Recently, I saw a friend in the Mercado Libre exchange group who said that he was planning to enter the platform, but there was a problem that bothered him. What's the difference between the local account and the cross-border account? Which is more advantageous? Today, Latin America International Warehousing takes you to explore the differences between the two.

Differences between Mercado Libre local accounts and cross-border accounts

1. Site

A local account can only operate in one country, while a cross-border account can apply for multiple sites. This is a restriction on local accounts. The reason why cross-border accounts can apply for multiple site operations is also because of different conditions for initial settlement.

As Amtrak has e-commerce services in 18 countries in Latin America, the background systems of countries and consumers with corresponding local account and cross-border account services are different.

This takes into account the direction of an enterprise's future development planning. Cross border accounts are more suitable for enterprises with their own product advantages. They have their own product supply chain in China, stable logistics support, and a team of their own. This type of enterprise is more suitable for the settlement of cross-border accounts. As the name implies, the local account is limited to one country. For the economic strength and consumer consumption of a country, the product has a great advantage in the local market. It is recommended to register a local account to further cultivate a country, which can also give full play to the product's advantages.

2. Weight

There are obvious differences in the overall weight between local accounts and cross-border accounts. The exposure, traffic, product ranking, logistics and other services of local account stores are better than those of cross-border accounts.

The overall weight is biased towards the local account. First, support the product traffic and store traffic. The traffic support for local accounts is more adequate, and the traffic status of corresponding cross-border accounts is lower than that of local accounts.

In depth, this is the support and protection policy of the American multi platform for Latin American native countries. When the user base of local accounts is small, the competition is relatively small.

At the same time, the functional optimization of Meike's multi platform also favors local accounts. The background page of the local account has a traffic portal: it supports accurate automatic delivery of traffic channels such as Google ads and Facebook ads, which is an additional exposure channel for sellers. However, cross-border accounts do not support this operation. At the same time, local accounts support brand operation, while cross-border accounts do not support brand operation.

3. Product operation

In terms of product operation, there are fewer restrictions on the product category of local accounts, while there are more restrictions on the product category of cross-border accounts. Take the Mexican full warehouse as an example, the maximum product size limit for local accounts is 120cm, while the maximum product size limit for cross-border accounts is 48cm.

On the one hand, this is due to the openness and optimization of the entry of product categories to local accounts on the Meikeduo platform, as well as a protection strategy for local enterprises and product sales, which limits the number of product categories and reduces competition for products. On the other hand, it is also a limitation on the storage capacity of cross-border accounts. Therefore, it is also a tendency of Meikeduo platform to local accounts.

4. Fund management

If the local account uses full warehouse for delivery, the customer can collect the payment within two days after confirming the receipt; If a third-party warehouse is used for one piece delivery, the customer can collect the payment within five days after confirming receipt. The collection cycle of cross-border accounts is two weeks. The collection cycle of new sellers in Mexico and Brazil stations is one week. When the account balance exceeds 500 dollars, the automatic settlement starts, and the minimum amount of a single payment is 500 dollars.

(* If the store is rated as a market leader, the customer can collect the payment on the same day after confirming the receipt)

5. Store operation

Local accounts can independently operate the launch, delivery and participation in platform promotions of background products, while the launch and delivery of background products of cross-border accounts need the approval of the investment manager, and the participation in or cancellation of promotion activities also need to apply to the investment manager.

The local account can learn about the promotion activities in the background or by email. The cross-border account allows you to ask the investment manager about the promotion plan, including more detailed rules, time and calendar of the whole Meikeduo platform.

The background language of local accounts is Spanish except Brazilian Portuguese, while the background language of cross-border accounts is English.

Therefore, I suggest that major sellers should combine the advantages of your products and the future development direction to choose their own account types. Well, that's all for today's sharing. I hope it can help you!