Once an order is placed on the platform, sellers package and send the goods to Shopee’s warehouses for delivery to customers.
The new policy, introduced late last month, allows customers to cancel their orders even if the items are on their way to the warehouse. Previously, customers were only allowed to cancel their orders until the seller had shipped the items to the warehouse.
The policy is being tested with selected merchants in Ho Chi Minh City and Hanoi who use Shopee's standard delivery service, SPX Express.
The change gives the company an edge over competitors such as Lazada and TikTok Shop in terms of user-friendliness, as cancellations are only allowed up until the shipping stage.
Time frame for buyers to cancel orders on Shopee, Lazada and TikTok Shop. Chart from VnExpress/Vien Thong |
But the change has met with mixed reactions: Shoppers, of course, are happy that they now have more control over their shopping experience.
Ms Tang Tang, 36, who regularly shops online, said it saves her the trouble of receiving and returning items.
“I think it's easier to cancel an order if it's still on its way. Sometimes you pick the wrong item, find a better seller, get the item another way, or regret your purchase.”
But many sellers fear further pressure. Home goods seller Huyen Tran said she hasn't yet received any order cancellations, but sellers may need to invest more in managing their inventory.
“We understand that platforms are trying to attract and retain buyers, but these policy changes put us under pressure. If sellers don't have efficient systems, they may lose returned or canceled orders.”
Do Quang Huy, a university lecturer specializing in e-commerce, agreed there could be pitfalls: If an order is canceled mid-transit, the goods might not be sent back to the merchant right away, and shippers might have to wait until they have enough, he said.
This increases the risk of goods being lost or returned incorrectly, he said. “Sellers therefore need additional controls to check and deal with such cases.”
respond VnExpress In response to a question, Shopee said the policy is aimed at improving user experience as well as benefiting merchants.
The company says that by stopping shipments earlier, sellers will spend less time waiting for returns and that it will also reduce the chances of returns and refunds after delivery, saving sellers money as they have to cover the shipping costs in such cases.
The company said orders canceled during the extension period will not affect sellers' performance ratings and they will not be required to cover delivery costs.
“If the cancellation request is approved but the item has already been delivered to the buyer, Shopee will compensate the seller.”
According to the first quarterly report from e-commerce information firm YouNet ECI, Shopee is Vietnam's top e-commerce platform with a 67.9% market share.
But TikTok Shop has emerged as a formidable competitor thanks to its expertise in livestreaming: The company's market share grew 6.3 percentage points from the end of 2023 to 23.2% in the first quarter, according to the report.
To maintain its lead, Shopee has continuously added policies to attract and retain customers, often at the expense of its merchants.
The company updated its refund policy in March, extending the return period for customers from three to seven days to 15 days, after many sellers complained that customers were returning products after using them.