Global e-commerce giant eBay has signed a strategic agreement with Shanghai-based logistics service provider Winit Corporation to allow Chinese vendors to easily sell to overseas buyers.
Winit will provide eBay sellers with one-stop cross-border supply chain services to allow quicker delivery from overseas warehouse to buyers. This comes as a result of cross-border e-commerce transactions picking up in recent years.
John Lin, Vice President of eBay and Managing Director of eBay China, including Hong Kong and Taiwan, said: "Through our collaboration with Winit we hope Chinese exporters can leverage the comprehensive warehousing service to play a more important role in global trade and to better connect Chinese exporters with global buyers.
The “shipping first, selling later” model enables Chinese sellers to compete with overseas counterparts by improving delivery efficiency and save logistics costs and customs clearance trouble. After Chinese sellers' merchandise is shipped to an overseas warehouse, local buyers can select their own courier services to have their packages delivered to their doorstep.
Cross-border trade currently makes up about 22 percent of eBay's total transaction volume. EBay's Lin said currently more than 40 percent of purchases are made from smartphones and buyers can easily check the logistics information and the estimated delivery time of the products. Winit also said it is expected to expand its warehouse facilities in the eastern US in the next two years to offer more solutions to exporters.
Recently, eBay announced that it will be splitting off with PayPal, which processes millions of online payment transactions for the former. The PayPal support will be officially broken off next year.