
Why should we shift from the C-end to the B-end?
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Actually, since the end of this year, with the US tariff war against China, I think there may be a good future for cross-border e-commerce.
So, a lot of manpower, material resources, and financial resources were invested to build the website, and it took three months to complete the construction of the supply chain, product launch, and deep strategic thinking. I feel that doing the C-end is not as simple as I imagined.
The C-end sellers I have learned mainly sell on platforms such as Amazon and Tiktok in the United States, which are mature platforms that require large advertising costs and mature operational teams. However, our factory lacks these. We are only good at producing products and have a clear weakness in brand building.
On the other hand, I think for the C-end market, we do not have a mature customer service team. If there are customers who need to consult, especially due to time differences, we cannot respond to their inquiries in a timely manner. This is always a shortcoming for the long-term development of the brand.
Slowly, we have shifted our strategic direction towards the B-end where we excel the most.
But this time we are doing OEM for almost all products, unless we do OBM for one product, which is the COZHOM X series. Because the fabric and filling material were developed by our entire team after 2 years of research and development, we cannot easily open them up, otherwise it would be unfair to our R&D team.
And when promoting the COZHOM X series bedding in the United States, we will strictly act as agents according to the region. Each state will only find one exclusive agent, and each state will find its own home textile store as its secondary agent. This way, these home textile stores will order from the state exclusive agent, who will then order from us. During this process, it is strictly prohibited for agents to collude (i.e. agents are not allowed to sell outside the state).
Because the clinical efficacy and reputation of the product are good, as long as we use the X series bedding, everyone praises it endlessly. This is our biggest confidence, because the $600 8-piece bedding set is not a small amount. By giving the state exclusive agent sufficient profit margin, they are willing to cooperate with us. At the same time, only when offline stores have sufficient profit margin can the product be sold quickly and the shop owner can make money.