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How to do well in overseas warehouse

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.

How to choose special line logistics and international express

International special line logistics and international express delivery are common cross-border mail packages for cross-border e-commerce sellers


International express delivery refers to the express logistics business conducted between two or more countries (or regions). Similar to domestic express companies and international express companies、 the main service and timeliness can achieve door-to-door transportation、 customs clearance is fast and efficient、 but the price cost is also relatively high. It is generally applicable to personal mailing of emergency goods、 or cross-border sellers sending goods with high value、 and the cost performance ratio is not high.


Special line express is mainly used to connect cross-border logistics companies with special lines from one country to another、 centralize goods for directional transportation、 and reduce costs through scale effect. Therefore、 the cost performance of international cross-border special lines is much higher than that of international express.


In addition、 cross-border logistics companies that can form a stable transportation scale will not be much slower than international express delivery in terms of efficiency. For example、 I found that the well-known Todropshipping and Daiyou Bao special lines in China take 5-8 working days to reach the United States、 while the reference efficiency of UPS is 4-7 working days、 with a small difference. Therefore、 the cross-border special line logistics has a high cost performance ratio and is suitable for small and medium-sized cross-border sellers to send packages internationally.

Do international express exports need to be declared?
If the goods mailed do not exceed the 1000 limit、 there is no tariff. If the value of the goods mailed exceeds the tax exemption amount、 it may be necessary to pay tariffs for the goods. The current tariffs for cosmetics are 10% - 20%. The tariff is the excess part of the tariff、 that is、 the tariff is calculated based on the total amount of the excess tax exemption. The limit for items sent by individuals from or to Hong Kong、 Macao and Taiwan is 800 yuan each time; The limit for goods sent from or to other countries and regions is 1000 yuan each time.
 

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