>>1569406>this is literally how their business model works you retard. people only pay the premium because of that arrangement. they only charge the premium because they offer that service, or else they'd be undercut by other sellers or ordering from the factory direct. Yes, for these sellers WHO ARE NOT THE FACTORY like you claimed earlier, they basically make their money on selling you insurance. Let's say the defect rate is 10%, typical margins are 25%, and they charge an extra 25%. They talk customers into partial refunds and some just go unreported, but lets just go with 10%.
Well, first of all, Ali/ebay does have some buyer protection, but even ignoring that, assuming each frame is $300 wholesale. Normal seller sells 20 frames for $7500, netting him $1500 profit. Insurance seller sells 20 frames for $9000 but they have to write off 10% of frames, or 2 frames or $600. That's still $4400 in profit, nearly 3 times as much as the normal seller. That reputation is the golden goose to them, but that's only because they're just selling you expensive insurance. For the small things, these guys are a rip off, it's better to just self insure and have to order again if you get a bad one.
You're right, for these people customer service is life, reputation is life. It's also bigger profit margins and not necessarily better product. You're just buying insurance and knowing you aren't wasting time with an Aliexpress joker who charges you $400 for the $20 knockoff or absolute junk. It prevents you from getting completely swindled if you're not an experienced China direct buyer, but if you're in import/export this eats into profits. This is how we know it's literally the same crap and the people claiming to be factory direct are brokers, and the brokers are the repeat customers, not you.
>>1569409You've never done business in China before have you?
