You ever walked into a store where nothing feels familiar?

The signs are in a language you don’t understand. Prices are in a currency you don’t use. The staff smiles politely but clearly doesn’t get you. You walk around for a bit, try to make sense of it… and then leave.

That’s exactly what some customers feel when your e-commerce site isn’t localized.

They don’t bounce because your product’s bad. They bounce because it doesn’t feel like it was meant for them. No cultural cues, no familiar words, no local payment options… just a beautifully built wall between you and the sale.

A study by Common Sense Advisory shows that 76% of online shoppers prefer purchasing products with information in their native language, and 40% will never buy from websites in other languages. Big platforms like Lazada and Tokopedia are aware of this. It’s why they localize their websites to Southeast Asia, their primary audience. Hence, they get the most website traffic and visits across the region. 

Here’s the thing: localization isn’t just about translation. It’s about creating comfort. It’s about meeting people where they are, and making them feel at home, from their very first click.

Read on as I show how big brands have localized their stores, and how you can implement localization too.

What is Localization in E-commerce?

Localization means giving cultural context to an online marketplace. In other words, it is configuring your e-commerce site in the local language and culture of the target market. 

Statista’s survey shows that more than 5 billion people use the Internet, but only about a quarter understand English, the most used language for content. The majority find it difficult to comprehend most websites. That is why companies using localization effectively are more likely to succeed than others today.

Learn how E-commerce in Southeast Asian markets can do with these localization tips

In the past three years, several Southeast Asian e-commerce platforms have scaled down or shut down. The top reason is that market share is becoming more concentrated among giants like Shopee, Lazada, and Tiktok Shop. 

One of the strategies that can help your e-commerce business stand out is to go big on localization. And here are five tips that can help you do that:

a) Language Formatting 

Language is the first factor in localization. However, there’s more to language than just translating text. You’ll have to consider sentence lengths, structures, and formats. The same sentence can have varying lengths in different languages. Therefore, to avoid ruining your UX, you must consider this from the beginning. 

In some languages, sentence structure and formatting can influence how the text appears on the screen. Therefore, when creating your site, you must consider the date, time, currency, and name formatting.

b) Cultural Input

Southeast Asia comprises 11 countries with different cultural and religious practices. These practices and teachings significantly influence how things are perceived in these countries. 

Adapting symbols, colors, and elements for effective localization requires care. So, use colors that symbolize the rich cultures of their individual societies.

c) Payment Localization 

Another factor that affects localization is payment. Several payment methods are available today, but not all of them are feasible across Southeast Asia. Many e-commerce companies, especially those in Indonesia, use cash on delivery as one of their payment methods. This is because consumers in that region rarely use credit cards. 

In Malaysia, consumers rely more on local payment solutions like Boost, Touch n Go, GrabPay, etc. In Thailand, consumers are used to transfer methods like PromptPay and electronic wallets. And in Singapore, users fancy e-wallets like GrabPay. 

d) UI/UX Optimization 

The design of e-commerce websites can either enhance or diminish a brand’s appeal to customers. When customizing user experience for localized online marketplaces, you must input emotional features that stir the audience.

Country A’s features will differ, even if slightly, from Country B’s. Whether it’s a Buddhist festival in Vietnam and Thailand or Ramadan in Malaysia and Indonesia, you can add elements representing them to your UX during their celebrations. 

e) Social Commerce

One thing common to Southeast Asians is their gravitation towards social commerce. For them, seeing is believing, and that’s why major e-commerce brands use strategies like live shopping, group buys, and social media sharing. 

When considering localization in this region, consider including these features and events. Also, since Southeast Asians are heavy on celebrity endorsement, maximize the right celebrities. 

Highly Localized E-commerce Websites in Southeast Asia

Now, more than ever, localization is essential for e-commerce businesses in Southeast Asia. Of the estimated 5 billion people who browse the Internet, 3 billion are from Asia. According to a Harvard Business Review report, 90% of internet users surveyed prefer to browse a website in their native language. 

Here are some examples of Southeast Asian e-commerce websites that are taking the lead in localization.

#1 Shopee

Shopee is one of the top players in Southeast Asia and beyond, with highly tailored websites in 11 major countries. These include Indonesia, Taiwan, Vietnam, Thailand, the Philippines, Malaysia, Singapore, Brazil, Mexico, Colombia, and Chile. 

For each country you select, you receive an e-commerce platform tailored to that country’s language and local goods. Shopee’s keenness for localization can also be seen in its marketing campaigns. From Christiano Ronaldo to K-pop artists popular among Indonesian youths and even Didi Kempot, you can easily tell they mean business. 

#2 Lazada

Lazada is another giant online marketplace in Southeast Asia. It is also one of the oldest, and It has expanded into Malaysia, Vietnam, Thailand, Singapore, and the Philippines. 

Although recently overtaken by Shopee, Lazada’s focus remains on user experience. And with investments from Alibaba, It has the funds it needs to invest in highly localized features. 

#3 TikTok Shop

After TikTok decided to leverage its over 300 million user base in Southeast Asia, it has become one of the fastest-growing e-commerce marketplaces in the region. 

After ending 2024 with US$25-30 billion in GMV, Tiktok Shop has surpassed Lazada to become the second-top marketplace. Like others, TikTok Shop allows you to choose your region or location and then directs you to a localized version of the site. Everything on the homepage, including the images and testimonials, is region-specific.

#4 Tokopedia 

Tokopedia is a major e-commerce player in Indonesia, only second to Shopee. Founded by Indonesians for Indonesians, Tokopedia has employed e-commerce campaigns highly tailored to its audience. 

However, campaigns are only the beginning. The company’s website and product offerings are also localized to Indonesia. As a result, the e-commerce giant has established a presence in over 99% of Indonesian cities, and its revenue reached $560 million in 2023.

Conclusion

Localization involves more than just translating language. You must consider how the sentence is read, what it might mean in that language, and so on. What’s more critical is integrating the consumers’ culture, tradition, and beliefs. 

Businesses serious about Southeast Asian localization must be prepared to research each market thoroughly. Having a substantial marketing budget, like Shopee’s, might help, but you may be wasting money without the right strategy.