(1) Store group: To put it simply, a small organization or group consisting of three or more stores is the store group model. One employee can operate several seller accounts on the Amazon platform. A company can have 20 people or more to operate without limit. In other words, it is a model for operating stores that can be infinitely expanded.
(2) No source of goods: A seller account has no source of goods, no products, and no manufacturer. It simply publishes goods through software and makes profits through the quantity of goods and operating methods. When someone places an order in the store to which it belongs, the seller will place the order and ship the goods to the shopper's destination to complete the sales process.
(3) Store group + no source: multiple stores use this method of collecting and uploading goods to achieve a way of corporate team operation.
Amazon store group or Amazon no source, from the perspective of us Amazon professionals, these are not the names. We call this model Amazon self-delivery. In order to cater to everyone's tastes and for a better understanding, we can also say that it is Amazon's no source model.
(4) How much investment is required for Amazon’s zero-source store model?
The editor talked about this no-source store group model above. Its advantages include no need to stock up and prepare goods without a source, and no need to stock goods in warehouses, which saves the money for renting venues and stocking goods. Without shipment, there is no purchase capital, warehouse rent, and logistics costs, so it does not require a lot of funds, but you need to have a better ERP management system. You need to collect goods from domestic e-commerce platforms through the ERP management system and upload them to your own Amazon store. The operation process is actually not very complicated, but you need to manually edit some product information, export the table, and then distribute the goods to your own Amazon store. If you do not have a source of goods, you need to prepare a certain amount of working capital, because you need to advance money to place an order, and your funds will only be received after the foreign personnel confirm the receipt of the goods.
An initial investment of 20,000 is sufficient for a single operator. If 5-8 people operate a store group, taking 20 stores as an example, it will require hard investments such as ERP system investment, server, store rent, plus working capital and employee salaries, which will cost about 100,000 yuan. However, the investment can be recovered in more than two months, and the profit will get better and better in the later period.
According to the current operating procedures and methods, the profit of a single store in the first month is about 1,000 yuan, which means 20,000 yuan for 20 stores. The profit of a single store in the next month is 3,000-5,000 yuan, and the profit of 20 stores is 60,000-100,000 yuan. The comprehensive profit in the first two months is 80,000-120,000 yuan (to maintain a balance between income and expenditure). In the third month, the revenue for a single store is 8,000-15,000 yuan, and for 20 stores it is 160,000-300,000 yuan. Moreover, as the store business gets better and better, the profit will continue to increase relatively. Of course, if a hot-selling product is created during the store operation, tens of thousands of profits can be realized in the short term. This is also an advantage of the store group.
(5) Special government subsidies:
Government subsidies vary in different regions. For example, in Zhengzhou, Henan, we provide financial support of 5% of the online transaction volume to enterprises that use third-party e-commerce or self-operated platforms to conduct cross-border e-commerce and have annual online import and export transaction volume of more than 1 million US dollars. Encourage the transformation of traditional foreign trade enterprises. The domestic government provides financial support of 30% of the expenses of online advertising, third-party e-commerce platforms, and website construction for enterprises engaged in cross-border e-commerce, as long as the annual import and export transaction volume reaches more than two million (2 million) US dollars. The financial support for each enterprise shall not exceed RMB 3 million. The annual subsidy starts at about RMB 430,000
Regardless of the development of the government or society, import and export trade has become a trend. You are welcome to contact the author for detailed information about the project, investment and output ratio, and future development.
