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Ten Viewpoints Of Capital Market On Cross-Border

Issuing time:2022-11-18 10:43


1. Despite the trend of anti globalization, the supply chain cannot be decoupled. Since the Sino-US Trade War, in the tax and price increases, Made in China still has an absolute cost performance advantage.

2. Human resources cannot be decoupled. Human resources are the cornerstone of building the Great Wall of global brands. How to make good use of the engineer bonus and overseas returnee talent bonus is the next thing that Chinese cross-border enterprises need to think about.

3. The exchange rate will remain at the level of 7-7.5 for a period of time, which is conducive to risk hedging. Many aspects of cross-border e-commerce are paid and settled in dollars, such as platform commissions, overseas warehousing fees, etc., but domestic procurement, labor, marketing fees, etc. are paid in RMB.

4. The pure independent station is a false proposition. Many DTC brands in the United States have not developed satisfactorily in recent years. Most industry independent stations and product independent stations are not established. They have been proved once in the era of PC Internet, once in the era of mobile Internet, once in the United States, and once again in China.

5. Cost problem: ① The cost of getting customers must keep rising. The flow dividend period in the European and American markets has passed, and the flow cost is determined by the flow supply and purchase demand. When businesses continue to increase, the cost will naturally rise. ② The logistics cost has returned to that before the epidemic and will not rebound significantly. This is mainly due to the shortage of transport capacity brought about by the insufficient supply of "ships" and "boxes" in the early days. However, with the continuous large number of shipping boxes, the current sea freight price has returned to the previous level, while air transport still needs a year or more.

6. At present, except for the two major categories of food and beverage, other categories are worthy of cross-border export.

7. The future development of flow type and distribution type sellers is limited. If it is a start-up company, it is recommended to focus on product research and development, supply chain and brand building.

8. The more categories are subdivided, the better. Amazon is a big store based on the "single product idea", and it needs a lot of pictures and videos to help the sales of categories, such as fashion, which is not very friendly; In addition, those with high demand for combined sales are not suitable for Amazon, so independent stations can be considered. Some American e-commerce platforms outside Amazon can let you have your own independent store operation.

9. How to choose products? Try to choose the category with "foreign characteristics" or "foreign special needs". The category threshold of "domestic and international general use" is too low, and the internal volume is serious. Domestic products can be exported after changing the packaging instructions, and the profit has been less than 6%. Almost all of the foreign characteristic categories can make a good margin of more than 10%.

10. US $100 million is the consideration value of expanding the market, channels, categories and brands. If your product is European and American GM, it is recommended to expand the market rather than channels. For example, if Amazon's American website sells well, go to Amazon's European website to sell it. If your products vary greatly between Europe and the United States, you should expand channels in the single market. For example, Amazon America has done well, try eBay, and even go to Wal-Mart and Target offline supermarkets. In a word, the expansion of regions and channels should be "one out of two", not implemented in parallel, unless you can achieve 100 million dollars in a single channel. In addition, the category can be expanded, but a single brand should not easily develop into multiple brands, except that the sales volume of your single category has reached 100 million dollars. The innovative sound width earphones of Anker also first used the brand of "Anker", which was the first to launch the soundcore brand when it reached a certain sales volume and brand voice.

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