Detailed explanation of cross-border e-commerce logistics channels and analysis of key terms
Cross-border e-commerce logistics is an important bridge connecting buyers and sellers around the world. Currently, cross-border e-commerce companies mainly rely on five core logistics channels: postal parcel model, international commercial express delivery model, dedicated line logistics model, UPS-SCS service and overseas warehouse model. This article aims to delve into these logistics channels and their related terminology to help cross-border e-commerce practitioners better understand and choose appropriate logistics solutions.
1. Postal parcel mode
The postal logistics network covers the world and is one of the most commonly used logistics methods in cross-border e-commerce. According to statistics, 70% of China’s exported cross-border e-commerce packages are delivered through the postal system, of which China Post occupies about 50% of the market share. Postal parcels, including China Post, Malaysia Post, Singapore Post, etc., are favored because of their low prices and wide coverage. In addition, the postal channel does not have the problem of remoteness fees, making it a good choice for novice sellers who are trying cross-border e-commerce for the first time.
2. International commercial express delivery
International commercial express delivery mainly includes the four giants such as DHL, UPS, FedEx and TNT. This type of express delivery service is fast but expensive and is suitable for high-value or small items (such as mobile phones). It is worth noting that commercial express delivery may charge shipping fees based on the larger of the actual weight (actual weight) and the dimensional weight (volume weight) of the package. EMS only needs to calculate volumetric weight when any one of the three sides of length, width and height reaches more than 60cm.
3. Special line logistics
Dedicated line logistics transports goods to specific countries or regions through shipping or air charter, and local partners are responsible for the final delivery. This approach can reduce unit costs through economies of scale.
4. UPS-SCS service
UPS Supply Chain Solutions provides customized supply chain solutions, including air freight, ocean freight and warehousing services. This service is available for FBA needs in the United States and Canada.
5. Overseas warehouse model
The overseas warehouse model allows sellers to store goods at the sales destination and sort, pack and deliver them locally. This model can significantly improve logistics efficiency and reduce transportation time.
Key term analysis
- Actual weight: The actual weight of the package.
- Volume weight: Weight calculated based on package dimensions and used to determine shipping rates.
- Tracking Number: A unique identifier used to track the status of your package.
- Transfer Number: A new tracking number generated when a package needs to be transited through a third-party country.
- Packing: The process by which airlines arrange the loading sequence according to the characteristics of the cargo.
- Warranty: Express delivery backlog caused by peak logistics seasons or special events.
- Remote fee: A surcharge charged by commercial express delivery to remote areas.
- Online latency: The time it takes for the post office to receive the goods and upload the information to the official website.
- Departure Time: The time it takes for goods to pass customs inspection and be ready for boarding.
- Not online: It means that the tracking number data has not been updated on the official platform.
- Declaration: The process by which the sender submits details of the shipment to the customs office of the country of destination.
- Opening of export general package seal: Customs inspects large bags of packages submitted by the post office.
- Export General Package Direct Sealing and Distribution: The process of sending goods directly to the destination country after passing customs inspection.
- Export general package envelope distribution: Packages that need to be transferred are re-encapsulated and sent to the destination.
Through the above analysis, it can be seen that cross-border e-commerce logistics not only involves the selection of multiple transportation methods, but also includes many professional terms and operational details. Sellers should weigh the pros and cons based on their own needs and choose the most appropriate logistics solution.