| Definition | Coordinates the China leg for parcels the merchant bought from its own suppliers: receiving, value-added services, consolidation, dispatch, tracking, settlement. | Sources, purchases and fulfills products on the merchant’s behalf; the agent sits between the merchant and the factories. | Receives the merchant’s bulk inventory into its warehouse, then picks, packs and ships each order from stored stock. |
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| Who owns the supplier relationship | The merchant. It selects suppliers, places orders and pays them directly; the coordination layer never handles the purchase payment. | Largely the agent. The merchant typically chooses products from the agent’s catalog or sends links; the agent buys from factories it selects. | The merchant sources and buys goods itself, then transfers the stock into the 3PL’s custody. |
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| Inventory commitment | None. Parcels flow through per shipment; there is no storage commitment. | Usually none for the merchant — goods are bought per order or held briefly by the agent. | Required. The model only works with stock pre-positioned in the 3PL’s warehouse, with storage fees while it sits. |
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| Pricing model | Pay per shipment: a packed quote plus itemized service fees per parcel or consolidation. | Product price + service margin + shipping, quoted by the agent; the product cost includes the agent’s markup. | Receiving + storage (per volume per month) + pick-and-pack fee per order + shipping. |
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| Quality and cost control of goods | Full merchant control — the merchant negotiates its own factory prices and specs. | Depends on the agent’s sourcing; the merchant does not usually see the factory price. | Full merchant control over sourcing; the 3PL only handles what it receives. |
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| Best fit | Established merchants with multiple China suppliers who want per-shipment consolidation, prep and forwarding without warehousing. | New sellers who have no suppliers yet and want product sourcing and fulfillment handled in one place. | Sellers with predictable volume on stable SKUs who want fast local dispatch and accept storage costs. |
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