There are four points about the value of local operations in the destination country of overseas markets:
1. You can never understand the US market like Americans
Under the B2C retail model of cross-border e-commerce, the understanding of the market and the analysis of consumers determine the success of a cross-border e-commerce enterprise. You can research and analyze the target market, but even if you don’t calculate the cost of the research, you will not be able to understand the local market as well as local companies. Localized operations can save research costs, improve efficiency, accurately analyze the market, provide high-quality services, and meet the needs of the target market.
2. Localization solves the pain points of traditional cross-border e-commerce logistics
Our company’s cross-border e-commerce operation model is based on the data research and actual sales of each company. Production orders are shipped to the warehouse of the US company in advance through shipping containers (standard overseas warehouse model), and then sold online through independent US websites and Amazon and eBay stores. Our delivery speed is generally controlled within 3 to 4 days, and the express delivery fee is minimized. Through this overseas warehouse model, our product categories continue to expand. Large-scale handicraft products that are large in size and relatively bulky, which cannot be sold by traditional cross-border e-commerce, are also sold across borders through this model. Our company has done statistics. Through this overseas warehouse model, logistics costs have dropped by 50%. Coupled with our accurate consumer analysis, high-quality logistics experience, and low logistics costs, our cross-border e-commerce sales performance has been very good.
3. Localized operations in overseas destination countries have improved customer experience
In the 3.0 era of cross-border e-commerce, experience is the core. Traditional cross-border e-commerce ships goods domestically. In addition to the poor timeliness of logistics transportation, it is even more difficult to provide after-sales maintenance for customers. Through localized operations, these problems can be solved well. First of all, the damage rate of logistics shipments within the destination country is very low. When goods are damaged, the exchange efficiency is also very high. In addition, with the advantage of localized talents, customer maintenance and customer communication are even more powerful. Such localized advantages are something that traditional cross-border e-commerce 1.0 and 2.0 eras can never achieve.
4. Localization has opened up overseas markets
For any foreign trade export enterprise, continuous market development is the core of enterprise development. The traditional foreign trade promotion model, whether it is exhibition promotion or Internet promotion, has certain limitations. Localized company operations, through local talents, omni-channel market development, and using local thinking to develop the local market will achieve the best results.