Analysis and application of customer region data in cross-border e-commerce

In cross-border e-commerce operations, understanding the regional distribution of customers can not only help operators better grasp market dynamics, but also provide strong support for product selection strategies and marketing activities. This article will discuss the analysis method of customer regional distribution data and its application in product selection, market positioning, etc.

1. Acquisition and analysis of customer regional distribution data

The basis of customer regional distribution analysis is to extract necessary parameters from the backend order report, such as “ship-city” or “ship-state”. Using the pivot table function of Excel, you can quickly calculate the order volume in different regions, and further create a table containing the two dimensions of “quantity” (number of orders) and “proportion” (proportion of order quantity to total orders) . Through such data sorting, operators can more intuitively see the distribution of orders in various regions, and divide the head market, long tail market and low order market accordingly.

Specifically, the head market refers to the region with a market share of more than 1%; the long tail market refers to the region with a market share between 0.1% and 1%; and the low order market refers to those regions with a market share of no more than 1%. 0.1% of the area. With the help of visualization tools such as tree diagrams, it not only helps to understand the proportion of each market, but also evaluates whether the market division standards are reasonable.

2. Application practice based on regional distribution data

Targeted product selection

Different from the traditional product selection strategy from the perspective of “competitors”, operators can try to select products from the perspective of “consumers” by analyzing the region where customers are located and their consumption characteristics. This includes identifying the geographical distribution of target consumers, understanding the preferences and demand differences of consumers in specific regions, etc., so as to develop a product portfolio that is more in line with market demand.

Multi-store market gap comparison and operational capability analysis

For companies that adopt a multi-store operating model, relying solely on average daily sales to evaluate store performance may have limitations. Taking into account the influence of factors such as store health and brand influence, a more scientific approach is to comprehensively assess their market potential and operational efficiency based on the geographical coverage of different stores. In addition, by comparing the sales performance of each store in different regions, we can also discover potential growth opportunities and guide subsequent resource allocation and strategic adjustments.

3. Market share index calculation and its significance

The market share index is an important indicator to measure the popularity of a product in a specific region. Its calculation formula is: market share index = proportion of local orders – proportion of local population. This value can help operators more accurately judge the market position of their own products in various regions. Especially when the index is greater than 1, it means that the region has high brand influence and product acceptance.

4. Design and effectiveness evaluation of physical marketing brochures

As an offline traffic attraction tool, physical marketing brochures play an important role in enhancing brand image and promoting sales conversion. The design content usually includes brand logo, coupon information, new product promotion and other content. By tracking the number of orders brought by marketing brochures, the return on investment (ROI) achieved can be calculated and compared with online advertising effects.

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