How do Amazon sellers choose the optimal logistics model based on product characteristics and sales performance
When selling products on Amazon, sellers are faced with multiple logistics model choices. These modes include self-shipping, Amazon FBA, international postal parcels, international dedicated lines, international express delivery (such as EMS, DHL, UPS, Fedex) and overseas warehouses. Each model has its unique advantages and limitations, so choosing the right logistics model is crucial to improving customer satisfaction and reducing costs.
Characteristics of different logistics models
- International Postal Parcel: Sent through the post office, divided into two forms: surface mail and registered mail. The latter costs slightly more but provides better tracking services. This method is suitable for small, light and low-value products.
- International Line: Direct service provided by specific logistics companies, covering major markets around the world, suitable for goods that need to reach designated areas quickly.
- International Express: Such as EMS, DHL, etc., which are fast but expensive and may require the recipient to cooperate with customs clearance.
- Overseas Warehouse: Third-party overseas warehousing solutions, including Amazon FBA, can achieve localized and fast delivery and are suitable for products that already have a certain market size.
Logistics model selection strategy
Based on product characteristics and sales performance, sellers can consider the choice of logistics model from the following perspectives:
1. Start from the characteristics of the product itself
- It is recommended to use the combination of FBA + self-delivery for high-quality and high-profit products;
- Medium-quality but profitable products are also suitable for FBA + self-delivery, and be careful to keep sufficient inventory;
- Low-quality or low-margin products are more suitable for self-delivery.
2. Based on product type
- It is recommended to use FBA + self-delivery for hot-selling seasonal products;
- The same strategy can also be adopted for products that have been sold stably all year round and appropriately increase FBA shipments to reduce unit costs;
- Out-of-season products should be quickly switched to self-delivery.
3. Based on sales data
- Products with good sales and few returns should adopt FBA + self-delivery;
- For products with mediocre performance, just maintain the existing logistics strategy;
- It is more economical to directly use self-delivery for low-volume products.
4. Data-driven decision-making
- Products with high traffic and conversion rates are suitable for FBA + self-delivery. Try a small amount in the beginning and gradually expand the scale;
- For those products that have a large number of visits but are difficult to sell, the detail page needs to be optimized; for products that are of strong interest to potential buyers but lack exposure, marketing and promotion activities should be strengthened.
Conclusion
After comprehensively considering the above factors, cross-border e-commerce sellers should flexibly use various logistics solutions based on their own product characteristics and market performance. Especially when facing changes in the industry’s off-peak and peak seasons, reasonable adjustments to logistics strategies can help reduce costs. operating costs while improving customer experience.