Price is an important means of competition between merchants, and cross-border e-commerce is no exception. The price composition of the product, the merchant’s pricing strategy for the product, and what price the product will be more popular with consumers are all things that merchants need to consider.
In addition, what are the misunderstandings in product pricing and how to avoid these misunderstandings, such negative competition countermeasures also need to be considered by merchants.
8.4.1 Products must have unique designs
In a highly competitive market environment, products must be distinguished from other competing products to stand out. Good sales performance can only be achieved by producing products that meet market needs and are highly personalized and differentiated. Products must be uniquely designed to attract buyers at first sight.
In order to make the product have a good design, the design department must regularly make some product design plans, leave blank space in specific parts and details, and integrate and complete the design plan after understanding market demand, and mass production. If you want to really make a good product, design is very tricky. No matter how good the marketing and service are, good design is the foundation.
8.4.2 Convenient transportation
To do a good job in cross-border e-commerce, you must choose a good mode of transportation. The following are three common international logistics transportation methods.
1. International express
International express mainly refers to the four giants UPS, FedEx, DHL, and TNT. Among them, UPS and FedEx are headquartered in the United States, DHL is headquartered in Germany, and TNT is headquartered in the Netherlands.
International express has high requirements for the provision, collection and management of the client’s information, and is supported by a global self-built network and international information system.
The advantages of international express are fast speed, good service, low package loss rate, and international express has established a very large logistics network in developed countries in Europe and the United States, especially it is very convenient to send to developed countries in Europe and the United States.
The disadvantage is that the price is generally expensive, and general cross-border e-commerce companies will only use it when buyers have strong requirements for timeliness.
2. Postal parcels
According to incomplete statistics, 70% of the parcels of China’s cross-border e-commerce export business are transported through the postal system, of which China Post accounts for about 50%. China Hong Kong Post, Singapore Post, etc. are also commonly used logistics methods for Chinese cross-border e-commerce sellers.
The advantage of postal parcels is that the postal network basically covers all countries and regions in the world, which is wider than the logistics channels provided by any other logistics platform. In addition, since the postal service is generally state-owned and has national tax subsidies, it is relatively cheap in terms of price.
The disadvantage is that since general objects are exported in the form of private parcels, it is not convenient for customs to count, so they cannot enjoy normal export tax rebates. At the same time, the speed is slower than other logistics platforms, and the package loss rate is higher.
3. Dedicated line logistics
Dedicated line logistics is generally in the form of chartered aviation, sea freight bulk container or full container, without passing through the transit station during transportation, direct flight to the destination port (no wasted transit time in the middle), and then secondary delivery by overseas partners. It is a more popular logistics platform. Lianthaipai is one of the cross-border logistics providers. It has been focusing on the US dedicated line for more than ten years and has the green warehouse resources of Amazon in the United States.
The advantage of dedicated line logistics is that the goods are sent to the destination in batches, and the circulation costs of unnecessary intermediate links are reduced through the scale aggregation effect. At the same time, the price is lower than commercial express delivery, the speed is better than postal parcels, and the package loss rate is relatively low. The disadvantage is that there are certain departure standards, and the stocking cycle needs to be planned in advance.