Hannah took advantage of this and unexpectedly lowered the return rate to less than 5%!

This was recognized by the brands.

Although Hannah’s number of fans was not as high as those of top streamers, her fan conversion rate was high and the order transaction rate was also high, which resulted in brands increasing her commission ratio.

Live streaming had become a profitable business.

For example, the five towels that Hannah sold yesterday, the production cost in the southern factory was about 15 yuan.

Due to the huge order volume, the cost of logistics was about two or three yuan and the cost of storage and packaging was added up.

The total cost was only twenty yuan, but the live broadcast sold five items for ninety-nine yuan and the gross profit rate was extremely high.

However, brands also had their own weaknesses. What they were most afraid of was the high return rate.

In order to protect the interests of consumers, the platform gave consumers the right to return the product within seven days without any reason.

Each time a product was shipped out, the expenses for labor and transportation amount to 5 yuan.

However, if the customer returned the product, the revenue from the sale was reduced to only one cent. This resulted in a net loss of 5 yuan.

Additionally, returned products often had their packaging damaged, requiring additional effort and cost to repackage the item for resale.

rate was high, even if the gross profit margin was initially high, the actual profit margin for

in Hannah’s case, the return rate

she sold low-quality items like leaking garbage bags, few customers

she were to sell expensive skincare products with a higher commission, a customer’s dissatisfaction with the product would result in a higher rate

maximum unit price per customer for live broadcast sales

low, she

limit on the amount

of garbage for 19.9 yuan, disposable shower

might not be great, they were still useful to her customers and unlikely to be returned. Even though the garbage bags might not be of high quality, they could

wraps might not be perfect for keeping food fresh, but they could still serve a purpose

washing the face, but they

were relatively low, customers often viewed their purchase as a way to show their support

the relatively low value of these items, the effort and cost associated with

and paying for shipping back could be seen as more trouble than the item’s

items could also be a deterrent for

be a few yuan, while individual express delivery could be much more expensive, which at

might find it more cost-effective to keep the item rather than went through

also an advantage for her

her low return rate as leverage to

offered a 20 yuan commission for each sale through another live streamer, Hannah might be able

The Novel will be updated daily. Come back and continue reading tomorrow, everyone!

Comments ()

0/255