Is your retail ecommerce business doing well locally? Do you also wonder how to expand your sales globally? If yes and yes, but you are still hesitant to break into global ecommerce because of security concerns. Things like being unable to receive your shipment or would it be correct and in good condition, then you better erase your doubts.
You should know that there are many things to gain if you open your ecommerce business overseas. According to Statista, the global ecommerce market would grow 5.42 trillion dollars by 2022, and it will further increase in years to come. Therefore, there is no reason why you should not rely on global resources if it means you can meet the demands of more customers and purchase more goods at better prices.
That is why if you plan to rely on global resources for your ecommerce business, now is your chance. With Alibaba’s global resources, you would be able to manage and provide quality and affordable products to your customers. Here, look and listen to how Chelsea Taylor, a Fashion Jewelry Design company, has reshaped their ecommerce business with Allbaba.com’sglobal resources.
To further persuade you how Alibaba’s global resources can give you what your ecommerce business needs, read through this article. You would learn what global resources are, their benefits and their roles.
What Are Global Resources?
Global resources are a type of service that allows ecommerce businesses to purchase goods, parts or materials that they need for their products from low-cost countries such as China, India, Indonesia, and many more.
That means when an ecommerce business does rely on global resources, they would be able to save up more on the production of their products due to affordable prices. They could use their excess fund to increase their cash flow or other future long investment.
Get to know what are the benefits that your ecommerce business may gain from relying on global resources.
The Benefits Of Relying On Global Resources
1. Stay Competitive
The number of online shoppers has increased since the beginning of the pandemic. According to Statista, there are over 2.14 billion people worldwide who shop online. And if you do your math, this number is equivalent to 27.6 % of the world’s population.
That is why if you want your ecommerce business to reach more potential customers, you better open your market overseas. Doing so should help you become more competitive against your competitors.
2. Minimize The Costs
Everyone knows that brick-and-mortar stores are bound by location, which hinders their revenue. The same goes if your ecommerce business only sells locally and does not expand at a global scale.
You should know that adding a global resources component to your existing ecommerce business does not seem bad. Since you already have an online presence, globally expanding would not be a high-risk investment. The truth is, this option is way better than establishing another branch location of brick-and-mortar stores since there are many unnecessary expenses involved, such as paying staff and rent.
3. Passive Earnings
If your ecommerce business could sell 24/7 locally, imagine how much revenue you would gain if you have extended your reach overseas? That would be a lot, especially if you are sourcing your goods from Alibaba, the world’s largest sourcing company.
By then, you can expect to receive a passive income stream without relying on your salespeople or opening hours like brick-and-mortar stores do. Also, when there are no restrictions, your customers would be able to shop regardless of location and time.
The Role Of Global Resources For Ecommerce Business
1. Material Sourcing
As mentioned above, global resources are about an ecommerce business that purchases goods, parts or materials from low-cost countries. They are places that have rich raw resources used in manufacturing and staff for production operation.
That is why when an ecommerce business relies on global resources like the ones in Alibaba, they can quickly find the lowest-cost supplier that they need for their products. With Alibaba’s Request For Quotation (RFQ) form, they could get a list of price quotes from different suppliers within a few hours or so.
Once an ecommerce business has chosen one that suits their needs, they could start sourcing from the supplier from Alibaba. Just make sure when it is your turn to pick from the price quotation list, read everything carefully since every detail is listed there based on your preference.
2. Transportation
When an ecommerce business relies on global resources, they no longer have to worry about how they would get their goods, parts or materials. They only need to keep themselves up to date with customs, tariffs, compliance, and any relevant regulations since they vary from one country to another and type of transportation such as air or ocean fleet.
Most of the time, the provider that offers global resources would notify their client ahead of time about any information they need to know. Therefore, when you rely on Alibaba’s global resources, expect to receive a lot of updates.
3. Orders Fulfillment
The global resources would not be complete without orders fulfilment since it is about completing the requirement requested by the ecommerce business.
That is why when you join Alibaba, and your business relies on their global resources, expect material sourcing and transportation are not the only things they would offer. They have order fulfilment for warehousing and shipping parcels to the customer’s home.
Your Takeaway
No matter how long you have been in the ecommerce industry, there is one thing that never changes, the survival of your ecommerce business. Know that if you sell your goods locally alone, you are hindering the growth potential your ecommerce business has.
Therefore, be bold and rely on the global resources of Alibaba like Chelsea Taylor. This Fashion Jewelry Design company has reshaped their full potential without spending so much on ecommerce business travelling costs.
For more information about Alibaba’s global resources, go to their website today. They have prepared several materials that can help you further understand and grasp what kind of service it is and how helpful it can be for your ecommerce business.