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Cross-border e-commerce entrepreneurs, 5 growth stages of 0-1 billion
Dear sellers, are you now at 20 million, 50 million, or 100 million, so what stages should cross-border e-commerce go through if you want to reach 1 billion?Today, I'm going to break it down for you in a video. From the 5 stages of 0 to 1 billion, what do you need to do separately?
Foreword: Five Stages of Classification
Let's talk about the 5 stages first. First, the first stage is the 20 million to 50 million stage, then the second stage is 20 million to 50 million, the third stage is 50 million to 200 million, the fourth stage is 200 million to 500 million, and the final stage is from 500 million to 1 billion, then we will disassemble these sectors around each stage. First
1. Core secrets, what abilities do you have to have?
2. What should your organizational structure be at this stage?
3. Third, we'll tell you what ratio your profit margin should be at different stages.
4. In the fourth stage, your boss character is in this stage, what is the most important ability you should have?
5. The fifth point is, what are the continuous learning abilities you need at every stage?What are your shortcomings at this stage that require continuous learning.
6. Finally, we will give a four-word summary.
Then everyone, follow me and watch this video.
1. Core secrets, what abilities do you have to have?
2. What should your organizational structure be at this stage?
3. Third, we'll tell you what ratio your profit margin should be at different stages.
4. In the fourth stage, your boss character is in this stage, what is the most important ability you should have?
5. The fifth point is, what are the continuous learning abilities you need at every stage?What are your shortcomings at this stage that require continuous learning.
6. Finally, we will give a four-word summary.
Then everyone, follow me and watch this video.
Phase 1:0 to 20 million
Core secret: First, let's talk about the first stage of 0 to 20 million. Well, at the 0 to 20 million stage, most entrepreneurs have a common characteristic, which is that they have the courage to do things, and are willing to suffer. Well, at this stage, most people, such as individual entrepreneurship or two or three partners in a husband and wife store, work together to do this. One characteristic that actually exists in this stage is a dividend that really exists. Whether you are a product dividend, a time dividend, or a supply chain bonus, then at this stage, you can accept the dividends because you can bear hardships.
Organizational structure: The organizational structure of most of these teams, as we mentioned earlier, there are actually no teams. A few friends teamed up to complete this matter. This stage is actually relatively speaking, because there are few people, and your profit margin is a bit higher, and most everyone can achieve a profit margin of about 20% to 30%. The boss at this stage is simply a hard all-rounder. You can do everything, you can choose products, and even all of them Packaging, shipping, labeling, shelf creation, etc., all the things Amazon must do for later promotion, promotion, you have done everything. This is a difficult stage, but because you can get the dividends, and you can reach 20 million with few people. I've often shared with you a (concept) in the cross-border e-commerce industry called person-to-person ratio. The person-to-person ratio is to reach 10 million yuan per person per year, so usually 1 to 2 people are enough to complete it within 20 million.
Learning ability: So what skills do you need to keep learning at this stage?Summarizing one word is business, human finance. We will mention these terms in different sections in a moment. The most important thing in this stage is to improve operation technology, so everyone is working hard to study some operating methods and ways to make money. Everyone then thinks about more things such as drainage techniques, advertising ability, and finding celebrities outside the site, etc., all of which have solved the problem of operation technology. So why is this stage possible?If you read the four-character summary, it's actually very simple, that is, you only have strong personal abilities, can work hard, and receive the dividends. At this stage, you can easily earn 20 million. Well, if you haven't completed 20 million, prove that your own basic plan hasn't actually been established. 20 million is actually a basic card point, and it's also a stage where you have mastered your own methodology. After 20 million, you want to make a breakthrough.
Organizational structure: The organizational structure of most of these teams, as we mentioned earlier, there are actually no teams. A few friends teamed up to complete this matter. This stage is actually relatively speaking, because there are few people, and your profit margin is a bit higher, and most everyone can achieve a profit margin of about 20% to 30%. The boss at this stage is simply a hard all-rounder. You can do everything, you can choose products, and even all of them Packaging, shipping, labeling, shelf creation, etc., all the things Amazon must do for later promotion, promotion, you have done everything. This is a difficult stage, but because you can get the dividends, and you can reach 20 million with few people. I've often shared with you a (concept) in the cross-border e-commerce industry called person-to-person ratio. The person-to-person ratio is to reach 10 million yuan per person per year, so usually 1 to 2 people are enough to complete it within 20 million.
Learning ability: So what skills do you need to keep learning at this stage?Summarizing one word is business, human finance. We will mention these terms in different sections in a moment. The most important thing in this stage is to improve operation technology, so everyone is working hard to study some operating methods and ways to make money. Everyone then thinks about more things such as drainage techniques, advertising ability, and finding celebrities outside the site, etc., all of which have solved the problem of operation technology. So why is this stage possible?If you read the four-character summary, it's actually very simple, that is, you only have strong personal abilities, can work hard, and receive the dividends. At this stage, you can easily earn 20 million. Well, if you haven't completed 20 million, prove that your own basic plan hasn't actually been established. 20 million is actually a basic card point, and it's also a stage where you have mastered your own methodology. After 20 million, you want to make a breakthrough.
Phase 2:20 to 50 million
Core secret: From 20 million to 50 million, one of the most important points at this stage is that you must have core competitiveness as the boss, you must have the ability to stand alone, so in other words, it is possible that within the entire project, the product capabilities are particularly strong, or your operating ability is particularly strong, or your promotion ability is particularly strong, or let's talk about it, maybe Your development ability is particularly strong, which means you need to find a particularly strong point in these comprehensive capabilities in the field of cross-border e-commerce. If you prefer products, then you need to expand your product capabilities. For example, if your promotion ability is very strong, then you just need to rapidly expand your operation and promotion capabilities. If you don't have a particularly strong ability, it is very difficult for you to break through to 50 million in performance.
Organizational structure: Well, at this stage, let's talk about the organizational structure. Because your performance is growing, then you will also face a problem. You will have more and more transactional stuff, so you need to go to other auxiliary positions to help you solve some transactional tasks, then the organizational structure of a small team will gradually take shape. Some bosses may choose such as operation assistants, and some bosses may tidy up some stores, but we need to know that at the 50 million stage, the front desk may have more operations or operations assistants, so when we work in the middle office, you may cooperate with others, such as artists, to help you add more products to make more pictures, and you may have a warehouse in the back office. Of course, some companies don't have back-office warehouses, and the supply chain directly solved this position, so most of them should be a team size of 6 to 10 people at this stage, because you gradually need to start cultivating and reserving more talents for later development, so it's OK to reach 50 million within 10 years. At this stage, because your numbers are growing, then you will face some kind of problem, and your profit margin will definitely decline. Whether it takes up your management energy, or because your number of people is increasing and the labor efficiency ratio is declining, you will lose the profit margin of your entire project. Then at this stage, most companies will achieve a profit margin of about 15% to 20% before tax.
Learning ability: So what is the boss's role at this stage?We just mentioned to you at the beginning, that is, experts in a certain field. You must have extreme expertise in product, operation, vision, and supply chain, and if you want to start scaling it up quickly and rearrange your later 50 million or more, what continuous learning abilities do we need to solve?For example, in terms of business, we need to focus on a specific field, so what do we need to solve?To solve a financial problem, that is, your employees are gradually coming in, and their compensation plans need to be optimized and organized, so these are some things that need to be continuously learned at this stage, so we have summed it up in 4 words. At this stage, you need to solve the ability to take people to work, expand your own abilities, and at the same time, gradually copy your original methodology to these different front desk and back office teams, so that they can independently start helping you do some detailed things.
Organizational structure: Well, at this stage, let's talk about the organizational structure. Because your performance is growing, then you will also face a problem. You will have more and more transactional stuff, so you need to go to other auxiliary positions to help you solve some transactional tasks, then the organizational structure of a small team will gradually take shape. Some bosses may choose such as operation assistants, and some bosses may tidy up some stores, but we need to know that at the 50 million stage, the front desk may have more operations or operations assistants, so when we work in the middle office, you may cooperate with others, such as artists, to help you add more products to make more pictures, and you may have a warehouse in the back office. Of course, some companies don't have back-office warehouses, and the supply chain directly solved this position, so most of them should be a team size of 6 to 10 people at this stage, because you gradually need to start cultivating and reserving more talents for later development, so it's OK to reach 50 million within 10 years. At this stage, because your numbers are growing, then you will face some kind of problem, and your profit margin will definitely decline. Whether it takes up your management energy, or because your number of people is increasing and the labor efficiency ratio is declining, you will lose the profit margin of your entire project. Then at this stage, most companies will achieve a profit margin of about 15% to 20% before tax.
Learning ability: So what is the boss's role at this stage?We just mentioned to you at the beginning, that is, experts in a certain field. You must have extreme expertise in product, operation, vision, and supply chain, and if you want to start scaling it up quickly and rearrange your later 50 million or more, what continuous learning abilities do we need to solve?For example, in terms of business, we need to focus on a specific field, so what do we need to solve?To solve a financial problem, that is, your employees are gradually coming in, and their compensation plans need to be optimized and organized, so these are some things that need to be continuously learned at this stage, so we have summed it up in 4 words. At this stage, you need to solve the ability to take people to work, expand your own abilities, and at the same time, gradually copy your original methodology to these different front desk and back office teams, so that they can independently start helping you do some detailed things.
Phase 3:50 million to 200 million
Core secret: Well, after 50 million, everyone actually has a common goal called cross-border e-commerce. We must achieve 100 million. Over 100 million is definitely the standard for cross-border e-commerce companies. In fact, it seems like over 100 million dollars. We only did 15 million US dollars in business, so what should we start considering is 50 million to over 100 million to 200 million. How should we plan the layout at this stage?First, let's talk about what are the core secrets?The core secret must be replication. Whether you're copying a store, replicating a site, or a cloning talent, you have to solve the problem of batch replication. If the replication problem is not solved, it is difficult to achieve performance targets in the later stages by relying on the original single-store or two-store mechanism.
Organizational structure: Well, at this stage, let's talk about the organizational structure. In fact, there will definitely be some changes in the overall organizational structure. At the same time, there will be personnel growth and the appearance of department heads or heads of departments. Because of your needs, then there will be teams such as logistics to do our second-line support and support, so what we need at the front desk is not only an operation assistant and operation position, but the most important thing is to have an operation manager position, so that can help you do business copy. Well, in the middle stage, we have increased from the original American Union to now we need a design team to help your artists make a better visual experience. It will have some visual requirements. Well, at the same time, probably because your products are gradually increasing, then we need a photography team to reduce some of the costs of some of our overseas service fees. Then in the back office, in addition to the previous warehouse, we may need supporting procurement, documents, and some management personnel in the supply chain. They can solve our back-end stability problems, prevent us from being out of stock, and avoid factors such as poor quality control of this type of product. Well, finally, we mentioned that because the number of people is constantly increasing, if you want to achieve 200 million people, you should basically be in a team of about 30 people, or even a team of 30 people or more. If you have more stores, then you will have to solve logistics problems at this stage, that is, second-tier departments need personnel and finance, then maybe you also have to have financial skills such as document finance, cashiers, and maybe even have finance, for example, if he needs to understand some basic skills to refund taxes. Well, the organizational structure at this stage is such a structure. At this stage, it is because people continue to rise, and there will be some middle management personnel, so the salary of middle management personnel will definitely be much higher than at the grassroots level, and logistics personnel will be added at the same time. That is to say, according to the increase in the number of people and various benefits, your profit margin will drop once again, from 15% to 20% to 10% to 5%. What we are telling you is a net profit before tax.
Learning ability: So what is the boss's role at this stage?The boss is the busiest. We are called the Commander of the Three Forces. He has to lead so many teams to make progress and breakthroughs in this project. When he is busiest, he can gradually complete segmentation before you can develop in the future. So what abilities does the boss need to solve at this stage? Let's take a look at the three sections of human resources and finance. First of all, what people need to focus on is the stage of cultivating talents and replicating talents. So at the same time, you must completely set up your promotion channel, so if you have a promotion channel, of course they all have supporting incentive policies and salary conditions. What do we need to solve?When we do things, we must not only do things, but also form the methodology of your work into an SOP for unified management of your company. Well, SOP is very important at this stage. Well, with regard to talent training, it is nothing more than whether we have a complete internal training mechanism and training instructors. So the most important aspect of financial management at this stage is to motivate the grassroots, then you must establish a perfect promotion system, a perfect incentive system, and a perfect performance system to do a good job as an incentive at the grassroots level so that the grassroots can earn more. Well, in this way we can quickly reach the scale of 200 million, then we will give you 4 summary words in the 200 million stage. Remember to teach people to do things, because mentoring is already very important. If you want to solve the problem of copying, you must teach more people to help you do this.
Organizational structure: Well, at this stage, let's talk about the organizational structure. In fact, there will definitely be some changes in the overall organizational structure. At the same time, there will be personnel growth and the appearance of department heads or heads of departments. Because of your needs, then there will be teams such as logistics to do our second-line support and support, so what we need at the front desk is not only an operation assistant and operation position, but the most important thing is to have an operation manager position, so that can help you do business copy. Well, in the middle stage, we have increased from the original American Union to now we need a design team to help your artists make a better visual experience. It will have some visual requirements. Well, at the same time, probably because your products are gradually increasing, then we need a photography team to reduce some of the costs of some of our overseas service fees. Then in the back office, in addition to the previous warehouse, we may need supporting procurement, documents, and some management personnel in the supply chain. They can solve our back-end stability problems, prevent us from being out of stock, and avoid factors such as poor quality control of this type of product. Well, finally, we mentioned that because the number of people is constantly increasing, if you want to achieve 200 million people, you should basically be in a team of about 30 people, or even a team of 30 people or more. If you have more stores, then you will have to solve logistics problems at this stage, that is, second-tier departments need personnel and finance, then maybe you also have to have financial skills such as document finance, cashiers, and maybe even have finance, for example, if he needs to understand some basic skills to refund taxes. Well, the organizational structure at this stage is such a structure. At this stage, it is because people continue to rise, and there will be some middle management personnel, so the salary of middle management personnel will definitely be much higher than at the grassroots level, and logistics personnel will be added at the same time. That is to say, according to the increase in the number of people and various benefits, your profit margin will drop once again, from 15% to 20% to 10% to 5%. What we are telling you is a net profit before tax.
Learning ability: So what is the boss's role at this stage?The boss is the busiest. We are called the Commander of the Three Forces. He has to lead so many teams to make progress and breakthroughs in this project. When he is busiest, he can gradually complete segmentation before you can develop in the future. So what abilities does the boss need to solve at this stage? Let's take a look at the three sections of human resources and finance. First of all, what people need to focus on is the stage of cultivating talents and replicating talents. So at the same time, you must completely set up your promotion channel, so if you have a promotion channel, of course they all have supporting incentive policies and salary conditions. What do we need to solve?When we do things, we must not only do things, but also form the methodology of your work into an SOP for unified management of your company. Well, SOP is very important at this stage. Well, with regard to talent training, it is nothing more than whether we have a complete internal training mechanism and training instructors. So the most important aspect of financial management at this stage is to motivate the grassroots, then you must establish a perfect promotion system, a perfect incentive system, and a perfect performance system to do a good job as an incentive at the grassroots level so that the grassroots can earn more. Well, in this way we can quickly reach the scale of 200 million, then we will give you 4 summary words in the 200 million stage. Remember to teach people to do things, because mentoring is already very important. If you want to solve the problem of copying, you must teach more people to help you do this.
Phase 4:200 million to 500 million
Core secret: Well, after 200 million, many sellers are actually stuck. Their upward phase is very difficult. If they want 200 million to break through 500 million, what is the most important point for everyone to remember at this stage?It's mid-tier lumbar strength. You can no longer be a person who teaches people to do things. What do you need to recruit? You need to recruit more high-end talents. They are professionals who can teach you how to do things. This is very important. Many bosses haven't thought this clearly, and have always thought that the boss should be the strongest person. The boss may be in a certain sector. You are relatively competent, or you are very strong in overall coordination and strategy, but that doesn't mean you are very strong in every business system, so we need to recruit more people who can teach your team and teach your boss how to expand and work in this sector, so remember that recruiting professional talents to teach you to do things is very important in this area. If you don't recruit, then you'll probably be stuck there and unable to break through, then you've recruited more and better professionals, which means your entire team will have strong fighting skills and are gradually improving, then this is the right thing to do. Well, when it comes to layout, everyone probably not only lays out one channel. For example, Amazon is also doing it. Everyone is doing all kinds of channels, and the solution is the problem of multi-channel replication.
Organizational structure: Well, at this stage, it's actually not just a manager on a certain project. What you need is a director who can teach your team to work. Then this director will be divided into, for example, a content director, a private domain director, a supply chain director, and at the same time, your personnel skills need to be upgraded. You need a political commissioner, then you need a position in HRBP as a vice president to help you manage your entire individual and team issues. At the same time In accounting, you're not just an administrative accountant, a cashier, or some bookkeeping accountant; at the same time, you must also have business management and finance. He also has the position of director. If these talents are combined to teach the team to work and teach the boss to do things, your ability to fight will increase, then you have a chance to reach 500 million. Well, the profit margin at this stage, because of the entry of executives, the overall cost is still gradually rising, but our performance is rapidly rising, so the profit margin before tax at this stage will still decline. For most companies of around 500 million dollars, everyone's profit margin should be around 8% to 10%.
Learning ability: At this stage, you are the boss of the team, either the general manager or the chairman of the board, so what abilities do you need?Everyone should remember to take the team to set goals, pay attention to the process, and get results. What you need to think more about is these strategic issues and goal issues. Let's take a look at what human and financial issues we need to solve at this stage as a general manager. First of all, we've always emphasized to everyone that we need to introduce this kind of supervisory power and executive strength to solve the problem of leading people to do things, so what do we need to do?We need to focus on the goal setting and tracking process and make a complete systematic plan. What problems need to be solved by finance? Finance solves the motivation problem of middle level lower back strength, because you have already solved your complete grassroots plan before 200 million, so at this stage, what is more important is that the incentive plans for middle management and executives must keep up in order to retain this kind of highly skilled talent. At the same time, performance evaluation is very important. It assesses people above middle management cadres, not simply grassroots cadres. Get someone to do the job.
Organizational structure: Well, at this stage, it's actually not just a manager on a certain project. What you need is a director who can teach your team to work. Then this director will be divided into, for example, a content director, a private domain director, a supply chain director, and at the same time, your personnel skills need to be upgraded. You need a political commissioner, then you need a position in HRBP as a vice president to help you manage your entire individual and team issues. At the same time In accounting, you're not just an administrative accountant, a cashier, or some bookkeeping accountant; at the same time, you must also have business management and finance. He also has the position of director. If these talents are combined to teach the team to work and teach the boss to do things, your ability to fight will increase, then you have a chance to reach 500 million. Well, the profit margin at this stage, because of the entry of executives, the overall cost is still gradually rising, but our performance is rapidly rising, so the profit margin before tax at this stage will still decline. For most companies of around 500 million dollars, everyone's profit margin should be around 8% to 10%.
Learning ability: At this stage, you are the boss of the team, either the general manager or the chairman of the board, so what abilities do you need?Everyone should remember to take the team to set goals, pay attention to the process, and get results. What you need to think more about is these strategic issues and goal issues. Let's take a look at what human and financial issues we need to solve at this stage as a general manager. First of all, we've always emphasized to everyone that we need to introduce this kind of supervisory power and executive strength to solve the problem of leading people to do things, so what do we need to do?We need to focus on the goal setting and tracking process and make a complete systematic plan. What problems need to be solved by finance? Finance solves the motivation problem of middle level lower back strength, because you have already solved your complete grassroots plan before 200 million, so at this stage, what is more important is that the incentive plans for middle management and executives must keep up in order to retain this kind of highly skilled talent. At the same time, performance evaluation is very important. It assesses people above middle management cadres, not simply grassroots cadres. Get someone to do the job.
The fifth stage: 500 million to 1 billion
Core cheats: So after breaking through 500 million dollars, it will grow to 1 billion dollars in demand, then what is the core secret?Everyone should know that the first is layout, the second is to go global, the third is to build a brand, and fourth, to do all categories. If it is a single brand or a single category, it is difficult to support this kind of performance and then develop on an upward scale. At the same time, we need to think more about strategic layout issues, and then go out and use more resources to find money to find people to do these things.
Organizational structure: At this stage, the organizational structure is already very complete. At the same time, various business departments and business departments with different channels and different overseas situations will appear, so after the division is established, they will all have the powerful bosses we just mentioned to help you support you. At the same time, they will share your back-office and logistics second-line departments. Well, after the organizational structure has been perfected, then the overall team size will rapidly rise, then the profit margin will drop again. Basically, the profit margin will drop to about 6% to 8% at this stage. So as the core founder, the core boss needs to solve the problems of strategic thinking experts. You need to look more at changes in the environment, look at different channels, and some changes under different sites, different countries, or different product lines, different categories, and different brands. Well, after watching the changes, you have to make your entire strategic decision based on the changes, this is as One of the things the founder's boss focused on at this stage.
Learning ability: So what are the continuous learning abilities we need to address at this stage?First, we need to solve the problem of how to retain some of the higher-end talents. As the person in charge of our project, we pay dividends such as proxy management shares, or do we need to directly pay some share of the shares. It is also very important that we solve the overall strategic plan, and whether our entire business model is correct, and whether the changes and decisions are correct, then the ultimate financial situation not only refers to incentive policies. As the founder, the most important place is to live properly. So what you need to solve is fiscal and tax equity compliance issues to make your company more healthy Develop towards 1 billion or even more than 1 billion dollars. We've summarized what you need to do at this stage in 4 words. It's called finding the right thing, looking at the overall business market with a changing perspective, and making more decisions is very important.
Note: This article is for KOL experience sharing. The data, strategies and suggestions mentioned are the author's personal opinions and are for reference only.
Organizational structure: At this stage, the organizational structure is already very complete. At the same time, various business departments and business departments with different channels and different overseas situations will appear, so after the division is established, they will all have the powerful bosses we just mentioned to help you support you. At the same time, they will share your back-office and logistics second-line departments. Well, after the organizational structure has been perfected, then the overall team size will rapidly rise, then the profit margin will drop again. Basically, the profit margin will drop to about 6% to 8% at this stage. So as the core founder, the core boss needs to solve the problems of strategic thinking experts. You need to look more at changes in the environment, look at different channels, and some changes under different sites, different countries, or different product lines, different categories, and different brands. Well, after watching the changes, you have to make your entire strategic decision based on the changes, this is as One of the things the founder's boss focused on at this stage.
Learning ability: So what are the continuous learning abilities we need to address at this stage?First, we need to solve the problem of how to retain some of the higher-end talents. As the person in charge of our project, we pay dividends such as proxy management shares, or do we need to directly pay some share of the shares. It is also very important that we solve the overall strategic plan, and whether our entire business model is correct, and whether the changes and decisions are correct, then the ultimate financial situation not only refers to incentive policies. As the founder, the most important place is to live properly. So what you need to solve is fiscal and tax equity compliance issues to make your company more healthy Develop towards 1 billion or even more than 1 billion dollars. We've summarized what you need to do at this stage in 4 words. It's called finding the right thing, looking at the overall business market with a changing perspective, and making more decisions is very important.
Note: This article is for KOL experience sharing. The data, strategies and suggestions mentioned are the author's personal opinions and are for reference only.
The above content only represents the creators' personal opinions. The data is for reference only, and does not represent the official views of Amazon Global Store.
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