Veteran B2B trade platform ECVV is making some moves to develop towards a cross-border retail platform with the recent launch of a M2C (Manufacturers to Consumer) platform Okbuynow.com.
April 1, 2014 (Newswire.com) - Veteran B2B trade platform ECVV is making some moves to develop towards a cross-border retail platform with the recent launch of a M2C (Manufacturers to Consumer) platform Okbuynow.com.
ECVV CEO Steven Chen told the reporter that Okbuynow uses a consignment model, in which ECVV's role is equivalent to an agent operator. Vendors only need to provide products to ECVV, and the latter is responsible for selling products worldwide and providing a complete solution for cross-border logistics, payment, marketing and after-sale service.
The consignment products involve 36 categories of small items, making the products on Okbuynow distinctly different from those on ECVV, with the latter focusing on machinery, automobiles and other big ticket products.
According to Steven Chen, ECVV has a strong control over the quality of the consignment products. All products must meet export standards such as CE, FCC and ROHS among other prevailing international market quality certifications. There is a sales warranty of at least 12 months for all products. After receiving the consignments, ECVV will test the quality, and defective goods will be returned to the supplier. Products and accessories (data cable, software, etc.) must be packaged according to global packaging standards.
Currently ECVV consignment service already features hundreds of suppliers. In addition to retail service, ECVV also provides overseas brand operations and data analysis services to suppliers with in-depth cooperation. This service requires an additional annual fee.
Apart from the new M2C platform, ECVV also makes online payment available on its long existing B2B trade portal. Featuring information platform and small trade portal, this model aims to further expand ECVV's cross-border online retail business.
Steven Chen said that suppliers on its B2B platform are entitled to choose whether or not to get access to the online payment function. Judging from the statistics, half of the suppliers on ECVV prefer online payment. ECVV's main sources of profit include trading commissions, advertising fees and a small amount of commission from logistics partners.
Steven Chen claimed that despite the fact that B2B foreign trade industry is weaker than B2C in terms of growth and profitability ECVV will stick to its B2B information service model. He believes that B2B industry will thrive with strong vitality.
The country's overall economic morphological transformation has a huge impact on the industry. China's industrial structure is under the transition to the high-tech industry, which led to lower survival index in traditional industries.
"In fact, our industry does not get sick. But many enterprises are not in good shape. They lack the desire to expand and invest." Steven Chen said.
ECVV set up its headquarter Shenzhen in 2006 and belongs to the Shenzhen High-tech enterprises. The company currently has branch companies in the United States, Germany, Hong Kong, Beijing and Changsha. ECVV owns foreign trade B2B website ECVV.com and foreign trade M2C website okbuynow.com.