首页 News 正文

Amazon launches "low-priced stores" to prepare for cross-border e-commerce

海角七号
221 0 0

Blue Whale News, June 27th - A new news from Amazon has quickly caught the attention of cross-border e-commerce merchants in China.
On June 26th, Amazon held a closed door event in Shenzhen to introduce the latest actions of the platform to Chinese merchants. It stated that it will launch a "low-priced store" project. A circulating on-site photo shows a store that specializes in providing customers with white label low-priced fashion, home and daily necessities categories, which will be shipped directly from China by Amazon and arrive at consumers within 9-11 days.
From the perspective of white label low prices and investment categories, Amazon has finally begun to invest some effort and officially launched a low price war with Chinese cross-border e-commerce platforms such as Temu and SHEIN.
Some Chinese sellers showed great enthusiasm for Amazon's "low-priced stores", and this news quickly spread among cross-border merchants on the same day, establishing relevant merchant discussion groups. A discussion group flooded with over 200 users within half an hour on the morning of the 27th, and merchants engaged in intense discussions within the group, inquiring about the application entrance.
A seller told Blue Whale News that Amazon's business is still in the "internal invitation" stage, "the platform has not yet opened the application portal", and some merchants have said "it will definitely be soon, it is said to open registration in the summer", and they are all preparing to try it out in the future.
Based on comprehensive industry news, Amazon's "low-priced stores" and Temu's fully hosted products exhibit pixel level similarities: low-priced stores mainly sell unbranded products; The first batch of investment selection categories are only open to fashion, home furnishings, and lifestyle categories, which are hot selling categories in Chinese cross-border e-commerce such as Temu and SHEIN; Featuring low-priced products, consumers have a "refund only" option.
Blue Whale News learned that the biggest difference between Amazon's "low-priced store" and Temu's fully hosted model is that the settled seller has the right to determine the final selling price of the product, while Temu's fully hosted model is ultimately priced by the platform. This is also understood by Chinese merchants as "low-priced stores" where sellers will bear their own storage costs.
The "Four Cross border E-commerce Tigers" in China, especially Temu and SHEIN, have achieved tremendous growth in the global market in recent years. Previously, LatePost reported that Temu estimated to complete $14 billion in GMV for the entire year of 2023; There are also reports that SHEIN's annual sales exceeded $45 billion last year, while the US market accounted for 60% and one-third of Temu and SHEIN's global shares, respectively. In addition, Alibaba's cross-border e-commerce platform AliExpress is also making every effort to drive growth.
By comparison, Amazon's revenue for the fiscal year 2023 was $574.8 billion, and its net sales in North America (USA, Canada) for the fourth quarter were $105.514 billion. According to a source from a large company's overseas strategy department cited by 36Kr in February this year, the combined market share of several Chinese cross-border e-commerce GMVs in the US e-commerce market has reached nearly 10%.
The growth of the Four Little Dragons successfully knocked on Amazon's door. The key to knocking on the door is to rely on low-priced white label goods in the Chinese supply chain. In addition, the tax-free regulations for single packages below $800 in the US market provide conditions for "low prices". But now Amazon has stepped out of the door and begun to face low-priced competition from companies such as Temu, SHEIN, and AliExpress.
Chinese sellers are an important supplier to Amazon. One data shows that in 2022, Chinese suppliers accounted for 70% -80% of Amazon's supply of products. Within cross-border e-commerce, products that sell well on platforms are referred to as "Amazon bestsellers". Amazon and overseas independent websites have always been the two channels for Chinese brand sellers to reap the greatest profits. Now, the launch of Amazon's "low-priced stores" has undoubtedly added another sales channel for white label products in China's vast industrial belt.
In June 2023, Amazon removed Temu from its platform's price comparison system, but it did not end. But just one year later, the launch of "low-priced stores" means that Amazon and Chinese cross-border e-commerce represented by Temu are about to face each other and compete in the trench of "low-priced".
After the news broke out, the US stock market closed on June 26th, and Amazon's stock price rose 3.9%, with a market value exceeding $2 trillion. On the same day, Temu's parent company Pinduoduo fell 1.26%.
CandyLake.com 系信息发布平台,仅提供信息存储空间服务。
声明:该文观点仅代表作者本人,本文不代表CandyLake.com立场,且不构成建议,请谨慎对待。
您需要登录后才可以回帖 登录 | 立即注册

本版积分规则

  •   知名做空机构香橼研究(Citron Research)周四(11月21日)在社交媒体平台X上发布消息称,该公司已决定做空“比特币大户”微策略(Microstrategy)这家公司,并认为该公司已经将自己变身成为一家比特币投资基金 ...
    caffycat
    昨天 11:18
    支持
    反对
    回复
    收藏
  •   每经AI快讯,11月20日,文远知行宣布旗下自动驾驶环卫车S6与无人扫路机S1分别在新加坡滨海湾海岸大道与滨海艺术中心正式投入运营。据介绍,这是新加坡首个商业化运营的自动驾驶环卫项目。 ...
    star8699
    3 天前
    支持
    反对
    回复
    收藏
  •   上证报中国证券网讯(记者王子霖)11月20日,斗鱼发布2024年第三季度未经审计的财务报告。本季度斗鱼依托丰富的游戏内容生态,充分发挥主播资源和新业务潜力,持续为用户提供高质量的直播内容及游戏服务,进一步 ...
    goodfriendboy
    3 天前
    支持
    反对
    回复
    收藏
  •   人民网北京11月22日电 (记者栗翘楚、任妍)2024广州车展,在新能源汽车占据“半壁江山”的同时,正加速向智能网联新能源汽车全面过渡,随着“端到端”成为新宠,智能驾驶解决方案成为本届广州车展各大车企竞 ...
    3233340
    昨天 17:06
    支持
    反对
    回复
    收藏
海角七号 注册会员
  • 粉丝

    0

  • 关注

    1

  • 主题

    29