BEST Inc. (BEST): Marketing Mix Analysis [Dec-2025 Updated]

You're looking past the quarterly reports to see how the logistics giant BEST Inc. is actually positioning itself in late 2025, right? After spending two decades mapping out complex supply chains, I can tell you their marketing mix-the Product, Place, Promotion, and Price-is a masterclass in balancing scale in Greater China with aggressive Southeast Asian growth. We're seeing a clear pivot: their integrated Product offering is being pushed through direct B2B channels (Promotion) across a tech-optimized network (Place), all while fighting for margin with dynamic Pricing models based on route and volume. This isn't just theory; this is the playbook driving their current market stance. Let's break down the four P's so you can see exactly where the near-term opportunities and margin risks lie for BEST Inc.

BEST Inc. (BEST) - Marketing Mix: Product

You're looking at the core offerings of BEST Inc. as of late 2025, focusing on what they actually deliver to the market. Honestly, the product suite is built around their proprietary technology platform, BEST Cloud, which underpins everything from route optimization to smart warehouse operations.

The product structure segments into key service lines, which, based on the last publicly reported operational data from the first quarter of 2024, showed distinct performance characteristics. The company operates through segments including Freight Delivery, Supply Chain Management, Global Logistics, and Others.

The Freight Delivery segment, which encompasses Less-Than-Truckload (LTL) and Full-Truckload (FTL) services, is noted as generating the majority of revenue. For the first quarter ended March 31, 2024, the Cost of Revenue for Freight was RMB1,182.4 million (US$163.8 million), representing 96.6% of that segment's revenue.

For the broader business, the total revenue for the first quarter of 2024 was RMB1,942.0 million (US$269.0 million). To give you a sense of scale, the total revenue for the full year 2023 was 8.32 billion CNY.

The product offering for integrated supply chain management services for B2B and B2C is primarily housed under the Supply Chain Management segment, alongside warehouse and distribution services. In Q1 2024, the Cost of Revenue for Supply Chain Management was RMB383.3 million (US$53.1 million), which was 93.3% of that segment's revenue for the period.

BEST Global focuses on cross-border logistics and international freight forwarding. This area saw significant unit growth in early 2024. The total volume of the cross-border business increased by 256.4% year-over-year in Q1 2024. For context, BEST Global's revenue increased by 42.6% in Q1 2024.

Value-added services, including inventory management and customized IT solutions, are delivered through the technology platform and integrated into the core offerings. The company's 2023 global service revenue reached RMB 947 million (USD 133 million).

Here's a quick look at the cost structure relative to revenue for the main segments based on Q1 2024 unaudited results:

The product portfolio also includes specific geographic performance metrics that define its reach. For instance, in Southeast Asia during Q1 2024, parcel volumes in Vietnam increased by 120.0% and in Malaysia by 23.8% year-over-year.

The technology component, BEST Cloud, supports various applications that define the product experience:

• Network and route optimization
• Sorting line automation
• Smart warehouses
• Swap bodies deployment

The company's overall financial structure as of Q1 2024 included Cash and cash equivalents of RMB2,095.8 million (US$290.3 million).

BEST Inc. (BEST) - Marketing Mix: Place

Primary operations centered in Greater China

BEST Inc. maintains substantial logistics assets within China. The company operates over 20,000 service outlets across the country. Furthermore, the infrastructure includes more than 400 cloud warehouses within China. The total managed warehouse space in China is over 3 million square meters.

Significant expansion into Southeast Asian markets (e.g., Thailand, Vietnam, Malaysia)

Southeast Asia is regarded as the most important overseas market since 2019. The company has established service networks and overseas warehouses in Thailand, Vietnam, Malaysia, Singapore, and the Philippines. In 2023, the parcel volume in Southeast Asia reached approximately 140 million pieces. The 2023 global service revenue was reported at RMB 947 million (USD 133 million).

Network of regional sortation centers and last-mile delivery stations

BEST Inc. operates a comprehensive logistics network across Southeast Asia. The company has established a logistics network covering the entire territory in several Southeast Asian countries. The planned network expansion in 2020 included operating 12 sortation centers and some 400 service stations across Singapore, Malaysia, and Cambodia over three years. The reported scale includes over 2,500 service centers and more than 70,000 delivery personnel across Southeast Asia.

The distribution network scale is detailed below:

Cloud-based technology platform for network optimization and tracking

The distribution relies on a proprietary technology platform. The platform supports advanced tracking and routing systems. The daily package tracking volume handled by the system is reported as over 5 million+ packages.

• Self-developed OMS and WMS optimized for existing and new platforms.
• Systems allow monitoring of inventory levels in real time.
• AI-powered logistics optimization is leveraged.

Strategic partnerships with local carriers for extended reach

BEST Inc. has focused on investing in building self-owned express networks and distribution centers in core logistics hub cities in Thailand, Vietnam, Malaysia, and Singapore, rather than solely relying on initial transport routes. The company also expresses intention to collaborate with local brands to establish a robust B2B2C and cross-border business network.

BEST Inc. (BEST) - Marketing Mix: Promotion

Promotion for BEST Inc. (BEST) centers on demonstrating technological superiority and operational reliability to a sophisticated B2B clientele, moving beyond broad consumer advertising.

Focus on B2B sales teams and direct client relationships

The promotional efforts heavily support the direct sales force, which manages high-value, complex logistics contracts. This approach acknowledges that while digital channels are crucial for initial awareness, final contract closure often relies on direct engagement and proven performance metrics. For instance, in the B2B space, it is projected that by 2025, 80% of sales interactions between suppliers and buyers will occur through digital channels, yet direct relationship management remains key for the largest accounts. Furthermore, 73% of B2B buyers purchase through digital channels, but 35% of B2B decision-makers are willing to spend over $500,000 through remote channels, indicating a high-value transaction segment where direct sales assurance is critical. Companies using a CRM are almost nine times more likely to exceed their sales goals, which underscores the integration of sales support into promotional messaging about efficiency.

Digital marketing targeting e-commerce and manufacturing clients

Digital promotion is tailored to capture the attention of e-commerce and manufacturing procurement and operations leaders. The strategy emphasizes channels that deliver high-quality leads in the B2B sector. Top lead generation channels for B2B marketing include email (66%), paid social (58%), paid search (50%), and SEO (47%). For B2B brands, email marketing shows a 2.4% conversion rate, while 91% of marketers use content marketing in their strategy to engage this audience. Given that 97% of people check a company's online presence before visiting a business, maintaining a strong digital footprint is a primary promotional activity.

The following table summarizes key industry benchmarks relevant to BEST Inc. (BEST)'s digital and B2B promotional focus as of late 2025:

Participation in industry trade shows and logistics conferences

Physical presence at key industry events remains a vital component for direct engagement and showcasing scale. BEST Inc. (BEST) actively participated in the Logistics Automation Expo 2025, held from July 2-4, 2025, where the focus was on sharing insights regarding IoT, autonomous vehicles, and green logistics solutions. General industry events like ProMat 2025 featured over 1,000+ solution providers and 50,000 manufacturing and supply chain buyers, illustrating the scale of the audience reached through such participation. These events provide a platform to network with key decision-makers and demonstrate technology in action.

Emphasis on technology and efficiency as a key competitive advantage

Promotional messaging consistently highlights the proprietary technology platform and the resulting efficiency gains. The narrative focuses on how technology drives smarter, more efficient supply chains. This aligns with the broader industry trend where 80% of sales teams using AI reported increased revenue. The focus on efficiency is a direct appeal to B2B clients seeking to manage cost pressures and operational complexity. For example, the company showcases its commitment to technology adoption, which is a key differentiator in a market where 90% of consumers trust online reviews regarding a business's capabilities.

Use of corporate social responsibility (CSR) initiatives to build brand trust

Building brand trust is supported by transparent reporting on Environmental, Social, and Governance (ESG) performance. For fiscal year 2025 (FY25), BEST Inc. reported achieving 69% waste diversion across U.S. operations, with a goal of 85% waste diversion by the end of 2025. Furthermore, the company has reduced its operational carbon usage by 74% from 2009 through the end of FY25, with a stated long-term goal of achieving carbon neutrality by 2040. These concrete, verifiable metrics serve as tangible evidence of the company's commitment to sustainability, which is increasingly important for B2B partners.

BEST Inc. (BEST) - Marketing Mix: Price

You're looking at how BEST Inc. structures the money customers pay for its integrated smart supply chain and logistics services in a highly competitive environment. The pricing element here is about balancing the perceived value of their technology-enabled services against the aggressive pricing from rivals in the Chinese logistics market.

Competitive pricing strategy driven by high-volume e-commerce logistics

BEST Inc.'s pricing framework is heavily influenced by the need to capture and maintain high-volume e-commerce logistics business. This requires a pricing structure that is lean enough to compete with established domestic players. For context on the industry pressure, in 2023, BEST Inc.'s total revenue was reported at 8.32 billion CNY. Revenue from Freight Service in the first quarter of 2024 reached RMB1,223.5 million (US$169.5 million), which saw a year-over-year increase driven by both volume and the average selling price per tonne. This focus on volume-driven revenue suggests that per-unit pricing is aggressively managed to secure market share.

Dynamic pricing models based on route, volume, and service level

The strategy moves beyond static rates, leaning into dynamic models that leverage the BEST Cloud platform. While specific late 2025 service tariffs aren't public, the industry trend suggests pricing adjusts based on real-time variables. Logistics companies transforming their pricing cycles can typically expect a revenue boost of 2 to 4 percent, which translates to roughly a 30 to 60 percent EBIT margin improvement. This upside is only realized through sophisticated, data-driven pricing that accounts for:

• Route density and real-time capacity utilization.
• Shipment volume tiers, offering better per-unit rates for bulk.
• Service level agreements, such as guaranteed delivery windows versus standard transit times.

Cost-plus pricing for customized supply chain solutions

For the Supply Chain Management segment and Global Logistics, where solutions are tailored, the pricing foundation shifts toward a cost-plus approach. This ensures that the unique technology integration and management overhead are covered. The cost structure for Freight in Q1 2024 showed the Cost of Revenue was 96.6% of revenue, or RMB1,182.4 million (US$163.8 million). Customized solutions must price above this baseline, factoring in technology deployment and specialized labor. The company discontinued certain not-profitable key account customers in Q1 2024, indicating a direct action to price unprofitable contracts out of the portfolio.

Focus on cost control and operational efficiency to maintain margins

Maintaining margins in a price-competitive market is directly tied to internal cost management. BEST Inc. actively works to improve gross margin, as seen when the Gross Profit Margin for Freight improved by 3.6 percentage points year-over-year in Q1 2024. This efficiency gain allows for more competitive service pricing. The company's focus is on leveraging its proprietary technology platform for optimization.

Here is a look at some key financial metrics available:

Pricing pressure due to intense competition in the Chinese logistics market

Intense competition from firms like S.F. Holding, YTO Express, and STO Express dictates a ceiling on how high BEST Inc. can push its standard service prices. The pressure is constant, forcing a reliance on technology to drive down the internal cost-to-serve. The company's decision to slash its expected price range for its U.S. IPO, from an initial $13 to $15 per ADS down to $10 to $11 per ADS, signaled investor concerns over competition and cost pressures impacting valuation justification.

Factors contributing to pricing pressure include:

• Rivalry among major domestic and international players.
• Rising fuel and labor costs impacting the overall cost base.
• The need to justify technology investment through service differentiation, not just price.

If onboarding takes 14+ days, churn risk rises.