With the support of economic globalization and national policies, the development of cross-border e-commerce is in full swing, so what is the difference between cross-border e-commerce and foreign trade? What about cross-border e-commerce?
Although foreign trade has also begun to rely on the Internet, the main transactions are also offline, and most of them are business-to-business, and orders are mostly large orders; and cross-border e-commerce is mainly sold through foreign third-party platforms, such as Amazon, eBay , AliExpress, etc., mainly business-to-consumer, orders are mostly small batch orders, mainly retail.
The mainstream cross-border e-commerce platforms include Amazon, eBay, wish, AliExpress, etc., as well as lazada, shopee, etc. in Southeast Asia. As the main platform for domestic cross-border e-commerce – Amazon, how should the selection analysis be carried out?
1. Market analysis
Everyone knows that a necessary step for Amazon sellers to select products is to do market research. But what exactly is market research? We can start from the following five dimensions:
1. Understand product classification
Knowing the product classification means knowing the parameters and performance of the product, and finding the target product in the Amazon category. That is, to determine the specific category of the market. When analyzing a product, it is necessary to list the parameters, advantages and disadvantages, differentiation and user groups of the selected product in detail, as well as the specific category attribution in Amazon, and then conduct market analysis according to the specific situation of the category market.
2. Analyze market status
The Amazon marketplace categorizes products by category. For sellers, understanding the competition in the overall category market can not only avoid highly competitive or monopolistic categories, but also help improve the exposure of their products, increase traffic, and improve conversions.
To analyze the category market, you need to know the market capacity, total monthly sales, sales, average unit price, average sales and other data information. The seller can't do it by himself. At this time, we can use the third-party monitoring tool NewAsin to analyze the data:
3. Analyze competitors
When doing competitive analysis, first of all we need to know whether there is a monopoly in the current market, and it is generally not recommended to enter the monopolized market.
The market monopoly situation can be seen from the seller ratio page. The higher the market concentration, the higher the monopoly.
4. User Analysis
In the analysis of user needs, we need to understand two core contents. One is the user portrait, that is, what kind of group the consumers are. The second is user demand, that is, what kind of demand consumers have for the product. The most intuitive way to analyze user needs is to analyze through the reviews of competing products. Product review is not only one of the most important parameters when Amazon uses the A9 algorithm to evaluate sellers' listings, but it can also intuitively feel consumers' preferences.
5. Profit analysis
In the price range distribution chart of the NewAsin market analysis report, the distribution of the prices of single products in the market can be analyzed, and the sales volume ratio can be used to see which price products are most accepted by consumers. Costs, transportation and storage costs, can roughly calculate the gross profit of the product.
2. How to choose products on Amazon
1. Best Seller selection method
When we first came into contact with product selection, the most basic and important selection method was the Best Seller selection method.
The Best Sellers list is familiar to every Amazon seller. This list is a list of the top 100 most popular products generated by Amazon based on listing sales. Best Sellers can reflect the most direct current market sales trends and consumers. Preferences have a crucial impact on sellers’ selection.
How to combine Best Sellers for product selection?
Based on the products in the first 100 Listings, the seller analyzes the funds and supply of their own stores; considers whether the product is a seasonal special product; whether there is an infringement monopoly; even a novice seller can choose it in combination with Best Sellers Come out with the best-selling products in the market that you can get started with. Such products have been tested by other sellers and the market, and the chance of successful re-entry will be much higher.
100 products are not too much, but not too much, so how can sellers quickly and effectively conduct in-depth and effective analysis of the Best Sellers list? At this time, you can use the product selection tool to select products: NewAsin crawls Amazon BSR product information every day to create a complete Amazon database, and sellers can set various filter conditions to obtain a series of high-potential product lists . Sellers can quickly preview a product, including its current rank and rank history in a given category, as well as its current price and price history.You can also track products, keywords, and new products in stores to tap potential products
2. Category deep digging method
Amazon currently has more than 30 categories, and most of the products are concentrated in more than 20 categories such as automotive supplies, mother and baby, beauty, pets, books, mobile phones and accessories, clothing and accessories, and computers. What are the advantages of category digging?
1. Through familiarity with the market, you can grasp the pain points of users, reach transactions, and increase sales.
2. It can integrate the advantageous resources of various products, complement each other, help each other, build their own product fields and sales system, and finally form a supply chain and sales chain, and the production and transportation costs will also be reduced accordingly. This selection mode is definitely more scientific than the selection method based on mood. The competitive advantage in the market will also be more obvious, and it will be more beneficial for sellers to survive in the highly competitive Amazon market.
3. At the same time, when you dig deep through the category and spread a "monopoly" in a certain category of market to a certain extent, you will have a certain bargaining power in this category, even if it is a small-scale promotion in the sales process. The price will not have much negative impact on market sales.
3. Big sellers in the “sell with you” industry
The "co-selling" we are going to talk about today is definitely not co-selling in the traditional sense. Although what we are going to talk about is called "co-selling", it can actually be understood as "learning". Every industry has top sellers. The big seller team is more complete, the analysis of the market is more comprehensive, and the control of nodes is far superior to novice sellers. The listings carefully created by the top sellers are a must for new novice sellers. A model to learn from. Whether it's a new store or a listing, it's better to think more and summarize, learn from each other's strengths, discover business opportunities, and follow up flexibly, so as to do better and achieve big sales!