Things to Consider Before Choosing Warehouse Locations

There are many factors to take into consideration when opening a new warehouse facility. (China warehousing) From location and build to storage requirements and labor force availability, making the right choices in regards to both warehousing and distribution methods could make all the difference for your company. While the below are what we consider the most important, this list is certainly not all-inclusive.

Physical Location

When deciding on which warehouse to use, choosing the one with the best physical location is important. (China warehousing) The first question to ask yourself is, which region are you looking to serve? Ensuring your product is stored in a region near your customers is important for prompt deliveries. This also factors into considering cost. Calculating landed transportation costs to facility from manufacturing, and expected transportation costs from facility to end customer, will help decide where you can afford to keep your product.

The location’s proximity to carrier facilities should also be taken into account. (China warehousing) Look for an all-encompassing solution that offers both warehousing and transportation to get the most bang for your buck, or ensure your storage facility is as close to your carrier as possible.

Build/Lease Considerations

After you decide which warehouse best fits your needs, you must take into consideration the locations build and lease parameters. Does the warehouse offer rail siding or transloading? Will racked or bulk storage be offered, and what suits your needs best?

Just the same, plan to consider what type of rental contract your warehouse offers. (China warehousing) If you’re a seasonal product it might make the most sense to find a location that offers seasonal warehousing. Or, if your product’s demand ebbs and flows, can the location you’ve chosen offer more or less space depending on the time of year? Ensure you’re properly informed of immediate square footage storage offerings in addition to the long-term options available.

Storage Requirements

From hazardous materials, flammable product and food items, many companies manufacture products that have strict storage and firefighting requirements. Is the location you’ve chosen properly suited to handle your unique needs?(China warehousing) And how will they handle the different requirements for products that require a chemical/foam system versus a water based system? Always be sure to also take any environmental concerns into consideration, are there any streams, ponds, etc. in close proximity? Asking these questions now will help you avoid disaster later.

Labor Force Availability

Fully understand the labor force available at your new warehouse location. (China warehousing)Knowing your labor needs and seeing how they stack up against the facility’s is essential to ensure on-time delivery and future growth. Will the warehouse facility operate 2nd and 3rd shift (24 hour operation)? Are there competing businesses in proximity that will become a barrier to growth by limiting available labor capacity?

By taking the time to consider the above, you can limit frustration and ensure you’ve found the perfect fit for both you and the warehouse you’re selecting.

Supply Chain Management And Inventory System Play an Important Role in Order Fulfillment

Heavyweight player in e-commerce, Amazon, featured distribution center technology in recent years, Amazon has reinvented customer experience and expectations through supply chain innovation, enabling it to ship packages to customers within minutes of a received order.(Order Fulfillment)

Shipping costs are the primary factor in determining whether to shop online with a retailer.
Other key components of customer experience still matter – things like brand, personalization, and merchandising. Order fulfillment is now the key criteria consumers evaluate when making a purchase online. As a result, many e-commerce sites have been forced to offer free shipping. But this is not the answer.

New E-commerce Players Lead the Way
Chinadivision has strengthened the power of logistics and supply chain as a source of competitive advantage. As a new innovators, ChinaDivision has recognized that the key to success is rooted in a successful connection between supply chain management and inventory software.

ChinaDivision is a dedicated order fulfillment service provider where clients around the world connect, both online and offline, to source, stock and ship international goods directly from China.

How to Establish a Distribution Center in China?

About half billion people buy things online in China, people spend billions of money on purchasing imported foodstuff, skin care products, furnishings and clothes online. Since it is such a huge market, a lot of overseas brands opened their flagship store on Tmall (an online shopping mall of Alibaba group) and sell their products in China. For the e-commerce sellers who targeted the Chinese market,  getting a fulfillment partner and build a distribution center in China is very essential. As an experienced full-service order fulfillment company, ChinaDivision can help the global e-commerce sellers build a distribution center in China and expand their online business to a larger market.

 

security system in ChinaDivision warehouse

(The security system in ChinaDivision warehouse)

 

The third-party fulfillment provider which is capable to perform as a distribution center in China has to contain these:

 

Cost-effective warehousing service. Warehousing fee is a big part of the budget of running a distribution center, since you need to stock a lot of goods in it. The storage cost have to be taken into account. But cost-effective doesn’t mean cheap, the warehouse has to be secure as well, especially when the products you sell is far in China. ChinaDivision provides 90 days free warehousing service and all the insurance are covered. No matter the lost/damage caused by force majeure, manual handling or shipping, the customers can get compensation.

 

Customized packing. With the help of multiple package suppliers and customized packing service, you can ship the unpacked products in bulk and pack them in the distribution center in China, which will save you a lot of logistics fee. What’s more, ChinaDivision can also put user manual, product introduction, other promotional inserts in the packages. Well-designed product packages can help you build brand awareness among Chinese consumers.

 

Good at handling sensitive products. The most popular overseas products on Chinese e-commerce platforms are normally food or makeups, which are regarded as sensitive products by customs and express companies. According to Chinese custom policies, there are some restrictions about importing goods which contain liquid, powder, paste or cooked food, you have to provide some documentary evidence before selling them in China. In this case, choosing a fulfillment partner who is good at handling sensitive products are very important. With the experiences of B2C business, ChinaDivision has incomparable strength in this area.

 

Tech oriented inventory management. Distribution centers have to deal with very complicated inventory management operations, such as receiving, returning, refund, future shipping, etc. With so many goods shipping in and out, modern technology can be very helpful. ChinaDivision receives about 100 cubic meters of stocks and delivers more than 2000 packages every day in as an advanced order fulfillment center, bar code and inventory management software are used to make all the goods be processed properly and efficiently. Customers can register a ChinaDivision account and manage the inventory easily in the user center, once a new batch of goods arrived ChinaDivision warehouse, in another word, your distribution center in China, product quantities and details will be checked and verified against the provided data. You can see the changed status as soon as the goods are processed.

What’s the Monthly Best Sellers on Amazon.com ? (for the U.S. Market)

Amazon-Bestseller

Here at ChinaDivision, we share the monthly best sellers on Amazon.com to help Amazon online retailers grab different demands of your consumers on the U.S. market.

 

January: Selling season for winter clothing. There are many discounts.

February: February 14, Valentine’s Day in the United States, is the hot selling season for gardening tools, fashion accessories, jewelry, watches, bags and other gifts.

March: Spring is the selling season of apparel as well as gardening tools on Easter, March 31. Beauty products will rebound strongly along with the new arrivals in Spring. Demand for household products will also increase rapidly during spring and summer. Besides, sports goods, such as water sports equipment, outdoor products and table tennis are getting popular.

April: Gardening tools keep hot seller in April on the American market. Meanwhile, demand for women’s shoes, bridesmaid’s gown and other wedding supplies also soars sharply during this wedding season.

May: May 12, Mother’s Day, is the selling season for gardening tools, fashion accessories, jewelry, luggage products and greeting cards.

June: June is graduation season as well as Father’s Day, June 16. Air conditioners and other refrigeration appliances will begin selling in June. Mobile phones and other consumer electronics products sell well at the same time. Table tennis and water sports products are also popular in the spring and summer.

July: July 4, the U.S. Independence Day. Furniture and household goods will be hot seller because of demands such as wedding.

August: Students’ back-to-school shopping season. Clothing, shoes, mobiles, consumer electronics, office supplies and sporting goods are among the best sellers.

September: September 2, the U.S. Labour Day. Clothing and cosmetics will be hot seller in Autumn. Besides, ski equipment will be popular as well.

October: October 31, Halloween. There will be a heavy discount for sports products and hot sell for plush toys in October.

November: November 28, Thanksgiving Day, hot selling season for gardening tools, cosmetics, plush toys and all kinds of gifts.

December: December 25, Christmas Day. Gardening tools and heating equipment are popular in this season while clothing and shoes keep hot seller. Fashion accessories, jewelry and watches in December will account for a quarter of annual sales. Besides, there are other hot sellers, such as mobile phones, consumer electronics, sports goods, ski equipment and plush toys.

 

If you are looking for China warehousing and order fulfillment services in China

Please contact ChinaDivision or request a free quote.