helloPay: a vertical integration strategy for growing big

Lazada Group is the pioneer of Southeast Asian eCommerce ecosystem. It operates out of its own online shopping website as well as hosting a marketplace with strong presence in six countries .i.e. Indonesia, Malaysia, Philippines, Singapore, Thailand and Vietnam. Group serves over 55 million unique visitors per month and its claims it can access more than 550 million consumers across the countries in which it operates. So far, Lazada sold over 2000 brands across categories ranging from consumer electronics to household goods.

Lazada added helloPay, a payment service in November 2014. It replicates the strategy adopted by other pioneering e-commerce players like Alibaba with Alipay and eBay with Paypal, working as a payment solution of Lazada. It is an important service as mobile payments are picking up in Asian countries due to low penetration of debit and credit cards.

helloPay is likely a winning strategy for Lazada:

Mobile-First Shopping: 

  • Mobile accounts for almost two-thirds of all traffic in 2015 in Lazada’s marketplace. South Asian countries use mobile as the primary device to connect to the internet. Mobile payment systems will widen the opportunity to reach new e-commerce customers.

Ecosystem Vertical Integration:

  • helloPay powering money transfer services using mobile number and email addresses will deliver an integrated remittance system. This will tend to engender familiarity and confidence among rural customers to use on-line services.
  • Additionally, it offers payment APIs for merchants enabling them to extend their reach. This will enable broader sales and potentially increase their profitability.

Online to Offline (O2O) Integration:

  • helloPay has a competitive edge over Paypal, in Online to Offline (O2O) presence. Paypal is an international player with a strong foothold in the online space, but it has so far failed to penetrate significantly in the offline markets with low credit/debit card penetration. Using helloPay, customers can ‘buy’ on line but complete the transaction by paying in and collecting the goods from a local associate shop. This approach is helping it rapidly advance in Asian countries with low debit & credit card penetration.
  • With this strategy, Singapore and Philippine are to be primary focus markets for helloPay due to the strength of the Lazada ecosystem and the absence of major O2O competitors. It is also looking to expand in other South East Asian countries that have a Lazada footprint. Countries like China, India are not included in its short-term expansion plan.

Big Sales Festivals:

  •  Lazada continued its three-year-old Singles’ Day shopping festival with massive discount up to 95% on selected product to attract new customers. This festival is a replication of “Singles’ Day” from Alibaba, which has become a phenomenon in China. Lazada started the Singles’ Day promotion on 11th November 2015 and run for one month through 12th December to grab the opportunity of pre-Christmas holidays sales. With helloPay Lazada is luring customers to lock at least part of their activity to the Lazada ecosystem.

Hellopay Promotion


HelloPay promotion2

Signup & Referral Bonus:

  • $5 to $10 is in place for new signup and signup using referral to spread lazada footprint amongst new customer.
  • To maximize the benefit from its own ecosystem, Lazada is offering a special discount to opt for helloPay while buying from its Lazada website, creating a habit building exercise for existing customer.


  • Mobile payment is there to bridge the gap between customer and e-commerce seller. It will also be a vital tool to create a vertical ecosystem to provide end to end services.
  • helloPay is optimized for mobile payments that are critical in markets with low penetration of credit & debit card.
  • However, long-run success will mostly depend on obtaining and maintaining relevant partnerships in the e-commerce ecosystem with good online and offline presence.

For more information on this or for further questions regarding our in-depth latest research, insights or press enquiries feel free to reach out to us at .

Author: Pavel Naiya

Term of Use and Privacy Policy

Counterpoint Technology Market Research Limited


In order to access Counterpoint Technology Market Research Limited (Company or We hereafter) Web sites, you may be asked to complete a registration form. You are required to provide contact information which is used to enhance the user experience and determine whether you are a paid subscriber or not.
Personal Information When you register on we ask you for personal information. We use this information to provide you with the best advice and highest-quality service as well as with offers that we think are relevant to you. We may also contact you regarding a Web site problem or other customer service-related issues. We do not sell, share or rent personal information about you collected on Company Web sites.

How to unsubscribe and Termination

You may request to terminate your account or unsubscribe to any email subscriptions or mailing lists at any time. In accessing and using this Website, User agrees to comply with all applicable laws and agrees not to take any action that would compromise the security or viability of this Website. The Company may terminate User’s access to this Website at any time for any reason. The terms hereunder regarding Accuracy of Information and Third Party Rights shall survive termination.

Website Content and Copyright

This Website is the property of Counterpoint and is protected by international copyright law and conventions. We grant users the right to access and use the Website, so long as such use is for internal information purposes, and User does not alter, copy, disseminate, redistribute or republish any content or feature of this Website. User acknowledges that access to and use of this Website is subject to these TERMS OF USE and any expanded access or use must be approved in writing by the Company.
– Passwords are for user’s individual use
– Passwords may not be shared with others
– Users may not store documents in shared folders.
– Users may not redistribute documents to non-users unless otherwise stated in their contract terms.

Changes or Updates to the Website

The Company reserves the right to change, update or discontinue any aspect of this Website at any time without notice. Your continued use of the Website after any such change constitutes your agreement to these TERMS OF USE, as modified.
Accuracy of Information: While the information contained on this Website has been obtained from sources believed to be reliable, We disclaims all warranties as to the accuracy, completeness or adequacy of such information. User assumes sole responsibility for the use it makes of this Website to achieve his/her intended results.

Third Party Links: This Website may contain links to other third party websites, which are provided as additional resources for the convenience of Users. We do not endorse, sponsor or accept any responsibility for these third party websites, User agrees to direct any concerns relating to these third party websites to the relevant website administrator.

Cookies and Tracking

We may monitor how you use our Web sites. It is used solely for purposes of enabling us to provide you with a personalized Web site experience.
This data may also be used in the aggregate, to identify appropriate product offerings and subscription plans.
Cookies may be set in order to identify you and determine your access privileges. Cookies are simply identifiers. You have the ability to delete cookie files from your hard disk drive.