If cross-border e-commerce is compared to the ocean, logistics companies are the giant ships on the ocean. Cross-border e-commerce cannot do without logistics companies as a transmission link. So how is cross-border e-commerce closely connected with logistics companies? What interesting models do logistics companies have?
1. International Express Mode
Refers to the four major commercial express delivery giants, namely DHL, TNT, FEDEX and UPS. These international express delivery companies use their own global networks, powerful IT systems and localized services around the world to provide overseas users who shop online for Chinese products with an excellent logistics experience. For example, packages sent to the United States via UPS can arrive within 48 hours at the earliest. However, great service comes with a high price. Generally, Chinese merchants only use international commercial express delivery to deliver goods when customers have very high timeliness requirements. Here's how the big four compare:
2. Domestic express delivery model
Domestic express delivery mainly refers to EMS, SF Express and "Sitong Yida". In terms of cross-border logistics, among the "Four Links and One Delivery", STO and YTO started their business earlier, but have only recently started to expand. For example, STO in the United States was only launched in March 2014, and YTO only started to cooperate with CJ Korea Express in April 2014. ZTO, Huitong and Yunda have just started their cross-border logistics business. SF Express's international business is more mature. It has currently opened express delivery services to the United States, Australia, South Korea, Japan, Singapore, Malaysia, Thailand, Vietnam and other countries. Express parcels sent to Asian countries can generally be delivered within 2-3 days. Among domestic express delivery companies, EMS has the most comprehensive international business. Relying on postal channels, EMS can directly reach more than 60 countries around the world. The cost is lower than that of the four major express giants. The customs clearance capabilities in China are very strong. It takes 2-3 days to reach Asian countries and about 5-7 days to Europe and the United States.
3. International dedicated logistics model
Cross-border dedicated logistics is generally transported to foreign countries by air charter, water and land, and then delivered to the destination country through cooperative companies. The advantage of dedicated logistics is that it can concentrate large quantities of goods to a specific country or region, reducing costs through economies of scale. Therefore, its price is generally lower than commercial express delivery. In terms of timeliness, dedicated logistics is slightly slower than commercial express delivery, but much faster than postal parcels. The most common dedicated line logistics products on the market are the US dedicated line, European dedicated line, Australian dedicated line, Russian dedicated line, etc. Many logistics companies have also launched the Middle East dedicated line, South American dedicated line, South African dedicated line, etc.
4. Overseas warehousing model
Overseas warehousing service refers to a one-stop control and management service for sellers to carry out goods warehousing, sorting, packaging and delivery at the sales destination. To be precise, overseas warehousing should include three parts: first-leg transportation, warehousing management and local distribution.
First-leg transportation: Chinese merchants deliver goods to overseas warehouses by sea, air, land or combined transport.
Warehouse management: Chinese merchants use logistics information systems to remotely operate overseas warehouse goods and manage inventory in real time.
Local delivery: The overseas warehousing center delivers the goods to customers via local postal or express delivery based on the order information.
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