Analysis of cross-border B2B e-commerce service model and its operation methods

Cross-border B2B e-commerce services can be divided into two types: information service platforms and online trading platforms based on different contents.

Information service platform

The main function of the information service platform is to provide services such as transaction information release, information search and transaction matching. This type of platform will deliver information about goods or services from suppliers or buyers to facilitate transactions between the two parties. Typical information service platforms include Alibaba International Station, Global Sources Network, Made in China Network, etc. Their main profit methods rely on membership services and value-added services. The former usually refers to exporters paying membership fees to the platform to publish product information, receive inquiries, and conduct quotations and other activities; the latter includes services such as bidding ranking, pay-per-click, and booth promotion. . Although bidding ranking is a relatively mature profit model for information service platforms to provide value-added services, due to market saturation, these platforms are exploring new development directions, such as using existing corporate information advantages to provide financial services.

Online trading platform

The online trading platform is a business operation model that realizes online transactions and online payments between buyers and sellers in the Internet environment and based on network information technology. In addition to providing various information displays on enterprises, products, services, etc., users can also complete a series of shopping chain links online, from search and consultation to payment, logistics, and evaluation. Currently, companies such as Dunhuang.com, AliExpress, DX, FocalPrice, Milan.com, and Dalong.com are all representatives of the online trading platform model. Online trading platforms mainly make money by charging commission fees, and sometimes also charge display fees.

Platform operation method

According to different platform operation methods, cross-border e-commerce platforms can be divided into third-party open platforms, self-operated platforms and hybrid platforms.

Third-party open platform

The third-party open platform provides network infrastructure for enterprises and opens up businesses in multiple aspects such as commodities, stores, transactions, logistics, evaluation, warehousing, and marketing promotion. This type of platform relies on collecting seller commissions and value-added service commissions as its main profit model. Representative companies include AliExpress, Dunhuang.com, Global Sources, Alibaba International Station, etc. Although such platforms have low barriers to entry and abundant traffic, sellers need to abide by platform rules and are subject to the platform’s payment cycle policy, which may affect profit margins.

Self-operated platform

Self-operated platforms build platforms online and uniformly produce or purchase goods for display and trading, and then deliver them to consumers through logistics. Lantingjishi, DX, FocalPrice, Milan.com, Dalong.com, etc. are representatives of this type of platform. The advantage of a self-operated platform is that it can ensure product quality and is easy to build a brand image.

Hybrid platform

Hybrid platforms combine the characteristics of self-operation and third-party entry, such as Amazon, Newegg, Walmart, etc.

The above models each have their own characteristics. Enterprises should comprehensively consider their own conditions and market demand when choosing a cross-border B2B e-commerce model that suits them.