Storage basket Order Fulfillment Services | Storage basket Drop Shipping
1. Differences in terminal delivery
The terminal delivery of sea+express Style is mainly by express delivery. Because there is no need to make an appointment、 the goods can be quickly warehoused、 and its advantages are very obvious in the logistics peak season. However、 Hika and its terminals are mainly delivered by truck. Truck delivery is inefficient and has many processes. Delivery of goods to Amazon requires advance booking、 which is inefficient.
2. Differences in channel services
The logistics service of sea+express Style is relatively good. It basically uses the direct shipping mode to transport goods、 which is highly efficient、 short in process、 and fast in efficiency. However、 the charges of Shanghai Style are also relatively high. The logistics service of Hika is relatively poor、 the freight transport efficiency is low、 the process is long、 the efficiency is slow、 and the transport goods will stop halfway、 but the cost is lower than that of sea+express.
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.
