PayPal Senior Leader Vince Lee Visited ChinaDivision

On May 4, 2016, Head of SMB, China Director of PayPal – Vince Lee and his assistant Chris visited the headquarter of ChinaDivision. Founder and CEO of ChinaDivision Ethan Chang and Head of Order Fulfillment Michael Chan cordially received the PayPal representatives and opened a discussion about cross-border e-commerce and the future cooperation with PayPal in terms of payment.

Paypal ChinaDivision

PayPal representatives visited ChinaDivision (from left to right: Michael Chan, Ethan Chang, Vince Lee, Chris)

At the beginning of the meeting, CEO of ChinaDivision Ethan Chang gave a brief introduction of the company’s development to the Paypal representatives. ChinaDivision is a B2B brand of CNstorm Co.,Ltd, who is dedicated to sourcing and shipping products to overseas Chinese globally, and obtained the Angel Investment by Shenzhen Creative Investment Group in 2014. As a B2B brand of CNstorm, ChinaDivision is a leading provider of crowdfunding and e-commerce order fulfillment, recognized for China product sourcing, China warehousing and worldwide shipping from China services. For years cooperation with PayPal, ChinaDivision won high affirmation of Mr Vince Lee as an enterprise with innovative spirit and move with the times.

Current Situation of Cross-Border E-commerce in China

During the meeting, both sides had a discussion about the current situation of cross-border e-commerce. It is believed that 2016 is till a time of challenges and opportunities. Traditional retailers, domestic and oversea e-commerce giants, start-ups, logistic service providers and distributors have all joined this battle trying to get a share of the cake. An analysis of the current situation is helpful to forecast the future and make plan for the next step of a company.

a) China is leading the way as production center and consumer market

Nowhere is the rapid expansion of e-commerce more apparent than in Asia. China is leading the way, shedding its identity as a production center and emerging as a burgeoning consumer market, with an increasingly affluent and populous middle class eager to embrace online technologies and chase for the developed world’s consumption styles.

As a production center of the world, there is an increasing number of e-commerce merchants choosing China as product sourcing destination for their e-commerce business. China manufacturers or Chinese suppliers have become cross-border online merchants’ preferred business partners. A recent survey shows that cross-border e-commerce’s market size hit 4 trillion in 2014 and accounted for 15% of the total import and export trade volume of China. It is estimated that it will account for 23.1% by the year 2017.

b) Spread of mobile devices brings huge potential customers

With the spread of smart phones and tablet computers, more and more consumers would like to shop by their mobile devices. Mobile devices make it possible to check orders and shipping status anytime. Affluent and well-educated young people make up the majority of cross-border online shoppers and the cross-border online shopping features at low frequency and higher spending per order compared to domestic online shopping.

Challenges that Exist with Cross-Border E-commerce

Although the whole situation is favorable for cross-border e-commerce, there are still some challenges that hinder and constrain its future development, reflected in the following four aspects:

1. Low efficiency of customs

Its is unavoidable to face customs supervision and taxation during e-commerce transactions. Dissonant customs practices create significant uncertainties for shippers, which greatly reduce the efficiency of customs clearance.

2. Complicated shipping cost

Logistics includes warehousing, picking, packing and shipping. It places the role as a bridge between the seller and the buyer in cross-border e-commerce. However, international shipping options are complicated by VAT, customs charges and others more. Shoppers will be discouraged by the price opacity.

3. Unreliable transit time

Consumers want shorter, more precise and more reliable shipping for their goods. However, some parcels are failed to be tracked or the tracking information lags the actual delivery. In this circumstance, the unreliable transit time constitutes an obstacle in cross-border e-commerce.

4. Risky international payment

As the core of cross-border e-commerce, e-payment involves safety of funds transfer. For one thing, in the process of information transmission, payment information will be loss due to a system failure. For another, there are lawbreakers who use computer technology to steal payment information illegally.

When people are deciding whether to use cross-border payment, they are subject to safety, rates, efficiency and personal payment habits. Among all of this, safety is the most important factor. According to a survey conducted by PayPal, Vince Lee said, more than 40 percent of consumers believe that “the premier security system” is the main reason why they firmly use PayPal as the cross-border e-commerce payment tool, while 80 percent of consumers finally complete their cross-border transaction because of the trust of PayPal’s Buyer Protection Policy. As PayPal’s long term business partner, Ethan said that ChinaDivision will continue to work with PayPal to provide our customers with a better payment experience and create a more safety payment environment.

Innovative Business Model of ChinaDivision

It is based on the current situation of cross-border e-commerce and the challenges it exists that ChinaDivison creates a new business model – providing China sourcing, warehousing and shipping services to e-commerce businesses. During the meeting, Ethan and Michael shared this new business model to PayPal representatives.

As the world’s factory and production center, almost anything can be bought in China with multiple choices and fair price. But due to languages and time difference, it may not be such an easy thing for most online sellers. Considering the importance of inventory souring, ChinaDivision makes the most of its favorable location in Shenzhen, China. Applying tactical local sourcing strategies and collaborating with China-based factories and industry alliances, ChinaDivision is skilled in managing Chinese suppliers and has abundant high-quality sourcing resources at command, so with millions of products manufactured in China we can get you connected and assures product quality with competitive prices.

  • China warehousing

When it comes to start an online business, a variety of fixed overhead could have discouraged many people. Renting a warehouse, purchasing facilities, hiring workers etc, all this are costly and sometimes are wasteful when it happens to be off-season. ChinaDivision provides China warehousing services, allowing activities such as inventory receiving, repacking, weighing and quality check to be carried out on products before shipping to the customers. What’s more, free warehousing for 30 days is offered, no minimums, no set up fees, thus start-ups and small size business will not be blocked out.

  • China shipping

Just as mentioned above, with the emergence of cross-border e-commerce, traditional retailers, distributors, logistics service providers etc., all join a battle for the share of this cake. However, as an order fulfillment agent in China, ChinaDivision not just serve clients in one way, but take the whole situation into account, thus clients in ChinaDivision can enjoy a one-stop solution, from warehousing to shipping. With the good connection with famous international couriers, ChinaDivision ships goods worldwide to customers fast, easy and affordable. To enhance service of delivery, ChinaDivison also has a system that allows any order to be tracked in real time. This contributes to convenience and efficiency thus leading to a great customer experience.

At the end of the meeting, Vince Lee kindly asked the problems that ChinaDivision faced when using PayPal and opinions for its further improvement. Both sides also had a pleasant discussion about the future cooperation details. As one of the strategic partners of global payment leader PayPal, ChinaDivision is very honored to be chosen and visited by the top of PayPal and will continue the good cooperation with PayPal and other payment giants.

China’s Leading Sourcing Agent – ChinaDivision

In recent years, China’s economy has been booming and this can be attributed to the huge business opportunities available. Merchants and businesses alike, have realized major profits from importing and reselling cheaply sourced goods from the great Republic. Unlike before where you had to personally travel, E-commerce and the internet generally, has made it much easier to amass wealth without having to do much. However, it is not that easy and the processes can be time consuming to busy businessmen. This is the major impediment while sourcing from China by yourself besides the obvious ones mainly language barrier issues while negotiating. Fret not though; such occurrences can be easily avoided by working smart and using the right channels for order fulfillment – one word; ChinaDivision.

It is of paramount importance to note that the cultural barriers besides the language barrier concerns mentioned can potentially stall your business operations if not careful. Simple procedures such as finding the perfect wholesaler with quality products to negotiating the right price that suits your budget can take a while – the main reason why most importers use agents while sourcing from China. Therefore, using a China sourcing agent to import goods would certainly be in your best interest as a merchant or business and below, are a number of valid reasons as to why this is so.

Import Goods from China - ChinaDivision
Import Goods from China – ChinaDivision

How to Import Products from China Timely:

Sourcing from China is a trend that has been on an upward trajectory in recent times, thus explaining the rising number of sourcing agents in the Republic. However, finding a reliable, low cost country sourcing agent such as ChinaDivision can be quite an uphill task. Essentially, you will have to find an agent that fully understands your needs and more importantly deliver on time. Lately, ChinaDivision has been creating the entire buzz in business circles as the most popular sourcing agent – a fact that can be attributed to the company’s ability to cater to the client’s specifications and attention to detail.

Over the years, the company has amassed a wealth of experience, creating an expansive portfolio in the process in the fields of warehouse management, E-commerce fulfillment, products management and order processing. In short, ChinaDivision works at ensuring your products are picked (as per the client’s quality standards), packed (with a printed logo on the packaging if requested), and shipped safely. With this said, what exactly are the benefits of sourcing from China using ChinaDivison as an agent?

Import Goods from China Leading Sourcing Agent - ChinaDivision

Why Use ChinaDivision as a Sourcing Agent? – Disadvantages of Sourcing Yourself:

Time Efficiency – as stated above, sourcing goods yourself can be quite challenging in regards to the time spent finding quality products and negotiating for the best price. Therefore, by allowing the leading sourcing agent to handle your order fulfillment, you have more time on your hands to focus on other business related issues concerning your organization as the company quickly sources the required products for you in due time. Also, the company is located in Shen Zen which is in close proximity to Hong Kong – the international parcel processing hub meaning the transit time is immensely minimized for an enhanced user experience.

Cheaper – sourcing products yourself can be quite costly mainly because you do not enough time to find the cheapest wholesaler, neither understand the Chinese way of doing business – but not with ChinaDivision as your agent. Not only does the company have expert Chinese negotiators, but also are enlightened on the Chinese culture thus enabling them to hold extensive negotiations on your behalf. Apart from the agent’s volume discounts for both international and domestic shipping (demurrage fee), clients get free warehouse storage for a whooping 30 days and very low charges thereafter which can be negotiated. That’s not all, the simplified logistical processes enhanced by the firm’s extensive international network not only makes order fulfillment easier, but also much cheaper considering the fact that you can store your inventory anywhere within ChinaDivision’s numerous warehouses (why then do you need a warehouse team?)

Quality control – you have built your company’s reputation from scratch through hard work over the years, why then let it be ruined over fake or low-quality products? By sourcing the goods yourself, you remain prone to quality issues. China’s leading sourcing agent thrives in improving customer service by not only ensuring that your products are of the expected quality standards, but also by enhancing order fulfillment on time to improve service delivery thus maximizing on profits. Missing delivery deadlines can greatly damage your reputation as a merchant thus in your best interest to let experts handle your orders.

All said making use of the infrastructure lay down by the company while sourcing from China can greatly improve your business model, save costs and allow room for growth. For more information on how to get the best sourcing services in China, contact the warm customer service staff to get an insight.

Tips on How to Import Goods from China Successfully with ChinaDivision

ChinaDivision is a shipping & logistics company specializing in importation of goods from China to both North America and Europe. We’ll fulfill all orders on your behalf so that you can rest easy and focus on what’s more important for the business, that being market expansion and outreach.(import from China)

Import from China
Import Goods from China

How it works:

The company uses cutting-edge technology to streamline such processes like fulfillment, delivery, and returns. Meaning you can now start shipping items to new markets hassle-free at just a single click of the button. Below are the steps you should take.

I. Visit our website and contact a business development officer to review the products, target market, inventory needs and other necessary factors that come to play. (import from China)

II. The next stage is sourcing which can be done either by yourself or with help from our experts, which is highly recommended. We are your 1-stop solution for all sourcing & manufacturing needs.

III. Setting up inventory. It involves tasks such as receiving products, retaining merchandise samples and stock control which all require strict attention to detail. Our qualified warehouse team, in conjunction with custom Warehouse Management Systems will handle all the procedures and help manage your inventory internationally in real-time.(import from China)

IV. Picking, Packaging, and Shipping. Before making the orders public, a personal account manager and representative from our development team will help in processing to ensure that all systems have been fully-integrated and are operational. After the preliminary testing phase is done, you can now proceed forth with shipping.

V. Managing Shipments and Inventory. Handling logistics the correct way often takes time and resources, but luckily on how to import from China ChinaDivision has a global logistics infrastructure which makes meeting international orders easier.

VI. Returns. In cases where making a return is necessary, just contact one of our experts to review the products, inventory needs, overall target market and answer any questions you might be having.

Services on offer

a) Inventory management. We have the facilities to keep all your stock inventory at our warehouses, and when sourcing from China ChinaDivision shall pick, pack & ship the items within just a few minutes. This process also includes receiving incoming products, retaining QA merchandise samples and rotating stock with maximum attention to detail.

b) Growth management. Even when expanding portfolio, you can still take advantage of ChinaDivision’s immense infrastructure and save costs as well as time needed to implement new systems or services to your business. For instance, if orders aren’t going out within 24hrs after receiving them then chances are that you’re missing out on delivery deadlines. Let experts from our company take control of the fulfillment process and help manage your growing business expertly. Similarly, we can outsource our staff if those working with you are already overstretched. This helps in preventing cases of incorrect orders, revenue loss and frustrated customers that may occur due to an overstretched workforce. Remember that poor operations can have negative impact on your brand, and that’s why ChinaDivision is ready to help build back brand loyalty by improving the customer experience.(import from China)

China Warehousing

Factors that make ChinaDivision stand out from the rest

a) Every procurement process is automatically synchronized, you only need to log into our software to perform tasks. They also have great Enterprise features such as CRM, ERP, Analytics and so on. These offer a complete 2-way synchronization system between marketplaces that allow selling of Chinese products online.

b) Staff members are professional, caring and ready to work with all types of customers. Moreover, they have a strong policy on insurance and customers are given full ownership of case during the purchase process.

c) Items are sent out carefully packaged to minimize chances of breakage during delivery, plus orders are fulfilled fast and usually take less than a week to meet. Fragile items will be kept separately from others with an additional layer of protection to avoid hard-surface contact during transportation.

In summary, as the No.1 China sourcing agent ChinaDivision promises to give you the level of support that only a dedicated order fulfillment center can provide. Likewise, the center is ready to customize shipping labels as well as packaging slips to showcase your firm’s profile info & logo. Very few shipping logistics companies allow their customers to do this, but we offer such services because our clients are special to us. During peak holiday season when there are excess orders to be met, we can work overtime just to ensure they are completed.