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How to choose overseas warehousing for cross-border e-commerce?

How to choose overseas warehousing for cross-border e-commerce?

#Cross-borderE-Commerce #OverseasWarehousing  #Advantages&Disadvantages 

Cross-border e-commerce enterprises need to pay great attention when choosing overseas warehousing, especially for cross-border e-commerce enterprises with large commodities. In the case of a single small number, the problem may not be found. If a single number rises, many problems will be discovered, so it should be prevented in advance. From the perspective of long-term development, how to choose overseas warehousing is the key to cross-border e-commerce selling large-scale commodities.

Since FBA overseas warehouses have certain requirements for the selection of product size, weight, and category, the choice of FBA overseas warehouses tends to be small, high-profit, and high-quality products. Then large-scale commodities may be more suitable for self-built overseas warehouses or third-party overseas warehouses, but self-built overseas warehouses are costly and require management and operation. Generally speaking, it is more appropriate to choose a third-party overseas warehouse. So, how to choose a third-party overseas warehouse?

1. Does China have a professional team?


Some overseas warehouses are only responsible for the later overseas warehouse processing. Once a problem arises, the goods have already reached the foreign warehouse, which is often more difficult to handle. If there is an overseas position for a domestic position, the specifications will be mastered first before the goods are sent to the overseas position. For novice sellers, a good overseas warehouse team can save a lot of unnecessary trouble and more management costs. If you can provide the selected overseas warehouse "first transportation - customs declaration - overseas warehouse - transfer warehouse - FBA" cross-border sellers can give priority to such a one-stop service.


2. Does the warehouse provide insurance?


In recent years, some overseas warehouses have become more standardized. In order to protect the legitimate interests of sellers, overseas warehouses have begun to provide various insurances for cross-border e-commerce pain points, such as cargo damage insurance, loss insurance, delay insurance, etc. Since sellers are always in a vulnerable position, these insurances allow sellers to get reasonable compensation if there is a major problem with the warehouse, so they don’t lose money.

3. Warehouse scale and hardware facilities


The warehouse scale and hardware facilities are easy to understand, but you can choose according to your actual situation. For example, for small sellers who are just starting out, it is recommended not to choose too large overseas warehouses. It is recommended to choose a medium-sized overseas warehouse because the medium-sized overseas warehouse has certain operational experience. While the prices may not be great, the operations of special businesses will be more flexible and don't mind serving small sellers. They prefer to grow with small sellers.


So which products are suitable for cross-border e-commerce overseas warehousing?


1. Products with large size and weight

For example, the use of overseas warehouses for products such as home gardening and auto parts can break through product specification restrictions and reduce logistics costs.

2. Products with high unit price and gross profit

For example, choosing overseas warehouses for electronic products, jewelry, watches, glass products, etc., can control the damage rate and loss rate to a very low level, reducing the risk of sellers selling high-value goods.

3. Products with high turnover

For best-selling products such as fashion apparel and fast-moving consumer goods, buyers can process orders faster and recover money through overseas warehouses.

4. Products with obvious off-season and high-season

For example, products that meet the theme of European and American festivals in the peak season are suitable for overseas warehouses in the short term. Buyers pay more attention to the timeliness of festive consumer products.

5. Products with large single shipments

Although the sales speed is relatively slow, it has formed a certain scale of products, and you can also choose to go to overseas warehouses.

6. Products that cannot be transported by direct mail channels

Such as high-profit liquid products or high-power lithium battery products.


Cross-border e-commerce sellers must know the advantages and disadvantages of overseas warehousing


Advantage: 


1. Reduce the seller's logistics cost.

Shipping to overseas warehouses, especially destination country warehouses, the logistics cost is much lower than domestic shipping. For example, using DHL logistics to transport one kilogram of goods from China to the United States, the seller spends more than 100 yuan, and the same goods only need more than 30 yuan from the US warehouse to the buyer, and the cost is reduced by nearly 4 times.

2. The logistics timeliness is faster.

The seller prepares a purposeful foreign warehouse in advance, and the consumer can ship the goods directly from the overseas warehouse after placing the order. The main transportation, customs clearance, and customs declaration processes are completed before the buyer places an order. Consumers only need to wait for the last procedure, which greatly shortens the delivery time, speeds up the effectiveness of logistics, and improves the buyer's buying experience.

3. Increase contact with the product.

Joining the sales model of FBW and FBS cross-border sellers on eBay, you can affix the "same-day self-pickup" label when publishing products, which increases the exposure of such products, increases buyers' desire to buy, and helps improve sellers. GMV.

4. Improve customer satisfaction.

Because consumers can't buy the product before shopping, they choose whether to buy or not, which is selected from the seller's promotion of the product. Many sellers selectively show consumers the best side of their products.


Shortcoming: 


The most frequent complaints from sellers are:

① Customer service is slow to respond, and it is impossible to communicate in time when encountering problems.

② The goods arrive in the destination country, and the storage time is long, especially in the peak season of stocking, there is a long queue of goods waiting for the goods to be stored in the warehouse.

③ Inventory data may be inaccurate feedback.

④ After the buyer places an order, problems such as warehouse goods errors also occur frequently.

 


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