As TikTok faces regulatory challenges in some global markets, more brands and sellers are shifting to Xiaohongshu (RED). But do you really understand the operating costs of running an e-commerce business on this platform? 🤔
📌 1️⃣ Account Setup Costs
✔ Business verification: 600-2,000 RMB (varies by region and method)
✔ KOL/KOC marketing: 1,000-50,000 RMB+ (depending on influencer size & engagement rate)
✔ Content creation: 500-5,000 RMB per post (professional photography + copywriting)
📌 2️⃣ Platform Commissions & Transaction Fees
✔ Xiaohongshu commission: Typically 5%-10%, depending on product category
✔ Payment gateway fees: 0.6%-2%
✔ Returns & customer service costs: Often overlooked, with some categories having 20%+ return rates
📌 3️⃣ Traffic Acquisition Costs
✔ In-feed ads: 0.3-1 RMB per impression, higher for competitive industries
✔ Search keyword bidding: CPC model, with popular keywords costing 5-20 RMB per click
✔ Influencer collaborations:
- KOCs (micro-influencers): 500-5,000 RMB per campaign
- KOLs (top influencers): 50,000 RMB+ per campaign
📌 4️⃣ Warehousing & Logistics
✔ Domestic warehousing & fulfillment: 3,000-20,000 RMB/month, depending on inventory volume & location
✔ Cross-border logistics: Varies based on shipping destination, customs duties, and freight costs
🚀 Is Xiaohongshu Worth It Compared to TikTok Shop?
✅ Strong “recommendation” culture, ideal for premium & lifestyle brands
✅ Dual traffic from social engagement & search, helping build long-term customer assets
❌ Difficult to gain traction initially, requiring consistent investment in content & marketing
To succeed on Xiaohongshu, a refined strategy is crucial—simply copying TikTok’s approach won’t work! 💡
📩 Want to learn more? Let’s connect!
📧 contact@wantunmedia.com
🌍 www.wantunmedia.com
Wantun Media 