At present, the logistics modes used by cross-border e-commerce sellers in the market are basically international postal parcels, China Post parcels, the four major international express delivery companies, various special lines and overseas warehouses. But as we all know, logistics has always been a major bottleneck in the development of e-commerce, restricting the development and growth of e-commerce. Only by understanding the characteristics of cross-border logistics can we better operate cross-border e-commerce stores.
1. Long distance, long time and high cost.
For example, the logistics time for shipping to emerging markets often exceeds ten days or even a month. The restoration of full discounts for China Post parcels has had a huge impact on sellers and eroded their profits. Sellers can only use other channels such as special lines, but the customs clearance stability of other channels is relatively poor, which has many adverse effects on the logistics performance of e-commerce and the customer experience of buyers.
2. Complex procedures and lack of controllability.
In addition to basic product delivery, it also involves domestic first delivery, payment, customs clearance and local delivery; if it is a logistics channel in the form of an overseas warehouse, it also involves the operation and sorting of overseas warehouses.
3. Diversification of forms.
Due to the large number of links involved in cross-border logistics, various forms have emerged at all levels, such as sea transportation, land transportation, air transportation, dedicated lines, etc. Therefore, when choosing a cross-border logistics service provider, you must choose a logistics service provider that supports the international express management system XMS so that you can keep track of logistics information at any time.
4. The southeast coastal area is under great competition pressure.
The coastal area has more cross-border transportation demand and relatively complete infrastructure. Therefore, the competition for cargo and transportation resources is the most intense. In the central and western regions, the demand for cross-border transportation is relatively low, and the transportation cost is relatively high, so the competition pressure is relatively small.
5. There is fierce competition within the region or a single industry, and less cross-regional and cross-industry competition.
With the rise of cross-border e-commerce, the development of the logistics industry has been promoted, and competition is becoming increasingly fierce. However, due to the limitations of its own financial strength, management and technical capabilities, and the separation of national logistics markets, the characteristics of competition are manifested as competition between enterprises in a certain region. For example, in the Yangtze River Delta region, there is competition between cross-border logistics companies; or resource competition between single industries, such as the 3C industry and the electronic product manufacturing industry. There is relatively little competition between cross-regions and cross-industries.
6. From single service to diversified services.
In order to better meet the diversified needs of cross-border e-commerce personnel, most cross-border logistics companies have begun to explore the path of diversified services. For example, cooperation with overseas warehousing companies is an obvious representative. In the cross-border logistics chain, it provides first customs clearance, warehousing, distribution, and many derivative and alternative services related to FBA, such as overseas warehousing labels.
7. Single service function, few value-added services, and serious homogeneous competition
Most cross-border logistics companies can only provide a single logistics service. There are few cross-border logistics companies that provide multimodal transport (such as sea and air transport) and meet other different needs of customers. When providing cross-border logistics services, it is limited to traditional services such as customs declaration and reservation. There are few transportation plan optimization designs and comprehensive logistics services, and homogeneous competition is more serious.
The above is the general characteristics of cross-border e-commerce. In fact, cross-border e-commerce and logistics are complementary. Cross-border logistics should keep pace with the times as sellers’ needs change and gain a firm foothold in the market.