Alibaba's AliExpress to Collect Annual Service Fee
I.wshang.com, 12/07/15
Chinese e-commerce giant Alibaba Group's (NYSE: BABA) AliExpress, an online marketplace that specializes in the sale of Chinese-made goods directly to consumers and small merchants globally but with an emphasis on emerging markets, today revealed a new policy that will see sellers on the platform charged an annual service fee. AliExpress general manager Shen Difan noted that the new policy raises the entry threshold for sellers.
The new policy introduces an annual fee system and annual fee refund system. AliExpress will, based on product categories, charge sellers an annual service fee of between RMB 3,000 to RMB 50,000. The company also announced incentives, such as annual fee refunds that sellers can receive if meeting certain sales thresholds and passing an service assessment. For example, in the women's clothing industry, if a seller can reach USD 30,000 in sales transactions annually, and show that its services are in compliance, the seller can receive a 50% refund on the annual fee. If the seller can reach USD 60,000 or more in sales transactions and show its services are in compliance, the seller can earn a 100% refund of the annual fee.
The new policy will be implemented from December 23, though the start date for some product categories will be delayed until January 13, 2016.
Shen said the platform would become a high-quality distribution brand that helps SMEs both inside and outside of China to expand into global markets.
Keywords: e-commerce Internet wholesale B2C AliExpress Alibaba Group BABA business model
Sending
