Botswana Order Fulfillment Services | Botswana DropShipping

1. The market demand of products should be large

This is the basic principle. Long tail products are not suitable for overseas warehouses、 because it will affect the conversion rate and produce life and death inventory. However、 the size of the market is reasonable、 and the seller needs to evaluate according to the capital situation and turnover rate.

2. Focus on the total profit per unit time rather than the profit of a single transaction

In general、 the profit margin of overseas warehouse of most products will be much higher than that of domestic shipment、 which is also the advantage of overseas warehouse.

Is it true that the profits of overseas warehouses are not as good as those of products shipped domestically、 so they must not be overseas warehouses? In fact、 it is not because we also need to comprehensively consider the conversion rate of overseas warehouse、 because products with high conversion rate can also achieve higher total profits through overseas warehouse!

This requires our sellers to look at overseas warehouses from a developmental and overall perspective.

For example、 if the profit margin of a product shipped from China is 20% and that of an overseas warehouse is 10%、 but the conversion rate of an overseas warehouse is 6 times that of a Chinese shipment、 the total profit obtained in the same time period is 3 times that of a Chinese shipment. Therefore、 we should not only look at the profit rate、 but also calculate the overall cost and benefit.

First of all、 we learned that the overseas warehouse is actually a kind of overseas leased warehouse derived from the service of cross-border e-commerce or foreign trade. The appearance of overseas warehouse has greatly improved the storage and delivery time、 efficiency problems、 logistics costs、 customs clearance fees、 etc. For the seller、 a series of savings and efficiency improvements have made the profit of the seller's own products continue to increase、 followed by a more convenient delivery service One piece consignment of overseas warehouse is divided into one piece consignment of supplier's goods source and self owned goods source to prepare goods for overseas warehouse. After the customer places an order、 the overseas warehouse system issues delivery instructions、 and the overseas warehouse staff receives the instructions、 they are responsible for the final delivery work such as packaging and shipment.

Naturally、 we have some understanding of his process from the understanding of overseas warehouse and one agent:

1. The cross-border foreign trade seller arranges express delivery to deliver the goods to the US warehouse;

2. The warehouse shall count the goods received and put them on shelves;

3. When a buyer places an order on the platform、 the buyer uploads the order in the warehouse system;

4. The warehouse receives the order instruction to distribute goods and deliver goods、 and the American local logistics delivery;

5. The buyer receives the order item.

1. Professional team in China and the USA

If the selected American overseas warehouse has a dedicated team at home、 they will consider some problems that may be encountered after the goods are warehoused overseas and avoid it in advance. In this way、 the situation that the goods have been sent overseas but have encountered problems and are not easy to handle is reduced.

2. Warehouse provides insurance

The goods may be lost、 damaged、 delayed、 etc. in the operation process. Some overseas warehouses will introduce various types of insurance、 cargo damage insurance、 loss of parts insurance、 delay insurance、 etc. In case of problems in the warehouse、 these types of insurance will enable the seller to obtain reasonable claims without loss.

3. Scale and hardware facilities

The small American overseas warehouse has its own limitations. For some emergencies that may not be handled well and cause losses to the seller's interests、 it is recommended to choose an American overseas warehouse with complete hardware and software equipment and complete systems.

4. Independent taxation

The protection of tax and law is not only that your process is legal、 but also that of other customers in the overseas warehouse. In a common warehousing system、 only when everyone is legal can it be truly guaranteed.

5. Clear billing method

Not all American overseas positions are reliable. When choosing、 sellers should remember to look for those whose charges and prices are clear and unambiguous.

6. Provide a mature management system

A mature management system includes inventory、 sales order、 inventory and other data reports、 supports barrier free communication between customers、 goods、 overseas warehouses、 and logistics companies、 and provides accurate and timely information.

01 Large goods are easily damaged during transportation. Due to the characteristics of large goods such as large volume、 high quality and high value、 it is particularly important to ensure the integrity of the goods during transportation. However、 some overseas warehouses will ignore this. For example、 some overseas warehouses will not provide waterproof packaging for the goods、 adopt professional packaging techniques、 and create protective clothing、 which will cause damage to large goods during transportation due to improper packaging protection.

02 Large capital investment and cost estimation. The purchase cost of medium and large parts is much higher than that of small parts、 which has certain requirements for the seller's capital、 selection、 logistics and other capabilities.

03 In terms of logistics、 overseas warehouses are required、 and the logistics cost accounts for more than 30% of the turnover. Due to product weight、 volume and other reasons、 most large products are shipped to overseas warehouses by sea. After platform orders are generated、 they are directly delivered to consumers from overseas warehouses. The logistics cost of large products usually accounts for about 30% of the turnover、 which is reflected in the following aspects: the length of goods exceeds the standard、 extra long surcharges、 overweight products include overweight charges、 product packaging is too large、 and the size does not meet the standard、 which may lead to uncontrolled logistics costs.