In the field of e-commerce, Temu has launched the “full trusteeship” model and the “semi-trusteeship” model, each of which has its own unique characteristics and advantages. Let’s take a look at the comparative analysis of Temu’s full trusteeship and semi-trusteeship.
In Temu’s “full trusteeship” model, merchants only need to send the goods to Temu’s domestic warehouse, and the platform will take over a series of subsequent tasks, including difficult issues such as promotion, warehousing, traffic, and delivery, and even covering distribution, customer service, investment and after-sales. This model provides great convenience for merchants, allowing them to focus on product supply without having to worry too much about each link of operation.
The “semi-trusteeship” model is mainly aimed at sellers whose goods are in overseas warehouses. Sellers fulfill their own orders and ship them by themselves. They need to open a semi-trusteeship store again. They can skip the steps of product selection, sample delivery, and version review, and are responsible for product payment, inventory management, and logistics distribution. Temu is responsible for completing product details, assisting in price comparison, and listing products on sites such as the United States and Europe for sale.
Compared with full trusteeship, the semi-trusteeship model has obvious differences in warehousing and logistics, and has different advantages and supplements for buyers, sellers, and platforms.
For buyers, sellers use overseas warehouses to ship goods locally and bear after-sales returns and exchanges. The sales time can be controlled within 7 days, which means that buyers can receive the purchased goods faster. For example, a consumer bought a product. Under the semi-trusteeship model, he received the desired item in just a few days, which greatly improved the shopping experience and also significantly improved the after-sales service.
For sellers, they can focus more on product research and development, and can choose logistics and distribution methods more flexibly. If you have your own overseas warehouse, you can greatly reduce logistics costs. Even sellers without overseas warehouses have one more choice, and can compare whether it is more cost-effective to cooperate with third-party overseas warehouses. After adopting the semi-trusteeship model, a small and medium-sized seller has significantly improved its profit margin because it can flexibly control logistics costs, and at the same time has more energy to invest in product innovation.
For the platform, this model can attract mature sellers who have overseas warehouse delivery capabilities and pallets, and focus on large-size products in product selection, thereby enriching the platform categories, expanding SKUs, and attracting more customers. Through the semi-hosting model, Temu has successfully attracted many sellers with high-quality resources to settle in, greatly enriching the variety of products on the platform and meeting the diverse needs of consumers.
In the field of e-commerce, Temu has launched two models, full-hosting and semi-hosting, to provide merchants with convenience and flexibility. The full-hosting model allows merchants to focus on product supply, and the platform takes over a series of subsequent operations; the semi-hosting model is aimed at overseas warehouse sellers, improving the shopping experience through fast delivery, and flexibly controlling logistics costs to increase profits. These models enrich the variety of platform products and attract high-quality sellers to settle in.