The current pricing standards for live-streaming e-commerce were actually set by Lin Chen's side.
The entire industry has now adopted this standard.
Live-streaming e-commerce platforms charge based on the total sales amount. Top streamers receive a 20% commission, while regular streamers receive a 10% commission.
In addition, merchants do not need to pay any extra fees to the livestreamers.
The streamer's commission is paid by the live-streaming e-commerce platform. In addition to the basic monthly salary, the streamer's bonus is calculated based on the total amount of sales generated.
Top streamers make up 10%, while regular streamers make up 5%.
Why did Lin Chen make the commission rate calculation so transparent?
The main purpose is to prevent livestreamers from acting unethically and pocketing most of the merchants' profits as commissions, which would force merchants to sell inferior goods and ultimately harm consumers' interests.
In his previous life, Lin Chen had seen far too many heartless streamers like this.
They've completely lost their shame in their pursuit of selling goods and earning commissions, even going so far as to boast that pre-cooked meals are actually the best choice for children.
I really want to spit this heartless streamer to death with a mouthful of salt water.
Some livestreamers, in order to sell their products, persuade merchants to raise prices across the entire platform so that consumers will only buy from them. That's bad enough, but the worst part is that they also boast that they are the cheapest on the entire internet, when in fact their prices are ridiculously high.
When consumers questioned the price, the customer even mocked them, saying, "Where is it expensive? It's been this price for years! Sometimes you should look at your own shortcomings..."
Seriously, the relevant departments need to really regulate the live streaming industry. Some streamers have completely lost their conscience in order to make money.
That's why Lin Chen kept the pricing standard so rigidly fixed; how much a streamer earns has no direct correlation with the merchant's earnings.
The platform controls the quality of the merchants' products, and the streamers' income depends entirely on sales commissions. In this way, consumers will not buy inferior products, and streamers will not hold merchants hostage in order to make money. This is where the platform's role is reflected.
This time, Taobao Live is using all of its budget to wage a subsidy war.
In other words, Taobao Live doesn't make a single penny; in fact, it has to subsidize operating costs, all in order to quickly get the business up and running.
The results were quite noticeable. Taobao Live's business expanded rapidly in Hangzhou. In addition to Taobao merchants, many other online shopping platform merchants also booked live streaming services on Taobao Live.
After Lin Chen started live-streaming e-commerce, all the online shopping platforms have followed suit. However, some of the larger online shopping platforms, such as Pinduoduo and Taobao, are able to build their own live-streaming teams.
Most small online shopping platforms can only develop a live streaming window function; as for live recording, merchants will have to figure it out themselves.
As a result, these merchants all went to Panda TV and Taobao TV to book live streaming services.
Seeing the bustling crowds on Taobao Live, Huang Zheng panicked and called Lin Chen.
"Boss, business on Taobao Live is booming lately, what should we do?"
Have you ever looked into why their business is so good?
"It makes me angry just thinking about this. Taobao Live has even put up posters at Pinduoduo's door. It's hard not to know about them. They're not making a single penny; they're losing money to attract customers."
Not making a single penny?
"Yes, the 10% commission from the live streaming platform is all used to subsidize the merchants."
Lin Chen was taken aback, then said.
"Is this for real?"
"Huh? Boss, what are you saying?"
"Hey Lao Huang, with such a great discount, aren't you going to buy it right away?"
"What are you rushing for, boss?"
"Of course, I'll bring Pinduoduo's self-operated products to Taobao Live to sell them!"
"Huh? Boss, why are you asking me to aid the enemy?"
"Are you stupid? Pinduoduo's self-operated products come to Panda TV's live streaming platform. They don't have to pay platform fees, they only need to pay the commission for the live streaming. What's the difference between this and going to Taobao's live streaming platform?"
Besides, you're a big client now. If you go there and negotiate a discount, wouldn't it be cheaper than if you did it with us?"
"That makes some sense, but isn't this still aiding the enemy?"
"Hey Lao Huang, think about it. Others bring a few or a dozen items, but you bring thousands of items and ask Taobao Live to prioritize you. If they don't, you won't ask them to do a live stream. Wouldn't that drive away all the other individual customers? Then you can just run away, and Taobao Live will be an empty shell."
"Hiss!!! Boss, you're too ruthless! How did you manage to come up with such a vicious plan in such a short time?"
"Old Huang, I advise you to reorganize your words."
"Uh, cough cough, boss, you're really too smart, a true business genius! But then again, Jack Ma is very shrewd, won't he see through this trick at a glance?"
"That's possible, so you'll have to know how to act."
"acting?"
"Yes, for example, I'll create a persona for you that involves taking kickbacks. When you go to talk to the person in charge of the Taobao live streaming platform, you'll say you want them to give you a discounted price, but the price on the invoice will be slightly higher than the actual price. The difference will be directly transferred to you, understand?"
"Um, boss, what do I do if I'm starting to feel tempted?"
"Hmph, what do you think?"
Huang Zheng shuddered. Forget it, forget it. Trying to outsmart someone so ruthless is pointless. He wouldn't even know how he died. Besides, Ye Qian's teacher in the group's legal department is Luo Xiang! He was scared.
The next day, Huang Zheng secretly called the number on the Taobao Live platform poster that was posted at the door.
Tell them you have thousands of products you want to sell via livestream, but you want to talk to their manager in person.
The operator on Taobao Live was initially shocked, but then expressed understanding. This was a super big client, and they probably wanted to talk to their superiors about discounts. Indeed, their authority wasn't enough to offer such large discounts.
So she reported this major local client in Hangzhou named Mr. Huang to the higher authorities.
Then, the scene of Zhang Yong and Huang Zheng staring at each other wide-eyed appeared.
One person in charge of Taobao, and one person in charge of Pinduoduo.
"No, you...I...Mr. Huang, are you here to make fun of me?"
"Mr. Zhang, do you think I have that much free time? I really want to do Taobao live streaming to sell products."
"Don't you have your own Panda TV platform? Why are you contacting us?"
"What are you saying? I run a business, my family owns a restaurant, so why can't I eat at other people's restaurants?"
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