What is the Transparent PricingStructure of PT5?

Summary

PT5 simplifies its pricing structure with transparent details on exchange rates, product costs, and various fees (inland freight, packaging, international shipping, and taxes). Pricing is calculated using a clear formula, and service fees are reduced based on VIP levels. Discounts are offered for larger orders and new clients.

Background

Though the prices are always complicated to calculate, PT5 tried to make it easy and transparent.

Our Pricing Structure

  • Exchange Rate: USD to RMB exchange rate, typically fixed at the beginning of each month. For example, the exchange rate for September 2024 is 1 USD = 7 RMB.
  • Product Price: The actual cost from the supplier.
  • MOQ: Minimum order quantity, usually inversely proportional to the product price.
  • Inland Freight: Costs of transporting products from the supplier to our warehouse, then to the freight forwarder’s warehouse. See Blog
  • Packaging Fee: Fees for repackaging wholesale goods or packaging for dropshipping. See Blog
  • Packaging Quantity, Size, and Weight: Measured by the warehouse, with photos provided.
  • Chargeable Weight: The greater of volumetric or actual weight. See Blog
  • International Freight: Costs of shipping from the freight forwarder’s warehouse to the destination country. See Blog
  • International Taxes and Fees: Taxes and fees pre-collected for countries like the EU, the US, and others. See Blog
  • Domestic Taxes: A 3% fee on the total amount.
  • Service Fee: Based on VIP level, 5%-10% of the total amount. See Blog
  • Payment Fees: Typically 1% of the total amount. Alibaba payments incur a 3% fee, and PayPal payments incur a 5% fee. See Blog
  • Factory Lead Time: Time from order placement to product dispatch.
  • Shipping Cycle: Time from factory order placement to the delivery of goods at the client’s designated address.
  • Remarks: Any additional conditions or notes.
  • Pricing Formula:
    • (Product Price + Inland Freight + Packaging Fee + Chargeable Weight *Shipping Cost per kg + Parcel Handling Fee + International Taxes) /Exchange Rate * 1.03 * (1 + Service Fee) * (1 + Payment Fee)

VIP Levels (Based on total orders across all service types)

  •    VIP1: Service fee reduced to 9% when accumulated orders reach US$2,000.
  •    VIP2: Service fee reduced to 8% when accumulated orders reach US$5,000.
  •    VIP3: Service fee reduced to 7% when accumulated orders reach US$10,000.
  •    VIP4: Service fee reduced to 6% when accumulated orders reach US$20,000.
  •    VIP5: Service fee reduced to 5% when accumulated orders reach US$50,000.
  •    New Client Discount: VIP5 discount is offered to all new clients for 3 months from the first order.

Talk to a Supervisor

Discuss further discounts for large orders.