Analysis of the logistics model and advantages and disadvantages of independent stations! Do you really understand it?

For cross-border e-commerce sellers, the efficiency of logistics directly determines the buyers' shopping experience and evaluation. If the selected logistics channel is too slow, the user's refund rate and negative review rate will rise sharply, and the product sales will also fall. The logistics cost usually accounts for about one-third of the total cost of the product. If the transportation cost is too high, it is very easy to exceed the expected cost, and the sales volume will increase but the profit will decrease.

Therefore, for independent station sellers who do not have delivery channel requirements, understanding the common independent station logistics delivery modes is also one of the key points of work. It is very important to choose a logistics channel that can ensure user experience and optimize logistics costs. Today, let's share several types of independent station logistics delivery modes. New sellers should not miss it!

4 logistics delivery modes for independent stations

This model is the most common , and the general process is: customer places an order - purchases goods domestically - packs and ships - sends to the logistics service provider's warehouse - the logistics service provider sends the goods to overseas customers.

Self-delivery means that the seller packs and ships the goods by himself. Before that, the seller must first choose a suitable logistics service provider, such as postal parcels, international MES, commercial express (UPS, Fedex, TNT, DHL), etc. Different logistics service providers have different freight standards, transportation time, and advantageous regions.

● Postal large and small packages: The shipping cost is relatively cheap, and it usually takes about 15 working days to deliver. The upper limit of the weight of the postal small package is 2kg, and the weight limit of the postal large package is 20-30kg. Sellers can choose according to their needs.

● International MES: International MES is relatively fast, and it takes about 3 to 7 working days to deliver. The weight of a single piece cannot exceed 30 kg. EMS freight is also relatively cheap, but the price fluctuates greatly.

● Commercial express delivery (UPS, Fedex, TNT, DHL): Commercial express delivery is the fastest and only takes 2 to 4 working days to deliver. However, the price will be more expensive and there are more restrictions on the transported goods.

After the seller selects a logistics service provider, he/she will configure it to the backend of the independent site, and then pack and ship the goods according to the consumer's choice.

Applicable people:

Domestic self-delivery is suitable for products that are small in size, light in weight, and have higher profits, such as daily necessities, small electronic products, etc.

Advantages:

High flexibility: Sellers can select the appropriate logistics service provider based on their needs;

Inventory is controllable: Stock can be prepared based on sales volume without too much inventory pressure, ensuring delivery quality and timeliness.

Disadvantages:

High cost: Depending on the selected logistics service provider and product characteristics, freight rates and delivery times may vary from order to order;

Slow delivery time: Due to domestic delivery, it may take a long time to reach the target country.

Dropshipping is a form of delivery without a source of goods. The seller first accepts the customer's order, collects the payment, and then forwards the order to the manufacturer, who then sends the goods directly to the customer. Generally, the independent station dropshipping model is to forward the order to the supplier found on Alibaba International Station, AliExpress, 1688 and other platforms after accepting the order, and let the supplier directly ship to the customer. There are also many sellers who cooperate with foreign supplier platforms, and the customer experience will be better if the goods are shipped directly from abroad.

A completely inventory-free method usually involves cooperating with large sellers, or placing orders at third-party sellers' stores and shipping them to customers. The disadvantage of the no-source dropshipping model is that inventory, timeliness and quality cannot be guaranteed.

Applicable people:

Dropshipping is suitable for startups or sellers with limited budget.

Advantages:

Low inventory risk: Sellers do not need to prepare inventory in advance, reducing inventory costs and pressure;

Small investment: Sellers only need to invest limited funds in marketing and online store operations.

Disadvantages:

Unable to control quality: Since the goods are shipped directly through suppliers, sellers cannot control product quality and packaging, and logistics information is difficult to track.

The main function of overseas warehouses is to shorten transportation time and realize quick returns and exchanges, thereby improving customer satisfaction. Sellers need to select overseas warehouse service providers in the target market, and then the other party will pick up the goods at the door and transport them to the overseas warehouse for storage. After the customer places an order, the overseas warehouse service provider will also ship the goods on behalf of the customer.

Applicable people:

Experienced sellers and independent merchants selling large items.

Advantages:

Save transportation time: by distributing goods locally, transportation time can be greatly reduced;

Improve customer satisfaction: Sellers can implement quick returns and exchanges, which increases customer trust and loyalty.

Disadvantages:

It requires heavy stockpiling of goods, which results in inventory risk and increased capital cost turnover;

It is not convenient to operate multiple SKUs at the same time;

Increase inventory storage and operating costs;

Changes in national policies overseas will cause certain losses and troubles.

Virtual overseas warehouses actually ship goods from China, but the logistics information shows that they are shipped from the target country. When sellers ship goods from China, they need to attach the local tail delivery order, then ship them to overseas warehouses, and then ship them out from overseas warehouses.

Applicable people:

Applicable to sellers who have requirements for displaying the place of shipment.

Advantages:

Control risks: Domestic shipments reduce inventory and capital pressures.

Enhance customer trust: Showing that the product is issued from the target country helps enhance customer trust.

Disadvantages:

Long shipping time: Due to domestic shipment, the actual shipping time is longer.

Requires local professional cooperation: Cooperating with local professionals to deliver orders at the end may incur additional costs.

Amazon FBA is Amazon's logistics service, which will also be open to third-party sellers, just like JD Logistics in China. Amazon can integrate the inventory of third-party sellers into Amazon's global logistics network, providing them with picking, packaging and terminal delivery services, and Amazon will charge service fees.

For independent website sellers, choosing the right logistics delivery model is crucial. Sellers should fully understand the applicable population, advantages and disadvantages of various logistics models. On the basis of comprehensive consideration of product characteristics, freight requirements, customer experience and other factors, they should continuously adjust and optimize logistics strategies to reduce logistics costs and increase order volume.