When sellers become Amazon, logistics Amazon costs become a key part of product pricing. Logistics Amazon does not do spontaneous goods but FBA. It needs to send the goods to Amazon’s FBA warehouse through Logistics Amazon first. Let me introduce to you what transportation methods Logistics Amazon has?
Subject to geographical factors, logistics Amazon links can be said to be one of the pain points for Amazon’s Sellers in China. High freight per item, slow delivery speed, breakage, and loss rate are all problems to be considered.
Therefore, how to choose cost-effective cross-border logistics has become a very important link for Chinese sellers to do a good job on amazon, the cross-border e-commerce platform. A good choice, not only will reduce logistics costs, but also get the support and trust of customers. On the contrary, it will therefore lead to bad comments, so that the hard optimization of listing exposure, ranking, and conversion rate sharply decreased. Therefore, in today’s cross-border e-commerce training, we will talk about the common freight logistics delivery methods of Logistics Amazon.
Several delivery methods of Logistics Amazon
At present, the cross-border e-commerce platform Amazon has three main delivery methods: FBA, third-party overseas warehouses, and spontaneous goods.
The FBA
Advantages: Fast logistics Amazon, increase customer trust, improve the listing ranking, if the logistics reasons received buyers’ bad comments, Amazon will help remove them.
Disadvantages: the overall cost is slightly higher, the initial operation is cumbersome, and the customs clearance needs to be carried out by ourselves. The return rate of buyers is easy to improve, which increases the cost of loading goods. The return address only supports the United States (under the condition of doing the American FBA).
Third-party overseas warehouses
Advantages: reduce logistics Amazon cost, speed up logistics Amazon timeliness, is conducive to the development of the local market, and the cost is slightly lower than FBA.
Disadvantages: inventory pressure, overstock risk, third-party overseas warehouse management level is uneven.
Spontaneous goods
Advantages: reduce the cost of loading goods, fewer storage costs, flexible operation.
Disadvantages: Listing exposure and ranking are less than FBA, easy to get bad comments from customers due to logistics reasons, no Prime logo, and it is difficult to win the favor of Prime members.
What are the transportation methods of FBA logistics Amazon?
Direct delivery
Sellers can choose DHL, UPS, FedEx and other logistics providers to provide direct express, generally speaking, for goods of more than 20 kg, its price is better, aging is also fast, and suitable for emergency replenishments.
Advantages: free reservation storage, and fast speed.
Disadvantages: When using this delivery method, Amazon does not act as the subject of customs clearance and is not responsible for customs clearance and taxes. The seller is required to declare the prepayment duty by himself and contact the local customs clearance importer in advance.
FBA air transportation
This method is provided by Amazon FBA, including air transport + local customs clearance + destination country delivery, delivery at any time, the whole process includes double clearance to the door, the first time the air transport prescription is long, generally about 8-15 days, not suitable for emergency goods.
The good: Affordable, time-sensitive, and lots of Amazon perks.
Disadvantages: Generally need to reserve, the operation is more troublesome.
FBA shipping
There is also FBA provided by Amazon, including delivery + local customs clearance + destination country delivery, delivery at any time, but its full price does not include tax, the delivery cycle is also very long, generally, more than one month, not suitable for emergency replenishment.
Pros: Cheap price, lots of Amazon benefits.
Disadvantages: generally need storage reservation, operation than express trouble, poor timeliness.
Comparison of the three: in terms of price, FBA has a lower shipment head; In terms of prescription, direct delivery and FBA air freight are similar, and sellers can choose according to their needs.
What are the logistics modes of Spontaneous goods of Amazon Logistics
Spontaneous goods choose what channel, generally according to the characteristics of the product sold (type, value, size, safety), customer’s time requirements and location, logistics budget, and low season to comprehensive judgment.
Generally speaking, different logistics have different timeliness, and the price level is not the same, so for different logistics choices, cost control methods will be different.
Under normal circumstances, there is mainly postal, express and special line logistics classification, and their characteristics are: small package price is relatively cheap, but the weight is relatively limited; Express delivery timeliness is strong, can quickly arrive, but the general price is higher; Dedicated logistics, generally more safe and efficient, high praise rate.
Postal parcels.
The online channels of postal parcels are all over the world, covering a wider range than other logistics methods. For small and medium-sized sellers on Amazon, a general cross-border e-commerce platform, postal parcels can be used for products under 2 kg, and postal parcels can be used for products over 2 kg. Of course, EMS or E postal parcels can also be considered in some cases.
Postal parcels generally have corresponding regulations and regional advantages. For example, Chinese parcels do not support the transport of knives, liquid and electric products, while Dutch parcels do not have similar requirements. For example, the timeliness of German packets to Germany is more stable than that of Hong Kong packets.
The postal parcel is still occupies the huge market, postal service over a long period will be the main logistics mode of small and medium-sized sellers, but it is not suitable for the majority of the Amazon sellers in China, because the parcel goes through multiple scanning and transport links, the probability of packet loss and damage relative to multiple, buyer may incur amazon bad review.
If the seller has a strong after-sales team and hopes to save costs, it can consider using this method of delivery in the early stage, depending on the type of product and the country of delivery. As long as the delivery can be completed within the time limit stipulated by Amazon and can be accepted by the buyers on the cross-border e-commerce platform Amazon, it is OK.
Express channels.
It mainly refers to the four giants DHL, TNT, FedEx, and UPS, as well as SF express, Sitong and One, etc. The speed and service of the four giants are impeccable, but the price is also relatively expensive, which is difficult for ordinary businesses to afford.
They have built their global network to provide local logistics services around the world. They can ship goods to most countries and regions around the world, and they can get real-time logistics tracking information on their official website.
Dedicated line logistics.
Cross-border special line logistics is usually an independent channel for express companies in a certain country or region, such as the Middle East, the United States, Russia, etc., by concentrating large quantities of goods to the destination and reducing costs through scale effect. The price is lower than that of commercial express, but the timeliness is also slower.
