In-depth discussion of the logistics and marketing pain points of cross-border e-commerce
While the cross-border e-commerce industry is booming, it is also facing many severe challenges. This article will analyze in detail the multiple pain points of cross-border e-commerce in logistics and marketing to help relevant practitioners fully understand the main obstacles in this field.
Main pain points in logistics
1. Difficulties in implementing return and exchange services
Because cross-border logistics involves complex processes, long transportation cycles and extensive geographical extension, return and exchange services are often difficult to implement, which in turn affects the profits of micro-e-commerce businesses. In the future, with the promotion of overseas warehouses, the challenge of return and exchange services is expected to be alleviated.
2. Package security issues
In cross-border logistics, goods often go through multiple links during transportation and may be affected by different logistics companies, resulting in package damage or loss, seriously affecting consumers’ shopping experience. Resposting and customer churn also take a financial toll on sellers.
3. It is difficult to track the package throughout the entire process
Although domestic e-commerce logistics can realize the full tracking of packages, it is often difficult to do so in the cross-border link. This is mainly due to the lack of perfect cooperation with international logistics providers, resulting in the lack of effective information tracking methods when parcels are in transit.
4. High logistics costs and long delivery time
The logistics model of cross-border e-commerce mostly relies on cheap express delivery and postal parcels. The cost of this model is very high and may even exceed the selling price of the product itself. In addition, due to the many links, the logistics time is long and often volatile, which affects customer satisfaction and repurchase rates.
5. Obstacles to clearing levels
During the delivery process of goods, they need to go through the customs of the exporting country and the destination country. This process often faces customs clearance obstacles such as insufficient documents or policy restrictions, which may cause the goods to be detained or confiscated, affecting transaction efficiency.
6. Complex customs compliance management
Cross-border merchants must deal with the complex customs regulations of different countries. Failure to effectively manage the compliance process will increase the risk of goods detention and penalties. This is especially important for sellers who are new to cross-border e-commerce.
Key pain points of marketing and promotion
1. High traffic costs and uncertain ROI
The cost of acquiring traffic in cross-border e-commerce is high, especially among novice sellers and small businesses, making it particularly difficult to ensure ROI. Sellers need to have a deep understanding of the target market’s culture and consumption habits to achieve effective advertising.
2. Multi-platform traffic guidance requirements
In order to improve the traffic drainage effect, cross-border e-commerce companies need to place advertisements on multiple platforms, which usually requires the seller to have a professional team for platform management and advertising venture capital.
3. Insufficient creativity in copywriting
The degree of innovation in a product’s advertising copy, images or videos has a great impact on click-through rates. In the context of relatively diverse target customers, how to create eye-catching advertising materials has become a big problem.
4. The necessity of understanding advertising platform policies
All major traffic platforms have strict advertising standards. Being unfamiliar with the platform’s policies will increase the risk of your ads being rejected or your account being blocked.
5. Uncertain delivery time and frequency
There are time differences between different countries, and due to the influence of geography and the maturity of each country’s logistics system, there is uncertainty in the delivery time and frequency of cross-border e-commerce. This requires sellers to accurately grasp and optimize the timing of advertising.
6. Influence of uncontrollable factors
During the entire cross-border e-commerce operation process, many external factors have a direct impact on sales and customer experience. Only by understanding and dealing with these uncontrollable factors can we better manage and develop cross-border e-commerce business.
To sum up, cross-border e-commerce faces many challenges in logistics and marketing, which requires practitioners to not only improve their own capabilities, but also constantly optimize business processes to cope with the ever-changing market environment.