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|Lazada's second automatic sorting hub|
Delivery in e-commerce industry has been developing rapidly, yet still faces many challenges. In order to improve performance and accuracy, Lazada has invested into automatic sorting centres which use robots to reduce human mistakes.
The first automatic sorting centre in Ho Chi Minh City was put into operation in November 2017 and has tripled its capacity since, as well as virtually eliminated mistakes, contributing to the success of Lazada’s promotion campaigns.
The second facility has just been deployed in Hanoi, with an area and investment scale doubling the first one. The capacity of the system in Hanoi is 10,000 items per hour, which is expected to match the volume of e-commerce products circulating in Hanoi in the next two years. LEL Express will invest into the second phase from then.
This sorting centre can be operated 24 hours a day, and is built to recognise bar codes and deliver to hubs or third party logistics (3PLs). The new system needs fewer employees than the old one because the most difficult phases are completely in the hands of robots.
This second centre has been deployed on the occasion of Lazada’s sixth birthday last month, and the two centres handled millions of items during the three-day birthday campaign.
Vu Duc Thinh, director of LEL Express, introducing the outstanding functions of Lazada's sorting hub
Vu Duc Thinh, director of LEL Express, stated: “If Lazada is a pioneer in the Vietnamese e-commerce industry, LEL Express will be a pioneer in the e-logistics industry. We are very proud to own the first sorting hubs in Vietnam. This system decreases the rate of sorting mistakes to zero, ensuring that the right parcels are delivered to customers—at speed. This shows Lazada Group’s commitment to develop a competitive e-commerce eco-system in Vietnam, as well as bring the best online shopping experience to customers.”
Lazada is Southeast Asia’s fastest growing online department store, with operations in Indonesia, Malaysia, the Philippines, Singapore, Thailand, and Vietnam. Lazada E-Logistics Express is the last mile logistics provider for e-commerce—the key bottleneck of the industry in Vietnam and Southeast Asia—which builds reliable, low-cost fulfilment services to serve Lazada Group and its partners.