Alibabas foray into Europe is trying to attract local European sellers at a lower cost than Amazons.
Global Express reportedly exempted Spanish sellers from monthly fees to attract their business, while the Commission for the goods sold was set at between 5% and 8%. By contrast, Amazons monthly fee in Europe is 39 euros, and the Commission for selling goods is 7% to 15%, among which the commission rate for items such as jewelry and Amazon equipment accessories is higher.
In recent months, a large number of small enterprises have joined Alibabas European platform Global Express. Some well-known brands have also joined the platform.
ElCorteIngles, a Spanish department store, announced in June that it would expand its cooperation with global express and add 7 product lines to the global express platform. In addition, letout, a Spanish cosmetics start-up, launched its business in global express in 2019.
However, more famous brands are still waiting. Some brands think that global express is not the right place to show their products. People familiar with the matter said that global express contacted famous brands such as mango, Benetton and Spanish fashion group Tendam (owner of cortefiel), but they did not choose to cooperate with global express.
Wang Mingqiang, head of the express, said it would take time for foreign brands to understand the platform. He added that by designing their own store space on the platform, brands can create their own home page, including pictures and videos, to create the feeling they want.
A spokesman for Speedpost said that since opening to local sellers in 2019, thousands of small businesses have registered with Speedpost in Spain. We are constantly exploring opportunities to work with different partners and are committed to being trustworthy partners for consumers and sellers, the spokesman said
Source: Wall Street editor in charge: Wang Fengzhi, nt2541