(1) Merchant level

The platform is based on a large amount of accurate data. Through precise, multi-dimensional and detailed analysis and calculation, it conducts a comprehensive analysis of the overall business conditions and service capabilities of merchants every month, and refreshes and evaluates merchants on the 5th of each month based on the business data accumulated by merchants month by month.

According to the performance of merchants on the platform, they are divided into four categories.

(2) Explanation of relevant standards and calculation formulas for levels

·Number of orders: the number of orders actually sold within 90 days.

·Transaction amount: the transaction amount generated by actual sales orders within 90 days.

·Merchant liability dispute rate: the calculation formula is

Merchant liability dispute rate = the number of all disputed orders that the platform adjudicates and ultimately determines to be the merchant’s responsibility within 90 days /

Number of confirmed orders in the merchant account

Note: The first three orders of new sellers are not included in the dispute rate.

·Real-name identity authentication: After passing the platform identity authentication, there are 4 categories, namely individuals, individual businesses, mainland enterprises, and Hong Kong enterprises.

Remarks:

1. Merchants with less than 20 orders in each assessment cycle cannot participate in the evaluation of excellent merchants and top merchants. The rating update time is adjusted from the original 1st of each month to the 5th of each month.

2. Bad Purchase Experience Rate (BPER). For new sellers, that is, merchants newly registered on Dunhuang.com, the level is standard merchants. After a period of operation, the platform will assess them according to the rating indicators of the new rating system and assess their merchant level. If the above rating conditions are not met, they will be automatically downgraded.

·Bad Purchase Experience Rate (BPER): The calculation formula is

Bad Purchase Experience Rate = Number of buyers’ bad purchase experience orders in the past 90 days/All confirmed orders in the past 90 days

If there are multiple actions for the same order, it will only be counted once.