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electronic cigarettes Dropshipping and Fulfilment Services

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electronic cigarettes Fulfilment Centers and Warehouses

Because electronic cigarettes contain batteries, and batteries are prone to generate flammable gases during international transportation, which threatens the safety of aircraft. In order to ensure the safety of aircraft transportation, domestic express companies regard batteries and battery items as prohibited items and prohibit transportation.


However, if you can transit from Hong Kong and take advantage of Hong Kong's looser policies, you can delivery electronic cigarettes to foreign countries. For example, logistics such as Dutch post parcels, Russian special lines, Japan special lines, and American special lines, which are transshipped from Hong Kong to the destination, can be delivery to foreign countries. Commercial couriers such as DHL, Fedex, and UPS are prohibited from transporting electronic cigarettes and other electrical items.


In addition, it should be noted that some countries do not allow the import of electronic cigarettes. When delivery, you need to pay attention to whether the electronic cigarettes comply with local customs policies. For example, according to Japanese customs policy, only two electronic cigarettes can be imported at most, and if the number is too large, it will be request to return the parcel.


Todropshipping US special line logistics can delivery electronic cigarettes to the United States. The channel is characterized by high cost performance and can provide a variety of channel services to meet everyone's logistics needs.


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electronic cigarettes Introduction Note

According to the "Blue Book of Electronic Cigarette Industry Exports in 2022" (hereinafter referred to as "Blue Book"), there are currently more than 1,500 electronic cigarette manufacturing and brand enterprises in my country, and more than 70% of them mainly export their products overseas. It is estimated that the total export value of electronic cigarettes will reach 186.7 billion RMB in 2022, with an expected growth rate of 35%.


After the "Thousand-Smoke War", there is a saying in the electronic cigarette industry: "More than 95% of the world's electronic cigarette production and products are from China, 70% of China is from Shenzhen, and more than 95% of Shenzhen city  Bao'an district ". China is gradually transforming from the world's largest e-cigarette manufacturer to the world's largest exporter of e-cigarette brands.


According to Todropshipping, in Southeast Asia, different from the Chinese market, some countries in Southeast Asia are open to e-cigarettes and even allow e-cigarettes to be sold online. According to data from Euromonitor, a consumer market research organization, it is expected that the total market of electronic atomization in Southeast Asia will reach 766 million US dollars in 2023, or about 5.1 billion RMB.


What are the transportation pain points of medium and large products

01 Large goods are easily damaged during transportation. Due to the characteristics of large goods such as large volume、 high quality and high value、 it is particularly important to ensure the integrity of the goods during transportation. However、 some overseas warehouses will ignore this. For example、 some overseas warehouses will not provide waterproof packaging for the goods、 adopt professional packaging techniques、 and create protective clothing、 which will cause damage to large goods during transportation due to improper packaging protection.

02 Large capital investment and cost estimation. The purchase cost of medium and large parts is much higher than that of small parts、 which has certain requirements for the seller's capital、 selection、 logistics and other capabilities.

03 In terms of logistics、 overseas warehouses are required、 and the logistics cost accounts for more than 30% of the turnover. Due to product weight、 volume and other reasons、 most large products are shipped to overseas warehouses by sea. After platform orders are generated、 they are directly delivered to consumers from overseas warehouses. The logistics cost of large products usually accounts for about 30% of the turnover、 which is reflected in the following aspects: the length of goods exceeds the standard、 extra long surcharges、 overweight products include overweight charges、 product packaging is too large、 and the size does not meet the standard、 which may lead to uncontrolled logistics costs.

How is the international express fee generally calculated

First of all、 we need to know two concepts: billing weight unit、 first weight and additional weight

Billing weight unit: The international express industry generally takes 0.5KG (0.5kg) as a billing weight unit.

First weight and additional weight: the first 0.5KG is the first weight for international express delivery、 and every additional 0.5KG is an additional weight. Generally、 the cost of hoisting is higher than that of continuous hoisting.

There is one price between 0.5KG and 0.5KG、 which is the first weight price. The part exceeding 0.5KG will be charged according to the additional weight price

Therefore、 the actual freight is equal to the first weight price+additional weight price

When the actual weight of the goods to be delivered is greater than the volume weight、 the freight=first weight freight+(actual weight (kg) × 2-1) × Renewal freight

When the actual weight of the delivered goods is small but the volume is large、 the freight=the first freight+(volume weight (kg) × 2-1) × Renewal freight

Note that the freight here is only the basic freight、 not the final total cost、 and there may be other additional costs.

Packaging fee: Generally、 international express companies provide free packaging、 cartons、 bubbles and other packaging materials、 but many items、 such as clothing、 can be packaged without extra fine packaging、 but some express companies will charge a certain packaging fee for valuable and fragile items. Packaging costs are generally not included in the discount calculation.

Fuel surcharge: all major international express will be updated in real time according to market conditions. Please consult customer service for specific fees.

Other uncertain expenses: such as service fees in remote areas、 sensitive freight charges for sending batteries、 powders、 liquids、 food、 brands、 etc.、 which are mainly related to the items and regions you send.

Basically、 total cost=(freight+fuel surcharge) × Discount+packaging cost+other uncertain costs

In addition、 different countries and different logistics channels have different basic charging standards、 and the cost may also be affected by many factors such as flight outage. The specific charging standards can also be subject to the real-time quotation of the express company.

How to make overseas warehouse bigger and stronger

1. It is a basic principle that the market demand of the products should be large. 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. The seller needs to evaluate according to the capital situation and turnover rate.


2. Pay attention to the total profit per unit time rather than the profit of a single transaction. On the whole、 the profit margin of overseas warehouses for most products will be much higher than that of domestic shipments、 which is also the advantage of overseas warehouses. 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.


The FBA company I have worked with for a long time is Todropshipping. They have their own companies in the United States、 the United Kingdom、 Europe、 Canada、 and Germany、 and overseas warehouses and customs clearance are handled by them. It is easier to deliver goods to them. I recommend you to try. Welcome to take my answer.

 

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