Why did Amazon Fail in the Chinese E-commerce Market

This news has been a hot topic to the e-market business circle, Amazon decided to leave from China’s e-commerce market. The e–commerce market giant made two big mistakes in China. They arrived unfamiliar with the local markets and they left too early. And if they could keep staying in China’s market, the Chinese would admire that and eventually they could have turned it around.

Let’s come to the point directly: Amazon’s business trip in China was unaccustomed from its first day. But that does not mean that foreign companies cannot succeed in China, but that they must adapt to a different culture and allow them to remain open-minded and creative when they are in struggling.

If you want to be succeed in a market, every company has to face the same question: the point of the story is that to succeed in China as a business you have to establish customer and brand loyalty. That doesn’t happen overnight and McDonald’s had rocky times in the country as well, but they stayed in China, despite the odds.

Actually one player moved away does not mean China’s market is not making any profits. Now China’s e-commerce market is getting bigger and bigger, people have more choice to shop what they want , and at present, service and price are new battle field. Click this lick for more information: www.chinadivision.com

Why You Need a Third-Party Fulfillment for Your eBay Store

There are many benefits to outsourcing your eBay fulfillment. Here are just a few.Save Time In an ideal world, you would ship each item you sell on eBay as soon as the sale is complete. In the real world, a million things can get in the way. The baby needed to go to the doctor or your water heater broke. Perhaps you got hit with the latest virus and couldn’t drag yourself out of bed. When you use a fulfillment center, you eliminate the unexpected delays that come when life gets in the way. Your orders will ship without interruption while you find out if the baby swallowed a penny. When you hand off your fulfillment to the professionals, your business will run more efficiently.
Faster and Less Expensive ShippingA centrally-located fulfillment center can get your packages to most people in the US in two days or less. In addition, since fulfillment centers are bulk shippers, they can often negotiate lower shipping rates. Your eBay fulfillment provider could pass on those savings to you. More accurate picking and packing can lead to fewer returns. Returns cost you money, so that’s more savings. Boost Seller RatingOne easy way for eBay sellers to earn negative feedback is slow shipping. Your eBay fulfillment center can help you communicate with buyers about shipping times. This is a great way to manage expectations and keep them updated on unexpected delays. It’s even better if their order arrives quickly with no extra hassles. A fulfillment warehouse can make all of that happen.The employees at 3PL providers pick and pack shipments all day, every day. Fulfillment warehouses have systems in place to ensure accuracy. Your customer’s order can go out the day after your customer makes the purchase (and many times the same day)
Lower Return RatesA generous return policy is a must for online sales. In fact, 40% of online shoppers report buying multiple products with a plan to return some of them.Statistics on eCommerce return rates vary widely. One surve

What You Can Benefit From eCommerce Search Engine Optimization?

eCommerce SEO is just which we do for eCommerce or large product base websites.

eCommerce Search engine optimization (SEO) is a bit different from what we do for normal business or service based website.

There are lots of complexity in eCommerce website, which you generally don’t find on normal cms based website.

  • Like few category or pages can be access via different URL with same duplicate content.
  • Creating sitemap for eCommerce website, getting them index, It’s a big task altogether.
  • Having Proper Site Architecture
  • Technical SEO
  • Content Writing & Images
  • Link Building & Marketing for eCommerce
  • Plus for large eCommerce website products are added and removed so they create broken links that have to redirected properly in SEO friendly way.

Most of the task which is done on website itself need deep understanding of SEO. If On Site SEO is done properly I guess more 70% SEO task is done. You will rank on so many keywords even without building a single backlink.

So if you focus on onsite optimization first and start right from the beginning of site architecture, you will have great success at generating more traffic & revenue.

Assemble-to-order with Planned Orders

Assemble-to-order with planned orders is particularly useful:

If production control is managed using production orders (see Special Settings for Projects) but you do not want to create the production order along with the sales order. You can use the planned order to fine-tune planning and then convert it into a production order at a later date.
If production is controlled using Repetitive Manufacturing. The planned order is then the run schedule quantity which you can plan using the planning and control tools provided by Repetitive Manufacturing. In this procedure, the goods receipt for the material can also be posted with reference to the sales order number. Thus, the costs can also be directly assigned to the sales order even in Repetitive Manufacturing.
Assemble-to-order with Repetitive Manufacturing

Use assemble-to-order with Repetitive Manufacturing if several of the following points apply to your situation:

Production of the finished product is carried out in clear and simple steps.
The assembly is produced in a constant flow over the production lines.
Simple routings are used, or assembly can be carried out without routings.
The components can be staged anonymously at the production lines. The components are procured, for example, with KANBAN using consumption-based planning, or with the planning strategy “subassembly planning”.
You want to reduce the effort required for production control and backflushing.
Sample Scenario for Assemble-to-order with Repetitive Manufacturing

The production process is kept as simple as possible. There are only a limited number of production levels involved in producing the product. The number of components is relatively low, however, it is quite possible to produce a large number of finished products due to configuration options.
The components required for final assembly are selected via the configuration in the sales order and are staged at the production line anonymously. You can use the assembly order to carry out an availability check for the selected components. Components that are always readily available are excluded from the availability check by setting the appropriate indicator in the material master record. (order fulfillment center
The finished product is assembled without a routing and the operations are similar. The planning table in Repetitive Manufacturing provides the planner with an overview of the production rates. Here, the planner can also check capacities for the production lines and distribute the ordered quantities to the production lines with available capacity.
When production is complete, the goods receipt for the finished product is posted with reference to the sales order number – a special function exists in Repetitive Manufacturing for this. Once the goods receipt is posted, the goods are withdrawn for the specific sales order and the assembly order is deleted.
For the scenario described above, you can also work without using the planning functions of Repetitive Manufacturing. In this case, capacity planning is not carried out from the planning table in Repetitive Manufacturing, but instead, using the capacity leveling functions in capacity planning. However, you can still use the backflushing functions in Repetitive Manufacturing.

Key eCommerce Takeaways From 2018

With 2018 recently passing, it’s a good time to look back at the past year and the ways ecommerce order fulfillment and shipping has changed. There is no doubt the online retail space is evolving fast as the pressure for faster and cheaper delivery continues to shape the industry. Online retailers and carriers alike are working hard to adjust to the demands of this new, dynamic marketplace and the sky-high customer expectations that are part of retail today.

With the ever present pressure to cut costs from the supply chain, many retailers are focusing on better inventory management. Gone are the days of bloated inventories and allowing large amounts of capital to be tied up in unsold goods. Retailers have figured out the importance of staying lean as not just a way to lower overall costs, but the best way to keep inventory turning in their store.

Another thinking is, online retailers and other shippers have become much more open to considering alternative carriers and types of shipping solutions which has made them less beholden to any specific provider. Many shippers are willing to rate shop carriers with the attitude that service will always be about the same. In other words, price trumps concerns over service. This is in large part a response to the pressure many feel to offer free or low cost shipping on customer orders.

Last but not least thing is, now that dimensional pricing has been in place for some time, the effect has been digested by the marketplace allowing shippers to better understand and react to its impact. Most have felt it on their bottom line and are figuring out ways to respond. The first thing many are doing is looking for ways to minimize packaging and take every opportunity to trim size and weight as a way to maximize the utilization of space.

 

 

 

 

 

How to Plan Your Order Fulfillment Before Holiday Season

There are many reasons to outsource order fulfillment during the holidays. Waiting too long to look for a cost-effective order fulfillment solution is a dicey proposition. The best option is to seek out a company that can meet or exceed your expectations rather than waiting and potentially incurring penalties later on. You’ll be thankful you planned ahead—and the gains your business makes will be even sweeter.

Here are six reasons why you should plan your holiday fulfillment now.

To Manage Inventory

The first big hurdle around seasonality is the volatility of managing inventory. The combination of a massive influx of customers, hot items and huge sales can deplete stock very quickly, so even when factoring in the lead time needed for replenishment, being able to fulfill your inventory needs well in advance is critical. This goes for e-commerce as well as for brick-and-mortar stores.

To Manage Customer Expectation

A customer who can’t find that special item they’re looking for will simply visit your competitors next door. Aside from causing them disappointment, you may be losing future business from them, which you may never win back.

To Maintain Customer

Loyalty If you don’t manage your customer expectations, it could also lead to lost sales. Out-of-stocks, overstocks and returns are costing retailers over $1.75 trillion according to a study by the IHL group.

To Acquire New Customers

The holidays also bring a rapid influx of new customers. If they have a great experience with your brand, there’s a huge chance that they will return, thus increasing your market share.

To Reduce Fulfillment Errors

What about “Murphy’s Law”? A greater volume of merchandise moving between stores means dealing with a whole lot more moving parts. If there are errors in fulfillment, this places an additional cost on you that can be multiplied many times over during the ultra-busy Holiday sales period.

To Keep Things Running Smoothly

The ultimate purpose of beginning planning for holiday order fulfillment right now is to keep everything running smoothly as possible, thus providing a seamless experience for customers.

Dropshipping is Considered to be the Future Model of E-Commerce

“Dropshipping” is a business model where the retailer doesn’t actually keep the inventory in his or her possession nor process the orders. All orders are fulfilled and shipped directly from a wholesaler. This allows the retailer to focus on the marketing side of the business. From our years of experience, an online retailer that adopts this model looks identical to its conventional e-commerce competitors. Since customers only care about the product, the price and the reputation of the store, rather than how the products are sourced and who fulfill the shipments, dropshipping can be a well-kept secret in the e-commerce world. (order fulfillment

If you have a dropshipping fulfillment partner, you don’t have to  worry about sourcing for large quantities of each item. With a turn-key e-commerce storefront like Shopify and a dropshipping app like Oberlo, the whole process is streamlined considerably. The retailer can choose to contact the wholesalers by e-mail to notify them that their products are now being carried at the store. The rest of the process, such as importing product photos, changing prices and order tracking, can be easily done from the User Center dashboard. ChinaDivision has a well-developed User Center where you can handle your orders, sourcing, shipping information etc.

While the dropshipping model provides small startups with limited resources the opportunity to confidently compete with medium and large-sized online retailers, thus making the e-commerce world an equal playground for all. This being said, expect to see more e-commerce stores adopting this model in the future.

 

How Does a Flash Sale Looks Like?

It doesn’t have to be the core of the value proposition, but artificial scarcity and time urgency are incredibly powerful intermittent reinforcement mechanisms to maintain engagement and keep response rates high. (kitting and assembling) Curated Experiences Remember, it’s not just about stuff. As with flash sales, members will show up more often for one-off “exclusive” experiences — all pivoting around selected lifestyle theme(s) — that take them out of their ordinary lives and make them feel special. (kitting and assembling) For example, DailyLook is doing this incredibly well with hashtag #dailylook on Instagram + Twitter.

We see the concept of flash sales and you’ll know why many companies are using it and how it actually works. Let’s say that you’re hungry and you’re going to a restaurant. You’ll look at the menu and will order only the things you know mostly and will have. (kitting and assembling) Then one day, the restaurant is advertising that there is going to be “Chef’s spl food” for the season.

Some xyz will be food prepared and served only between 7-10pm, on a specific date. They’ll tell it’s surprising, delicious, organic etc characteristics.. It will have limited slots and hence, advance booking will be required and it might open in couple of days from the day it is advertised. By seeing the advertisement, you’ll be tempted to know what’s so spl in it and why is it available only in limited quantities and only at a specific time alone. You’ll get the urge that you should definitely know why and want to try out somehow. You’ll try to go but it would have got over or you couldn’t get it reserved. (kitting and assembling) The curiosity and urge will increase. They’ll again do for the next season. This time you’ll be determined to somehow try it out. Then there are chances where you could have missed it again. The cycle will continue and by chance, somehow you manage to get booked and taste it.. When it happens, you’ll be like you got something which others tried and couldn’t get it.. So you’ll be proud and happy about it. You’ll start boasting about it and this acts as word of mouth publicity for them. Its very powerful and nothing can beat it. Now let’s consider the current situation.

E-Commerce business is booming, Traffic is increasing day by day.. Who are these buyers? (kitting and assembling) Tech savvy and educated customers.. When they publish flash sales with good specifications etc, at lower price (Chinese products). That too advanced registration and limited stock, you’ll try to get it.. But wantedly they won’t sell more units. From the registrations, they’ll try to estimate the demand for their products and ship but less than that.

They artificially create a hype that so many products sold in a minute or so and stocks are no longer available. Those who didn’t get will be disappointed and will try to buy from next flash sales. Word of mouth will spread.. Newspapers will advertise. Create a greater hype.. These products are mostly targeted at the youths.. Particularly college students.. (kitting and assembling) They need cheap and good specs.. They create this irresistible feeling and subliminal perception towards their products..

They’ll create an artificial necessity for it.. Thus ppl fall for it and the company gets good publicity while making huge profits. It’s latest marketing gimmicks played by their Marketing department!!! Some are lucky and some are wantedly made to feel missing out something which others get. Nobody likes that feel and people keep trying for it. This is being exploited by the firms through flash sales. Flash sale is a discount (or it could be a promotion too) offered by an e-commerce website for a limited period of time. (kitting and assembling) It also works great for the inventories that are not being sold because of any reason. This is a good way to drive more and more traffic to your website. The e-merchants have to do a lot of things to make it happen including determining the goal of sale, integrating flash sale module, targeting the customer group, time frame etc. Once the everything is set, all you need to be available at the time of sale. Keep the sale is as simple as possible. Flash sale is only purposeful if they leave the customers with a positive impression of your store. Once everything is set, all you need to be available at the time of sale. You can also visit the Addon store to get this flash sale module.

Flash sales basically sell off surplus stock at lower prices than usual, but they only last for a certain amount of time, often only for one day. (kitting and assembling) A lot of brands use them to sell end of season stock, or to generate interest in something new, or anything they want to increase exposure to. Occasionally some brands do this themselves, and advertise on their own websites, but most use specialist websites that only sell deeply discounted items. (kitting and assembling) Some of the biggest are Gilt , Rue La La and HauteLook, although there are quite a few others. Flash sales (also called Deal of the day or one deal a day) is an ecommerce business model in which a website offers a single product for sale for a period of 24 to 36 hours. Potential customers register as members of the deal-a-day websites and receive online offers and invitations by email or social networks.

3 Major Tips to Increase Your Customer Loyalty

Though we are highly dependent on technology for efficiency, there are lots of areas where automated machines cannot answer all of our customers’ queries. (kitting and assembling) Having one to one interactions with our customers makes it easy for both of us to understand each other better. Customers open up more when there is a human voice with an understanding tone on the other end rather than hearing the beep of a machine.(kitting and assembling)

1, Rewards are the shortcut to customer loyalty. Customers love surprises and gifts in all forms. A personalized thank you card, access to a special event or increased loyalty points are some of the ways to show your gratitude towards customers for their business.(kitting and assembling) Surely we could do much more than just marketing campaigns that send discount coupons to lure customers to impulse buying.

2, When we keep our promises, we show our customers that they are not taken for granted. Also, their respect for us grows with every commitment we meet. Customer loyalty automatically increases when customers remember us for our sincerity, instead of thinking of us for our inability to deliver on our promises.

3, While almost every company measures customer satisfaction via some kind of customer feedback, only a few brands are able to build customer loyalty. (kitting and assembling) The problem with satisfied customers is that they are not necessarily loyal! A customer could be very satisfied with your product or service, but would nevertheless move on to another provider for a better price. Brands like Starbucks, Apple and Harley Davidson are testimony to the fact that a differentiated customer experience could go a long way in building customer loyalty.

In the end, If you want loyal customers, amazing customer service is a must. A customer evaluates every interaction he or she has with your staff and makes a judgment call about your service. (kitting and assembling) Loyal customers keep your revenue flowing. In fact, loyal customers spend 67 percent more than occasional customers, which is why focusing on repeat business is a necessity.

 

Business Etiquette Create Win-Win Situation

When sourcing from China, business etiquette is always an issue to be considered.(distribution center)
We need always remember that it is very important to keep motivating our China’s business partner. There are no permanent friends, but permanent interests. Let them know that they will get their profits during your business will help your business a lot. (distribution center)You should make sure that you have got a win-win partnership in every of your cooperation.

Don’t judge a supplier by what you see on the surface. Talk to the people in charge and visit the factory to see the situation firsthand. Most importantly, be sure to carry out an audit of any factory before committing to buying.

The key to the negotiations is not to let your opponent feel desperate, but use the time to lock the reserve price. (distribution center)The approach of “To wait at Plaza” ensure that you get a better deal. Find a good supplier and establish a long-term relationship. Focus on finding suppliers for the more costly and important components first, and consider using a trading company or vendor for those less important or inexpensive parts. Work with your supplier to improve over time, and help them to meet or exceed your expectations.

Good business etiquette is the recipe for advancing your career. (distribution center) In the business world, people with good etiquette are rewarded for their professional and polite skills. For example, an employee who arrives at a meeting on time (or early) and is ready to take notes has a better chance of impressing his supervisor than the employee who shows up to the meeting late, and forgets to bring a pen. (distribution center)Those who exemplify good business etiquette are proving that they respect their position, job, coworkers and take their performance seriously. As such, these individuals win promotions and get ahead in their careers.

Keeping good business etiquette is still the reality for a great number of buyers in China, but always stay vigilant and keep a long-term view. (distribution center)Follow these tips and you’ll find yourself reaping the rewards of sourcing in China!