The semi-hosting model (FBP model) of the OZON platform has been upgraded and optimized compared to the traditional operation model, which is reflected in the improvement of logistics timeliness and operating costs. This article will explore the pros and cons of the FBP model in depth, as well as the various costs and challenges that sellers need to consider when choosing.

1. Advantages of the OZON FBP model.

Improve product conversion rate: The FBP model can shorten transportation time and increase the conversion rate of products, thereby improving the buyer’s shopping experience.

Simplify the operation process: Sellers only need to prepare the goods in advance and send them to the OZON designated warehouse, and the remaining order processing process is handled by the warehouse staff, which simplifies the operation process.

7*24 hours order processing: Warehouse staff processes orders 7*24 hours a day, which improves the efficiency of order processing and ensures that orders can be shipped in time.

Reduced operating costs: Sellers only need to pay for order packaging and inspection fees, printing and pasting label fees, and logistics transportation fees, which reduces operating costs compared to the traditional model.

2. Cost of the OZON FBP model.

First-leg fee: The first-leg fee for delivering goods to the designated warehouse of OZON is the initial cost that the seller needs to bear.

Warehouse acceptance fee: After the warehouse receives the goods, the seller needs to pay a certain warehouse acceptance fee.

Storage fee: If the goods are detained in the warehouse for more than 60 days, a certain storage fee will be incurred.

Cost of canceling return orders: When it comes to canceling return orders, in addition to paying the return shipping fee, you also need to consider the various hidden costs brought by re-warehousing.

3. Potential risks of FBP model.

High exposure of special logos: Goods sold in the FBP model will be crowned with special logos by the platform, which may increase the probability of malicious follow-up sales caused by the product being exposed.

Limitations of applicable population: The FBP model is suitable for source manufacturers or sellers with a strong supply chain system. For sellers who purchase through third parties, various hidden costs may be added.

4. FBP model vs. local stores.

The FBP model does have some advantages over local stores in terms of operating costs and complexity. But for sellers, choosing a model that suits them requires comprehensive consideration of individual circumstances, development plans, and operational skills.

Conclusion:

OZON’s FBP model provides sellers with a more convenient way of operation, but also brings a series of costs and potential risks. Sellers should carefully weigh their own conditions and plans when choosing, and ensure that the model they choose is in line with their business strategy and actual situation.