Dunhuang.com was founded in 2004. At the beginning of its establishment, it established the mission of “promoting global trade and realizing entrepreneurial dreams” and is committed to building an online Silk Road with high intentions and far-sightedness. As China’s first B2B cross-border e-commerce export trading platform that integrates online transactions and supply chain services, DHgate.com has taken the lead in launching an innovative model of cross-border e-commerce transactions and a “pay for success” profit model.
After more than 10 years of accumulation, Dunhuang.com currently has 1.2 million domestic suppliers and 33 million products online, with 10 million buyers from 230 countries and regions around the world, and 100,000 purchases per hour. Home purchases online in real time, with an order generated every 3 seconds.
Enterprise-level buyers are more valuable than individual buyers. The unit price, order of magnitude and transaction volume of enterprise-level purchase orders are incomparable to individual users. Among the overseas buyers of Dunhuang Net, there are many wholesale customers and large purchasing volume. For example, wholesale goods in the toy industry account for 66%. In the consumer electronics industry, the average order amount can reach 296 US dollars. The average purchase amount of mobile phone screens in 2014 is more than 890 US dollars. The average monthly purchase amount of VIP buyers exceeds 60,000 US dollars. Dollar.
The buyer’s repeat purchase rate is high, and the dispute rate and refund rate are low. Dunhuang.com’s service targets are mainly national B-type suppliers. Based on platform-based operations, it provides sellers with integrated services. Payment DHpay connects to more than 30 payment methods around the world; logistics DHlink delivers online goods, supports more than 20 logistics methods such as EMS, UPS, and DHL, and can also provide warehouse and consolidation services; credit DHCredit cooperates with financial institutions to provide value-added services such as financing insurance .
When 2C cross-border e-commerce became popular, Class B merchants with fragmented small-amount transactions also appeared in the dealer wholesale link, which became the initial condition for Dunhuang.com to prompt both parties to complete transactions online. Today, Dunhuang.com is accelerating its transformation into a large-scale B2B trade, such as dividing industry business categories, adjusting the platform commission system, establishing wholesale channels and establishing offline payment channels, etc.
Dunhuang.com has two main profit models. One is commission income. After a successful transaction, a certain percentage of transaction commission is charged to the buyer; the other is service fee income, which provides enterprises with intensive foreign trade comprehensive services. At the same time, we will continue to focus on the mobile and multi-language markets, open up new channels and new traffic, add multi-language sites and overseas warehouse functions, and strive for local delivery. Whether to consider both B2C and B2C as a trading platform depends on both platform positioning and merchant demands.