The catalog sales door to door is strong in Mexico. There are many who make a living touring neighborhoods and selling brand products and obtaining reduced prices and commissions in exchange. In recent years, these brands have been joined by big Asian names, such as Shein and Temuwhich have increased their penetration in the country through direct sales.
As Chinese e-commerce platforms have gained popularity globally, The sellers have incorporated the products from their catalog into their stock. According to Rest of the World, In Mexico there are approximately 3.1 million people dedicated to catalog sales and, according to an analysis by Bitácora Social, six out of ten already sell products from online platforms.
Shein sellers
Shein and Temu are some of them. On social networks, digital platforms and messaging services, such as Facebook, WhatsApp or TikTok, profiles and groups proliferate in which sellers share their catalogs so that consumers can place orders through them.
On other occasions, users review the platforms’ catalogue, choose their products and They contact the sellers directly to place their orders, either through the direct accounts of the sellers or in the enabled groups. In general, they pay an initial part of the payment, and when they receive the order they complete the amount.
For the most part, the profile of this direct sales from Shein are women between 35 and 44 years old. It coincides with the general profile of people dedicated to this type of sale, according to the Mexican Direct Selling Association, which points out that 73% are women, housewives, residents of urban areas, and who sell products from two or more companies. .
Unofficial stores
The reasons for using this method are multiple. The main one is the price, since sellers offer the cheapest products thanks to discounts or promotions they receive for large orders. But there are also other reasons, which are those that have traditionally been associated with direct sales in the country.
He fear of online fraud is one of them. Many consumers fear entering their payment information on fraudulent websites and becoming victims of phishing, or ending up not receiving orders placed.
Additionally, others trust sellers by offering a direct relationship and face-to-face treatment; or because they do not have an internet connection or are users who are not very accustomed to the online environment.
What’s more, around the interest in Shein there have arisen unofficial stores that are dedicated to marketing the platform’s clothing, despite the fact that the Chinese company does not have permanent official physical stores. Thus, stores dedicated to the purchase, storage and sale of Shein products wholesale have proliferated; and its clientele is mainly made up of those who distrust digital businesses, do not have access to the internet or prefer to see the products in person.
Sellers have their reasons too. As stated in the aforementioned media, logistical ease and convenience are the main ones. With brands that traditionally sell by catalog, sellers spend a lot of time and effort picking merchandise from warehouses, delivering them in person to customers, and collecting payments, many of which are made in cash.
On the other hand, with online platforms they can place orders whenever they want and use faster delivery methods.
Asian giants
This is leaving its mark on catalog sales in the countryeven leading some companies to close due to the increased presence of Shein and Temu. As sellers have incorporated online platforms into their activity, they have put aside their dedication to other companies to focus on these types of actors.
Some traditional catalog sales brands even aim to difficulties in finding sellers for your products. These, for their part, point out that they are adapting to the preferences of consumers, especially young people, who are more likely to buy Shein items.
The really low prices of both Asian giants is also one of the aspects that is most affecting other retail companies, a situation that extends beyond Mexico and is already seen in all the markets in which both Shein and Temu operate.
Their presence also indicates that it will continue to grow. In October, Shein announced the launch of a credit card together with the Mexican fintech Stori, with which it will offer points to users for their purchases on the platform. In this way, Shein builds the trust of Mexican consumers while continuing to boost its penetration.