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Wholesale Shipping From China Simplified
China is one of the largest markets for cross-border commerce. While China enjoys a steady stream of demand, some US retailers are wary to jump on the bandwagon for concern of slow, order lead times. To help interested retailers proremedy Chinese wholesale, this article summarizes some commonly used shipping methods.
Wholesale Order Lead Time
Order lead time is defined as the time which elapses between the receipt of the shopper's order and the delivery of the goods, in keeping with the Worldwide Journal of Operations and Production Management. This implies that order lead time is composed of processing time and shipping time. Processing time is the time it takes the distributor to amass and put together a buyer's merchandise. Shipping time is the time it takes for the order to reach after it has been processed.
Courier Services
A courier service is defined as an organization which delivers messages, packages and mail and is known for their speed, security, tracking service, and specialization. This service is beneficial for retailers that have smaller orders and worth fast shipping.
1) Commonplace Shipping: Shipping methods like China Post and ePackets are considered commonplace shipping strategies in China. They provide the security and tracking companies couriers are known for at a decrease price. The only setback is that the shipping speed is a little slower than specific courier services. Actually, ePackets are inclined to take a median of 7-12 enterprise days to arrive. China Post packages are inclined to take a median of 10-20 business days, in accordance with Enterprise Insider.
2) Express Shipping: Courier companies like Fedex, UPS, and DHL provide speedy, trackable shipping. Fedex, DHL, and UPS's average shipping time is 5-8 enterprise days. Nonetheless, these couriers are pricier than China Post and ePackets.
Air Freight
For retailers with slightly bigger shipments or products, air freight is available. Air freight is sort of as quick as courier service shipping. It averages at 2 to 10 days shipping. Some large retailers specializing in smaller products go for air freight. Nonetheless, air freight is topic to customs clearance. Customs clearance may end up in delays, fines, and even lost cargo.
Sea Freight
Retailers that want large quantities of goods usually benefit from sea freight. Cargo ships can carry giant amounts of merchandise at a lower price than air freight. Retailers focusing on cumbersome products usually prefer sea freight. A drawback of sea freight is long shipping times. Shipping time for sea freight from China can last up to 60 days. A second drawback of sea freight is customs clearance. Customs clearance can significantly slow down sea freight shipping. Like air freight, it may pose a financial concern within the form of fines and import taxes. Some customs agents will ransack shipments to seek for illegal merchandise. More usually than not, customs agents will not repackage ransacked goods. The retailer is forced to cover repackaging costs.
Drop-Shipping
Drop-shipping means providing goods by direct delivery from the producer/wholesaler to the customer. Retailers who do not wish to keep stock in their store can benefit from drop-shipping. The provider handles the shipping points and the retailer pays for the products/shipping fees. Drop-shipping isn't a perfect model, however. Some suppliers can mess up orders and the retailer is confronted with the backlash from the customer.
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