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What does placing an order for consignment mean?

2025-10-23 17:38:45 Fashion

What does placing an order for consignment mean?

In the current field of e-commerce and supply chain, "consignment ordering" is a term that appears frequently. It refers to a business model in which suppliers (or brands) entrust sellers (such as e-commerce platforms, agents) to sell goods on their behalf. The seller does not need to purchase or stock goods in advance. It only purchases from the supplier and completes the delivery after the consumer places an order. This model reduces the seller's inventory risk while providing suppliers with broader sales channels. The following are related topics and structured data that have been hotly discussed across the Internet in the past 10 days:

1. Core features of agency sales orders

What does placing an order for consignment mean?

The core advantage of the consignment order model lies in its light asset and low risk characteristics:

Featuresillustrate
Zero inventory pressureSellers do not need to stock up on goods and reduce capital occupation
Purchase on demandAfter the consumer places the order, the salesperson places the order with the supplier
Profit sharingSuppliers and sellers distribute income according to agreed proportions
Channel expansionSuppliers can quickly cover multi-platform sales

2. Recent popular consignment model cases (data in the past 10 days)

The following are consignment-related topics that are highly discussed across the Internet:

Platform/eventheat indexKey points
Douyin store consignment★★★★★Small and medium-sized merchants achieve zero inventory sales through experts bringing goods
Temu fully managed agency★★★★☆The platform is responsible for operations, and merchants only need to supply goods
1688 cross-border consignment★★★☆☆Domestic suppliers directly connect with overseas distributors
Xiaohongshu no supply e-commerce★★★☆☆Notes diversion + third-party distribution model explodes

3. The operation process of consignment ordering

The typical consignment order process can be divided into the following steps:

stepParticipantsOperation content
1. Product launchsellerPublish supplier product information to the sales platform
2. Consumers place ordersconsumerPurchase products through seller channels
3. Order deliverysellerSynchronize order information to suppliers
4. Shipping processingsupplierDeliver goods directly to consumers (sales side logistics receipt can be affixed)
5. Settlement ledgerboth sidesSettlement of payment according to agreed period

4. Controversies and Risks of the Agency Sales Model

Although the consignment model has obvious advantages, some problems have also been exposed in recent discussions:

Risk typeSpecific performancesolution
quality disputeConsumer complains that the product does not match the descriptionEstablish a supplier access mechanism
Logistics delaySupplier's delivery is not timelySet delivery time penalty clauses
Fund securitySome platforms withhold paymentChoose formal platform cooperation
Data silosSellers cannot obtain consumer informationData permissions are specified in the agreement

5. New trends in sales orders in 2023

Combined with recent industry trends, the agency sales model is developing in the following directions:

1.Popularity of AI product selection tools: Use big data analysis to predict popular products and reduce the error rate in product selection.

2.The outbreak of cross-border consignment: SHEIN, Temu and other platforms promote the "domestic supply chain + overseas consignment" model.

3.Live streaming consignment upgrade: The MCN organization directly connects with industrial belt factories to realize real-time order production.

4.Increased compliance requirements: New regulations have been introduced in many places, requiring both parties to clear the rights and responsibilities of consignments.

In summary, the essence of consignment ordering is the refinement of the division of labor in the supply chain, and the optimal allocation of resources is achieved through professional division of labor. As technology develops and supervision improves, this model will continue to reshape the ecological landscape of the retail industry.

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