Three Chinese Wisdoms of Online Export or How to Defeat a Dragon
China has built a system, a whole system of online export! So on what wise principles is this system built?
A minimum of intermediaries between the manufacturer and the consumer!
Each intermediary is a markup and a price increase for the consumer for your product. The more intermediaries between the manufacturer and the consumer, the less the manufacturer earns, and the less the customer can afford – these are the laws of mathematics and economics!
But we are so used to intermediaries: distributors, wholesalers, shops, etc., that we have already stopped asking ourselves why they are needed at all, what their value is in the value-added chain! Without going far into the depths of theories and economic history, we can safely summarize that all these intermediaries are the result of asymmetry in information and the lack of a logistic structure in the past. Ask yourself, how is this so today? And if so, how difficult are these problems in the product you are producing, or in the markets to which you want to supply it?
Surprised by the answer?
All modern successful sales models are sales without intermediaries at all!
Chinese companies have set themselves the task of reducing the number of intermediaries to a minimum! And they fulfilled it with the help of modern online trading technologies – they just brought their online stores to our markets!
We have these technologists too! And we are starting to do it!
Create “logistics pipes” leading to sales markets!
What is a “logistics pipe”? “Logistic pipe” is an organized directed flow of shipments from one point to another! What is the “trick” of such a “pipe”? The fact is that due to the flow, sending each even a small parcel is very inexpensive! This is how a regular mail system works, for example! Isn’t it strange that 50 years ago, post offices were only state-owned everywhere, and now private postal services are able to compete with state postal services? The very mechanism of constructing such “pipes” and managing them was very complicated and expensive earlier! But not right now! Modern information technology has done it!
Chinese logistics companies have created such “logistics pipes” between themselves and their markets! And that is why the delivery of even the smallest parcels from China to almost any country in the world is indecently cheap, as a rule, cheaper than delivering the same from a neighboring country! Check how much it costs to deliver a small parcel from China, and how much from your neighbor country? Exciting comparison!
Make content in the language of your consumer!
In order for your product to be bought in any market, you must be understood there! At least somehow! Otherwise – no chance!
Many in the world laughed at Chinese translations into their languages on Chinese sites, while buying their goods! Bu there is no longer laugh at Chinese translations! The translations have already become better … We just got used to something! Why doesn’t anyone laugh at the Polish or Czech translations into Ukrainian? Why don’t Poles, Czechs and Germans laugh at Ukrainian translations into their languages on Ukrainian websites? The answer is simple! These translations simply do not exist!
It is necessary to translate and adapt the content into the languages of the target markets – without this, export is not possible in modern conditions!
Online export is one of the most dynamically developing areas of online trading today! And there is no need to be afraid of anything, you just need to follow wise decisions, rely on professionals, and do it!
And we will definitely defeat the dragon!
We all have luck and perseverance in the new reality!