Detailed explanation of Temu’s deposit refund policy and analysis of the differences between semi-custodial and full-custodial models

In the context of the continuous development of e-commerce, Temu, as a high-profile platform, has attracted the attention of a large number of merchants. In order to ensure smooth and efficient business operations on the Temu platform, it is particularly important to have a deep understanding of the deposit payment standards and its return policy. In addition, for merchants who want to operate on this platform, it is also an essential knowledge point to understand the difference between semi-managed and fully managed models.

Margin payment standards

The amount of the deposit on the Temu platform is not fixed. It will be dynamically adjusted based on multiple factors such as the product category operated by the merchant, store level, and historical sales performance. The deposit amount usually ranges from a few thousand yuan to tens of thousands of yuan. For those stores that are larger or considered higher risk, margin requirements may be higher. This mechanism is designed to ensure that merchants have sufficient economic strength and integrity, thereby maintaining the operational order of the entire platform and providing users with a safer and more reliable shopping environment.

When merchants pay the deposit, they can complete the operation through the safe and convenient online payment system provided by Temu. At the same time, merchants need to ensure that the account information provided is accurate to facilitate communication and cooperation in subsequent business processes.

It is worth noting that Temu will also regularly evaluate the operating conditions of merchants and adjust their deposit amounts based on the evaluation results. Stores that perform well may enjoy lower margin requirements, while those that violate the rules may result in higher margin requirements.

Semi-managed vs fully managed

Store system

First of all, fully managed and semi-managed are two different operating models. If a merchant wants to switch from a fully managed model to a semi-managed model, he or she needs to open a new store.

Method of performance

In the fully managed model, merchants only need to deliver goods to domestic warehouses, and Temu will be responsible for all subsequent logistics and distribution work. In contrast, the semi-hosted model is mainly suitable for merchants with overseas warehouses. In this case, merchants need to import order information themselves and ship directly to customers, while also dealing with reverse logistics issues such as returns.

Product release steps

Merchants that adopt the full custody model need to go through a series of processes such as fund selection, sample delivery, and version review. It takes a long time for products to be put on the shelves and they have low autonomy. In the semi-hosted model, merchants can directly sell products stored in overseas warehouses online, and Temu will improve the product details page and price comparison.

Deposit refund policy

For many sellers, whether Temu’s deposit is refundable is a major concern. In fact, the deposit is refundable as long as certain conditions are met:

• Order cancellation and compliance with cancellation policy: If the seller cancels the order before settling in and complies with Temu’s cancellation rules, you can apply for a full refund of the deposit.
• No damage or loss caused: If no damage or loss is caused to the platform during use and the relevant regulations are complied with, you can apply for a refund of the deposit when exiting.
• Landlord’s acceptance passed: After receiving the confirmation email from Temu, you can complete the refund process by clicking the link in the email.

For merchants, it is possible to refund the deposit only if they voluntarily withdraw from the platform or terminate cooperation due to special reasons with the platform. During this process, merchants must ensure that there are no outstanding orders, refunds, after-sales service or complaints. Eligible merchants can submit refund applications through the Temu merchant backend, and the platform will complete the refund within seven working days after approval.

In short, understanding Temu’s margin system will not only help merchants better plan their financial arrangements, but also promote a healthier and more stable cooperative relationship between the two parties.