Have you ever been startled by news of Amazon's top sellers collapsing? The risks of relying on a single channel become starkly visible, much like swimmers exposed when the tide recedes. Still focusing solely on B2C? Still fixated on platforms? Still putting all your bets on Western markets? It's time to wake up. The new engine for cross-border e-commerce growth lies in the vast blue ocean of B2B.
Model Showdown: Finding Your Ideal Approach
Cross-border e-commerce offers diverse models. Choosing the right one can make all the difference. Let’s break them down:
- B2B Model: Bulk wholesale reigns supreme. Business-to-business transactions thrive on economies of scale. If you have stable supply chains and bargaining power, B2B should be your go-to.
- B2C Model: Retail, small but beautiful. Selling directly to consumers yields higher margins but demands strong operational and branding capabilities.
- COD Model: Cash on delivery builds trust. In regions with underdeveloped e-commerce infrastructure, such as Southeast Asia and the Middle East, this straightforward approach remains dominant.
- POD Model: Print-on-demand unlocks customization. With no need for inventory and low risk, this model is ideal for those with unique designs and marketing savvy.
Logistics: Cost Efficiency Is Key
Shipping costs are a critical component of cross-border e-commerce. Strategies vary by model:
- B2B: Sellers offer multiple shipping options, allowing buyers to choose based on their needs. Success hinges on diverse logistics channels and negotiation skills.
- B2C: Free shipping is a powerful lure, especially for high-value orders or minimum purchase thresholds. But cost control is essential to avoid losses.
- COD: Free shipping is standard, but payment collection is the challenge. Partnering with reliable logistics providers is crucial.
- POD: Flexibility is paramount. Sellers can ship domestically or collaborate with overseas POD partners for local fulfillment, offering varied shipping solutions.
What Is B2B Export?
Cross-border B2B export refers to domestic companies shipping goods to overseas businesses or warehouses via cross-border logistics, with transactions completed on e-commerce platforms. In short, it’s wholesale for foreign buyers.
Two B2B Export Models: 9710 vs. 9810
There are two primary B2B export models, each suited to different business needs:
9710: Direct B2B Export
Domestic companies connect with foreign buyers via e-commerce platforms, completing orders, payments, and fulfillment online or offline. Goods are shipped directly to the overseas buyer.
Requirements: Sellers must upload transaction details, including order screenshots, recipient names, and shipping information. Payment records may also be required for online transactions.
Ideal for: Direct wholesale, such as factories supplying foreign distributors.
9810: Overseas Warehouse Export
Goods are shipped to overseas warehouses first, then sold via e-commerce platforms, with fulfillment handled locally.
Requirements: Compliance with customs regulations, which vary by jurisdiction.
Ideal for: Sellers who stock inventory abroad for faster delivery to retailers or end consumers.
B2B Export Declaration Guide
Here’s how to navigate customs declarations:
- High-value goods (over ¥5,000 or regulated items): Declare through the H2018 customs management system.
- Low-value goods (under ¥5,000, non-regulated): Use either H2018 or the unified cross-border e-commerce export system.
- Submission: Data must be filed via the "Single Window" platform or the Customs’ online portal.
B2B to B2C: Diversifying for Higher Profits
Combining B2B’s stability with B2C’s margins creates a powerful hybrid. Advantages include:
- Predictable orders streamline production planning and reduce costs.
- Reliable delivery timelines enhance customer satisfaction.
- Steady operations minimize factory overhead and labor turnover.
- Retail sales boost profit margins significantly.
- Consistent cash flow strengthens financial resilience.
The takeaway? Diversify beyond single channels and tap into B2B’s potential. With these insights, you’re equipped to thrive in cross-border e-commerce.