"Made In Dongguan" To Develop Cross-Border Electricity Suppliers To Increase Sales Volume

"Just two or three years ago, I didn't take any orders for thousands of swimming goggles, but I can't see it. Now, even if there's still one shipment left, I'll rush to hurry." Dongguan City Huayi sporting goods Co., Ltd. Dai Xing an describes the change of cross-border electricity providers. Dongguan sole snake Clothes & Accessories Feng Yunguang, chairman of the board, used "two or three years of electricity supplier development speed than I did ten years, cross-border electricity supplier one or two years than Taobao Tmall three or four years".

Feng Yunguang and Dai Xingan started their involvement in cross-border electricity providers early last year. The difference is that the former is on the road to "domestic trade and export sales" after making Taobao, and the latter is going to make hundreds of millions of small packages in four years after making foreign trade orders. On the newly rising foreign trade online retail platform, "Ali fast sell", the number of big sellers in Dongguan is squeezed into the top 10, and more and more Dongguan factories are holding the weapon of cross-border electricity supplier, leaving the profit margins in their pockets.

Market forced enterprises to "shock"

Starting in Humen in 2004 and by 2008, Feng Yunguang's sales of women's clothing reached 160 million yuan a year, and there were agents and entities in major provinces and cities throughout the country. But after the economic crisis in 2008, Feng Yunguang's business collapsed and his annual sales dropped to 30 million yuan.

"Chongqing, Zhengzhou and Hangzhou clothing The agent clients from the distribution centers are becoming more and more dispersed, and the price of labor, raw materials, and rents increases every day. Since 2009, Feng Yunguang has been relentless in her efforts to gradually stop physical stores and agency rights, gradually outsource production and start developing Taobao C stores and Tmall brand stores.

Feng Yunguang feels that two or three years of development are catching up with the preceding ten years. Feng Yunguang, who has tasted the electricity supplier's sweetness, has played a cross-border electricity supplier. He found that this is even more fierce than Taobao and Tmall.

By contrast, the span of Dai Xing an is not that big. The Huayi brand, which he runs, has a history of 7 years. It mainly produces a series of high-end swimming products such as swimming glasses, swimming caps and earplugs, with an annual output of about 18000 sets, of which domestic sales are 20% and foreign sales are 80%.

"I have been in Alibaba international station for four years, and have participated in the six year Canton Fair. I always feel that orders are less than one year, and the Canton Fair, Hongkong and Germany show cold every year." As a result, after seeing friends began to make foreign trade orders, Dai Xing began to test the cross border electricity supplier. Now, on fast selling platform, Huayi brand has done the fourth search home page in similar products, ranking first after three pages.

A new pattern of interest distribution

To do cross-border electricity providers, first brought to Feng Yunguang and Dai Xingan skyrocketing profits and sales.

Feng Yunguang produced the "sole snake" brand. The average cost of a dress is about 80 yuan, which can sell nearly 200 yuan (including freight) in Tmall store and domestic market, and Maori run 80%-100%. "The price is almost the same, but the competition for cross-border electricity providers is not so fierce. The promotion fee is even less. The key is not to be able to afford to grow fast." Feng Yunguang said.

It is reported that the cross-border electricity supplier of the snake company is out of nothing, with sales volume of 20 million yuan last year, while domestic electricity supplier sales amounted to 60 million yuan. "Now it is slowing down. The total sales target of the company is one hundred million this year, and it is estimated that it will depend on the increment of cross-border electricity providers".

For Dai Xing an, the more important significance of cross-border electricity suppliers lies in the new pattern of interest distribution.

Huayi's pair of swimming goggles costs about 15 yuan, which is priced at 9.9 yuan on fast selling platform and 60 yuan, including 20 yuan of logistics freight. "The remaining 25 yuan is in my pocket, and I can only earn a few yuan for every pair of glasses, though I can sell 80 yuan before trading companies, foreign agents and retailers." Dai Xingan said that although cross-border electricity providers only occupy Huayi 1/3's sales and enterprise resources, profits have contributed more than half. Similarly, the new market also made sales of Huayi soar. Last year, cross-border e-commerce sales reached 12 million. This year, he expects to achieve 30 million.

Interestingly, with the help of the Internet, Huayi can even make "private custom" for overseas buyers. "For example, overseas buyers who have myopic eyes have asked to match 250 degrees left eye glasses and right eye 500 degrees swimming glasses. I can also do them, but the price is almost the same as that of ordinary goggles plus myopic glasses." Dai Xingan said.

Cross border electricity providers save labor and save costs

Compared with the traditional internal and external trade, the cross-border e-commerce game is quite different. The conclusion of Dongguan manufacturers is: save labour and save costs.

The first is the scale effect of large-scale sales.

Dai Xingan said that when doing domestic trade, a clothes It would be nice to sell hundreds of thousands. Therefore, only one year, the company has to develop hundreds of clothes, one by one to the market for inspection. "We have to ask more than 10 teachers to take advantage of their skills to design fashionable money." Good selling styles often miss the peak season when the market returns to replenish the goods.

And through the analysis of the data of the electronic business platform, the single snake now starts to build the explosive fund, and it will contribute more than 12 million in a year.

"The 1 is ten thousand and 10 is 100. The concept is totally different. Some pure traders may need a lot of styles to support them, because they are short of R & D capabilities, and companies like our design ability do not worry. Feng Yunguang said.

For Dai Xing an, cross-border electricity providers let him avoid seasonal risks. In the past, Huayi's products focused on markets such as Europe and the United States, but now, "the northern hemisphere countries like China and the United States, the peak season starts from April, and ends in September, with a peak season of up to five months." Dai Xingan said, this caused his factory not to work in the peak season, and it is difficult to maintain the embarrassment in the off-season.

Now, Dai Xing An's products have been sold all over the world, and the southern hemisphere's South Africa, Australia and South America have avoided the inconvenience caused by too much concentration in the busy season. "The four seasons are busy seasons, the East is not bright, the west is bright, the market scope is infinite." Dai Xingan drew a circle with his hands.

At the same time, many intermediate links are reduced, and the convenience of online communication has also greatly reduced their cost.

"You see, they used to be traditional docking methods. They flew over and flew over, and the nuclear version was priced again, and the order was registered, but now they are selling thousands of miles away to open web pages and packaged goods." Feng Yunguang said. As long as we are running in early stage, after the team is set up and the process is set up, the operation of the company is also a lot of worry. In addition, after the transformation of the electricity supplier, Feng Yunguang's staff dropped from more than 200 to more than 60, and the manpower cost was saved by more than 60%.

Dai Xingan didn't need to fly with foreign agents to fly so many exhibitions that he felt much more relaxed. "The only thing that might add to my workload is that every night, no matter how late it is, I will take a look at the computer." Dai Xingan said that he calculated that now Huayi Company's cost is 1/3 for labor, 1/3 for factory rent, water and electricity and other expenses, 1/3 is material money, etc. Cross-border electricity supplier After a steady sales volume, the company can also reduce some manpower. "I can't wait to see you later. I have more offices in my office than in the workshop."