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The story of a logistics person and customer from China to the UK

  • Author:aaron
  • Release Date:2020-05-21
"At that time, the logistics route from the entire UK to China was very backward. This is also my personal experience. I have been in the UK for more than ten years, and will send things to my family and friends every year. The logistics are cumbersome, inconvenient, and need It's been a long time. So we decided to do something by ourselves to solve the pain points of the entire industry." At the beginning, Wang Xuefeng held a half-interest and half-business mentality. They tried to move the British-Chinese cross-border logistics from offline to online, and then made each boring and tasteless logistics into market-oriented products, specializing in health care products, food, and electronic products... …And then use algorithms to connect the various logistics channels and the services of various carriers on the market to form the best match. "It took about nine months. We basically achieved the largest UK-China cross-border logistics market. Our business volume of this line may account for more than half of the entire UK." Wang Xuefeng said, doing UK-China The matter of cross-border logistics soon lost its challenge. If it continues to develop in the logistics market, the company may double its size and reach the ceiling . Rather than passively transforming at that time, it is better to take the initiative. Therefore, Wang Xuefeng and his team began to think about what is the essence of cross-border logistics. The answer they got is: if there is no market demand and no e-commerce, logistics will not exist; logistics is just a supporting service for e-commerce, and it carries goods. "If we make the market of commodities and develop the Chinese consumers' demand for British products, it will be more meaningful, and the total plate of logistics will be expanded accordingly." After winning this cooperation agreement, Avenue 51 has the British Royal Post is a powerful endorsement, and it is even smoother to discuss cooperation with upstream brands. Today, 70% of the brand s it represents have obtained exclusive online brand agency rights. "In addition, our senior management team joined a person to play a key role. He is James Hardy, Alibaba's former president of Europe." Wang Xuefeng said, as a Chinese startup company, Avenue51 initially had few resources, and cooperation with the brand was very good. Difficult, it is difficult to reach the decision-making layer of the brand side. James Hardy served as president when alibaba.com first entered Europe. He had contact with various brand executives. His addition not only brought Avenue51 more brand resources, but also allowed Avenue51 to stand at a higher level. Talk about cooperation with brands. Now, Avenue51 has formed a team of more than 180 people, with branches or offices in 6 cities in 3 countries. Last year, the company's revenue has exceeded 500 million yuan, with an average annual revenue growth rate of 230%. It has represented hundreds of British and European brands and has tens of thousands of S KUs; B2B business has the fastest growth, with a repurchase rate of more than 60%. It has supplied nearly 1,000 B-end merchants in 3 years and covered nearly 100,000 purchases., Wechat. A bigger future In terms of category expansion, Wang Xuefeng pointed out that Avenue51's pace is basically the same as that of the entire cross-border e-commerce industry. "Initially it was milk powder, and it extended from milk powder to more maternity and baby products, such as pacifiers, bottles, diapers , new mothers' health products, and then health products expanded to cover more people. Then slimming and bodybuilding products came in slowly, Extended to general health, personal care. Later, it was advocated how people love themselves more, not only to care about their health, but also to pursue more beautiful and fashionable, so beauty makeup and luxury are also heated up, and finally to the characteristics of each country Products, etc." Going along the development direction of the Chinese mark et, then Avenue 51, even a British company, will certainly experience the fluctuations experienced by the Chinese market. Fortunately, when the entire cross-border e-commerce industry was affected by the New Deal last year and many companies suffered damage, Avenue 51 became the biggest winner. "The results of the New Deal are very beneficial to us. It mainly has an impact on the bonded import model, but we have done direct mail from the beginning. The company uses direct mail in the United Kingdom, warehouses in the United Kingdom, and logistics. Not only is it not affected by the New Deal, There will be a lot of business transferred after the New Deal. So, in the month after April 8 last year, we almost burst, and then our B2B business is completely in a'blowout' state, with a growth of more than ten times." Wang Xuefeng admitted. (Picture: Avenue51 UK warehouse) In his view, the impact of policy changes is not the demand and sales of commodities, but the combination of cross-border supply chains. "We judged two or three years ago that this industry will definitely move from an explosives economy to a quality life economy. Because domestic consumers started to contact overseas commodities from so-called explosives such as milk powder and health care products, they began to pay attention in the future. More categories, more localized brands that locals like." Therefore, Avenue51 has to do more real authentic overseas products. They may not be well-known international brands by domestic consumers or cross-border. Products that have been hot before e-commerce. The astonishing growth rate has increased Avenue 51's line of sight. In addition to being an e-commerce company, they have recently opened more than 30 offline physical stores in the UK. This aspect is to provide a product display service for Chinese people traveling to the UK, so as to enhance the awareness of Chinese consumers to British brands; on the other hand, it is also a channel for British Chinese to b uy goods and experience offline, and these Chinese people It may just happen to be a small B user doing overseas purchasing business. Wang Xuefeng explained to Yibang Power Network: "Our offline stores are located in places where there are more Chinese. The Chinese purchasing service in the UK is a big market. These purchasing services also need supply and brand development. Then we have After this offline store, in fact, it provides a channel for purchasing practitioners to find goods. Using our selected brands to educate purchasing, it also indirectly educates domestic C-end users. A very important part of cross-border e-commerce sales is From the recommendation of the purchasing agent, the offline store has become a speaker for our brand promotion." In addition, the offline store has an important function for Avenue51 as a logistics network distribution center, which undertakes to collect goods, Responsibilities of warehousing distribution points. For example, after its customers pl ace an order on the platform, the goods of various brands are first sent to a store to make a collection, and then the logistics carrier then picks up the goods from here. Conclusion When asked about Avenue 51's goal, Wang Xuefeng showed a trace of unstoppable emotional fluctuations—want to be a respected Chinese company in the UK. "What we think may be different from many domestic companies, they will set scale targets and performance targets, but we are a company based in the United Kingdom and Chinese-centric . Regardless of size, our goal is to be in the British business circle. Respected." (Picture: Avenue51 won the Guardian Guardian Award for Excellence in the UK, which made Wang Xuefeng feel closer to the goal) He explained that as a Chinese who has spent more than ten years in the UK, he will leave the country. In particular, I have a feeling of hope that my business will not only make Chinese compatriots proud, but also make British people feel that this Chinese company is very good. More shelf wholesale, shelf supply, and shelf market information can be found on China Shelf Industry Network!