Being Amazon we all know its advantage is to have its own logistics shipping channel, can quickly distribute goods to customers, while having prime members can also have the advantage of free shipping, which is also very attractive for buyers, of course, at the same time Amazon also allows sellers to self-ship, using the seller's own channels to ship to buyers, but how to choose? Are Amazon sellers aware of the advantages and disadvantages of the distinction between self-shipping and FBA? Here is an analysis for you.
(1) Logistics company
Of course, we will only talk about cross-border logistics companies here. Those domestic logistics companies have nothing to do with Amazon, so I won’t go into details here. For Amazon sellers, if they do not have their own company, no products, then the initial choice will be the logistics company, that is, after the Amazon buyer places an order, the goods are shipped directly from China to the buyer's hands. But to choose a short time, then the logistics cost spent is higher than the price of the product, so the general situation is that only sellers who have just got involved in Amazon will choose the logistics method directly from China to the buyer.
(b) Amazon FBA
The full name of FBA is Fullfillment By Amazon, and the Chinese translation is Amazon Logistics. It is a one-stop logistics service provided by Amazon including warehousing, picking and packing, dispatching, receiving, customer service and return processing. So what are the advantages and disadvantages of using FBA as an Amazon seller?
Advantage
1. Improve Listing rankings, help sellers become featured sellers and grab shopping carts, improve customer trust and increase sales
2. Years of rich logistics experience, warehouses all over the world, intelligent management
3. Super fast delivery (most warehouses are close to airports)
4. 7*24 Amazon Professional Customer Service
5. Erase bad review disputes caused by logistics
6. All FBA logistics fees are waived for products with a unit price of more than 300USD
Disadvantage
1. Generally the cost is slightly higher than domestic shipments (especially FBA shipments on non-Amazon platforms), but also depends on the weight of the product
2. Poor flexibility (a common shortcoming of all overseas warehouses, but other third-party overseas warehouses can still have dedicated Chinese customer service to handle some problems, FBA can only communicate with customers in English, and mail communication responses will not be as timely as third-party overseas warehouse customer service)
3. FBA Warehouse does not provide customs clearance for sellers’ first shipments
4. If the preliminary work is not done, the label scanning out of the problem will affect the goods into the warehouse, or even can not enter the warehouse
5.Return address only supports US (if you are an FBA doing US site).
6. Customers can return the goods if they want to do not need to have too much communication with FBA (returns are too casual, bring a lot of trouble to the seller)
(c) Overseas warehouses
Overseas warehouse, i.e. overseas warehousing services. One-stop control and management services for warehousing, sorting, packaging, and dispatch of goods provided independently or jointly by network foreign trade trading platforms and logistics service providers for sellers at the sales target. Sellers store goods in local warehouses and respond quickly when buyers have demand, timely sorting, packaging and delivering goods.
Overseas warehouse, also has its own advantages and disadvantages, to share with you the advantages and disadvantages of overseas warehouse, I hope to use the overseas warehouse sellers have a little help.
Advantage
1. Lower logistics costs, shipping directly to customers from overseas home, equivalent to domestic express delivery, than from China to abroad.
2. Faster delivery time, first journey transportation solves transportation, customs declaration, customs clearance and other complex problems, you no longer have to worry about the items in the warehouse customs declaration and clearance problems, wait for orders, ship at any time.
3. Better warehousing management experience, no longer have to worry about the warehouse manager's cargo management problems, overseas warehousing has equipped you with the most professional management personnel.
4. Order processing is more convenient, orders and shipments are synchronized, realizing automated batch processing of orders. Currently ebay orders can be automatically processed online, AMAZON also requires batch import, just as convenient.
5. Clearer inventory management and inventory, the current sales volume and remaining inventory system automatically displays, and the logistics cost of each order is clear at a glance.
6. Free ERM warehouse management platform, just click the mouse lightly in front of the computer, issue order shipment instructions, overseas warehousing professional team will complete these on your behalf.
7. Automatic and efficient return processing process, due to various reasons causing your customers to return, directly returned to overseas warehouse can, avoid the cost, timeliness, abandonment and other losses of domestic and foreign round-trip double clearance.
8. Use the lowest investment, the shortest time, to conquer overseas markets, and can accumulate more resources to expand your own target market, expand the scope of business, and gradually embark on the path of a successful businessman.
Disadvantage
1. Intangible goods. Because all your inventory is on the other side of the globe, if you are a seller who must see your inventory as soon as you open your eyes in the morning, then you may not be suitable for using overseas warehousing. To a certain extent, your level of trust in overseas warehousing services is a key factor. It is recommended to send a small amount of goods to overseas warehouse first, try and feel it.
2. Warehousing Fee Cost. You need to first calculate the cost of your current shipping method, then compare the cost of using overseas warehousing, especially the warehousing cost of your goods in the off-season. If your order volume in a month is too small and there is no practical advantage in terms of profit, then you are not suitable for overseas warehousing now. Cost is always the first factor you consider. It is recommended to choose to use overseas warehousing services during the peak sales season of your goods.
3. Nature of sale of goods. Overseas warehousing requires that you need to have a certain amount of inventory to make sales, if your goods must be produced according to your customer's requirements, can not prepare the goods in advance, then you are not suitable for overseas warehousing now. Not all products are suitable for overseas warehousing. It is recommended to autonomously design some fixed products for your vast customers to choose.
(4) Prime Members
There are actually two types of consumers on the Amazon platform: members (Prime) and non-members (Non-Prime). On the Amazon platform, members will enjoy some of the FBA free, for non-members FBA charges them more expensive than standard postage. The chart below is a 2014 survey data from Geekwire.Com, a US technology information website. Only 37% of registered Amazon users in the US are Prime.
So for the remaining 63% of consumers, if they consider shipping costs, their choices are instead more biased towards other forms of logistics in the United States. This is the advantage of overseas warehouses to consider as Amazon sellers. That may not be obvious, so let’s speak through the data. Two different Amazon listing methods (non-members) for the same item (a battery weighing 100 grams), from which it can be seen that both sellers and non-member buyers will choose overseas warehouses.
In a sense, overseas warehouses are actually very similar to FBA. are equipped with warehousing, sorting, packaging, dispatch services. But there are some differences between the two, in terms of transportation, when the domestic cargo is delivered to the destination country, the overseas warehouse can help with customs declaration, transportation, warehousing services, FBA is to arrive at the destination warehouse to officially serve you. From the return, overseas warehouse will also check, reason, test the returned goods, if there is no major problem can also package for secondary sales, but FBA only accepts return service, the quality of the product is no longer checked, only as broken items, later processing is decided by the seller. Of course, FBA is a more recognized logistics method for Amazon buyers, and choosing FBA has a lot to do with the seller's store and products.
Judging from the consumer's perspective alone, the best practice is to get two accounts, one for FBA and one for overseas warehouses, and the overseas warehouses follow the accounts that sell FBAs. Product price tags can be priced as described above, or you can order the same price, free shipping from overseas warehouses. For both members and non-members there will be no loss.
Overseas warehouses and FBAs, are related to logistics companies. Because their initial function is to have the goods arrive in their warehouse before they can be operated, so they have to go through the logistics company to transport the goods to the destination country. If the product is a best-selling product, then first through the logistics company to transport a larger amount of products to the destination country, then in the overseas warehouse and FBA are warehousing, so that customers have more choice, and during the peak sales season can also directly from overseas warehouse FBA warehouse, shorten the domestic warehousing FBA time. Therefore, if you want to do the strongest and best, then these three ways to choose together is the way to go. Being Amazon we all know its advantage is to have its own logistics shipping channel, can quickly distribute goods to customers, while having prime members can also have the advantage of free shipping, which is also very attractive for buyers, of course, at the same time Amazon also allows sellers to self-ship, using the seller's own channels to ship to buyers, but how to choose? Are Amazon sellers aware of the advantages and disadvantages of the distinction between self-shipping and FBA? Here is an analysis for you.
(1) Logistics company
Of course, we will only talk about cross-border logistics companies here. Those domestic logistics companies have nothing to do with Amazon, so I won’t go into details here. For Amazon sellers, if they do not have their own company, no products, then the initial choice will be the logistics company, that is, after the Amazon buyer places an order, the goods are shipped directly from China to the buyer's hands. But to choose a short time, then the logistics cost spent is higher than the price of the product, so the general situation is that only sellers who have just got involved in Amazon will choose the logistics method directly from China to the buyer.
(b) Amazon FBA
The full name of FBA is Fullfillment By Amazon, and the Chinese translation is Amazon Logistics. It is a one-stop logistics service provided by Amazon including warehousing, picking and packing, dispatching, receiving, customer service and return processing. So what are the advantages and disadvantages of using FBA as an Amazon seller?
Advantage
1. Improve Listing rankings, help sellers become featured sellers and grab shopping carts, improve customer trust and increase sales
2. Years of rich logistics experience, warehouses all over the world, intelligent management
3. Super fast delivery (most warehouses are close to airports)
4. 7*24 Amazon Professional Customer Service
5. Erase bad review disputes caused by logistics
6. All FBA logistics fees are waived for products with a unit price of more than 300USD
Disadvantage
1. Generally the cost is slightly higher than domestic shipments (especially FBA shipments on non-Amazon platforms), but also depends on the weight of the product
2. Poor flexibility (a common shortcoming of all overseas warehouses, but other third-party overseas warehouses can still have dedicated Chinese customer service to handle some problems, FBA can only communicate with customers in English, and mail communication responses will not be as timely as third-party overseas warehouse customer service)
3. FBA Warehouse does not provide customs clearance for sellers’ first shipments
4. If the preliminary work is not done, the label scanning out of the problem will affect the goods into the warehouse, or even can not enter the warehouse
5.Return address only supports US (if you are an FBA doing US site).
6. Customers can return the goods if they want to do not need to have too much communication with FBA (returns are too casual, bring a lot of trouble to the seller)
(iii) Overseas warehouses
Overseas warehouse, i.e. overseas warehousing services. One-stop control and management services for warehousing, sorting, packaging, and dispatch of goods provided independently or jointly by network foreign trade trading platforms and logistics service providers for sellers at the sales target. Sellers store goods in local warehouses and respond quickly when buyers have demand, timely sorting, packaging and delivering goods.
Overseas warehouse, also has its own advantages and disadvantages, to share with you the advantages and disadvantages of overseas warehouse, I hope to use the overseas warehouse sellers have a little help.
Advantage
1. Lower logistics costs, shipping directly to customers from overseas home, equivalent to domestic express delivery, than from China to abroad.
2. Faster delivery time, first journey transportation solves transportation, customs declaration, customs clearance and other complex problems, you no longer have to worry about the items in the warehouse customs declaration and clearance problems, wait for orders, ship at any time.
3. Better warehousing management experience, no longer have to worry about the warehouse manager's cargo management problems, overseas warehousing has equipped you with the most professional management personnel.
4. Order processing is more convenient, orders and shipments are synchronized, realizing automated batch processing of orders. Currently, EBAY orders can be processed automatically online, and AMAZON also requires batch import, just as convenient.
5. Clearer inventory management and inventory, the current sales volume and remaining inventory system automatically displays, and the logistics cost of each order is clear at a glance.
6. Free ERM warehouse management platform, just lightly click the mouse in front of the computer, issue order shipment instructions, overseas warehousing professional team will complete these on your behalf.
7. Automatic and efficient return processing process, due to various reasons causing your customers to return, directly returned to overseas warehouse can, avoid the cost, timeliness, abandonment and other losses of domestic and foreign round-trip double clearance.
8. Use the lowest investment, the shortest time, to conquer overseas markets, and can accumulate more resources to expand your own target market, expand the scope of business, and gradually embark on the path of a successful businessman.
Disadvantage
1. Intangible goods. Because all your inventory is on the other side of the globe, if you are a seller who must see your inventory as soon as you open your eyes in the morning, then you may not be suitable for using overseas warehousing. To a certain extent, your level of trust in overseas warehousing services is a key factor. It is recommended to send a small amount of goods to overseas warehouse first, try and feel it.
2. Warehousing Fee Cost. You need to first calculate the cost of your current shipping method, then compare the cost of using overseas warehousing, especially the warehousing cost of your goods in the off-season. If your order volume in a month is too small and there is no practical advantage in terms of profit, then you are not suitable for overseas warehousing now. Cost is always the first factor you consider. It is recommended to choose to use overseas warehousing services during the peak sales season of your goods.
3. Nature of sale of goods. Overseas warehousing requires that you need to have a certain amount of inventory to make sales, if your goods must be produced according to your customer's requirements, can not prepare the goods in advance, then you are not suitable for overseas warehousing now. Not all products are suitable for overseas warehousing. It is recommended to autonomously design some fixed products for your vast customers to choose.
(4) Prime Members
There are actually two types of consumers on the Amazon platform: members (Prime) and non-members (Non-Prime). On the Amazon platform, members will enjoy some of the FBA free, for non-members FBA charges them more expensive than standard postage. The chart below is a 2014 survey data from Geekwire.Com, a US technology information website. Only 37% of registered Amazon users in the US are Prime.
So for the remaining 63% of consumers, if they consider shipping costs, their choices are instead more biased towards other forms of logistics in the United States. This is the advantage of overseas warehouses to consider as Amazon sellers. That may not be obvious, so let’s speak through the data. Two different Amazon listing methods (non-members) for the same item (a battery weighing 100 grams), from which it can be seen that both sellers and non-member buyers will choose overseas warehouses.
In a sense, overseas warehouses are actually very similar to FBA. are equipped with warehousing, sorting, packaging, dispatch services. But there are some differences between the two, in terms of transportation, when the domestic cargo is delivered to the destination country, the overseas warehouse can help with customs declaration, transportation, warehousing services, FBA is to arrive at the destination warehouse to officially serve you. From the return, overseas warehouse will also check, reason, test the returned goods, if there is no major problem can also package for secondary sales, but FBA only accepts return service, the quality of the product is no longer checked, only as broken items, later processing is decided by the seller. Of course, FBA is a more recognized logistics method for Amazon buyers, and choosing FBA has a lot to do with the seller's store and products.
Judging from the consumer's perspective alone, the best practice is to get two accounts, one for FBA and one for overseas warehouses, and the overseas warehouses follow the accounts that sell FBAs. Product price tags can be priced as described above, or you can order the same price, free shipping from overseas warehouses. For both members and non-members there will be no loss.
Overseas warehouses and FBAs, are related to logistics companies. Because their initial function is to have the goods arrive in their warehouse before they can be operated, so they have to go through the logistics company to transport the goods to the destination country. If the product is a best-selling product, then first through the logistics company to transport a larger amount of products to the destination country, then in the overseas warehouse and FBA are warehousing, so that customers have more choice, and during the peak sales season can also directly from overseas warehouse FBA warehouse, shorten the domestic warehousing FBA time. Therefore, if you want to do the strongest and best, then these three ways to choose together is the way to go.
