On this year's Amazon Prime Day, SHEIN appeared rarely. SHEIN, which has always been compared with Amazon, really appeared on Amazon's stage this time.

Today, the popularity of SHEIN is still difficult to match with its huge size. In the past two years, the valuation of SHEIN has been growing at a rocket-like speed.

When SHEIN completes its Series E financing in 2020, its valuation will be about $15 billion; in June 2021, Forbes magazine stated that the latest valuation of SHEIN could reach $47 billion.

At the same time, SHEIN's revenue has climbed from $600 million in 2016 to $15.7 billion in 2021.

In July, Apptopia recently released the "Global Shopping App Download List in the First Half of 2022" . In the US list, SHEIN surpassed Amazon to become the most popular shopping APP in the US with 22.4 million downloads.

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Among the top ten e-commerce shopping apps in the world, SHEIN is the only platform that is vertical to the fashion category.

What is even more rare is that the main download growth of SHEIN comes from the United States, the most mature e-commerce market in the world. SHEIN defeated Amazon, the overlord for many years, in the United States, and became the leader of downloads on the US e-commerce platform in the first half of the year.

The value of one American customer can be compared to the value of several Indian customers. The achievement of this result is beyond doubt, and it is much more difficult than winning the first place on the global list.

In the same market, it is easy for people to associate SHEIN and Amazon as life-and-death competitors.

As early as the eve of Amazon Prime Day on July 11, some netizens have discovered that SHEIN has entered the Amazon platform and has begun to sell its own products. Now, we can find SHEIN's brand stores by searching for brand terms on Amazon, and we can search for its stores on popular sites such as the United States, the United Kingdom, France, and Germany .

Image source SHEIN official website

Today, as the leader of independent cross-border e-commerce, SHEIN has given up its habit of "going alone" and entered the Amazon platform, which is somewhat unexpected for sellers who are trying to "escape from Amazon".

In everyone’s impression, independent sellers are outside the Amazon platform, especially sellers like SHEIN. They don’t have to endure the constraints of the platform’s rules at all, and they can often wrestle with Amazon.

The action of SHEIN is even more of a huge pressure for fast fashion sellers who are still "left behind" on the Amazon platform. The entry of SHEIN will undoubtedly once again swallow a large piece of the cake in the already limited platform traffic.

In 2021, after Amazon's large-scale ban on big sellers, many people regard "transformation to become an independent station" as a way to withdraw from Amazon or as a supplementary path. And why did SHEIN do the opposite?

Is it mutual drainage? (SHEIN products double the price on Amazon)

Since its establishment, SHEIN has always been known for its high cost performance. The average price of its main products is less than 20 US dollars. Because of this, SHEIN has won the favor of the middle and low class overseas in a short period of time. But after entering Amazon, the price of SHEIN's products is obviously one level higher than that of independent stations.

Take a V-neck dress as an example, which is priced at $20 on SHEIN's official website.

Image source SHEIN official website

It sells for $34 on the Amazon store, a price difference of up to 70%.

Image source Amazon store

Another off-white skirt is $35.99 on Amazon.

Image source Amazon store

But on its own stand, the same dress is only $19.

It is reported that the price difference of some products in the SHEIN independent station and the Amazon store is nearly double!

During this year's Prime Day, the coupons on the Amazon platform can also buffer the price difference. With the end of the membership day event, the original price of these products is far from the independent station. Amazon, which pursues "buyer first" and "lowest price in the market" In other words, SHEIN's approach runs counter to its philosophy.

At the same time, this also means that consumers who are familiar with the brand must not buy the same product on Amazon, but go to an independent site to search for products.

Why would Amazon allow its competitors to inflate prices on the platform?

Some professionals pointed out: Although on the surface, the entry of independent stations will direct some of Amazon's traffic to the outside of the station, but on the other hand, it also enriches Amazon's product coverage.

However, on the whole, the product overlap between the SHEIN independent station and the Amazon store is not high, and the main products are also very different. And even if the price is increased, SHEIN's products are still not considered high-end consumption, and it will not cause price involution in Amazon in a short time.

However, the advantages of SHEIN are not limited to price. In terms of supply chain, logistics, warehousing, update speed, etc., SHEIN still maintains an absolute advantage over ordinary sellers.

Especially recently, SHEIN has reached a cooperation with China Southern Airlines, which further enhances its advantages in logistics and distribution efficiency.

The picture comes from the Internet

On July 20, China Southern Airlines Logistics Co., Ltd. (hereinafter referred to as "China Southern Airlines Logistics") and SHEIN formally signed a strategic cooperation agreement.

China Southern Airlines Logistics is familiar with cross-border logistics business through cooperation with SHEIN, and also uses SHEIN's influence in the industry to expand the customer base of China Southern Airlines Logistics, while SHEIN uses the dedicated line of China Southern Airlines Logistics to improve the distribution efficiency of its first-haul products.

The bad news is that SHEIN isn't the only DTC brand entering Amazon. DTC brands have entered Amazon one after another, and the platform competition has become more intense.

The addition of SHEIN is just the beginning, and sellers on Amazon may face a more introverted competitive environment.

Does your Amazon category have a price roll king? Welcome to the comment area to comment and complain~

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On July 29, Amazon executives said at the earnings conference that from the first quarter to the second quarter, Amazon’s direct employees decreased by 99,000, which was the largest quarter-on-quarter decline in history, mainly due to warehouses and distribution. Mass layoffs at the center.

In fact, Amazon warehouse employment has declined for multiple quarters in a row, but even with the quarter-over-quarter decline, Amazon's employment is still up 14% year over year, up from 1.36 million in the second quarter of 2021.

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Amazon executives pointed to layoffs across its fulfillment and warehouse network due to slowing growth and overstaffing warehouses. Amazon also plans to slow hiring at its headquarters and other divisions, and will continue to increase headcount in a "very targeted" way, including in engineering roles in Amazon Web Services and advertising, with a "high focus" on profitability.

Amazon Japan: Make Pre-Prime orders can use Marketplace delivery service

Today, Amazon Japan announced that Make Pre-Prime orders can now use the Marketplace delivery service, and sellers can view the delivery time metrics of Make Pre-Prime orders in the performance dashboard.

It is understood that the Marketplace Shipping Service (Marketplace Shipping Service) is a delivery service of Amazon. Sellers can deliver orders at preferential shipping rates through logistics companies that cooperate with Amazon. Make Pre-Prime orders weren't available when Amazon initially launched Marketplace delivery.

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Amazon Europe: 'Exclusion list for products' does not enforce expiration dates

In the latest news today, Amazon Europe issued an announcement saying that the expiration date of the listed products has been updated.

Specifically, for products on Amazon's "Product Exception List," merchants are not required to include an expiration date on their physical products. At the same time, Amazon has also added a hyperlink to the restricted product policy to make it easier for merchants to browse the content.

It is important to note that if a product delivered by a self-fulfilled seller is considered expired, please be aware of Amazon's buyer order delivery process and product preparation requirements. Failure to comply with product preparation requirements, safety requirements, and product restrictions is a violation of Amazon policy and may result in buyer complaints, purchase order exclusions, chargebacks, and account-level exclusions.

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Amazon Belgium is coming soon

Amazon has announced that it will launch its local website .be in Belgium. Although the new site will be officially operational in the next few months, it is now open to third-party sellers.

According to Amazon, millions of Belgian customers have been shopping on Amazon's sites around the world for years, with Belgian buyers mainly shopping on Amazon.fr, Amazon.nl and Amazon.de.

In fact, Amazon has been serving Belgian buyers for more than 20 years, and amazon.fr, launched in 2003, is now the largest shopping destination in the French-speaking region of Belgium.

Previously, consumers in the Dutch-speaking region of Belgium mainly shopped on amazon.de, which established a Dutch-speaking section in 2016 until the emergence of amazon.nl in 2020. However, Belgian buyers have not had a unified shopping website. Based on this, Amazon Belgium also came into being.

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According to third-party data, the proportion of online shoppers in Belgium has steadily increased in the past three years. In 2021, the proportion of online shoppers in Belgium will reach 85%, an increase of 12% over 2020. Among them, the proportion of online shoppers among 16-34 year olds will be 90%. %above. In 2021, Belgium's total online consumption will reach 12.1 billion euros, and it is expected that the average annual growth will reach 14.7% by 2025.

It is understood that Belgium is one of the most densely populated countries in Europe, adjacent to the two major European economic entities of Germany and France, and is one of the core areas of cross-border e-commerce transactions in Europe. In order to meet the online shopping needs of the Belgian market, Amazon Logistics will increase its cooperation with local Belgian logistics companies in 2021 to help goods reach consumers faster.

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Article: Xiaoyi Pictures: Source Network