In order to protect the interests of consumers, the platform gives consumers the right to return goods for seven days without reason, each single sent out, labor and logistics costs will be five dollars, if the final customer returned, this single is equal to not a penny earned also lost five, and, in general, this kind of goods returned, are opened by consumers, packaging are damaged, want to secondary sales, but also manual to re-packaging, re The cost of the return is considerable.
Therefore, once the return rate remains high, even if the gross margin seems high, the brand’s real profit margin is not much higher.
However, this is not the case with Benedict.
The return rate is surprisingly low, even for those broken rubbish bags that leak when they are half filled.
She knows very well that if she brings in bird’s nest and skincare products that cost several thousand dollars per customer, although the commission is higher and she makes more money, if consumers find out that the products are not good, they will not have this “just for love” mentality and will definitely choose to return them at the first opportunity.
Therefore, she has her own book of business, the first is: live with the customer price of goods, the highest only to 99, never more than 100, only in this way, can make the return rate to a minimum.
Because she knows that consumer love also has a ceiling!
Nineteen ninety-nine dollars for a bunch of rubbish bags, twenty-nine ninety-nine dollars for a bunch of disposable shower caps made of cling film, ninety-nine dollars for five towels that you don’t know if they are pure cotton, even if the quality is bad at least they will make do.
Rubbish bags, although of poor quality, can be filled for less.
Cling wrap, although I don’t know if it’s clean or not, can help a little with leftovers.
If you can’t use a towel to wash your face, you can always use it as a rag.
Anyway, the price of these things is not high, consumers just think of it as a way to buy things to give love, after all, see someone send water drop fundraising, really touched also have to donate a hundred or eighty dollars, not to mention that this can also get goods, two birds with one stone.
And, this kind of thing is also very troublesome to return, and have to submit a return application and so on review, and also to place an order for express pickup, and also to pack and wait for the courier door, and finally have to pay the courier fee.
The courier fee itself is not transparent, large customers as long as more than two dollars, the first weight within the country which can be sent, casual customers send express at least ten dollars to start.
So, rather than going to all the trouble, it feels more cost effective for consumers to keep their stuff.
Precisely because she keeps the return rate extremely low, she also uses it to ask brands to raise their commissions.
For example, for yesterday’s towels, the commission for a single transaction is $20 for other people’s carries, but because she, Benedict, rarely returns anything, her commission is as high as 30%, or $30 for a single transaction.
The brands are also willing to give her a higher commission, after all, the total account is calculated, Benedict brings them a much higher profit margin than the average anchor.
And Benedict sold 1.1 million yesterday, and at a 5% return rate, her commission was up to over 310,000 before tax.
And yesterday, was not even the peak of Benedict’s live broadcast.
Charlie wade and his team’s return trip was at noon on Saturday, New York time, which is early Sunday morning, China time.
After a ten-hour flight, when Charlie wade and his team landed, it was Sunday evening China time.
The peak of the live bandwagon, however, was Friday night, all day Saturday and daytime on Sunday, and by Sunday night, the traffic dropped a lot.
Just two days ago on Friday night, Benedict’s live stream sold over two million, on Saturday day, she broadcast two shows in the afternoon and evening, selling a total of three million, on Sunday daytime one sold an extra one and a half million, and on Sunday night, which was last night, it sold one and a half million.
In other words, Benedict’s sales for one weekend, live with goods, reached eight million, the commission before tax is basically equal to this one Mercedes big g.
It is because of the staggering speed of earning money that Benedict dared to order a Rolls Royce Cullinan, after all, she only needed to pay one million upfront to order the car, and a month later, the full price of this Cullinan would be earned!