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Lu Ya Gan Dropshipping and Fulfilment Services

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How to do well in overseas warehouse

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.

The differences between air freight and express delivery in international freight transport

Air transport means ordinary air transport. When transporting large quantities of goods、 the general freight will be cheaper than express delivery. However、 they need to deliver the goods themselves、 declare customs and even apply for inspection. It may also inspect the goods.

Express delivery is not necessarily air transportation. If it is international transportation、 the delivery time in some places is not necessarily faster than ordinary air transportation. But usually、 there is no need for customs declaration and inspection、 and it is convenient to pick up and deliver goods at home.

How to select an appropriate overseas warehouse for medium and large articles?

01 Mature management system: the information connection between customers、 commodities、 overseas warehouses and logistics companies is very important. It is important to choose the system that meets the order integration needs of your own enterprise. For overseas warehouses、 the maturity of the system is the key to the maturity of overseas warehouses.

02 Warehouse area and operation capacity: the problem of overseas warehouse explosion and poor turnover also occurs frequently in peak season. Therefore、 companies with large inventory and operating capacity can also avoid these problems to a large extent.

03 Whether there is a professional team in China: An overseas warehouse service company with a domestic professional team will master the specifications before the goods are sent to the overseas warehouse、 so as to avoid problems overseas to the greatest extent、 and also better avoid problems overseas、 and better communicate and coordinate with customers.

04 Whether the overseas warehouse team is a local team: especially whether the person in charge of the overseas warehouse has many years of overseas life experience and many years of operation experience in the logistics industry. Each country and region will have different rules、 understand the truth、 and grasp the cost and risk.

05 Service items: In addition to providing overseas warehousing services、 are there any other sophisticated and comprehensive services? Companies with more comprehensive services will save you time and worry、 and make your turnover more flexible.

06 Whether customers will be selected: the warehouse itself is clearly positioned、 and any customer will receive overseas warehouses、 which will pose high risks. If any problem occurs in any link、 even one customer's problem will affect other customers. Therefore、 it is more reassuring to know how to refuse customers' overseas warehouse.

 

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