E-commerce has become popular all over the world in recent years, especially domestic e-commerce platform players. With the development of science and technology, more and more people have experienced that they can do business all over the country without leaving home, ranging from cars and real estate to pencils and nuts. Too many people have tasted the sweetness of this industry, more and more people are entering this industry, and domestic e-commerce is also in a period of serious saturation. So will e-commerce be able to thrive in the next few years? Personally, I think it will work. The Internet era is an era that can create miracles. The e-commerce industry has been constantly innovating. Although domestic e-commerce has reached a bottleneck, cross-border e-commerce has ushered in a dividend period. Seizing the opportunity, this global e-commerce giant will finally There will be an explosion! You can’t beat this cake! !
The article may be relatively long, and the first half may be boring, but trust me, you will gain something after reading it.
What is cross-border e-commerce?
Cross-border e-commerce refers to transaction entities belonging to different customs territories that conclude transactions, conduct payment settlements through e-commerce platforms, and conduct cross-border e-commerce transactions through cross-border e-commerce platforms. Logistics is an international business activity that delivers goods and completes transactions.
First of all, let’s discuss whether cross-border e-commerce is easy to operate. I think there is never a simple industry. There is a saying that peers have different interests. This is the truth. Most of the cross-border e-commerce people are The following three types: domestic e-commerce transformation, foreign trade enterprise transformation, and entrepreneurs.
The first group of people have experience in e-commerce and are likely to have made a lot of profits. However, competition among domestic e-commerce platforms has become increasingly fierce, and various promotion expenses have made operating costs higher and higher. . Moreover, the current product prices are relatively transparent, and the profit margins are not as good as before. Major e-commerce sellers have to develop new ideas. Domestic manufacturing costs are lower, there is a mature supplier system, and the exchange rate difference, so domestic products are sold in Europe and the United States. The country has considerable advantages.
The second group of people is due to the rise of the e-commerce industry, which has had a considerable impact on foreign trade companies. Nowadays, cross-border e-commerce makes traditional import and export companies and domestic and foreign wholesale retailers unable to see profits. , because the intermediate link has been omitted. Under the highly developed Internet, the number of online shoppers is also growing day by day, the products are becoming more and more diversified, the prices are cheaper, and the shopping experience is better, which is bound to have an impact on traditional foreign trade enterprises.
Many friends think that language is a major obstacle in cross-border e-commerce. In fact, language does not have much impact. Nowadays, various translation software are rampant, even if you find a professional translator in the market If there is any problem, the most important thing is the supply channels and how the store operates. The supply of goods is the cornerstone of operating a store, and it also determines the price, quality, recognition, etc. of the product. A good supply of goods can bring us considerable profits. On the other hand, it is operational technology. If cross-border e-commerce is compared to sailing on the sea, then the source of goods is the steel ship on the sea, and the operational method is the captain who leads the way and solves the problem!
So what are the advantages of cross-border e-commerce compared to domestic e-commerce?
1. Small competition
Let’s first talk about the competition of cross-border e-commerce. In fact, compared with domestic e-commerce, cross-border e-commerce now has relatively little competition. China is a big manufacturing country. Now many domestic sellers focus on domestic Taobao, JD.com and Pinduoduo. There are few people on these platforms. When it comes to cross-border e-commerce, there are currently only about 30-50W of cross-border e-commerce practitioners.
Let’s make a simple comparison. Let’s take women’s bags as an example and search on Taobao. We see that there are 1.33 million related stores.
Let’s compare it with AliExpress again. When we search for the word women’s bags on the AliExpress platform, there are only 390,000 search results.
This competition situation is clear at a glance, so it is said to be cross-border. The competition among overseas e-commerce companies is relatively small. Basically, we can easily place orders after uploading our products. But if you do it on Taobao, you may not use some means to promote it, and it will be difficult for new stores to place orders.
2. High profits
The same product may be sold for 9.9 US dollars with free shipping in China, but it can be sold for 9.9 US dollars on the cross-border platform. This is definitely not an exaggeration, because for For people abroad, especially some developed countries in Europe and the United States, their disposable income is relatively high and their spending power is relatively strong. To us, the unit price may be high, but to them it may be their daily life.
Let’s take a look. This is a mobile phone case I searched for on Amazon. The unit price is more than ten US dollars. There is a relatively high price, even reaching 24 US dollars.
Comparing domestic Taobao, I found that many of them are priced at a few yuan. Only occasionally there are some products selling for 20 or 30 yuan. Maybe they were rushed up with low prices in the early stage.
3. Fast growth
We know that China’s Internet has developed very rapidly in the past few years. The reason why China’s e-commerce can develop rapidly is that it has taken advantage of the Internet. At the same time, There is also the blessing of smartphones, but with the popularization of smartphones and the Internet, the number of Internet users in China has gradually slowed down. China’s Internet consumer market has entered the stock era. The demographic dividend of the past no longer exists. The reason why before The growth rate is high because there are still many people who do not have access to the Internet. Our elders, including those who have returned home during the Chinese New Year, and some residents in our hometowns and towns have already started shopping online. Under such circumstances, China's e-commerce growth is weak.
Looking back at cross-border e-commerce, what we are facing is not a market, but consumers around the world. In the global consumer field, there are some developed countries like Europe and the United States. Their Internet shopping habits are very mature, and there are also many emerging markets and emerging countries. These countries may be in the context of Internet changes. I believe that with the popularity of the Internet and the popularity of smartphones, More and more global users will join the big wave of e-commerce online shopping, so I believe that the growth in the field of cross-border e-commerce will continue and the growth rate will still be obvious.
According to People's Daily Online, the total cross-border e-commerce import and export volume increased by 50% in 2018. What is the concept of 50%. Therefore, if you friends who have not yet entered cross-border e-commerce want to enter, now is the time.
It took me half a night to write so much, but in the final analysis, cross-border e-commerce is a piece of cake now! Who knows who gnaws. Friends who are still waiting and watching, you can give it a try if it suits you! I entered this industry relatively early, and I do have some experience in cross-border e-commerce. We communicate and learn together. On the cross-border road, one more person to communicate with will not make us lonely.