This year, affected by the decline of the overall market trend, many cross-border companies have suffered losses and announced early Spring Festival holidays. It can be seen that the decline of the cross-border market environment has caused the performance of many Amazon sellers to decline to a certain extent.
At this critical juncture, most sellers place their hopes for sales growth on Amazon's newly added Fall Prime Day this year. Recently, Amazon's Fall Member Day ended on October 12. However, judging from the reactions of sellers on various sites, the sales results of Amazon's newly added Member Exclusive Day seem to be not as good as expected . Amazon's big promotion cools down, and the autumn membership day is not as expected It was learned that after the Autumn Membership Day promotion, some sellers in the seller communication group reported that their order volumes had improved slightly, better than usual, but basically they were "losing money to gain publicity." ▲ The picture comes from the seller communication group However, more sellers, especially those in Europe, said that the order volume did not increase much: “Stable and maintain 0 orders.” "I thought I would raise the price once I got an order, but I haven't received a single order so far, and it's worse than usual." "The orders placed on Membership Day have little profit, and the orders around Membership Day are very poor. I don't know how to calculate this account~" ▲ The picture comes from Weibo These familiar scenes undoubtedly remind people of Prime Day in July this year. Although many small and medium-sized sellers’ sales were boosted and the top sellers reported good news, more sellers experienced the embarrassment of a surge in ACOS and a significant weakening of the membership day traffic effect . Mentions of “Prime Early Access Sale” on Twitter were down 70% on the day the event was announced last month compared with the event in July, according to analytics firm SproutSocial, and discussion has been waning since then. “The data suggests that consumer enthusiasm for seasonal promotions may be fading,” said Sprout’s market research manager. “The announcement of a second Prime Day event during a crowded holiday promotion season may be the main reason for the lack of engagement. ” Amazon's peak season is not prosperous? Cost reduction and efficiency improvement may be the future solution?
The cooling of the big promotion on Autumn Member Day undoubtedly reflects the survival dilemma currently faced by Amazon sellers: In 2022, affected by multiple factors such as geopolitical conflicts and high inflation, the momentum of global economic growth is weakening and overseas consumer demand is entering a weak state. The costs of transportation, warehousing, promotion, etc. on the Amazon platform have risen sharply, and the large amount of new costs continue to put pressure on sellers. However, due to the vicious cycle of low prices and inventory backlogs, sellers cannot easily raise prices to cope with it. As various costs continue to impact profits, reducing costs, increasing efficiency and saving expenses have undoubtedly become important business strategies for Amazon sellers. The traditional peak seasons such as Halloween, Black Friday, Cyber Monday, and Christmas in 2022 are about to arrive. This may be a key turning point for sellers to break the sales maze. So, how can Amazon sellers ensure profits and achieve cost reduction and efficiency improvement while preparing for the peak season? The complete cross-border e-commerce chain includes a series of contents such as logistics, payment, and promotion. Each link is very important. However, many small and medium-sized cross-border sellers have said that in addition to the intuitive logistics costs, there are also many hidden costs in other links: ●High cross-border payment rates: Each cross-border remittance is subject to a handling fee ranging from US$15 to US$35. Some payment platforms also set annual fees, account arrival fees, etc. ● Low advertising input-output ratio: Platform promotion costs have increased sharply, but the conversion effect is not as good as expected, and it is difficult to improve advertising ROI ●High entry costs: For sellers who have just entered the industry, each step, including training and website building, requires fees, which together add up to a considerable operating cost. It can be seen that improving capital efficiency will be an important entry point for sellers to promote cost reduction and efficiency improvement in the future.
As a necessary link in the cross-border e-commerce chain, cross-border payment is the key to reducing costs and increasing efficiency. It is learned that there is such a strong cross-border payment service provider that has grown against the trend in the harsh environment of market decline and is available for sellers to choose. Recently, Airwallex, a leading global financial technology company, completed a $100 million E2 round of financing. After this round of financing, Airwallex's total financing amount exceeded $900 million, and its valuation remained at $ 5.5 billion . In today's sluggish market environment, this round of financing not only demonstrates the market's recognition and expectations for AirConnect's capabilities, but also demonstrates AirConnect's unrivaled strength in the industry, which is expected to help sellers reduce costs, increase efficiency and achieve unbounded growth. It is learned that in order to better enable cross-border sellers to reduce costs and increase efficiency, cross economic cycles and break through the downturn, Airwallex has taken advantage of the financing momentum and joined hands with partners to launch the Cloud Drawing Plan , 8 major support policies and limited-time rebates during the peak season, to draw a new chapter of going overseas with sellers. 8 major peak season support policies to reduce costs and increase efficiency, so the peak season is still prosperous!
From October 14, 2022 to December 31, 2022, during the Cloud Drawing Plan activity, Airwallex customers who have registered and completed the information review can enjoy limited-time benefits for the three major products of collection, acquiring, and card payment : Let’s take a look at what the limited-time benefits of the Yunhui plan mean to sellers: 1. E-commerce platform 365 days of payment collection and withdrawal with 0 fee The general collection fee in the cross-border industry (especially Amazon store collection) is 0.03%. Let's do a simple calculation: if a store receives $100,000 in payments from Amazon every month, a 0% collection and withdrawal fee means that the store can save an additional $3,600 in withdrawal fees per year. Whether you are a top seller operating multiple sites or a small or medium-sized seller, saving on transaction fees is profit! 2. Up to 5% cashback on international card transactions It is learned that many Amazon sellers use payment accounts for direct payment for their in-site advertisements. During the Cloud Painting Plan event, they can also enjoy additional cash back from AirConnect by paying for international transactions with the AirConnect Visa card. For example: If a seller uses AirHub Visa card to pay for a $5,000 Amazon in-site advertisement, he can get a $200 cashback from AirHub, which directly reduces advertising costs and improves ROI. The more he swipes, the more cashback he gets! 3. Up to 1% rebate for independent station collection, no account opening fee For sellers who plan to expand their independent station business, Airlink will launch a preferential activity for acquiring merchants for the first time. The monthly transaction volume of independent station acquiring merchants only needs to reach 300,000 US dollars to enjoy a 1% rebate (limited to settlement in Hong Kong dollars)! For sellers with smaller independent station transaction volumes, this is a once-in-a-lifetime opportunity! 4. Advertising, training, finance and taxation, website construction, loans, exclusive rights and interests throughout the entire chain to reduce costs In addition to offering millions of US dollars in rebates to cross-border sellers, Airwallex will also work with six cross-border ecological partners including Lark, Fengbo International, Shopline, Oushutong, Win Business Club and Shenzhen Cross-border Association to provide limited-time exclusive preferential benefits in advertising, payment, website building, training, etc., empowering the entire process of cross-border enterprises going overseas .
Although the Autumn Membership Day has ended, the peak season promotion in the second half of the year is approaching. For cross-border sellers, if they want to maximize cost optimization and save expenses, choosing to join the "Cloud Painting Plan" is undoubtedly what they need now. Some sellers may ask, is Airwallex’s cross-border payment really easy to use? More cross-border selling options It is reported that well-known DTC overseas brands SHEIN, HALARA, Patpat, Amazon's best-selling Wantuo Technology, Topdon and other overseas companies have chosen Air Wallex to help them reduce costs and increase efficiency in the fields of acquiring, collecting payments, and issuing cards, and achieve unbounded growth. Tang Yu , CEO of Noo Group and a billion-dollar Amazon seller, once said: "When Noo was upgrading its strategy, Airwallex's global account capabilities brought great convenience to Noo, and the extremely favorable exchange rate also supported the company's cash flow, allowing us to quickly turn funds into business development. In addition, while helping Noo solve payment problems, Airwallex's products can also flexibly adapt to the development of our organization, allowing the team to collaborate efficiently, and also provide us with very efficient guidance and solutions on financial compliance issues." At a time when the cross-border export e-commerce industry still has market vitality and growth resilience, more and more sellers are entering the cross-border track, and industry competition is becoming increasingly fierce. At a time of change in the cross-border e-commerce industry, for cross-border sellers, if they want to maintain growth during the peak season, reducing costs and increasing efficiency is undoubtedly a key. As an important link in the cross-border e-commerce chain, high-quality cross-border payment service providers are the hubs that enable Amazon sellers to reduce costs and increase efficiency and ensure the healthy circulation of funds. Therefore, sellers who choose Airwallex, which maintains a strong growth momentum, will have a better chance of enjoying a strong peak season and achieving global growth. |
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