The two events " Cross-Border New Channel: Emerging Market Trend Interpretation Conference and Platform Access Direct Link " and " Going Global Transition, Seeking Differentiated Breakthrough " Third Path to Cross-Border E-commerce Growth "--, co-hosted by Midodo and BelugaGlobal, concluded successfully at the Hong Kong Convention and Exhibition Center on ", day, 10 month, 20 . Relying on the Hong Kong Megashow International Trade Fair, the conference successfully created a feast of ideas and a resource docking platform for hundreds of cross-border e-commerce practitioners on how to tap into emerging markets.
At a time when the global trade landscape is undergoing profound changes, emerging markets have become a key area for cross-border e-commerce companies to seek growth."Determined new route".This event is specifically designed to help entrepreneurs and sellers navigate accurately and set sail at full speed in this vast blue ocean of business opportunities.
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A gathering of industry experts, packed with valuable insights: a collision of ideas that offers insights into the future
The conference invited a number of cross-border e-commerce giants and platform managers who are deeply rooted in the global first-tier markets to share their unique insights and practical experience in cutting-edge markets.
The survival rules of cross-border e-commerce--Compliance and localization
Guest speaker: Zhang Qi - Co-founder of Baiké Warehouse (Shenzhen) Technology Co., Ltd./General Manager
The policy has been tightened, and there's no way out anymore. Zhang Qi stressed that with the integration of platform data and tax authorities (for example, Amazon started to push data to the State Taxation Administration of China from 10 month 14 day), the previous " unofficial methods " of avoiding public account receipts through third-party tools are basically no longer feasible. Enterprises must face up to the compliance costs of taxation and social insurance, otherwise " every penny earned today may be lost tomorrow".
In order to deal with high tariffs and trade barriers, Zhang Qi shared the solution of Breaking House to overcome these challenges--"Localization of the supply chain".For example, the products are disassembled into components (frames, paint jobs, etc.) for export, with the company only responsible for approximately 6% First, we need to calculate the tariffs, and then establish assembly plants overseas (such as in Europe) for final assembly. Although labor costs overseas are slightly higher, the overall cost is much lower than that of whole vehicle exports, and we have achieved this goal."Local brands, local manufacturing, local teams, and local channels" The deep integration of the two.
He put forward two key arguments:
1)If we fail to achieve localization, we will constantly face the risk of being inspected by the authorities;
2)"Tariff barriers are insurmountable",Only by following the rules can we put what we have learned into practice."内卷"Only by investing money in building a compliance system can we form a virtuous cycle and practice long-termism.
In addition to external compliance, Zhang Qi shared his core insights on internal management to ensure the healthy operation of enterprises, based on his 15 years of practical experience in the industry. Firstly, he emphasized the importance of focusing on the core, arguing that enterprises must strictly adhere to the 80/20 principle, concentrating all resources on core projects and products that can create the most value, and completely abandon the crude distribution model of"casting a wide net". Otherwise, it will inevitably lead to management chaos. Secondly, he pointed out the crucial role of digital decision-making. Enterprises must build a complete digital system that goes beyond traditional methods ERP , serving as an operational"dashboard",, so as to accurately identify problems and support scientific decision-making in the complex cross-border e-commerce business.
In terms of risk response, Zhang Qi views cash flow as the lifeline of an enterprise and emphasizes that business owners must possess this capability."Be decisive and ruthless in dealing with things"His courage. He used the example of cutting off the Southeast Asian business worth 5 million yuan overnight to illustrate that when facing non-linear risks, making a decisive choice to cut losses is a necessary means to ensure the survival of the company. Finally, in terms of team structure design, he proposed a highly practical strategy: clearly dividing the team into groups focused on different aspects."Buy the new product"The stormtroopers and those responsible for it"Clear inventory"The defense team, through this mechanism of coordination between the front and back ends, effectively avoids the inventory backlog, which is widely regarded as a problem in supply chain management."The No.1 killer of cross-border e-commerce"The huge risks involved.
Overall, Mr. Zhang Qi's entire sharing session conveyed a clear message: In the next phase of cross-border e-commerce, enterprises must shift from"unregulated rapid growth"to"precise and compliant operations",solve external barriers through localized supply chains, and enhance their resilience to risks through focused internal management and digital upgrading. Only in this way can they navigate the increasingly challenging global trade environment and achieve long-term stability and sustainable development.
Building a high repurchase brand -- driven by values and AI deeply integrated
Share guests: Susan VidaWheel Founder and CEO of Xunfei Technology Co., Ltd. CEO
In this sharing session,VidaWheel The founder of the brand Susan The lady is from"Brand logic"And"AI Logic"The two core dimensions systematically explain how to build a high-repeated-purchase brand with high user loyalty and long-term value.
Susan She said that the ultimate form of a brand is " like a religion ", and pointed out that in the context of an economic downturn and intensified competition, the simple " selling goods " model is difficult to sustain. She put forward a disruptive viewpoint: The true ultimate form of a brand is " like a religion ".. Drawing on the four elements of religion, she constructed her own brand framework:
- Book (discourse system): A brand needs to have a complete and self-consistent value system. Her brand deeply integrates ancient Greek mythology (the Seven Goddesses IP)、 Jungian psychology (the Goddess Version MBTI) and feminist ideology, forming a unique set of content foundations.
- IP(Charismatic Personality: The founder or the brand itself must have a unique attitude and distinctive style. IP,Dare to express yourself and make people remember you.
- Church (offline gathering place): By cooperating with healing centers and yoga studios around the world, we establish light-asset offline community spaces, enabling users to form deep connections in the offline world.
- Missionaries (loyal users and ambassadors): Cultivate those who deeply identify with the brand culture."Brand ambassador",And through"The Goddess Academy"Carry out systematic training to enable them to voluntarily spread the brand philosophy.
Susan It has built a complete value system for the brand to go global, by transforming the brand into one with shared beliefs."Semi-religious"The organization establishes a spiritual resonance with middle-class female users in Europe, America, and China, thereby achieving a very high repurchase rate and user loyalty. She accurately targets a year-on-year growth rate of over 10% The global mind-body healing industry, with a focus on"The Goddess Test"Wait AI The tool provides users with personalized identity diagnosis and customized solutions, elevating transactions to personalized physical and mental companionship services. At the same time, she advocates for"Fewer people but highly efficient"The future organizational structure of the company will enable every employee to lead tens of thousands of people. AI Employees work, focusing on process iteration and creative thinking. This set of methods helps employees improve their work efficiency and quality, and ultimately achieve better results."Value-driven+AI Enabling+Efficient organization"The complete model has built a solid moat for the brand in the red ocean competition.
TikTok Shop Black Friday around the world--Analysis of Content-Driven Growth and Key Strategies
Guest speaker: Pan Zimò TikTok Shop Cross-border industry manager for the US market
TikTok Shop Pan Zimo, a cross-border e-commerce manager in the US market, conducted in-depth research on major national sellers and systematically analyzed the current situation of the cross-border e-commerce industry in China. TikTok The opportunities, pitfalls, and success paths of e-commerce provide merchants with a clear strategic framework and practical guidance for operation.
The guest said that...TikTok The e-commerce ecosystem is much more complex than traditional shelf e-commerce, involving multiple roles such as merchants, influencers, service providers, and advertising agencies. This high complexity and high entry barriers precisely mean that there are huge opportunities hidden within it. To succeed in this business, the first step is to understand it well. GMV The composition of the .
At present, short videos are GMV They are the absolute main force. And in short videos, the short videos created by influencers account for the vast majority of the market share. This means that for new merchants entering the market, the first task is not to immediately set up a live-streaming room, but to start with short videos, especially to learn how to cooperate with influencers. This is the entry point TikTok The most effective path for e-commerce.
At the same time, platform governance is becoming increasingly strict, and accounts that frequently post AI generated, duplicate, or low-quality content will be subject to governance measures. Therefore, the only way to ensure long-term stability is to consistently create high-quality, original content. However, depending on the average order value, the strategies employed also differ:
- For low-priced products, the core strategy is to drive growth through a large number of short videos created by influencers and merchants themselves.
- High-ticket-value products: Due to the high cost of sending samples, the traditional "cast a wide net" approach can no longer be used. The key strategies now include " targeted influencer recommendations + high-conversion live-streaming sessions for sales ". In this context, influencer collaborations are no longer about bulk messaging, but require teams to engage in in-depth communication with overseas influencers, refine scripts, and improve sales pitches. Outstanding influencers BD and their teams are becoming the key factors that differentiate top-tier merchants from their competitors.
By analyzing the successful seller cases on the platform, the guests believe that the key factors for success include good content, high-quality products, excellent services, and effective marketing. For example, it's essential to adhere to a long-term strategy and resist the temptation of seeking quick success. AI Generate and repeat content. The content formats include novel special effects and recommendation videos, emphasizing a sense of authenticity. For product selection, you can choose products that have been verified on platforms such as Amazon, but TikTok Products that lack content, products with visual impact and interestingness (you can refer to the popular products on Douyin in China), or categories that are popular on the platform but have few sellers.
It should be noted that sellers must be proficient in the platform rules and pay special attention to SPS( the store's comprehensive rating and AHR( the merchant's fulfillment performance. Such indicators as the bad review rate, refund rate, cancellation rate, fulfillment timeliness, and 24 hourly response rate, etc. Poor indicators will lead to a prolonged settlement cycle (T+30) or even the removal of the store).
Finally, the guest said that the Black Friday promotion (11 month 13 day -12 month 1 day) is the core event of the year and requires advance planning. If there are potential best-selling products, it's necessary to prepare sufficient overseas deep inventory to avoid running out of stock after attracting traffic for the promotion. The platform provides " best-selling product car boxes " QR codes, which can help merchants recommend products to 600 service providers with just one click, solving the problem of difficult connection with influencers.
Generally speaking, it's better to avoid pitfalls first and then seek growth. Understanding the platform's ecosystem, refining the cooperation with experts, and strictly abiding by the service rules are prerequisites for sustainable profitability.
How can small teams leverage TikTok to achieve revenue of hundreds of millions of yuan?
Share guests: Lena Gooho Founder, Previous Anker Brand Manager
Lena Taking the team's real experience as an example, this article deeply analyzes how small teams can start from scratch on the TikTok platform and achieve sales of hundreds of millions of RMB within half a year, and shares valuable operational strategies and product selection ideas.
According to the introduction, the guest team only had four members when it was first established. Thanks to its accurate choice of business sector and the platform's dividends, the business has developed rapidly. As of the time of sharing, the cumulative scale of the single project operated by its team has exceeded 400 million RMB. Among them, the sales volume of just one channel TikTok) in September reached 380 US dollars. Its advertising investment-output ratio has been stable, and the overall channel ROI can reach 16 , maintaining a continuous profitability.
Lena They believe that the cornerstone of the team's success lies in in-depth user insights and value-driven product selection. The product they chose is " a pink automatic litter box " ,. This product decision stems from the founder's own insights as a female pet owner -- that the market lacks pet supplies that meet women's aesthetic standards. They position the brand as " making smart litter boxes affordable for every pet owner ", and achieve this vision through affordable pricing and home-style design (offering multiple color options). The team even included " "must love pets" " in their recruitment requirements to ensure that the entire team shares the same vision as the users, thus creating products that truly resonate with consumers.
After that, the guest summarized three types of product models that can achieve high sales on TikTok :
- Novel and unique products: They are characterized by their uniqueness, such as flameless aromatherapy candles and products involving spiritual energy (e.g., Vastu), etc.).
- Hexagon Warrior (a high-performance-price-ratio product): The product must meet the following requirements. "Efficient, convenient, and offering high quality at a reasonable price" Three core elements.
- High-end brand alternatives: Relying on a strong supply chain, these products offer similar functionality to high-end brands at lower prices, such as certain robotic vacuum cleaners and appliances.
In terms of marketing, the guest emphasized that high-quality content is crucial. He shared a highly representative case: a short video with controlled costs (the model's salary was approximately 8000 yuan), which achieved miraculous daily sales of 46 million US dollars during the peak season through simple yet impactful demonstrations (such as using a power drill to test the quality of mobile phone screens). This " highly impressive " marketing approach is cost-effective, highly replicable, and can efficiently convey the core selling points of the product.
It's worth mentioning that the guests also shared some problems and solutions that sellers might encounter on the spot, such as reminding sellers to carefully calculate the RMA (return management cost), especially for heavy goods, which need to include the re-shelving fee in overseas warehouses to avoid the situation that the front-end advertisement seems to be profitable, but in fact, it's a loss. For brand-type sellers, it is recommended to divide the team into"Product side"And"Sales side"And the founder personally oversees the fulfillment logistics process to ensure a good user experience and a high store rating. It is recommended to use AI tools (such as Links AI) for product selection and operational analysis to improve efficiency.
In the opinion of the editor, the guests' success can be attributed to their entry into the blue ocean category with in-depth user insights, taking advantage of the traffic dividends of the TikTok platform, offering products with extreme cost-performance ratio and adopting efficient and low-cost content strategies, combined with meticulous operation and accounting, ultimately achieving rapid breakthroughs in scale.
Unlock Reddit--The new platform and practical strategies for brand marketing
Guest speaker: Kristy Kam, co-founder of Innohunts&CMO
In this sharing session, Kristy Kam, the co-founder of Innohunts, systematically analyzed the unique ecosystem and marketing strategies of Reddit, a high-value platform, for overseas brands, opening up a new path for brands to break away from internal competition and build deep user awareness.
Kristy Firstly, we clarify the huge traffic and unique position of Reddit: as the fifth-largest website in the world, with over 400 million monthly active users, its core values lie in high stickiness and authenticity, a high-quality user base, and massive traffic and SEO benefits. The guest speaker mentioned that Reddit has partnered with Google, and its content is used as training data for Google AI. This means that high-quality content on Reddit is more likely to be prominently displayed in Google's search results and its AI-powered search results, gaining continuous organic search traffic, with results even better than traditional SEO efforts.
The core of a brand on Reddit is not about hard advertising, but about creating " Internet memes ", and gradually gaining users' recognition through continuous content interaction.
Therefore, the first choice of activity could be to host an AMA: this is the best way to integrate into the community. An AMA stands for "Ask Me Anything", which is a format where experts answer questions from the audience in real time."Ask me anything"Invite brand founders, product managers, and others to engage in direct dialogue with users under their real identities. A successful AMA can generate tens of thousands to millions of views and collect valuable user feedback, which can be used to optimize the product.
The second step is to start establishing a brand section. Brands should create and occupy a section named after their own brand as early as possible. Even if it is not operational at the moment, it can prevent negative content or competitors from seizing the opportunity. This is an important digital asset for the brand. The third step is content layout and optimization: by implanting keywords with high search intent, posts can rank highly within Reddit and in Google searches, bringing a steady stream of targeted traffic to the brand.
AMA Execute the three-step process:
- Preparation in the early stage: Determine the sharing persona (founder)/The product manager will promote the event and the core topics, and conduct pre-event hype on other platforms.
- Account maintenance: Reddit is sensitive to marketing activities, so you need to use a stable internet environment and engage in long-term manual interaction to maintain the account."Growing an account"In order to successfully post, you need to increase the reputation score of your account first.
- Activity execution: The post format needs to clearly introduce the identity and product value, and arrange " trolls " to guide key questions, ensuring that the discussion is lively and addresses the pain points.
It's important to note that the community highly values authenticity and opposes AI-generated content that lacks soul and rigid marketing. The content must be genuine and valuable to share. If there are many negative issues with the product, don't blindly create a brand section, otherwise, it will amplify the negative voices. You should first guide public opinion through other content, and then consider establishing an official platform.
Kristy The sharing revealed the core concept of Reddit--Sincere dialogue and value-first approach. For DTC brands that hope to establish brand trust, obtain high-quality user feedback, and enjoy long-term traffic dividends, Reddit is a strategic hub that cannot be missed. The key to success lies in putting aside marketing postures, integrating into the community with a genuine and professional attitude, and making friends with users.
Emerging markets--A certain growth pole under the changing global trade landscape
Guest speaker: Fang Dan Wei - Founder and CEO of BelugaGlobal
Wei Fangdan, the founder and CEO of BelugaGlobal, based on her ten years of industry insights and practical experience in Malaysia, systematically explained the logic and implementation strategies for emerging markets to become the core of future growth.
Wei Fangdan pointed out that the global trade pattern is undergoing profound changes. Mature markets (such as Europe and the United States) are experiencing slowing growth and facing challenges such as geopolitical risks, stricter policy regulation, and rising acquisition costs. In contrast, emerging markets are accelerating their rise, and their certainty of growth is based on three pillars:
- Demographic and consumption dividends: Markets such as Southeast Asia, Latin America, and the Middle East have large and young consumer groups with strong consumption willingness and a high proportion of disposable income.
- The infrastructure is well-developed: the popularity of mobile internet is high, and logistics (such as in Malaysia) is efficient."Half-day delivery"In addition, e-commerce infrastructure such as logistics and payment is becoming increasingly mature.
- Driven by platform dividends: Platforms such as TikTok Shop, Shopee, and Mercado Libre continue to increase their investment, providing early entrants with traffic and commission dividends.
Southeast Asia and Latin America are the regions with the greatest opportunities at present. The e-commerce scale in Southeast Asia is expected to reach $130 billion by 2025, and TikTok is extremely optimistic about its growth target; Latin America is seen as"a golden era beyond the blue ocean", with significant growth in the Brazilian and Mexican markets. In terms of product categories, high- and medium-priced items such as home furnishings, 3C electronics, beauty and personal care products, small appliances, and outdoor supplies are growing rapidly, but low-priced basic products remain the main force. The market competition is not yet saturated, and the cost of brand building is relatively low.
Wei Fangdan emphasized that emerging markets have bid farewell to the era of rapid growth."Low investment, quick return on investment"In this era, it is necessary to make significant investments and engage in in-depth localization.
For example, by deploying across multiple platforms, companies can diversify risks, seize the dividends of each platform, and achieve complementary traffic. Alternatively, they can leverage the advantages of China's supply chain to shift from low-price mass production to quality breakthroughs, and establish brand recognition through unified visual design and packaging, thereby moving away from price wars.
In addition, short videos are currently the core driver of sales. It is essential to enhance the influencers' ability to build connections, reach out to them in bulk through tools, and even hold offline meetups, in order to collaborate with local KOLs./KOC Collaborate to create viral content. Adopt overseas warehouses and pre-warehouse models to improve fulfillment experience. Large-scale sellers may even consider establishing local factories or assembly lines to balance cost and efficiency. Pay close attention to local tax, legal, customs clearance, and product certification requirements to avoid policy risks.
In summary, the next 3 to 5 years will be a strategic window for entering emerging markets. Wei Fangdan suggested that sellers should give up on"Air Force"The strategy is to deeply root in a single market, build a local team, and make heavy investments. Only by shifting from traffic-driven to brand and service-driven can we establish a sustainable competitive advantage in this certain growth pole.
Analysis of Opportunities and Practical Strategies in the Middle East Market
Guest speaker: Jarcklin - CEO and Chief Operating Officer of Yinghua Zhi Cross-Border E-commerce
Jarcklin, CEO and Chief Operating Officer of Yinghua Zhi Cross-Border, based on his own experience in operating multiple platforms and his in-depth understanding of the Middle East market, systematically shared the opportunities and practical strategies for this high-potential market.
Why is the Middle East a value trap? Jarcklin analyzed the core advantages of the Middle Eastern market from a macro perspective: Firstly, stable political relations. Countries such as Saudi Arabia and the United Arab Emirates have friendly relations with China, providing a solid foundation for economic and trade exchanges. Secondly, an excellent demographic structure. The market is characterized by a young population, with a high proportion of the 25-44 age group, the main consumer group, in the six Gulf countries. Moreover, the fertility rate (over 2.0) in the Gulf countries is much higher than that in mainland China (1.16), directly driving the explosive demand for categories such as maternal and infant products. Thirdly, strong consumer purchasing power. The per capita GDP of the core markets is extremely high (US$84,900 in Qatar, US$50,000 in the UAE, and US$34,000 in Saudi Arabia), providing strong purchasing power. Fourthly, well-developed e-commerce infrastructure. The internet penetration rate generally exceeds 90% in the region.%It has provided a favorable environment for the development of e-commerce. Finally, there is the dividend of economic transformation, which Saudi Arabia has benefited from. "2030 Vision" The aim is to reduce dependence on oil, vigorously develop a diversified economy, and cooperate with China."The Belt and Road Initiative"The initiative is highly compatible and brings huge opportunities for Chinese enterprises.
So, how should sellers break into the Middle Eastern market? Jarcklin, based on his practical experience, provided specific suggestions:
- Core categories: Maternal and infant products (such as strollers) have become a rigid demand due to high birth rates. At the same time, categories such as home appliances, consumer electronics, and fashion also have great potential. The market shows the characteristics of " strong demand but weak local supply ", which perfectly complements China's supply chain advantages.
- Key platforms: Focus on Noon and Amazon, two leading platforms. He pointed out that although Lazada's scale in Singapore is not large, its high profit margin can serve as a reference for refined operation strategies.
- Logistics and strategic position: The Port of Daman in Saudi Arabia and the surrounding Red Sea region are important channels for global trade. Air freight can reach 70% of the world's population within 8 hours.% The population and logistics location advantages are significant. Enterprises should pay attention to the business opportunities brought by international events such as the Saudi e-sports Olympics in 2027 and the Riyadh World Expo in 2030.
Jarcklin To sum up, the Middle East market is still a potential goldmine that needs to be further explored."Gold mine"The core advantages of the Middle East market lie in its young and wealthy population, favorable policy environment, and perfect complementarity with China's supply chain. For sellers, the current period is a strategic opportunity to enter the Middle East market, especially the Saudi Arabian and UAE markets.
Cross-border e-commerce from 0 to 1: How to use influencer marketing to break through the cold start dilemma
Guest speaker: Zhang Fangjun - Head of the Cross-Border E-commerce Project at Larkair
Larkair Zhang Fangjun, the head of the cross-border e-commerce project, shared how to systematically apply influencer marketing and achieve a cold start breakthrough from 0 to 1, based on his practical experience in the Muslim women's clothing market of his brand.
Zhang Fangjun pointed out that the core goal of the cold start phase is not to pursue immediate results."A surge in orders"Instead, it's about validating the product's market fit and accumulating the first batch of real customers and feedback. At this stage, influencer marketing, with its highly targeted fan base and the high trustworthiness brought by authentic, scenario-based recommendations, has become the most effective tool to break the deadlock.
We can build an influencer marketing system in three steps
1.Precise screening and cooperation invitations
Target audience: Prioritize pure commission-based cooperation with a large number of medium- and small-scale influencers, replacing videos with samples to maximize control over upfront costs. Initially, this will be done through private messages.+The targeted cooperation plan reaches out to potential partners, establishes connections with them, and then shifts to WhatsApp or phone calls for in-depth communication and long-term relationship maintenance. We utilize TikTok's Talent Marketplace to analyze competitor's cooperation talents, and actively promote and nurture our account to enable the system to recommend relevant talents to us.
2.Optimize the cooperation mechanism to increase the success rate
Offer attractive commissions (such as those in the example above).% The commission can be set at 15% in the early stage%(Note: The translation omits the first sentence of the original text, which introduces the topic of cooperation with influencers. The translation focuses on the key points mentioned in the second sentence.) Never reduce the commission rate after the cooperation, otherwise the influencer might delete the video. Always keep in mind that the influencer cooperates with you to make money. Therefore, when making the invitation, you should highlight the highlights that can directly increase their income, such as high commissions, free samples, and platform advertising support.
3.Detailed content guidance and quality control
Before cooperating with an influencer, it's essential to review their historical videos to avoid those with poor device resolution or dim shooting environments. It's highly recommended that the influencer appear in person to enhance interaction and trust, and increase the video retention rate. During the process, you can guide the influencer to showcase the core features of the product, such as the fabric (ice silk feel, pure cotton), design (cuffs, collars, prints), etc. Zhang Fangjun gave an example. Through data analysis, they found that " spinning to showcase the product " could perfectly highlight the flowing feel of the women's skirt, so they recommended this standard action to all cooperating influencers, which significantly improved the conversion rate.
During the traffic-generation phase, if the product rating is lower than 4 points in the early stage, it is recommended to optimize it and then use the new link for promotion. Before promoting large-scale cooperation, it is necessary to ensure sufficient inventory. Running out of stock will lead to all previous efforts being in vain, and it will be more difficult to promote again after replenishing inventory.
In general, a successful cold start relies on a complete closed-loop strategy: leveraging accurate small and medium-sized influencers, using attractive cooperation mechanisms to drive initial content, ensuring conversion effects through refined content guidance, and ultimately building a self-reinforcing ecosystem."Marketing Flywheel"Achieve steady growth in scale.
SHEIN A Guide to Boosting Sales of Best-selling Products During the Peak Season with Semi-Managed Services
Guest speaker: Yiyi Leng - Head of Merchant Operations at SHEIN Platform
In the sharing session delivered by Yiyi Leng, the head of merchants on the SHEIN platform, she systematically explained the operational strategies and enormous opportunities of SHEIN's semi-hosted model. As a 100-billion-yuan-level brand with 16-17 years of experience in going global, SHEIN has opened its platform to third-party sellers since May 2023, and now covers core markets such as the United States, Europe, Japan, the Middle East, and Canada. It provides sellers with a new channel that is currently in a period of rapid growth and great potential for profitability.
SHEIN The core advantage of the semi-managed model is the comprehensive support it provides to sellers. This model requires sellers to stock their goods in local overseas warehouses to ensure fast fulfillment, but the platform does not charge any monthly rent, commissions, or advertising fees. All traffic investments inside and outside the platform, as well as the massive traffic generated during promotional activities, are borne by SHEIN. In addition, the platform offers highly competitive price subsidies and shipping fee subsidies. For example, for orders under $29 on US and European sites, the platform directly subsidizes $2.99, and it also provides low-cost official last-mile fulfillment services as an option, significantly enhancing sellers' profit margins.
For sellers who wish to join the platform, there are clear qualification thresholds set by the platform. Applicants must hold a limited company business license and have cross-border e-commerce operation experience in target markets (such as the United States and Europe), and need to provide store links and performance proof from other platforms as evidence. At present, pure novice sellers with no prior experience are not accepted. In terms of product selection, although SHEIN started with clothing and cosmetics, its user profile (mainly women aged 18-44) has determined that categories such as home furnishings, outdoor sports, shoes and bags, 3C digital products, and maternity and baby toys also have huge market potential. The sharing session showcased many successful cases, such as single product links for furniture, folding beds, and luggage, which can achieve weekly sales of hundreds of thousands of US dollars, breaking the sellers' perception that SHEIN is only suitable for clothing categories.
