Overseas warehouse market development speed? Analysis of overseas warehouse development trends
Analysis of overseas warehouse development trends and speed
In recent years, the cross-border e-commerce market has maintained rapid development, and the overseas warehouse market has also become active. So, what is the development situation of the overseas warehouse market, and what is the future trend? Let’s take a look together.
Affected by the global economy and the relief of tight shipping capacity, the speed of building overseas warehouses in mature cross-border e-commerce markets such as Europe and America has slowed down in 2022; while emerging markets, led by Southeast Asia, have further released the potential of e-commerce, and the growth rate of overseas warehouses remains high.
The US overseas warehouse market has shown a clear trend towards larger warehouses, with an average increase of 152.22% in the area of newly added warehouses compared to the previous year. Scale operation is conducive to cost reduction and efficiency improvement, but it requires higher capital requirements for service providers. Other regions still mainly use small and medium-sized warehouses, and the single warehouse area in Southeast Asia is gradually catching up with Europe.
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In 2022, the growth rate of the dedicated line market has significantly slowed down, but in areas with relatively backward logistics infrastructure, dedicated lines are still the main logistics mode. As different regions and different categories have different requirements for logistics timeliness and shopping experience, the two modes of overseas warehouses and dedicated lines will coexist for a long time as complementary to each other.
In 2022, the delivery volume of overseas warehouses in emerging markets has increased significantly, but the growth rate in the European market has slowed down significantly due to factors such as inflation and energy crisis, and even some countries have experienced a decline. This has led some European sellers to turn to the US market. In addition, with Amazon raising FBA fees multiple times, third-party overseas warehouses have become the choice of more and more US sellers.
Currently, mature markets such as Europe and America are still dominated by FBA, but in weaker areas of Amazon, including Australia, Russia, Southeast Asia, Latin America, and Africa, third-party overseas warehouses are an effective supplement to FBA, and self-operated overseas warehouses have become one of the choices for large-volume customers, especially for sellers with personalized logistics and transportation requirements.
Home and garden are still the categories with the most shipments from overseas warehouses, accounting for more than 40%; followed by consumer electronics and automotive parts, both accounting for more than 10%; but from a growth perspective, computers, office supplies, home and garden, and musical equipment are categories with significant growth in 2022, with growth rates exceeding 100%.
That’s all for today’s introduction to the current status and trends of the overseas warehouse market. You can pay attention to relevant information and adjust your operation strategy in a timely manner. For more information on the cross-border e-commerce market and the overseas warehouse market, please refer to the BusinessDialogue team’s “2023 Overseas Warehouse Blue Book Special Edition”. You can also follow the [BusinessDialogue Observation] official account to get more information.
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