Due to the high frequency of orders on the platform, the requirements for logistics are relatively high, especially in terms of time, cost and safety. Generally speaking, after the buyer places an order and the platform confirms the receipt of payment, the seller has 3 to 10 days of preparation time depending on the order volume. After confirming the shipment, fill in the shipping notice online. Depending on the distance of the destination country, it usually takes 3 to 10 days to reach the buyer. The cost of cross-border logistics is high, so the larger the order volume, the lower the sales cost of a single product, and the higher the profit, so sellers generally sell goods in packages. At the same time, due to the long transportation distance, scattered locations, and complex distribution, sellers or trading platforms rarely establish their own logistics distribution system, but mostly choose third-party logistics companies as agents.
Sellers on the AliExpress platform are independent business entities and generally contact freight companies to ship their goods. Due to the small scale of sellers, they generally do not build their own cross-border logistics networks, and generally choose third-party cross-border logistics. At present, the cross-border logistics service providers supported by AliExpress include UPS, EMS, TNT, FedEx, DHL, China Post, Hong Kong Post, and SF Express. In order to reduce the sellers’ express delivery costs, during the “Double Eleven” in 2014, AliExpress tried to cooperate with Beijing Post to support sellers to send parcels to buyers in 24 countries by ordinary mail. The total freight of more than 20 yuan minus the registration fee is only more than 10 yuan, which greatly increases the gross profit of low-priced goods. Sellers can choose the appropriate logistics according to the advantageous routes and product characteristics of each service provider, or negotiate with buyers to choose logistics that is convenient for themselves or buyers. If the seller has a large monthly sales volume, he will get a certain logistics discount, which will enhance the seller’s price advantage and expand his profit margin. Generally speaking, the most commonly used methods in AliExpress transactions are DHL, EPS and EMS.
In addition to individual shipments, sellers can also use the platform to jointly ship. At present, “AliExpress” has also been working hard to provide logistics support for domestic sellers to help them reduce related international logistics costs. Previously, “AliExpress” cooperated with professional international logistics supplier GELS to jointly launch warehousing and collection services. After receiving the order and confirming the payment, the seller can send the goods to the Shanghai warehouse designated by GELS and submit the goods declaration information. Then the GELS staff will arrange the warehousing and delivery issues. This new group order packaging model not only greatly saves the seller’s logistics costs, but also ensures the customs clearance and safety of goods. In April 2011, “AliExpress” joined hands with Zhejiang Postal Logistics Express Co., Ltd. to jointly develop a new logistics model and agreed to provide “AliExpress” customers with warehousing and logistics distribution services at Zhejiang ports.