Transformed from OEM, sold well for many years and has been firmly on Amazon's BS list

Today is the end of the holiday, and sellers have to focus on their business again.

Today, Ennet would like to share with you a story about a Xiamen seller that went from OEM to branding and occupied the Amazon BS list for many years.

Many products firmly occupy the BS list, Xiamen sells well and successfully transforms

When cross-border e-commerce was still an unpopular track, most domestic factories were mainly engaged in traditional export trade . At that time, whether it was manufacturers of luggage, clothing or household tools, they all tried their best to seize the bonus period of China's early foreign trade exports and ushered in a period of high performance.

However, as the cross-border e-commerce track gradually releases its potential, many factories have begun to transform in the past decade. For example, Xiamen Xinweifa Industrial Co., Ltd. ( hereinafter referred to as "Xinweifa") , a luggage giant, was one of the first to realize that cross-border e-commerce would be a red ocean .

In 2005, Xinweifa, which mainly produces fashion bags, travel bags, outdoor backpacks and other products, was founded in Xiamen. However, at the beginning, it was just a "OEM". Compared with the whole chain from R&D, production to sales, which was fully controlled by itself, most of the profits of the OEM business were earned by the brand .

Therefore, Xinweifa founder and CEO Li Jiasong began to continue the OEM business while thinking about how to find a second way out. In 2010, cross-border e-commerce gradually entered the vision of Chinese factory owners, and Li Jiasong also sensitively realized that the opportunity had come.

In 2012, Xinweifa began to test the waters of cross-border e-commerce. But the initial stage was not easy. Li Jiasong once said in front of the media: At that time, the company faced not only the lack of e-commerce talents but also the long adaptation to the transformation of business model when it suddenly changed from B2B to B2C .

Therefore , it was not until 2014 that Xinweifa established Xiamen Xinweifa E-commerce Company , built a brand based on "bags" , opened up the cross-border e-commerce track, and won the title of "Fujian's Most Influential Cross-border E-commerce Enterprise" that year.

In 2017, Xinweifa's revenue from Amazon accounted for 90% of its total sales, ranking first in Amazon's luggage category, and was awarded the "Amazon All-Round Seller" award by Amazon .

Today, the two major brands under Xinweifa Worthfind - women's bag brand Ecosusi and multi-functional backpack brand Bagsmart, have achieved good market performance on Amazon.

Through Xinweifa's Ecosusi flagship store on Amazon , we can see that its products are priced from US$14 to US$60, and the product ratings are mostly above 4.5 points. The sales volume of single products is also good in the women's bag category. At the same time, many women's bag products under the Ecosusi brand are firmly in the top of Amazon's Best Seller list .

Let’s take a look at the performance of the multi-functional backpack brand Bagsmart on Amazon. The brand mainly sells cosmetic bags, jewelry bags, computer bags, travel bags, school bags, suitcases and other highly functional bags, and its market performance is also good.

Take one of the travel bags as an example. In September, it sold over 1,000 units and received a product rating of 4.7 points, ranking No. 1 on Amazon's BS list in this sub-category. Another jewelry storage bag has received over 10,000 reviews .

Data shows that as of August this year , Bagsmart and Ecosusi ranked first in their respective categories on Amazon, with estimated monthly sales of millions of dollars.

The number of global users has reached tens of millions, and the number of orders and visits to independent sites has increased steadily

Branding is the future development trend of cross-border e-commerce. As more and more cross-border companies begin to embrace capital , branding will accelerate development. This may be the consensus of cross-border sellers .

Listed cross-border sellers such as Anker and Leckey are all emphasizing the importance of branding through practical actions, and companies going overseas cannot avoid the topic of independent websites if they want to build their brands.

Although the two luggage brands performed well on Amazon, Xinweifa also did not dare to rely entirely on third-party platforms because the platform rules were too restrictive and changed frequently, the risk of store closure was high, and the price war was fierce, which was not a positive impact on the long-term benefits of the brand. Therefore, investing in an independent website was written into Xinweifa's development strategy plan.

In 2018, Xinweifa established a branch in Los Angeles, USA , and its own brands Bagsmart and Ecosusi successively created independent websites and began to explore overseas brand building. Through their independent websites, it can be found that compared with third-party platforms such as Amazon, the product categories on Bagsmart and Ecosusi official websites are richer and the prices are slightly higher.

However, it is a consensus in the business community that branding can bring higher profit margins to products, and the benefits brought by insisting on branding are obvious to all.

At present, Xinweifa has reaped considerable rewards by building its brand through independent websites. According to Xinweifa's previous statement, in 2020, its sales performance on the independent website increased by 48% compared with 2019, and the number of orders and monthly visits to the two independent websites maintained steady growth .

The monthly visits to the two independent websites of Bagsmart and Ecosusi have reached hundreds of thousands . According to Similar Web data, in September, the total visits to Bagsmart's website reached 236,800 , and the total visits to Ecosusi's website reached 543,900 .

I still remember that at that time, Xinweifa did not have much confidence in building an independent website, and more often regarded it as a traffic channel, but now the performance of the independent website may have far exceeded its expectations.

Today, Xinweifa has established operation centers in Germany, Japan, the United States, the United Kingdom and other places . Its official website Worthfind has more than 180,000 new users each year , with more than 10 million users worldwide . Its own brands are sold in more than 150 countries and regions around the world .

Southeast Net reported that Xinweifa 's sales volume has been growing rapidly at a rate of more than 100% per year.

Sales exceeded 10 million in one year, and the luggage market dividend was released

As the " world's factory " , China's luggage production accounts for nearly 40% of the global market share. According to the report of the General Administration of Customs, China's luggage exports in 2022 increased by one-third year-on-year. In the first eight months of last year alone, the cumulative export value of China's luggage and similar containers reached US$22.78 billion, a year-on-year increase of 34%.

As for the global market, Euromonitor data shows that in 2025, the global luggage industry market size will reach approximately US$211.2 billion.

With huge market dividends and supply chain advantages, more and more Chinese high-end luggage brands are pouring into the country, such as artrips , which has already made a big splash in the US market .

Artrips was founded in 2019 , but it was unlucky. Less than a year after its establishment, it encountered the COVID-19 pandemic that blocked the world. It is conceivable how much of a blow this brought to the luggage industry, which has a very high demand for outdoor products.

But in 2021, ( artrips ) " changed its fate against the wind ". In China, it launched its brand through platforms such as Tmall , and in that year, its overall sales reached tens of millions of yuan.

In May 2022, ( artrips ) accelerated its pace and quickly rushed into overseas markets. It opened up the US market by entering Amazon and took the top spot on the BS list in multiple categories of different sizes as soon as it went online. At the same time, it also entered the Korean market through Coupang .

The large market capacity , matching brand positioning and explosive outdoor demand are not only assists for artrips to expand its overseas markets, but also help other Chinese luggage brands such as Bagsmart and Ecosusi .

Of course, we cannot ignore that market competition will become increasingly fierce.

Not long ago, Xinweifa CEO Li Jiasong said in front of the media that the cross-border business environment competition in 2023 will be more intense, and product strength will be an important bargaining chip to stand out. Not only in the luggage industry, no matter what product, product strength may help sellers go further.

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