Marketplaces
🇸🇬 SingaporeSelling on Shopee, Lazada and Zalora as an Indonesian brand
Shopee, Lazada and Zalora put you in front of people already searching — and all of them want a Singapore entity and a local account before you can list as a local seller. Cross-border programmes let you skip that, at a cost.
What this guide covers
- →Local seller versus cross-border seller
- →What marketplaces actually reward
- →Why you should never plan around a quoted commission
- →Which platform suits which product
- →What it does to your pricing and your stockists
Shopee, Lazada and Zalora put you in front of people already searching — and all of them want a Singapore entity and a local account before you can list as a local seller. Cross-border programmes exist and let you skip that, at the cost of higher commissions and a listing that shows a longer delivery time. Marketplaces reward reviews, volume and ad spend, which a new brand has none of.
- Local seller needs a Singapore entity and bank account. Cross-border seller does not.
- Cross-border generally costs more in commission and shows slower delivery — both hurt conversion.
- Marketplaces reward reviews, volume and advertising. A three-SKU brand has none.
- Never plan around a commission figure you read anywhere. Pull a live quote for your category.
- Keep retail price consistent with your stockists, or you will lose them.
The two ways to be on a marketplace
The entity question decides which one you are, and it changes the economics.
| Local seller | Cross-border seller | |
|---|---|---|
| Singapore entity | Required | Not required |
| Local bank account | Required | Not required |
| Commission | Lower | Generally higher |
| Delivery shown to buyer | Domestic | Longer, and visibly overseas |
| Stock | Held locally | Shipped per order from Indonesia |
| Setup time | Weeks, after incorporation | Days |
Cross-border is the obvious-looking shortcut and it is not free. You pay for it twice: in commission, and in the conversion you lose because the listing tells a Singapore shopper the parcel is coming from another country. On a marketplace where the competing listing delivers next day, that is a real disadvantage.
What marketplaces actually reward
Reviews, volume and advertising spend — in that order. The algorithm is not curating; it is ranking on signals of proven sale.
That is why marketplaces are usually the wrong first channel. A new brand arrives with no reviews, no sales velocity and no ad budget, so its listings sit where nobody sees them, while the entity and account it had to create carry ongoing cost regardless.
The brands that do well there arrive with demand already built. They have run pop-ups, they have people searching their name, and the marketplace catches that demand rather than creating it. See where Indonesian brands actually sell in Singapore.
Do not plan around a commission number
Commission rates vary by category, by seller programme and by campaign, and they change. Figures circulate — including the general shape that cross-border costs more than local — and the direction is reliable while the numbers are not.
Before you build a price around any of it, open the relevant seller centre and pull the current rate for your own category. That is a fifteen-minute job and it is the difference between a margin model that survives contact and one that does not.
Budget for advertising as well. On these platforms it is not an optional growth lever; it is closer to the cost of being visible at all, and a listing with no spend behind it is frequently invisible in practice.
Which platform, roughly
They serve different shopping behaviour rather than being better or worse.
Zalora skews to fashion-specific browsing, where people arrive intending to look at clothes and shoes. The general marketplaces skew to search and price comparison, where people arrive knowing roughly what they want.
For a fashion brand with a distinct look, the fashion-specific platform usually flatters you more. For a beauty brand with a product people search by name or ingredient, the general marketplaces reach more of that intent. Either way the entity groundwork is the same, so the question only matters once that is settled.
What it does to your pricing
Marketplace listings compete on price whether you intended to or not, because the comparison is one tap away. That pulls against everything a brand-building channel does for you.
Two rules keep it from damaging the rest of your business.
Keep recommended retail consistent. A boutique that finds your marketplace listing undercutting their shelf will drop you, and they will be right to — they spent their margin building the customer who then bought it cheaper.
Price for the commission before you list, not after. Commission comes off the top, advertising comes off what is left, and a price set for a pop-up rarely survives both. See pricing your product for Singapore.
FAQ
Do I need a Singapore company? For a local seller account, yes. Cross-border programmes exist precisely so you do not, which is the trade this guide describes. See do you need a Singapore company?
Can I start cross-border and switch later? Yes, and it is a reasonable path — prove the demand cross-border, then incorporate and re-list locally once the volume justifies the entity. Expect to rebuild your reviews and ranking on the new account.
How does GST work on marketplace orders? For goods shipped to a Singapore consumer at S$400 or below, GST is collected at the point of sale under the overseas vendor regime rather than at the border. Larger consignments you import to hold locally follow the ordinary import rules. See import duty and GST on clothing.
Are marketplaces worth it for beauty? Same platform logic, but a cosmetic must be notified with a Responsible Person in place before it can be supplied at all — that gate sits in front of any listing. See the Responsible Person rule.
What about TikTok Shop and Instagram? They are demand-generation surfaces that increasingly transact, and they behave more like discovery than like search. Treat them as the top of the funnel pointing at whichever channel you have chosen rather than as a separate business.
Ready?
Talk to us about whether a marketplace fits yet → — free.
Sources: IRAS — GST on imported low-value goods from 1 Jan 2023. Commission structures, seller-programme requirements and delivery presentation vary by platform and category and change frequently; verify against the relevant seller centre for your own category rather than any figure quoted anywhere. Updated August 2026. Operational guidance, not legal advice.