Whether or not to do agency operation, you will understand it immediately after reading these points!

However, judging from the current market conditions, the agency operation market is mixed, with a large number of agency operation companies going bankrupt. Moreover, the agency operation has also fallen into a serious crisis of trust.

Seller A:

"There are many scams in the agency operation. It can be said that 95% of the agency operations are scams."

Seller B:

"A friend of mine had an account with a negative balance of over 160,000 yuan. It was said that he hired an agent to do this. CPC advertising doesn't care about the input-output ratio (A CO S), as long as there are orders, it's OK."

Seller C:

"To be honest, this kind of cooperation with the agent is a bit like chicken ribs. Only a few popular SKUs are slightly profitable, but overall it is a big loss. The agent took 12 points of the entire sales. The most important thing is that the working status of the agent is like that of a state agency. They have two days off a week and no day off during national holidays. They are indifferent when they are running out of stock. Even the popular products have been out of stock for no less than three times. They only respond after asking for price changes and promotions for several days..."

Of course, there are also some good voices:

Seller D:

"Now many factories have begun to turn to Amazon, but they are not very good at this, which leads to the various situations mentioned by the original poster. In fact, I personally believe that everyone has their own expertise, and it is good enough to do their own job well."

Seller E:

"Some are reliable, and some are just scams. I also found an agency to do B2C, and it's doing pretty well."

1. Why do factories transform into cross-border businesses?

Now traditional foreign trade can be said to be in a state of mourning, with internal and external troubles. Externally, customers have poor quality and severe price pressure, so most orders have little profit.

Internally, labor costs are high. In the past, it was the cost of production workers. Now, not only is there the cost of production workers, but the costs of marketing staff and office staff are also very high.

In Shenzhen, a fresh graduate with no work experience will basically not have any achievements within half a year. The basic salary for such a person is at least 4,000, and it is difficult to recruit people with this standard.

The salary for people who graduate from a decent school is over 5,000 yuan. Add to that various indirect costs such as social security and employment risk costs, and the cost of marketing personnel has doubled compared to the past few years.

The two huge mountains at home and abroad have made it hard for companies to breathe. On the one hand, there are no customers, no orders, and no profits. On the other hand, various costs have increased across the board, forcing many companies to transform into cross-border e-commerce. After all, cross-border e-commerce has high profits, and the overall profit will be much better with more orders.

2. How to choose an agent operation company

Before choosing an agent, it is best not to just listen to the one-sided words of the agent. It is recommended that you conduct an on-site inspection or have a specific interview with the other party. Learn about their company’s situation, their team’s situation, the stores they operate, their understanding of your category, and some of their operational ideas and insights.

Generally, a more reliable agency will have a corresponding understanding of your situation, including your store products, your supply chain, and your team, and then determine the possibility of cooperation between the two parties. If the product itself has no room for operation and still wants you to cooperate, you should be careful. In order to avoid finding the wrong person to do the wrong thing, please pay attention to the following points before you go:

1. Low price is not necessarily good.

The prices for agency operations in the market are very different. The service fee ranges from several thousand yuan per month to tens of thousands of yuan per month. Don't measure it from a single price dimension, because the lower the service fee, the more stores the agency must take over to maintain employee expenses, and they will definitely not have enough energy to manage your store.

Normally, a team of 5-6 people can take over 2-3 stores at most (excluding customer service).

2. The tip-off model is unreliable.

There is also a model that only charges points. I personally think that this model is also relatively unreliable, because as long as there are sales, the agency company will make a profit and will not care about your brand planning and the future development of the store.

It is best to determine how you will collect the sales generated by each event, the product pricing strategy, gross profit margin control and the proportion of promotion investment. Promotion investment must be estimated based on your target sales and market size.

3. The most important thing is to be suitable for store development.

See if he has any relevant cases, or how much he knows about your category. If you are worried, you can also make a corresponding plan to see if the operational ideas are suitable for the development of your store.

4. Clarify the cooperation model.

Never believe those who come and tell you that so many stores are cooperating with them. The more stores they cooperate with, the less staff energy they have. What you need to understand is how many people are in their operation team and what kind of cooperation model these stores have with them.

3. Analysis of the advantages and disadvantages of agency operation

Agency operation is more suitable for factories without any experience and some well-known domestic brands that want to improve their overseas reputation.

The benefits of finding an agent are:

1. Through agency operation, factories can quickly enter the cross-border B2C business and gain a gradual and in-depth understanding of the cross-border B2C platform and market in a short period of time, which can help factories lay a good foundation for product development, market channel expansion, brand building and communication around cross-border e-commerce in the future;

2. It can effectively reduce the factory's operating risks and reduce the opportunity cost of trial and error;

3. With the help of agent operation, you can gradually build and cultivate your own operation team through cooperation with agent operation;

4. Through agent operation, the factory gradually builds its own brand. At the same time, the store or account can maintain a certain healthy operation, providing very favorable growth conditions for its own team to take over after the agent operation service period ends.

Of course, the disadvantages are also obvious:

1. There are good and bad operation teams in the market now, and it is not easy to distinguish them.

2. Investment involves risks. Agency operation is not a project that is 100% successful. It is just a way to increase the chances of success.

3. Many people think that they just hand over everything to the agent, do nothing themselves, and wait to collect money without providing resource support. This is not advisable. After all, the competition is so fierce now. You might as well put what you have learned into practice and then do it yourself slowly later.

In short, if you want to choose an agent, you must consider your own conditions and not cooperate blindly, so as not to lose both the wife and the army!

Author: Bluetech Forum Source: Bluetech Forum