Many sellers are troubled about whether to go the general merchandise or the boutique route. Some people say that boutique products are the future direction of cross-border e-commerce, but others say that boutique products are too difficult and unprofitable, which is equivalent to working for Amazon, so they want to switch to general merchandise.
Is it better for cross-border e-commerce to sell high-quality products or to sell wholesale goods?
In fact, many sellers start out by distributing goods in bulk and then switch to selling high-quality products. However, only a handful of them can successfully develop. After all, it is not easy to avoid Amazon’s crackdowns, review restrictions and other high-pressure policies, and to keep the listing alive, not to mention the various external factors such as pranks, copycat sales, infringements, etc.
What’s more, the most difficult thing about high-quality products is that they require a lot of manpower and financial resources during the operation, and no returns can be obtained in a short period of time, so it is easy for many sellers to back off.
The operation of distributing goods is relatively simple. As long as you get more product traffic from your competitors and take advantage of the supply chain advantages of domestic resources, you can easily copy "high-quality products". Although the lifespan of listings is not long, the advantage is that the profits are sufficient, the investment is small, and the returns are great.
Some people also think that to choose between high-quality products or mass-market products, just look at the recruitment information of other cross-border e-commerce companies. Almost all of them are recruiting high-quality operations, but how many of them can truly create high-quality hits? If a company really has such operations, shouldn’t it keep them well? Why would they be left out there?
So if it is something you can decide on your own, distributing goods is actually a way out.
Why does cross-border e-commerce need accurate positioning?
But it does not mean that distributing goods is necessarily better than selling high-quality goods. From a long-term perspective, if cross-border e-commerce wants to develop well in the future, it is definitely more reliable to take the high-quality route. It’s just that for small and medium-sized sellers, it is a little more difficult to make high-quality goods.
Many small and medium-sized sellers do not have mature conditions to make high-quality products. They have not found the right positioning for their products, and their own quality is not advantageous or distinctive enough to stand out from the crowd of high-quality products. In this case, their publicity and operations are not strong enough. Therefore, the difference between many companies that sell general goods and high-quality products is only whether they ship by FBA or by themselves.
In this case, the high-quality products are just the sellers deceiving themselves, thinking that what they are making are high-quality products. In fact, they can only be regarded as "fake high-quality products" and cannot achieve significant results.
Take Zebao, a high-end seller, for example. It focuses on the Amazon platform and creates high-end sales. The company's five own brands mainly include the best-selling 3C categories of power supplies, Bluetooth audio, as well as small household appliances, personal care and health and other products.
Data shows that from January to April 2018, Zebao achieved revenue of 587.2999 million yuan through the Amazon platform, accounting for 90.75% of its main business revenue during the period. It also achieved impressive results with the help of high-quality operations.
Let’s take a look at Aoki, a big seller that mainly distributes goods. It has more than 600,000 SKUs, and its product categories include clothing, home furnishings, and digital products, among which home furnishings are its main sales products.
Aoki’s distribution model is very extensive. In addition to selling on Amazon, it is also sold on various platforms such as eBay, Wish, self-built websites and Newegg, with multiple stores across platforms.
It can be seen from this that whether to make high-quality products or to mass-market them depends on the seller’s own efforts and planning. With accurate positioning and grasp of the direction, becoming a successful big seller is just around the corner.
Cross-border e-commerce can achieve good results whether it is selling high-quality products or distributing goods, but it ultimately depends on the resources that each cross-border e-commerce seller has.
The above is the relevant information about cross-border e-commerce in this issue. If you want to get more knowledge about cross-border e-commerce, please continue to pay attention!