS

Assortment Planning is not just about

increasing your inventory, here are
other benefits as well of assortment and
inventory:
• Greater conversion opportunities
Price Variety
• Higher chances of impulse buy
• A personalized touch
• Offer better customer experience

This is also a great chance for you to

expand your business!

Lead Time Promotions

© Lazada South East Asia Pte Ltd, [2021]

 ASSORTMENT PLANNING IN E-COMMERCE
Time to reinvent your store! Consider the following scenarios:

Out Of Stock Product Demand Product Variety

A customer shops in your store and
is looking for an item that has been
out of stock for 2 weeks now.
Your store is known to sell Whisky
Wine, and a loyal customer asks if you
have a model that other stores have.
Unfortunately, you don’t carry this
model.
A customer finally has found
the brand of Wine that he/she
wants, but you only have it in
past vintage. Your customer
prefers a latest vintage.

You can avoid these scenarios if you had an effective and customer-focused Assortment Plan.

© Lazada South East Asia Pte Ltd, [2021]

 01 02
What is Assortment? Assortment Planning

TABLE OF in E-Commerce

CONTENTS
03 04
Strategies for Assortment Planning
Assortment Planning Actions & Risk

05
Make your
Assortment Visible

© Lazada South East Asia Pte Ltd, [2021]

THE STRATEGIES IN ASSORTMENT PLANNING
To stay ahead, focus on what is in demand and explore other options that customers can still have.

1 2 3 4
~ BLENDED WHISKY
~ BOURBON WHISKY
~ GRAIN WHISKY
~ SINGLE MALT WHISKY

Balance in Your Real-time Action Be in the Trend or Familiarity in

Inventory in Assortment Start One Categorizing

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INVENTORY PLANNING
Assortment planning starts with knowing your inventory well. So, what makes up your
inventory?

+ +
Out-of-season
Inventory Your Basic Models Products
Hot-selling Items

You don’t have to buy it all as there is no assurance that all items will be bought. Basic items in your store can
remain all year round as customers will still be looking for what is consistently available in the market.

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 INVENTORY
In-Season Products
PLANNING
Create a standard process in
your inventory check and plan
for a good product mix in your
inventory.
01 Develop a product mix
• The bulk of your inventory belongs to
original models or staples.

02 Determine item life cycle

• Does the product sell out fast?
• Can the products be kept for the next
season?

03 Decide to dispose or keep

• Dispose those with minimal conversion
and traffic.
Staples or Original Out of season • Restock those that are in demand or
Models products fast-selling.
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 REAL-TIME ACTION IN ASSORTMENT
Keep track of all items that are selling fast and prepare for incoming supplies.

Stock is low

2
Out of Stock
1
2
3

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 REAL-TIME ACTION 2

IN ASSORTMENT Demand
Whether you add or dispose items • How fast did my
products get sold-out?
in your inventory, it is best that
you gather data first to determine • Are they still looking
the need to take action. for this item?

Unsold Items
• Why were these 3
items not sold?
Stock Up
• How long has it • Should I replenish my
been unsold? sold-out items?
• Are the sold-out items
just for this season?

Note: When you sell items, customers buy depending on

the season, need, trend, or quality.
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 BE IN THE TREND OR START ONE
Catch your customers’ attention with something new. Know what your customers are looking
for or create a trend to attract them. Here are some suggestions on how you know or create
trends:

KNOW THE TREND CREATE THE TREND

• Research online using Google Trends • Customise products

• Use Business Advisor to see your • Be creative in advertising

customers want
• Invent something new
• Check your competitor’s performance

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 GET FAMILIAR WITH CATEGORISING
Category trees help buyers narrow down searches if they don’t know the specific item that they
want to buy
Familiarise yourself with the category tree! This is helpful when you’re bringing in a new product, as it’ll let you know
what’s available in your competitor’s store or if it’s already on the platform. Here’s an example:

1 2 3 4 5

© Lazada South East Asia Pte Ltd, [2021]

WHAT MORE CAN YOU SELL?
Building Your Product Assortment

Understand that more coverage leads to more

sales

Find the right and profitable balance between

product width and product depth

Make informed decisions by considering the

assortment factors

Build a consistent assortment mix to build your

brand, earn customer loyalty, and increase your
basket size

© Lazada South East Asia Pte Ltd, [2021]

 01 02
What is Assortment? Assortment planning

TABLE OF in E-Commerce

CONTENTS
03 04
Strategies for Assortment Planning
Assortment Planning Actions & Risk

05
Make your
Assortment Visible

© Lazada South East Asia Pte Ltd, [2021]

 ASSORTMENT PLANNING IN ACTION
Time to reinvent your store! Consider the following scenarios:

Out Of Stock Product Demand Product Variety

Is there a need to restock or
remove the product
completely?
1. Determine the products’ lifespan
in your store.
2. Check the number of customers
requesting for the product.
© Lazada South East Asia Pte Ltd, [2021]
Is there a high demand and
profitable?
1. Are these products already in the
market?
2. Review the demand and
availability in your competitor’s or
on the platform.
3. Check the trends.
What are the variations of the
product? (i.e. colors, brands,
sizes)
1. Check with your suppliers if the
variations are available.
2. Ensure that there is a demand.
3. Does your competitors offer these
variations?
 ASSORTMENT PLANNING RISKS
Here are the potential challenges that you might face when planning your assortment:

1. Space constraint

2. Continuous change in trends

3. Budget allocation

4. Overwhelmed by choices

© Lazada South East Asia Pte Ltd, [2021]

 01 02
What is Assortment? Assortment planning

TABLE OF in E-Commerce

CONTENTS
03 04
Strategies for Assortment Planning
Assortment Planning Actions & Risk

05
Make your
Assortment Visible

© Lazada South East Asia Pte Ltd, [2021]

WHERE TO PUT KEY PRODUCT INFORMATION

Product Name Product Page Attributes

1 2 3
(PDP)

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WHY STILL PUT KEY ATTRIBUTES?
Products with Key Attributes are Featured In:

1 2

1. To Improve Visibility 2. To Match Products to

& Findability of SKUs Right Customers

© Lazada South East Asia Pte Ltd, [2021]

 HOW TO UPDATE KEY ATTRIBUTES?

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 HOW TO CREATE KEY ATTRIBUTES?
Assortment Growth – Boost New Items

STEP 1 STEP 2
1. Go to Growth Center -> Assortment Growth 2. It gives the list of all SKUs that needs create attribute,
select category, search product name

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 HOW TO IMPROVE KEY ATTRIBUTES?
Assortment Growth – Improve Existing Items

STEP 1
1.
1 Go to Growth Center ->
Assortment Growth

STEP 2 22. Select WHITE BACKGROUND IMAGE or LOW ATTRIBUTES FILL RATE,
CLICK : Resolve Now

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 HOW TO IMPROVE KEY ATTRIBUTES?
Assortment Growth – Improve Existing Items
STEP 3

WHITE BACKGROUND

Images with white background

will have higher visibility on
Lazada's shopping
homepage including ‘Just for
you’ and this gives you more
viewerships!

What should I do?

Select the products you wish to
update with white background
and click on the "Use
Recommend Image" button.
© Lazada South East Asia Pte Ltd, [2021]
 HOW TO IMPROVE KEY ATTRIBUTES?
Assortment Growth – Improve Existing Items
STEP 4

MISSING KEY PRODUCT ATTRIBUTES

Key Product Attributes are defining

product specifications that enable
customers to narrow down search
results. Filling the Key Product
Attributes can improve your product
exposure rate.

What should I do?

The following products below have
missing Key Product Attributes. You can
update the key attributes for these
products and click "Confirm Changes"
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 HOW TO IMPROVE KEY ATTRIBUTES?
Assortment Growth – Batch Update

STEP 5
5. Download template

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 HOW TO IMPROVE KEY ATTRIBUTES?
Assortment Growth – Batch Update

STEP 6

6. After selecting Category, it will

lead to the template’s download
link. Click Download

STEP 7
7. On the excel file, provide information
(attributes) in the colored boxes per SKU.
You may check available values in the
Valid Values tab.

For complete instruction, you may check

the Instructions tab.

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 HOW TO IMPROVE KEY ATTRIBUTES?
Assortment Growth – Batch Update

STEP 8
8. Click Upload to be directed to Import Page

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 HOW TO IMPROVE KEY ATTRIBUTES?
Assortment Growth – Adjust Price For Traffic Boost

STEP 1
1.
1 Go to Growth Center ->
Assortment Growth

22. Adjust Price For Trafic Boost

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 EXAMPLES OF KEY ATTRIBUTES FOR WINE

WINE
• Grape Variety
• Vintage
• ABV Alcohol %

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 EXAMPLES OF KEY ATTRIBUTES FOR BEER

BEER

• Lagers / Ales
• ABV Alcohol %

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 EXAMPLES OF KEY ATTRIBUTES FOR WHISKY & SPIRITS

WHISKY
• Bourbon Whisky
• Scotch Whisky
• Japanese Whisky
• Indian Whisky
• Taiwan Whisky

SPIRITS
• Aperitifs
• Cognac
• Vodka
• Rum
• Gin
• Tequila
• Liquer

© Lazada South East Asia Pte Ltd, [2021]

CATEGORY WISHLIST
TOP 5 KEYWORDS
Groceries
1. Bubble Tea
2. Beer
3. Coconut Water
4. Coffee (Beans/Capsules)
5. Milo

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 SUMMARY

• Assortment is about increasing your inventory with sufficient products, variety and meeting your
customer’s demand.
• Create an assortment plan to avoid drawbacks in your business operations.Stay ahead of the game and
focus on what is in demand and explore other options that customers have.
• Using Lazada’s Growth Center, Assortment Growth to update key attributes and increase the visibility of
your products when customers are searching to buy.

© Lazada South East Asia Pte Ltd, [2020]