What is Cross-Border e-Commerce – Difference Between Cross-Border and Domestic e-Commerce

What is cross-border e-commerce? That is, there are some platforms that allow businesses from various countries to settle in, and release their resources to the platform to show to global buyers. The buyer pays after placing an order on the platform, the seller delivers the goods, and the goods are delivered to the buyer through international logistics. The mode is basically the same as that of domestic e-commerce platforms. Let me talk about what is export cross-border e-commerce through comparison with domestic e-commerce.

Difference Between Cross-Border and Domestic e-Commerce

Traffic

The domestic e-commerce market is only for domestic consumer groups, while the export e-commerce market is for consumer groups in different countries around the world.

Seller

Domestic e-commerce only allows domestic users to open stores, and export e-commerce invites investment from other countries.

Platforms

The platforms with more domestic e-commerce traffic are Taobao, jd.com, etc. Different sectors of export e-commerce have different platforms. There are Amazon, eBay, wish, Wal-Mart, etc. in North America, Shope, etc. in Southeast Asia, noon, souq, etc. in the Middle East.

Customer service

Domestic e-commerce Buyers ask customer service questions in the process of purchasing goods, and the seller immediately replies and communicates to guide the buyer to buy. Because export e-commerce is oriented to customers in different countries around the world and has a variety of languages, the platform will have a special customer service team. After the internal digestion and transformation of the team, the team will send a letter to the seller and the seller will reply. The essence is different

Tariff

Some people may ask whether it is necessary to pay import and export tariffs to sell things on the platform. It's not as complicated as you think. Generally, the value of goods sold on the platform is not too high, and they are usually small personal items. Therefore, the tariff threshold of bilateral countries is generally not reached. This can be understood as you send a gift from home to a friend abroad, and you do not need to pay customs duties.

Delivery

Domestic e-commerce platform logistics can reach 80% of the cities and remote areas in the country in about 3 days. If it is not a special day, the delivery is basically the same day or the next day. In terms of logistics of export e-commerce platforms, take the United States as an example, the fastest time from the seller's delivery to the buyer's receipt is 5 days. Delivery time: some platforms use overseas warehouses, and the timeliness is basically the same as that in China. Some are self-delivered, that is, self-delivered. Our platform allows 5 working days after placing an order.

Logistics cost

If the domestic e-commerce seller has a large number of orders, the minimum amount of one order is more than 2 yuan. There are also many options for export e-commerce logistics, including postal parcels, EUB, freight forwarders, etc. all of which are calculated in grams. Take the United States as an example. If you send 100 grams of goods to the United States, it will be more than 10 yuan and less than 20 yuan.

Payment method

In China, WeChat and Alipay are generally used for payment. After the transaction is completed, the platform will automatically lend money to the seller's third-party payment account. The settlement method of the export cross-border e-commerce platform is the same as that of the domestic e-commerce platform. The buyer and the seller settle through the third-party payment platform. Commonly used are PayPal, pingpong, and Yilian payment. Of course, when you withdraw cash, you need to pay a handling fee as in China. If your withdrawal amount is large, the platform will give you some discounts.

Application

In fact, there are many groups. Many people know that Taobao made many grass-roots entrepreneurs in those years, and many people have changed from a sideline to a team to a company. We have heard a lot about this. There are many such people in the field of export cross-border e-commerce. So whether you are a person, a team, or a company, you are suitable for such projects. Pinduoduo, a domestic e-commerce platform, can be settled by individuals, while other e-commerce platforms seem to only allow enterprises to settle.