The you can’t physically touch or examine the product.

The fourth principle says that items with low demand are still worth pursuing. One of the major limitations of traditional retailers is their limited shelf space. Due to limited shelf space, most, if not all traditional retailers do not provide products that have relatively low demand. Online retailers don’t have this problem, so they can provide those products. This is marketing strategy can slowly bring in consumers, and they would rather buy all the products they need that the website provides than buying some from the website and the rest somewhere else.The last principle states that different locations require different customer acquisition strategies. Internet retailers can access many marketing methods like word of mouth, online search and traditional advertising. Their effectiveness varies from one place to another, so research must be conducted to determine marketing method. These principles will prove to be ineffectual if the company is unable to understand and distinguish the difference in consumer behavior between the two . Traditional shopping allows consumers to examine the products, communication between consumer and the employees and instant gratification; however, it also involves high travel and search cost. Restrictions on shopping hours can also greatly limit the number of customers of a business. Consumer BehaviorIn the consumer’s point of view, online and traditional retail stores each have unique features. Online shopping does not entail travel costs or product carrying costs.There are also no restrictions on shopping hours. These characteristics provides for an accessible, convenient and time saving shopping experience. However, you can’t physically touch or examine the product. The most you can see is through the screen. There is less business-consumer communication. The two builds doubt in the consumer’s mind and makes the consumer doubt the quality of the product, having not examine it himself. There is also no instant gratification which is, often, a very strong psychological motive for a customer to purchase a product. Online retail also incurs shipping and handling costs.Consumers use the two options differently and will definitely have varying behaviors when making purchases online and offline. There are various factors such as social, technological, economic, demographic, political, legal, cultural, psychological and other personal factors that affect customer behavior. These, of course, are beyond the influence and control of the business and is for the business to adapt to and strategize.Lazada’s Marketing Strategies2013From its launch in April 2012 to June 2013, Lazada has raised its total amount of funding to more than $286 million. In 2013, the online marketplace expanded its presence and operates in Singapore, Thailand, Vietnam, Malaysia, the Philippines, and Indonesia. On August 2013, Lazada decided not to limit itself to the B2C commerce. To address the large number of partnership requests, Lazada launched the Lazada Marketplace to allow merchants to sell in their website. In Indonesia, Lazada’s website had 250,000 visitors per day and claimed to have a 20 percent monthly growth. The company was building logistics operations and already has control over its supply chain. The company wants to ensure direct shopping solutions for customers, which means that Lazada should have its own delivery channel. In Malaysia, Lazada was focusing on localisation to attract more customers. The company is working on a local Bahasa Malaysia website. The local language will be used to attract the Malays, who take up more than half the population. In Vietnam, Lazada’s application accounted for ten percent of transaction volume in its ten days of operation.2014Lazada’s net revenue was $154.3 million in 2014, which was more than twice the net revenue in 2013, $75.5 million. The company’s net operating losses were $152.5 million, also more than twice the 2013 revenue of $67 million. For online retailers, a key indicator of growth is in Gross Merchandise Volume (GMV), the sales value of products sold. In the case of an Lazada, another measure is the percentage of losses relative to the GMV. In this respect, Lazada is progressing.YearGMVLossesPercentage of Losses of GMV2013$95,000,000$58,500,00062%2014$384,000,000$146,700,00038%2016In 2016, Lazada showed its interest in going for the offline market. Lazada partnered with Unilever and 7-Eleven Malaysia. It’s partnership with Unilever was an effort to address the growing middle class in Southeast Asia and communicate with them directly.(Maximilian Bittner). Its partnership with 7-Eleven in Malaysia was made to allow the customers to pay and/or claim their item in any 7-Eleven store in Malaysia.2017Lazada is looking into building more hubs and logistics infrastructure nationwide. The company is exploring the Philippines for strategic locations for these hubs, which they intend to complete by the end of the year. Inanc Balci, CEO of Lazada Philippines, said the complex geography of the Philippines, which consists of over 7,000 islands, is only one of the bigger problems that make online shopping less accessible in the country compared to other Southeast Asian countries.From 2013 to 2017, the marketing strategies of Lazada clearly emphasize the importance of raising funds, market penetration, localisation, and building the customer base. Only then after the company can pursue expansion and integration. In 2012 to 2013, Lazada focused on raising funds and sought investors. Then, they used the differentiation strategy to separate their brand from the others. They built their own logistics or delivery system. They made their own mobile application to improve the accessibility and convenience of the website. Lazada Marketplace was also a strategy to boost the number of items available in their website and increase traffic or the number of people who buy or sell in the website. It was a strategy that allowed them to establish a strong presence in the online community. They also allowed cash on delivery transactions, which is unique and very attractive to the customers. In 2014 and 2015, they expanded while decreasing the percentage of their costs of their GMV. This shows that increasing productivity may have been a primary objective that year, probably to allow for increased liquidity for more expansion. In 2016, Lazada started expanding by partnering with traditional retailers to attract more customers. In 2017, Lazada Philippines focused on improving logistics and addressed the geography of the archipelago