The essence of the concept and operation of FBA is that Amazon rents warehouses overseas. If Amazon sellers need to use this distribution service, they need to transport a batch of goods from China to Amazon’s FBA warehouse. This part of the transportation is called First leg. Using some techniques can greatly reduce the operating threshold and first-leg shipping costs for new sellers.
It should be noted that because the goods transported to Amazon are not sent to the terminal shopping buyers, most sellers will choose to send a batch of goods, that is, a certain number of goods to the Amazon warehouse. Currently, the most commonly used method in the market and generally recognized by Amazon sellers is air freight plus express delivery, referred to as air freight plus express delivery or FBA line, which generally includes tax and customs clearance.
Kongjiapai is divided into bulk customs clearance and single-piece customs clearance. Single-piece customs clearance of goods is safer and faster, but the cost is higher. Even if there is inspection, only the goods with problems will be detained, and the goods without problems can be released. Although the cost of customs clearance in a whole batch is lower, it is not safe and the whole batch will be detained when inspected. Note: Freight forwarding companies that use bulk customs clearance are often irregular companies and operate in a tax evasive manner. In addition to timeliness, AirPlus delivery is much better than express delivery in terms of price and safety. The above are the mainstream transportation methods for shipping to FBA warehouses. In fact, while Amazon sellers are comparing the prices and timeliness of different transportation methods, customs clearance capabilities and tariff issues are also what sellers need to understand in terms of compliance operations.
In addition to the air delivery method mentioned above, goods shipped by FBA also include cheaper sea freight, sea plus express delivery (sea freight plus express delivery), and European rail freight, all of which require a certain volume of goods to be shipped.
The price of sea freight is generally calculated based on volume. Goods sent to the United States require 2 cubic meters to be shipped. The calculated price is only about 5 to 10 yuan/kg, which is suitable for some large goods that are larger in size or very heavy in weight. For example, furniture items such as sofas and wardrobes. In terms of timeliness, it takes 25 to 40 days to ship to the United States, but it is unstable.
Haijiapai is a mode of transportation between sea transportation and air transportation. Generally, the price is calculated based on weight. The price of goods sent to the United States is 12-15 yuan/kg, and the timeliness is relatively fast, 15~ It takes 30 days to arrive at the port. Lower prices and faster delivery times make Haijiapai the mainstream transportation method for shipping to the United States and reducing shipping costs.
European rail transportation is a land transportation method and goes directly to the destination, the UK, for customs clearance. Rail transportation is a transportation method that only appeared in 2017. Prices can be calculated based on weight and volume. Different freight forwarding companies have different standards. Rail transportation can only transport to European countries, not the United States. The timeliness is generally about one month faster than European sea freight, so rail transportation is currently the mainstream mode of transportation in Europe to reduce freight costs.
Various transportation methods are designed according to market demand. As the market changes, new ones will be constantly introduced. When choosing a transportation method, cross-border e-commerce sellers should choose a suitable channel for stocking and replenishment based on their own sales situation. During the first shipment, because they are not sure whether the product will sell well, it is recommended to only ship no more than 60 PCS, and using the express red order method, it can quickly arrive at the Amazon warehouse in 3 to 5 days and be put on the shelves for sale. If the sales volume is good, you can send express delivery and air-delivery at the same time during the second replenishment, combining the two transportation methods, which can save part of the freight. When the sales volume of certain products has stabilized, you can consider using sea transportation, sea freight and rail transportation to further reduce freight costs, thereby reducing product costs and improving the seller’s own competitiveness.
For the same transportation method, safety, price, and timeliness factors need to be considered comprehensively before deciding which logistics company to choose. For different transportation methods, different logistics companies also have their own advantages. When shipping, it is necessary to inquire, compare, and collect product price lists of several logistics companies to choose a transportation method that is both economical and efficient.