Selling on VIP
Fashion and accessories, sports apparel and goods, homewares, consumer electronics, cosmetics, mother & baby, toys, food & drink.
Number of registered users
VIP.com enjoys an 85% repurchase rate from its 29.8 million active customers (at Q2 2018). Active customers have grown at 6% over previous year. VIP has 1.9 million Super VIP Paid Membership Programme customers and is experimenting with WeChat mini-programs as a way to acquire new customers, running over 400 from April-June 2018.
VIP negotiates deals with brands and sells goods at 20-90% discount from retail. For long-term brand relationships VIP does not pay a deposit on goods. For other relationships VIP may pay 10-100% deposit to brand owner for goods.
One-off registration fee
Negotiated depending on long term or short term relationship.
USD or RMB
Parcel tracking required?
Logistics from customer order to delivery provided by VIP. Seller responsible for CBEC process into China.
Not defined. Focus is on end customer support.
VIP.com (NYSE: VIPS) is the largest flash sales platform globally and the top female-focused e-commerce platform in China, with 29.8 million active customers at June 2018 [*]. The VIP.com B2B2C flash sales model has become one of the three main modern e-commerce business models in China alongside Tmall’s marketplace model and the B2C model of JD Worldwide (iResearch).
VIP.com pioneered the online discount retail model in China, by providing special offers and deep discounts on branded product. Sales cover a wide range of categories, including clothing, shoes and bags, cosmetics, mother and child, and home goods. VIP.com works with over 13,000 brands, more than 1,600 of those brands are exclusive online partners with VIP.com. The platform averages 900,000 orders per day with an 85 percent repeat purchase rate. It offers help with product photography, has a strong supply chain and in-house customer service.
VIP Global is a channel for non-Chinese brands on VIP.com. Daily at 10am local time the website offers deep discounts on at least 12 high-end brands. Because quantity is limited and each offer lasts only three to five days, consumers are motivated to buy on the spot. Payments are accepted through Vipshop Payment service and other third-party online payment services, such as tenpay.com and alipay.com.
New Zealand brands are active on VIP.com in the food and beverage, dairy, wellbeing and personal care categories. To apply to sell on VIP.com you must be the brand owner or authorised to sell the brand, and VIP.com seek premium brands which already have strong presence in China.
Helpful links for VIP.com
- Why sell on VIP.com (in English).
- VIP.com Investor Relations; (in English).
- About VIP.com (in English).
Things to think about
Consider registering your brand name or trademark in China to secure yourself from scams. Registration is administered by the Trademark Office of China (CTMO) (in Chinese only) and is a 'first to file' system. Applications from non-Chinese nationals must be made through an accredited agent. You can do a preliminary trademark search yourself here, but there can be a delay of up to six months from filing to visibility in the database. A search by a trade mark attorney is recommended for accuracy. Be aware if your brand or trademark are already registered, you may need to develop a separate brand for China.
You will need to set aside a reasonable marketing budget per year in order to sell successfully in China, so VIP.com is generally more suitable for larger, more established companies.
Goods will need to comply with all local health and certification procedures, which can be undertaken by specialist suppliers or a nominated partner.
All food and drink products need to be fully compliant with Chinese Food and Drink Regulations and you will need to design and print a Chinese label to file for registration with the Administration of Quality Supervision, Inspection and Quarantine for Food and Drink. Additionally, your first shipment will require a Sanitary Certificate upon entry, which can typically take 30 days. This is a legal requirement for you to be allowed to sell your product.
Any branded products, such as beauty and cosmetics, must be checked to see if they require testing to obtain pre-market approval or notification from the China Food and Drug Administration (SFDA).
Free Trade Agreements and Customs
In a world first for any developed country, New Zealand entered into a free trade agreement with China in 2008. New Zealand is now the first developed country to launch an FTA upgrade with China. Read more about the FTA on MFAT’s website.
To find out more about China’s Customs requirements, take a look through the English language website.
I want to find out about packaging and labelling for exportPackaging and labelling requirements can be very different from country to country, so get as much information as you can before making the decision to export.
Depending on where your products will be sold, you might need to use different materials or labels, and include different types of information. In some countries, you might have to translate all your packaging or labels into the local language – in others, applying a sticker with a few key details will do the job.
Make sure that you check out all of the requirements for packaging and labelling before tackling a new market, including anything that’s needed during transport or distribution.
You’ll find more details on the kind of things you need to think about in our guide to understanding international compliance requirements.
We suggest that you work with a customs broker or freight forwarder, or get advice from a lawyer in-market, to understand all the requirements for your product and the place where it’s headed. The Customs Broker and Freight Forwarder Federation (CBAFF) has a list of customs brokers and freight forwarders within New Zealand.
I want to find out about regulations and tariffs for exportRegulations and tariffs should be one of the first things you find out before exporting. They often determine whether a market will be easy or hard for you to export to, or whether you should try to do business there at all.
Understanding regulations in your export destination is a must-do. For an introduction to what you need to think about, see our guide on understanding international compliance requirements. This includes tips on how to research regulations, as well as insights on local regulations, standards, health and safety, and dealing with local bureaucracy.
It’s a good idea to take a look at the rest of the international compliance process while you’re doing your work on regulations – see more information in our guide to understanding international compliance requirements.
If you’re planning to export food or food-related products, you should also check out the food exporting page on the Ministry for Primary Industries (MPI) website. MPI maintains a list of Overseas Market Access Requirements (OMARs) for New Zealand food products in different export markets – search and identify OMARs for your product online.
Tariffs can make your products more expensive and less attractive to overseas buyers, so you need to know the charges your products will attract before you commit to a new market.
You can get a big head start in finding tariff information by using the Ministry of Foreign Affairs and Trade (MFAT) tariff finder or the World Trade Organisation’s tariff download facility. You can search the databases by product name, but they work best when you know the approximate Harmonised System (HS) code for your product. HS codes are used by customs authorities around the world to identify products and apply tariffs. The longer the code is, the more precisely it describes your product. The first six digits of an HS code are usually the same worldwide – after that, there can be up to eight further digits, which often vary from country to country.
New Zealand Customs can help you to find out the first six digits of your HS codes – email VOC@customs.govt.nz.
To get a longer and more precise HS code for a particular market, look up and contact the local customs authority online, or talk to a customs broker or freight forwarder who has done business in that market.