For cross-border e-commerce sellers, cost is very important, because cross-border e-commerce requires more funds than our domestic e-commerce. If we want to make cross-border e-commerce seamless, , which can not only ensure high traffic and high customer unit price of products, but also ensure stable profitability of products. Cost is a link that requires in-depth understanding. So, how can cross-border e-commerce reduce foreign trade costs?
1. Product cost.
If you want to reduce costs, you must first have economies of scale, and secondly, you must have a stable supply chain, so as to reduce costs. But the quality of the product must be guaranteed.
2. Set up overseas warehouses.
(1) Peer recommendations
Overseas warehousing services recommended by friends in the industry usually have a good reputation and ensure efficiency and timeliness. After multiple comparisons, the most suitable service was finally selected. supplier.
(2) Company on-site inspection
For interested service providers, you can conduct on-site interviews and combine them with your own needs to gain a detailed understanding of the details of all aspects. Thereby choosing a company that matches your needs and provides better services.
(3) Make a preliminary attempt and then go deeper
You should choose foreign warehouses carefully. You can try it first, and then consider expanding the scale after making money.
3. Reduce logistics costs.
With the increase in business volume, e-commerce logistics companies need to invest more manpower and material resources when processing express packages, thus greatly increasing costs. At the same time, there are also many disadvantages, low efficiency, and logistics operations. It is extremely prone to various errors and difficult to meet the growing freight volume and business needs.
4. Reduce return costs.
Return cost is a factor that is ignored by many novices, but it greatly affects the company’s overall revenue. On this basis, this project proposes a new optimization strategy, which is to reduce the return rate by improving product quality and packaging, thereby achieving the purpose of reducing the return rate.
5. Reduce operating costs.
Many times, operating costs depend on personal choices. For example, the rent in busy areas is relatively high for venues, but it is easier to recruit. Located in a remote suburb, although the rent is cheap, it is not easy to recruit people. In terms of employee wages, we can lower the basic salary as much as possible, increase commissions, and use high commissions to motivate employees to work enthusiastically and make the company bigger and stronger. In terms of pictures and videos, if the initial investment is not large, then hire a professional company to do it, which will cost less.
The above is about how cross-border e-commerce can reduce foreign trade costs. When you do these 5 points, you will find that profits have significantly increased. In addition, whether to choose overseas warehouses or logistics equipment needs to be decided based on the actual needs of the company, or a combination of the two is also a good way. Cross-border e-commerce sellers must work hard and continuously improve their operating standards in order to “save” profits and increase their operating income.