"Fully Managed" Brings New Opportunities for Domestic Enterprises
The global e-commerce ecosystem is changing with the iterative updating of digital interaction technology and the continuous evolution of business models. Since the second half of 2022, and especially since 2023, the "fully managed model" has quietly emerged in the cross-border e-commerce industry and gradually become popular. After Temu and AliExpress, Lazada, TikTok Shop, Shein and other cross-border e-commerce giants have launched fully managed services.
The "Full Managed model" can be called "class self-management mode / lightweight operation mode", that is, the platform is responsible for shop operations, warehousing, distribution, returns, after-sales service and other links, the merchant only needs to provide goods, stocking warehouse. At the same time, the merchant to report the supply price, the platform and merchants together to determine the final sales price.
In the "Full Managed model", the merchant and the platform's rights and responsibilities are divided into two. Merchants and suppliers only need to focus on the development and reporting of goods, while the platform to help merchants for sales, operation, distribution, after-sales and other links. Each is responsible for its own area of expertise, but the goal is a win-win situation.
The main reason for launching the "fully managed" model is to ensure the safety of the platform. Overseas markets are relatively strict in regulating the platform, but the behaviour of the three-party sellers is practically uncontrollable. Under the "fully managed" model, the platform can control the quality of products, logistics and user experience to the greatest extent possible.
With the emergence of the fully managed model, for enterprises with sufficient supply and supply chain advantages, they no longer need to carry out front-end sales and operations, which can save a lot of time and manpower costs accordingly. Moreover, the platforms have been developing in the international market for many years, and are well versed in local consumption trends, so they can often focus on the flow of hit models to make up for the vacancies in the selection of products.
Therefore, for enterprises integrating factories and industry/trade, as well as trading enterprises with greater supply chain autonomy, the rise of the Full Managed model is an important opportunity to realise transformation. At the same time, for cross-border e-commerce platforms, the control of multiple links from pricing to sales greatly enhances the platform's right to speak, so that it can respond to the competition more easily and freely.
The launch of the "Full Managed model" has simplified the business chain and lowered the threshold for sellers to go overseas, while the safe and efficient one-stop payment solution has solved their worries for their global layout and helped them become real "masters of their own hands".
Through the global payment network and a number of international banks in close co-operation, SUNRATE has built a one-stop digital services such as international payment, global collection, treasury management. Among them, the international payment capability supports 100+ currencies, which can help enterprises to develop markets in 150+ countries and regions, and at the same time, it can provide enterprises with a wealth of global multi-currency collection services, as well as local collection services covering emerging markets such as Southeast Asia and Latin America.
The first sellers to join the fully managed TikTok Shop have already tasted the law of "true flavour". Clothing, home, beauty tools and other categories are in full bloom. Home storage products such as Wire Fruit Basket For Kitchen, Metal Storage Baskets, home decorations such as decorative, fake flowers and other categories of views and sales are surging, bathroom supplies such as Bathroom Shower Caddy and other related keyword searches skyrocketed, these are "Full Managed" model of traffic dividends.
"Full Managed" focuses on a save heart and effort, the professional work to professional people to do, for cross-border e-commerce sellers, "Full Managed mode" is indeed much easier. However, the lowering of the threshold of entry into the cross-border market brought about by the "Full Managed model" is also bound to bring about a more intense involution of the cross-border market. Therefore, whether to join the "Full Managed" also need sellers to do a deeper level of comprehensive consideration.