- Chief Business Intelligence
- Chief Business Intelligence
Introduction: The total loss for four consecutive years has exceeded 4 billion! Is there a tree that is one of the giants of domestic cross-border e-commerce in South China City about to fall?
Youkeshu Technology Co., Ltd. was recently disclosed to have a debt of 26.4 million yuan, and has issued an announcement on overdue litigation matters, which has once again set off a heated discussion in the cross-border e-commerce market!
The former four young people in South China City have not yet repaid their arrears, and they have even been delisted again, and many netizens sighed: "Cross-border e-commerce is not easy to do!"
In recent years, the development momentum of cross-border e-commerce has become stronger and stronger, as early as more than ten years ago when the Internet drove the rise of domestic e-commerce platforms, many people found the development space of cross-border commodity import and export.
In addition to a tree, the rest is the current momentum of development of the Saiwei era and the stable development of Tongtuo and Aoji, the founders of the four companies at that time saw the new opportunities of the e-commerce platform, the use of the distribution model to drive the enterprise directly to become the four giants of cross-border e-commerce!
In fact, in recent years, the cross-border e-commerce market has been in turmoil, especially Amazon's sudden closure of a large number of online stores in the past few years, which has dealt a heavy blow to many cross-border e-commerce enterprises in the mainland.
The domestic cross-border e-commerce is generally based on the distribution model as the main mode of operation, but with the development of the times, the upgrading and progress of the Internet and international logistics, many suppliers and suppliers choose to produce and sell, which has caused the cross-border e-commerce that only relies on the distribution mode to survive has no source of goods, which has led to the failure of the enterprise, and the decline of a tree is exactly like this!
Debt assets of 26.4 million yuan! Losses of more than 4 billion!
There is a tree in danger of being delisted!
There is a tree in the Internet when the rise can be said to be a trend, founded in 2008, in the golden stage of cross-border e-commerce at that time, has a total profit of more than 150 million yuan for four consecutive years, of which 4 times financing has become one of the four less cross-border e-commerce in South China City!
(Pictured: Youkeshu's financial report profit data over the years, source: Oriental Wealth Network)
Who would have thought that such a cross-border dark horse, which was at the peak at the beginning, would have received three consecutive warnings of delisting from the stock market in recent years! There is a tree that has been delisted in the stock market and renamed ST* Youkeshu because its net assets are expected to be in debt last year, and it has even been appealed by Everbright Group, which issued an announcement with a debt of 26.4 million yuan!
(Source: Enterprise announcement)
Youkeshu has always been based on the distribution model as its main means of operation, mainly through the purchase of suppliers' goods and listed for sale, so it does not have its own research and development of products as a brand sales. It is reported that Youkeshu's logistics method completely relies on third-party logistics companies for transportation and does not have its own logistics chain, which means that Youkeshu's logistics situation is vulnerable to the influence of third parties!
And because it has been acting as an "intermediary", one of the parties to the supply and marketing of this distribution method is impacted, and the overall operation will collapse! Moreover, relying on the logistics and transportation of a third party can not completely guarantee the timeliness and safety of logistics, and the cost is huge, and this mode of operation of Youshu cannot bear the pressure brought by the market at all!
According to the flush data, after being hit by Amazon and a special period, from 2020 to the present, the annual report during the past 4 years has reported that the company's total revenue is in a state of loss, and the total loss amount in 4 years exceeds 4 billion!
Shenzhen's 10 billion big seller "Global Tesco" fell off the altar
The domestic cross-border e-commerce market is highly competitive
Like Youkeshu, the current situation faced by another major cross-border e-commerce giant, Shenzhen Global Tesco, is not optimistic!
As a wholly-owned subsidiary of a cross-border pass, Global Tesco was one of Shenzhen's 10 billion cross-border sellers, and was also known as the "first share of cross-border e-commerce" in A-shares!
Coincidentally, Global Tesco also started to develop through a massive distribution model, and the overall income of Cross-border Pass mainly comes from Global Tesco, which can be seen in the company's annual reports in 2010 and 2018 respectively.
But who knew that after the Amazon turmoil, the loss of cross-border communication in 2019 exceeded 2.7 billion yuan, and the next year it lost 2 billion yuan again. Faced with the problem of commodity delivery and the accumulated loss of warehouse inventory, Global Tesco completely fell off the altar and declared bankruptcy and reorganization!
It can be seen that in the face of market turmoil, the distribution model is no longer suitable for the development trend of today's times, and only by taking the supply chain and logistics chain in their own hands can we effectively guarantee the development of the enterprise!
(Source: Nanyang City Circle)
The cross-border e-commerce market is fiercely competitive in China, and many enterprises can not withstand the market turmoil and face bankruptcy, and even the new star in the cross-border e-commerce industry, "Zebao Technology", is also facing business difficulties because of the trend of Amazon platform adjustment and the failure of internal operations! How to ensure the steady development of enterprises in the cross-border e-commerce market has become a major problem.
Saiwei Times' one-year profit increased by 82%
Shein's angry $30 billion is close to Amazon
But all cross-border e-commerce has collapsed, and Saiwei Era, one of the "Four Lessers in South China", has broken through the encirclement of domestic cross-border e-commerce competition!
According to the data of the third quarter report of Flush in 2023, the profit of Saiwei Times increased by 82.86% in one year, and the net profit in 2023 exceeded 330 million, and the gross profit margin grew steadily, occupying one of the largest selling giants in Shenzhen.
Compared with the business model of Youkeshu and Global Tesco, Saiwei Times pays more attention to brand building, and it can be known from the research and development information of Saiwei Times that Saiwei Times has mastered the supply and demand chain of commodities according to the different needs of consumer categories.
Source: Public information of the company
With the help of its own clothing brand, it uses the brand matrix model to subdivide various commodities, and it is also cleaning up inventory and streamlining the brand internally. While mastering the supply chain, we also operate to create the branding of self-developed products and promote the growth of brand premiums.
In the third quarter report of 2023, it was learned that the investment in market layout and R&D capabilities has increased by more than 80%, continuously incubating emerging brands, ensuring the overall development model of the integration of import and export retail, distribution and after-sales service, ensuring the stable development of the enterprise, and forging ahead in the cross-border e-commerce industry!
As a cross-border e-commerce enterprise in the field of women's fast fashion in mainland China, Shein has swept the whole network abroad, won the sales championship of casual women's clothing in the United States for three consecutive years, created an innovative supply chain, and expanded the overseas sales market by using low-price, high-quality Made in China, with an income of more than 30 billion US dollars in 2023, which shows the world the absolute strength of China's cross-border e-commerce!
Get rid of traditional patterns
It is urgent for domestic cross-border e-commerce to innovate and brand
The "four young in South China" of the cross-border e-commerce giants have come to different outcomes because of different business models and development directions, and now, how to develop a foothold in the mixed cross-border e-commerce market has become a problem, and the traditional model has no longer adapted to the new era, and seeking a new way of business is the key!
The success of Saiwei Times and Shein also points out the direction for us, only by firmly grasping the two key links of supply and demand and transportation in our hands, can we ensure the stable development of the enterprise!
At present, many cross-border e-commerce companies in mainland China are committed to building production, retail, transportation and after-sales services, and have formed a complete industrial chain, and many enterprises have begun to establish self-operated logistics to ensure the transportation of goods.
Moreover, the needs of consumers are more diversified, and in view of the development of the consumer market, cross-border e-commerce should ensure the diversification and brand development of products.
According to CCTV reports, the cross-border e-commerce platforms in mainland China are developing rapidly, among which Temu and Shein, which are owned by Pinduoduo, are close to Amazon abroad!
Under the general trend of vigorously supporting the import and export of cross-border e-commerce, the mainland encourages the holding of the Belt and Road Construction Exchange Forum to continuously promote cross-border e-commerce to improve the supply chain and industrial chain. Not long ago, the World Internet Conference on the Development of Cross-border E-commerce Digital Thought Development Forum was held, which is to promote the vigorous development of cross-border e-commerce import and export in the mainland!
Obviously, the import and export development of cross-border e-commerce is one of the important contents of the mainland's economic construction, so cross-border e-commerce enterprises should seize the preferential policies and support, realize the transformation and upgrading of the business model, and strive to build a supply chain and industrial chain integrating production and marketing, so as to prove to the world that the future of the mainland's cross-border e-commerce industry is unstoppable!
Write at the end
As the big brother of the cross-border e-commerce industry, it has not escaped the elimination of real development, with a debt of 26.4 million and facing a delisting crisis!
The traditional cross-border e-commerce business model has been unable to adapt to the pace of development of today's era, and more and more self-contained cross-border e-commerce enterprises have suffered impact.
Try to see that the innovative branding of the Saiwei era has successfully gained a firm foothold in cross-border, and Pinduoduo's and Shein are constantly improving their competitiveness overseas, and the development trend of facing the foreign "cross-border hegemon" Amazon is exciting!
The mainland is now also vigorously supporting the development of cross-border e-commerce and creating an innovative development platform for cross-border e-commerce.
What do you think about this? Welcome all netizens to speak actively, thank you for watching.
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