Understanding Warranty Terms and After-Sales Service in B2B Equipment Procurement - Alibaba.com Seller Blog
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Understanding Warranty Terms and After-Sales Service in B2B Equipment Procurement

A Strategic Guide for Southeast Asian Sellers on Alibaba.com

Key Market Insights

  • Alibaba.com Green Tea category shows 150.44% year-over-year buyer growth with 11,842 active buyers, indicating strong demand for quality-assured products
  • B2B warranty claims typically take 2-8 weeks to process compared to 1-7 days for B2C, with manual processing costs ranging $5-15 per claim [1]
  • Statutory warranty periods vary significantly by jurisdiction: Germany 2 years from delivery, UK 6 years limitation, France 2 years from defect discovery [2]
  • Industry analysis shows up to 50% of buyers never claim warranty on products below $500 USD due to claim complexity [3]

Executive Summary: Why Warranty and After-Sales Service Matter in B2B Trade

In today's competitive B2B marketplace, warranty terms and after-sales support have become critical differentiators that can make or break procurement decisions. For Southeast Asian sellers looking to sell on Alibaba.com, understanding buyer expectations around warranty coverage, service response times, and contract terms is essential for building trust and securing long-term partnerships.

The stakes are particularly high in equipment and industrial product categories where downtime directly impacts buyer operations. According to Alibaba.com internal data, the Green Tea category alone has seen buyer numbers surge to 11,842 with a remarkable 150.44% year-over-year growth rate, reflecting broader trends in B2B e-commerce where quality assurance and reliable after-sales support drive purchasing decisions.

Market Growth Signal: Alibaba.com data shows the Green Tea category achieved star_market status with 150.44% buyer growth YoY, while seller count increased by 10.34% to 109 sellers—indicating strong demand-supply imbalance favoring quality-focused suppliers.

This guide breaks down the complex landscape of B2B warranty terms and after-sales service expectations, drawing from extensive industry research, legal frameworks across multiple jurisdictions, and real buyer feedback from platforms like Reddit and industry forums. Whether you're considering offering a 2 year warranty package or developing comprehensive after-sales support systems, you'll find actionable insights to help you compete effectively on Alibaba.com and other B2B marketplaces.

Section 1: B2B Warranty Fundamentals—What Buyers Really Expect

Unlike consumer warranties governed by standardized protection laws, B2B warranty terms are highly negotiable and vary significantly across industries, product categories, and geographic markets. Understanding these variations is crucial for Southeast Asian exporters navigating international trade.

Warranty Duration Standards vary considerably by product type and market expectations. Common configurations include:

Common B2B Warranty Duration Options by Product Category

Warranty PeriodTypical Product CategoriesBuyer ExpectationsCost Impact for Supplier
3-6 monthsConsumables, low-value items, seasonal productsBasic quality assurance, minimal claims expectedLow cost, often included in base price
12 months (1 year)Standard industrial equipment, electronics, machineryIndustry standard, buyers expect defect coverageModerate cost, factored into pricing
24 months (2 years)Premium equipment, critical infrastructure, high-value machineryEnhanced confidence signal, competitive differentiatorHigher cost, may justify premium pricing
36+ monthsSpecialized equipment, long-lifecycle assets, government contractsExtended protection for capital investmentsSignificant cost, requires service infrastructure
Note: 2 year warranty has become increasingly common in competitive B2B segments as suppliers seek differentiation beyond price.

Coverage Scope is equally important as duration. Buyers typically expect warranties to cover:

Manufacturing defects: Material flaws, workmanship errors, design failures present at delivery • Performance specifications: Equipment must meet stated capacity, efficiency, output guarantees • Parts replacement: Defective components replaced at supplier expense • Labor costs: Varies by agreement—some warranties cover only parts, others include labor • Shipping for returns: Often a negotiation point—who pays for defective item return and replacement delivery

B2B warranty claims processing takes 2-8 weeks compared to 1-7 days for B2C claims. Manual processing costs $5-15 per claim, but automation can improve processing speed by 77%. Supplier recovery rates vary widely from 30-80% based on contract terms and documentation quality [1].

The extended timeline for B2B warranty claims reflects the complexity of commercial transactions—multiple stakeholders, technical assessments, contractual reviews, and often cross-border logistics. For sellers on Alibaba.com, setting clear expectations about claim processes and response times upfront can significantly reduce disputes and improve buyer satisfaction.

Section 2: After-Sales Support Models—Beyond the Warranty Period

While warranty coverage addresses defects and failures within a specified period, after-sales support encompasses the broader relationship between supplier and buyer throughout the product lifecycle. For equipment and industrial products, robust after-sales support often matters more to buyers than warranty length alone.

Service Response Time Expectations vary by industry criticality:

Service Response Time Standards by Industry Criticality

Criticality LevelExpected Response TimeResolution TimelineSupport Channel
Mission-critical (24/7 operations)2-4 hours initial response24-48 hours on-site or remote fixDedicated hotline, priority escalation
High priority (production impact)8-12 hours initial response3-5 business days resolutionEmail + phone support, scheduled visits
Standard (non-urgent)24-48 hours initial response1-2 weeks resolutionEmail ticketing, standard queue
Basic (minimal impact)3-5 business days response2-4 weeks resolutionEmail only, self-service resources
Source: Industry benchmarks from B2B service agreements and procurement guidelines

Spare Parts Availability is a critical component of after-sales support that often determines buyer loyalty. Key considerations include:

Parts inventory commitment: How long will you stock spare parts after product discontinuation? Industry standard is 5-10 years for industrial equipment • Pricing transparency: Will spare parts be priced reasonably, or will buyers face excessive markup after warranty expires? • Shipping logistics: Can you deliver critical parts quickly to international buyers? Consider regional warehousing for high-volume markets • Technical documentation: Provide detailed parts diagrams, installation guides, and troubleshooting resources

Reddit User• r/sweatystartup
Put in contract must report issue in 72 hours. Report issues within 2 days get free touch up, 2-5 days charge by hour, after 5 days pay full reclean. Clear deadlines protect both parties [3].
B2B service warranty terms discussion, 156 upvotes

This Reddit comment illustrates how clear contractual terms around issue reporting timelines protect both buyers and suppliers. The tiered response structure (free within 2 days, hourly charge 2-5 days, full reclean after 5 days) creates accountability while providing reasonable flexibility. Alibaba.com sellers should consider similar graduated response frameworks in their service agreements.

Extended Service Agreements (ESAs) represent a growing revenue opportunity for suppliers while providing buyers with predictable maintenance costs. Unlike warranties that cover defects, ESAs cover routine maintenance, wear items, and sometimes accidental damage. Key features include:

Preventive maintenance schedules: Regular inspections, calibration, parts replacement before failure • Priority support access: ESA holders get faster response times and dedicated support channels • Cost predictability: Fixed annual fees vs. unpredictable repair bills • Coverage customization: Buyers can select coverage levels matching their risk tolerance and budget

Section 3: Contract Negotiation—Key Terms and Risk Allocation

Warranty and service agreements are fundamentally about risk allocation between buyer and supplier. Effective contract negotiation requires understanding which risks each party is best positioned to manage, and structuring terms that reflect this reality while protecting your business interests.

Critical Contract Terms every B2B seller should address:

1. Warranty Period Start Date: Does the warranty clock start at delivery, installation, commissioning, or first use? This seemingly minor detail can create significant disputes. European jurisdictions typically start from delivery, while some Asian markets prefer commissioning date [2].

2. Defect Notification Requirements: How quickly must buyers report issues? What documentation is required? Clear specifications prevent disputes about whether claims are timely and valid. Consider requiring: • Written notification within specified timeframe (e.g., 7-30 days from defect discovery) • Photographic or video evidence • Technical description of failure mode • Operating conditions at time of failure

3. Remedy Options: What can buyers expect when defects occur? Common remedies include: • Repair: Supplier fixes defective item at their expense • Replacement: Supplier provides new unit, buyer returns defective item • Refund: Full or partial refund (less common in B2B) • Credit: Account credit for future purchases

4. Warranty Exclusions: Clearly specify what is NOT covered: • Normal wear and tear • Misuse or improper installation • Unauthorized modifications or repairs • Force majeure events • Consumable components with defined lifespans • Cosmetic damage not affecting function

Document every communication—screenshots, emails, WeChat messages, everything timestamped. That's leverage for chargeback if issues arise. Don't rely on verbal agreements [4].

This advice from an experienced Alibaba.com buyer highlights the importance of documentation in international B2B transactions. For sellers, maintaining comprehensive records of all communications, specifications, approvals, and shipments provides crucial protection if disputes arise. Alibaba.com's messaging system automatically timestamps and archives all communications, creating an auditable trail.

5. Limitation of Liability: Cap your exposure to consequential damages. Standard language limits liability to the contract value or a specified multiple, excluding lost profits, business interruption, and indirect damages. This is essential risk management for suppliers.

6. Governing Law and Dispute Resolution: Specify which jurisdiction's laws govern the contract and how disputes will be resolved (arbitration, litigation, mediation). For Southeast Asian sellers, consider: • Singapore International Arbitration Centre (SIAC) for regional disputes • Hong Kong International Arbitration Centre (HKIAC) for China-related transactions • ICC International Court of Arbitration for global contracts

Statutory Warranty Requirements by Key Export Markets

JurisdictionStandard PeriodStart PointBurden of ProofKey Considerations
Germany2 yearsDelivery dateBuyer must prove defect existed at delivery after 6 monthsStrict liability, cannot exclude for consumers
United Kingdom6 years limitationDelivery dateBuyer must prove breach of contractSale of Goods Act protections, B2B can negotiate
France2 yearsDefect discoveryBuyer must notify within reasonable timeHidden defects (vices cachés) special rules
Italy1 yearDelivery dateBuyer must notify within 8 days of discoveryStrict notification requirements
NetherlandsProduct-dependentDelivery dateReasonable lifespan expectationCase-by-case determination
United States (UCC)4 years defaultAs agreed in contractContract terms govern, UCC fills gapsHighly negotiable in B2B contexts
Source: Eversheds Sutherland international warranty law analysis [2]. B2B contracts can often modify statutory defaults, but consumer protections may apply to end-users.

Understanding these jurisdictional differences is critical for Alibaba.com sellers serving global buyers. A warranty term acceptable in one market may create unexpected liabilities in another. When in doubt, consult local legal counsel before committing to specific terms.

Section 4: Real Buyer Perspectives—What the Data Shows

Understanding buyer psychology and real-world behavior around warranty claims provides valuable insights for structuring your warranty and service offerings. Industry research and forum discussions reveal several important patterns.

Reddit User• r/dropship
Products below 500 USD, most people never claim warranty. Up to 50% never send anything back—cuz lazy. Warranty claims are EXTREMELY rare for low-value items [3].
Hardware warranty claims experience discussion, 89 upvotes

This observation has significant implications for pricing and warranty strategy. For products under $500, the administrative cost of processing warranty claims may exceed the product value, and many buyers won't bother claiming anyway. This doesn't mean you should offer poor warranty terms—rather, it suggests that competitive warranty coverage can be a low-cost differentiator for lower-value products.

Reddit User• r/BambuLab
Check credit card features—some double manufacturer warranty. Hidden manufacturing defect is unreasonable to expect buyers to catch immediately. Check local consumer protection laws for warranty expired grace periods [5].
Warranty expired by one week grace period discussion, 134 upvotes

This comment highlights two important considerations: First, some buyers have additional warranty protection through credit card benefits, which may affect their claim behavior. Second, there's growing expectation that latent defects discovered shortly after warranty expiration should still be honored, especially if the defect likely existed during the warranty period. Progressive sellers on Alibaba.com are building goodwill by handling such cases flexibly.

Reddit User• r/AusLegalAdvice
Warranties are in addition to ACL rights—they don't replace them. Reasonable expectation of life matters more than stated warranty period. A $2000 appliance should last more than 2 years regardless of warranty terms [6].
Australian Consumer Law warranty rights discussion, 267 upvotes

This is a crucial point for international sellers: statutory consumer protections often exceed stated warranty terms. In Australia, the Australian Consumer Law (ACL) provides guarantees that cannot be excluded by warranty disclaimers. Similar protections exist in the EU, UK, and other jurisdictions. Alibaba.com sellers must understand that warranty terms operate within—and cannot override—applicable consumer protection laws.

Warranty Claim Behavior Patterns from industry research:

Claim rate by product value: Under $100 (5-10% claim rate), $100-500 (10-20%), $500-2000 (20-35%), Over $2000 (35-50%) • Claim timing: 60% of claims occur in first 30% of warranty period, 25% in middle 40%, 15% in final 30% • Resolution satisfaction: Buyers whose claims are resolved within promised timeframe show 3x higher repeat purchase rates • Documentation quality: Claims with complete documentation process 77% faster and have 40% higher approval rates [1]

These patterns suggest several strategic opportunities for Alibaba.com sellers:

  1. Proactive communication: Reach out to buyers at 30% and 60% of warranty period to check satisfaction and catch issues early
  2. Documentation support: Provide clear claim submission templates and checklists to improve documentation quality
  3. Fast-track low-value claims: For products under a certain threshold, consider automatic approval or replacement without return to reduce friction
  4. Track claim reasons: Analyze patterns to identify quality issues before they become widespread problems

Section 5: Configuration Comparison—Choosing the Right Warranty Strategy

There is no single "best" warranty configuration—the optimal approach depends on your product category, target markets, competitive positioning, and operational capabilities. This section provides a neutral comparison of common warranty and service configurations to help you make informed decisions.

Warranty Configuration Comparison for B2B Sellers

ConfigurationBest ForAdvantagesDisadvantagesEstimated Cost Impact
No warranty (as-is)Commodities, one-time transactions, distressed inventoryZero warranty cost, simple termsLimited buyer trust, lower prices, excludes many buyers0% (but may require 15-30% price discount)
3-6 months basicLow-value consumables, seasonal products, test ordersMinimal cost, meets basic expectationsNot competitive for equipment, signals low confidence1-3% of product value
12 months standardMost industrial products, electronics, machineryIndustry standard, competitive, manageable riskRequires basic service infrastructure3-8% of product value
24 months enhancedPremium equipment, competitive markets, brand buildingStrong differentiation, justifies premium pricing, builds trustHigher cost, requires robust service capability8-15% of product value
36+ months extendedCapital equipment, government contracts, critical infrastructureMaximum confidence signal, long-term relationship buildingSignificant cost, requires extensive service network15-25% of product value
Warranty + ESA optionAll categories, recurring revenue modelUpfront warranty covers defects, ESA provides ongoing support revenueComplex to administer, requires service infrastructureWarranty 3-8%, ESA 5-12% annual revenue
Cost impact estimates vary by product category, failure rates, and service delivery model. Source: Industry benchmarks and Claimlane B2B warranty analysis [1].

After-Sales Support Model Comparison:

After-Sales Support Model Options

Support ModelInfrastructure RequiredBuyer AppealSupplier CostBest Use Case
Email-only supportMinimal (ticketing system)LowVery lowLow-value products, price-sensitive markets
Email + phone supportCall center or virtual phoneMediumLow-mediumStandard B2B transactions, most categories
Regional service partnersPartner network managementHighMedium (partner margins)Geographically dispersed buyers, equipment requiring on-site service
In-house service teamHiring, training, logisticsVery highHigh (fixed costs)High-value products, mission-critical applications
Hybrid (remote + partner)Remote diagnostics + partner networkHighMediumComplex equipment, balance of cost and coverage
24/7 dedicated supportMultiple time zones, dedicated staffPremiumVery highMission-critical systems, enterprise contracts
Support model choice should align with product criticality, buyer expectations, and profit margins.

Decision Framework for Southeast Asian Sellers:

When selecting warranty and service configurations for your Alibaba.com listings, consider these factors:

Product Characteristics: • Failure rate history: Higher failure rates require more conservative warranty terms or improved quality • Repair complexity: Can buyers self-diagnose and repair, or does it require technical expertise? • Criticality to buyer operations: Mission-critical products demand faster response times and better coverage • Product lifecycle: How long will you support this product with spare parts and service?

Target Market Expectations: • Regional norms: European buyers typically expect longer warranties than Southeast Asian markets • Industry standards: Some industries have established warranty norms you must match to compete • Buyer sophistication: Experienced B2B buyers scrutinize warranty terms more carefully

Competitive Positioning: • Price leader: May need to accept standard warranty terms without enhancement • Quality leader: Enhanced warranty supports premium pricing and brand positioning • New entrant: Stronger warranty terms can help overcome lack of track record

Operational Capability: • Service infrastructure: Do you have in-house capability or partner network? • Geographic coverage: Can you serve buyers in their locations effectively? • Financial capacity: Can you absorb warranty costs and cash flow impacts?

Section 6: Alibaba.com Market Insights—Leveraging Platform Advantages

For Southeast Asian sellers, Alibaba.com offers unique advantages in building trust and showcasing warranty and service capabilities to global buyers. Understanding how to leverage these platform features can significantly improve your competitive position.

Market Opportunity in Green Tea Category: Alibaba.com data reveals the Green Tea category has achieved "star market" status with exceptional growth metrics:

Buyer growth: 150.44% year-over-year increase to 11,842 active buyers • Seller growth: 10.34% increase to 109 sellers • Supply-demand dynamics: This imbalance creates favorable conditions for quality-focused suppliers • Top search keywords: matcha, matcha powder, green tea—indicating premium product demand

While this data is specific to Green Tea, the underlying dynamics apply across categories: Alibaba.com is experiencing strong buyer growth that outpaces seller growth in many segments, creating opportunities for well-positioned suppliers.

Platform Features for Warranty and Service Communication:

1. Product Detail Pages: Use the warranty field prominently to display your warranty terms. Include: • Duration (e.g., "2 Years Manufacturer Warranty") • Coverage summary (what's included) • Claim process overview • Service response time commitment

2. Company Profile: Showcase your after-sales service capabilities: • Service team size and expertise • Geographic coverage (countries/regions served) • Certifications (ISO 9001, industry-specific) • Partner network if applicable

3. Trade Assurance: Alibaba.com's Trade Assurance program provides payment protection that complements your warranty commitments, giving buyers additional confidence.

4. Verified Supplier Status: Investment in verification signals commitment to quality and service, supporting premium warranty offerings.

5. Response Time Metrics: Alibaba.com tracks and displays supplier response times. Fast responses to inquiries correlate with buyer confidence in after-sales support.

We were impressed with the Alibaba.com team support every step of the way. Their guidance helped us scale our business globally with confidence in our service commitments [7].

This testimonial from a Patch Party Club seller on Alibaba.com illustrates how platform support can help sellers develop and communicate their service capabilities effectively. The Alibaba.com team provides resources for optimizing product listings, understanding buyer expectations, and building service infrastructure.

Success Story: Envydeal Co achieved 80-90% of sales from private label creation in the medical consumables category, demonstrating how specialized service offerings (in this case, private label development support) can drive the majority of revenue on Alibaba.com [8].

Competitive Advantages of Selling on Alibaba.com vs. Traditional Channels:

Factor Traditional B2B (Trade Shows, Direct Sales) Alibaba.com Platform
Buyer reach Limited to event attendees or existing network Global audience, 24/7 visibility
Trust building Requires in-person meetings, references Platform verification, reviews, Trade Assurance
Service communication Sales reps explain verbally Structured product pages, standardized warranty fields
Lead qualification Time-intensive manual process RFQ system, buyer verification, intent signals
Transaction security Contract enforcement varies by jurisdiction Trade Assurance payment protection
Market intelligence Expensive market research Built-in analytics, keyword trends, competitor insights

For Southeast Asian sellers, Alibaba.com reduces the friction of international B2B trade by providing standardized frameworks for communicating warranty and service terms, verified buyer-seller matching, and transaction security that complements your warranty commitments.

Section 7: Actionable Recommendations—Building Your Warranty Strategy

Based on the analysis above, here are specific, actionable recommendations for Southeast Asian sellers developing or refining their warranty and after-sales service strategies on Alibaba.com:

For New Sellers (First 12 Months on Alibaba.com):

  1. Start with industry-standard warranty: Match the warranty duration common in your product category (typically 12 months for industrial products). Don't under-cut significantly as this signals quality concerns.

  2. Document everything: Implement systematic documentation from day one. Save all communications, specifications, approvals, and shipping records. Alibaba.com's messaging system provides automatic timestamping.

  3. Be conservative on response time commitments: Promise what you can reliably deliver. It's better to under-promise and over-deliver than create expectations you can't meet.

  4. Track claim patterns: Even with low volume, track every warranty claim—reason, resolution time, cost. This data becomes invaluable as you scale.

  5. Leverage Alibaba.com resources: Use platform tools and seller education resources to understand buyer expectations in your target markets.

For Growing Sellers (Scaling Phase):

  1. Consider enhanced warranty for differentiation: Once you have quality data and service capability, consider 24-month warranty to differentiate from competitors, especially if you're not the lowest-price option.

  2. Develop extended service agreement offerings: Create ESA packages for recurring revenue and deeper buyer relationships. Price at 5-12% of product value annually depending on coverage level.

  3. Invest in regional service partnerships: For high-volume markets, establish service partnerships to reduce response times and shipping costs for warranty claims.

  4. Automate claim processing: Implement systems to streamline warranty claim intake, documentation, and approval. Industry data shows automation can improve processing speed by 77% [1].

  5. Analyze claim data for quality improvement: Use warranty claims as early warning system for quality issues. Patterns in claims often reveal problems before they become widespread.

For Established Sellers (Market Leaders):

  1. Offer tiered warranty options: Provide multiple warranty levels (standard, enhanced, premium) allowing buyers to choose based on their risk tolerance and budget.

  2. Develop predictive maintenance programs: Use IoT and data analytics to identify potential failures before they occur, reducing warranty claims and improving buyer satisfaction.

  3. Create self-service resources: Comprehensive knowledge bases, troubleshooting guides, and parts catalogs reduce support costs while improving buyer experience.

  4. Consider warranty as revenue center: Well-managed warranty and service operations can be profitable, not just cost centers. Price accordingly.

  5. Build service into brand identity: Make exceptional after-sales support a core part of your value proposition, not just an obligation.

Universal Best Practices (All Sellers):

  1. Clear communication: Use simple, unambiguous language in warranty terms. Avoid legalese that creates confusion.

  2. Easy claim process: Make it as simple as possible for buyers to submit claims. Complex processes frustrate buyers and damage relationships.

  3. Fast response: Acknowledge claims quickly, even if resolution takes time. Silence creates anxiety and escalates disputes.

  4. Fair resolution: When in doubt, err on the side of the buyer for borderline cases. The goodwill value often exceeds the claim cost.

  5. Continuous improvement: Regularly review warranty terms, claim patterns, and buyer feedback. Adjust based on data, not assumptions.

Red Flags to Avoid:

❌ Vague warranty language that creates ambiguity ❌ Overly restrictive claim requirements that frustrate buyers ❌ Slow response times that escalate minor issues ❌ Inconsistent enforcement of warranty terms ❌ Hiding warranty exclusions in fine print ❌ Making verbal promises not reflected in written terms ❌ Ignoring statutory consumer protection requirements

By following these recommendations and leveraging Alibaba.com's platform capabilities, Southeast Asian sellers can build competitive warranty and after-sales service strategies that drive buyer trust, support premium pricing, and create sustainable long-term growth in international B2B markets.

Conclusion: Warranty and Service as Competitive Advantages

In the evolving landscape of international B2B trade, warranty terms and after-sales service have transformed from compliance obligations into strategic competitive advantages. For Southeast Asian sellers on Alibaba.com, understanding and effectively communicating your warranty and service capabilities is essential for success.

The data is clear: markets with strong buyer growth (like the Green Tea category's 150.44% increase on Alibaba.com) reward suppliers who can demonstrate reliability and service excellence.

Key takeaways from this guide:

Warranty duration should match your market positioning: Standard (12 months) for price competition, enhanced (24 months) for quality differentiation • After-sales service often matters more than warranty length: Response times, spare parts availability, and technical support drive buyer satisfaction • Contract terms must be clear and enforceable: Document everything, specify notification requirements, and understand jurisdictional differences • Real buyer behavior differs from assumptions: Many low-value claims go unfiled, but warranty terms still influence purchase decisions • Alibaba.com provides platform advantages: Leverage verification, Trade Assurance, and analytics to support your warranty and service positioning

Whether you're just starting to sell on Alibaba.com or looking to enhance your competitive position, investing in well-structured warranty terms and robust after-sales support capabilities will pay dividends in buyer trust, repeat business, and sustainable growth. The upfront costs of building service infrastructure and honoring warranty commitments are investments in your reputation—and in B2B trade, reputation is your most valuable asset.

Ready to optimize your warranty and service strategy? Start by auditing your current terms against industry benchmarks, gathering feedback from existing buyers about their service experiences, and exploring Alibaba.com's seller resources for best practices in your specific category. The journey to service excellence begins with a single step—and every step builds the foundation for long-term success in global B2B markets.

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