In today’s globalized business environment, cross-border trade has become the choice of more and more companies. However, cross-border trade also brings many challenges, one of the important issues is logistics. How to efficiently transport products from one country to another has become a problem that companies need to face. In order to deal with this problem, the third-party overseas warehouse model has become the choice of more and more enterprises, which can not only reduce logistics costs, but also increase product profit margins and sales volume, thereby increasing the competitiveness of enterprises. In this article, we will explore the advantages of the third-party overseas warehouse model.
First of all, the basic selling price of products stored in overseas warehouses is much higher than that of similar products shipped directly, which allows sellers who use third-party overseas warehouses to obtain higher profits.
Secondly, the stable supply chain of overseas warehouses helps increase product sales. The sales volume of products shipped from overseas warehouses is on average 3.4 times that of products shipped directly from China.
Furthermore, the centralized transportation model adopted by overseas warehouses breaks through the limitations of product weight, volume, price and other conditions, allowing sellers to expand the range of products they sell.
In addition, the centralized shipping method adopted by overseas warehouses has greatly reduced the average shipping cost of a single item. Especially when the product weight is greater than 400 grams, the cost advantage of using overseas warehouses is more obvious, and it can also provide sellers with cut costs.
Finally, using overseas warehouses to store products can greatly increase the seller’s praise rate, and it can also help sellers narrow the gap with buyers, allowing sellers to better protect their personal store image.
To sum up, the third-party overseas warehouse model not only improves the profit margin of products, but also helps increase product sales, expand product categories, save shipping costs and improve seller performance. It can be seen from this that overseas warehouses are one of the indispensable tools for export companies to expand in overseas markets. Third-party overseas warehouses are an indispensable choice for export companies. Considering the various advantages it brings, many export companies are considering cooperating with such overseas logistics service providers. It will bring considerable business opportunities and market competitive advantages to sellers.