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According to the QYR survey results, the global wine cabinet market value reached 9.76 billion yuan in 2018, which is expected to grow to 9.85 billion yuan in 2025, with a CAGR of 0.1%. With wine cabinet as the key word, the monthly search volume has reached 37730. The average popularity of Google Trends search in the past year has exceeded 50, with an average star rating of 4.3. This shows that the market is still hot, but the current market maturity is average. It is less difficult to establish competitive barriers through product differentiation. There is a large space for new products to enter. Cross border sellers can consider entering the market.
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1. Calculation of LCL fee
LCL freight shall be calculated by "W/M" method、 W means weight ton、 and the gross weight of the commodity is 1000kg=1 weight ton; M stands for size ton、 1 cubic meter=1 size ton. The "W/M" method means that the larger one is selected from the weight tons and the size tons.
2. Calculation of full container freight
The freight of full container cargo is calculated according to the actual weight as the same as that of LCL、 and the freight is calculated according to the type of container. When a full container is consigned and the container is owned by the shipping company、 the carrier has provisions on "minimum container utilization rate" and "maximum container utilization rate" when calculating ocean freight
1. The market demand of products should be large
This is the basic principle. Long tail products are not suitable for overseas warehouses、 because it will affect the conversion rate and produce life and death inventory. However、 the size of the market is reasonable、 and the seller needs to evaluate according to the capital situation and turnover rate.
2. Focus on the total profit per unit time rather than the profit of a single transaction
In general、 the profit margin of overseas warehouse of most products will be much higher than that of domestic shipment、 which is also the advantage of overseas warehouse.
Is it true that the profits of overseas warehouses are not as good as those of products shipped domestically、 so they must not be overseas warehouses? In fact、 it is not because we also need to comprehensively consider the conversion rate of overseas warehouse、 because products with high conversion rate can also achieve higher total profits through overseas warehouse!
This requires our sellers to look at overseas warehouses from a developmental and overall perspective.
For example、 if the profit margin of a product shipped from China is 20% and that of an overseas warehouse is 10%、 but the conversion rate of an overseas warehouse is 6 times that of a Chinese shipment、 the total profit obtained in the same time period is 3 times that of a Chinese shipment. Therefore、 we should not only look at the profit rate、 but also calculate the overall cost and benefit.
Which products are suitable for FBA? Is it big or small? Is it expensive or cheap? The products with the following characteristics are suitable for FBA.
1. Products with excellent quality and performance. Such products will not be returned or replaced generally、 which can greatly reduce the loss of sellers.
2. Small size、 high profit products. The product is small in size、 easy to transport and can save costs. However、 it should be noted that the product price should not be set too low. Because the delivery by FBA will incur relevant handling fees and various transaction costs. If the product price is too low、 the profit will also decrease. It is suggested that the price of FBA products should be more than 5~6 dollars.
In general、 FBA is suitable for small and medium-sized sellers of products with excellent quality、 small size and high profits. The advantages of other products are not obvious.
