The Charismatic Charlie Wade
Chapter 5100
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.
high, even if the gross profit margin was initially high, the actual profit margin for
Hannah’s case, the return rate was
she sold low-quality items like leaking garbage bags, few customers chose to
with a higher commission,
that the maximum unit price per customer for live broadcast
low, she minimized the likelihood of
that consumers had a limit on the amount they were willing to spend
for 19.9 yuan, disposable shower cap
to her customers and unlikely to
be perfect for keeping food fresh, but they
the face, but
the prices of these items were relatively low, customers often viewed their purchase as a
the relatively low value of these items, the effort and cost associated with returning them
a return request, scheduling a pickup, repackaging the item and
items
a major shipping company might only be a few yuan, while individual
it more cost-effective to keep the item
low return rate was also an
was able to use her low return rate as leverage to negotiate a
Hannah might be able to negotiate a commission of
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