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Seller story
This 91 year seller is so desperate!Niche office products have actually become a hit on Amazon, with annual sales exceeding 100 million!
November 8, 2022
Reading time about 5 minutes
The cross-border e-commerce industry is experiencing a flourishing era
Here, there are both famous celebrities who have “been around for many years” and hidden masters who “do big things in a quiet voice”. There are many factions and diverse strategies, showing that the cross-border e-commerce industry is thriving. Under the wave of going out to sea, a group of new post-90s foreign traders appeared one after another. They sought unique tips to win by surprise, and continued to refine their martial arts, hoping to make a difference in martial arts. Nanjing Xinmai Information Technology Co., Ltd. (hereinafter collectively referred to as “Xinmai Technology”) is one of them. In 2017, the two formed a group to cross borders. Relying on a perfect supply chain system, data operation capabilities, and the hard work of the post-90s, Xinmai Technology achieved sales exceeding 100 million in 2019. Today, the cross-border operation team has expanded to 50 people, and sales have doubled continuously in the past two years.
Here, there are both famous celebrities who have “been around for many years” and hidden masters who “do big things in a quiet voice”. There are many factions and diverse strategies, showing that the cross-border e-commerce industry is thriving. Under the wave of going out to sea, a group of new post-90s foreign traders appeared one after another. They sought unique tips to win by surprise, and continued to refine their martial arts, hoping to make a difference in martial arts. Nanjing Xinmai Information Technology Co., Ltd. (hereinafter collectively referred to as “Xinmai Technology”) is one of them. In 2017, the two formed a group to cross borders. Relying on a perfect supply chain system, data operation capabilities, and the hard work of the post-90s, Xinmai Technology achieved sales exceeding 100 million in 2019. Today, the cross-border operation team has expanded to 50 people, and sales have doubled continuously in the past two years.
01 Using data to drive product innovation and popularity is a matter of course
Every Wednesday morning, analyzing product data on the data board for half a day is already the norm for President Wang's work. “The data department collects the data once a week and compiles it to me. “Mr. Wang is naturally sensitive to data. “Data is the most realistic way to reflect product and market conditions, and I also require operators to have data awareness and data analysis skills.” According to Mr. Wang, Xinmai Technology has long realized that digital operation is the general trend of cross-border e-commerce, and began experimenting with building a data model in 2020. It's all from product selection to operation, from hardware to software, and from teams to supply chains. The trial and error process of more than two years also made Mr. Wang deeply feel the hardships and difficulties involved. However, after all the suffering, data operation has become a “killer” for Xinmai Technology to win over overseas markets.
Many products have become the best sellers, what is the secret to making them popular?
Our data department will include the company's own data, competition data, industry data, etc., build different product promotion models from the perspective of data analysis, and then conduct comprehensive analysis of operations based on the model to optimize key indicators over and over again. Of course, the model is also constantly being optimized and upgraded. This may be the main reason “we can run faster than our opponents and run faster than ourselves yesterday.”
Our data department will include the company's own data, competition data, industry data, etc., build different product promotion models from the perspective of data analysis, and then conduct comprehensive analysis of operations based on the model to optimize key indicators over and over again. Of course, the model is also constantly being optimized and upgraded. This may be the main reason “we can run faster than our opponents and run faster than ourselves yesterday.”
Take an example
“In the early days, through market and keyword tracking and analysis, we discovered that there was a surge in demand for products in North America — shelves to hang on the wall for placement and decoration, but the material, color, pattern of wood, and how to choose the shape to match the iron parts were all very careful.” Xinmai Technology's approach is to select “enduring” product elements in the shelf market in the past three years as basic elements through product selection data; then screen the new products that have risen the fastest in the past six months, analyze their popular elements and attributes that are different from the old products and refine them; then combine classic and recent popular elements to innovate and mix, measure the five plans designed in small batches, and then decide whether to mass-produce on a large scale based on feedback from post-launch operation data.
“In the early days, through market and keyword tracking and analysis, we discovered that there was a surge in demand for products in North America — shelves to hang on the wall for placement and decoration, but the material, color, pattern of wood, and how to choose the shape to match the iron parts were all very careful.” Xinmai Technology's approach is to select “enduring” product elements in the shelf market in the past three years as basic elements through product selection data; then screen the new products that have risen the fastest in the past six months, analyze their popular elements and attributes that are different from the old products and refine them; then combine classic and recent popular elements to innovate and mix, measure the five plans designed in small batches, and then decide whether to mass-produce on a large scale based on feedback from post-launch operation data.
How to uncover the meaning behind the data?
Building a model requires collecting a large amount of data. This is what our operations do every day. In the process of collecting data, they can also simultaneously understand the current location of their products and the space for optimization. When operations find points that can be optimized in data, data promotion models can be used to verify whether decisions are effective.
Building a model requires collecting a large amount of data. This is what our operations do every day. In the process of collecting data, they can also simultaneously understand the current location of their products and the space for optimization. When operations find points that can be optimized in data, data promotion models can be used to verify whether decisions are effective.
Take an example
Case 1
The operators of Xinmai Technology discovered that the price of a shelf was lower than the price of competitive products, but it was still unsellable. Through sales data analysis, they discovered that it is possible to support consumers' approval of the price through marketing activities. As a result, Xinmai Technology raised prices and set up a “buy one get one free” giveaway promotion. The end result was that 1000+ stocks were emptied.
Case 2
“There is a new computer desk product. After setting up coupons and exclusive Prime discounts, sales did not change much. Since there was no prior data accumulation, we didn't know where customers were sensitive to price, so we began to switch to a fixed market average price and enhance the product interface to increase the conversion rate. Through the competitive data model, we found that high-selling furniture products will add a video section for product assembly to the product page. After we added product installation videos, the rapidly increasing click rate once again confirmed the importance of establishing a data model. Abbottt, Premiere Creative’s creative director.
The operators of Xinmai Technology discovered that the price of a shelf was lower than the price of competitive products, but it was still unsellable. Through sales data analysis, they discovered that it is possible to support consumers' approval of the price through marketing activities. As a result, Xinmai Technology raised prices and set up a “buy one get one free” giveaway promotion. The end result was that 1000+ stocks were emptied.
Case 2
“There is a new computer desk product. After setting up coupons and exclusive Prime discounts, sales did not change much. Since there was no prior data accumulation, we didn't know where customers were sensitive to price, so we began to switch to a fixed market average price and enhance the product interface to increase the conversion rate. Through the competitive data model, we found that high-selling furniture products will add a video section for product assembly to the product page. After we added product installation videos, the rapidly increasing click rate once again confirmed the importance of establishing a data model. Abbottt, Premiere Creative’s creative director.
How can enterprises reduce costs and increase efficiency through digitalization?
Finely manage every important indicator!When “efficient operation” becomes the “secret weapon” for the continuous development of an enterprise, every data is refined, and cost reduction will naturally happen sooner or later!
Finely manage every important indicator!When “efficient operation” becomes the “secret weapon” for the continuous development of an enterprise, every data is refined, and cost reduction will naturally happen sooner or later!
Expand the speech
According to the data analysis model of the logistics sector, Xinmai Technology found that the logistics cost of magnetic whiteboards remains high, and there is still room for optimization of indicators such as “product weight” and “packaging costs.” As a result, Xinmai Technology made improvements to the product material and packaging strategy of the magnetic whiteboard one by one, which ultimately reduced the FBA shipping fee for each product by 2.5 US dollars.
● Adjust the thickness and material of the magnetic whiteboard, and change the material continuously according to the results of the drop resistance test until the product is as thin as possible without bending.
● Anti-collision corners are wrapped in the four corners of the magnetic whiteboard, and a layer of squeezed foam is placed on the top and bottom of the package to reduce transportation damage and control the return rate.
● Test the changes in the length, width, and height of the overall product box due to the placement and packaging methods of different giveaways to minimize initial and FBA costs.
● Adjust the thickness and material of the magnetic whiteboard, and change the material continuously according to the results of the drop resistance test until the product is as thin as possible without bending.
● Anti-collision corners are wrapped in the four corners of the magnetic whiteboard, and a layer of squeezed foam is placed on the top and bottom of the package to reduce transportation damage and control the return rate.
● Test the changes in the length, width, and height of the overall product box due to the placement and packaging methods of different giveaways to minimize initial and FBA costs.
02 Cross-border e-commerce is a long-term business that can't just look at morning and evening
As a semi-veteran player in the cross-border industry, “don't forget the original intention to make a good product” has always been Mr. Wang's creed. Since the launch of Amazon, it has set up its own data department from scratch, and the operation team has continued to expand and form five sub-groups based on the product line to continue to introduce new patented products... As can be seen, what Xinmai Technology wants to do is a good product that is trustworthy, of good quality, and loud. Mr. Wang also admits that “being in a hurry to achieve results” has strengthened the company's determination to make great strides.
Mr. Wang said, “We have stepped on a hole before. When we came up, we wanted to be in the high-end market because the profit was very high, but it turns out that if we want to go high-end, we actually need to build up the user mentality. It's hard to pay directly without approval for the brand; we still can't hurry. "
So, how do you deeply embed brand values into the hearts of customers through product strategies?Xinmai Technology thought of a method — focusing on popular models in the early stages, seizing market share of basic models, and then listing patented products to enhance brand recognition. “Once customers are aware of our brand, they can accept that we sell slightly more expensive products. The profit is high, and it can also save a lot of advertising expenses. Abbottt, Premiere Creative’s creative director.
Mr. Wang said, “Patented products can guarantee profits, enhance our company's competitiveness in the industry, and in turn inspire us to develop new products. Therefore, Xinmai Technology has continued to increase investment in research and development, established its own product development center, and recruited many first-line industrial designers, hoping to create products that “continuously meet consumer needs and have brand attributes.” "
“Make it “small but beautiful” and then seek “big and complete””
Mr. Wang said, “We have also stepped into the “cross-category” pit. The direct result of this practice is that traffic is not accurate, which is very bad for product conversion. "
The lessons learned this time also gave Mr. Wang some inspiration: “You can't segment for the sake of segmentation; you must carefully consider what problems consumers need to solve in this scenario; let the consumer's needs determine the appropriate category.” Faced with a market environment full of wolves, Mr. Wang showed a rare kind of patience.
“Our top priority is to refine every category so that every segment team can focus on the category they are responsible for. Of course, we will also recruit more artists and designers to form an increasingly refined operating model.” As to whether the successful experience will be replicated to other sites, Mr. Wang said, “You have to chew down the hard bones one by one. Let's concentrate our efforts on understanding this one site in North America first. Abbottt, Premiere Creative’s creative director.
03 Launched on Amazon Business Purchases I won a large corporate order
As the saying goes, “Good style and strength take me to the clouds. ” If you want to easily lay out globally, sometimes you need proper leverage. Xinmai Technology has always understood this principle.
Mr. Wang said, “We discovered that quite a few overseas companies are also making purchases on Amazon, so we launched Amazon Business Purchases. Corporate purchases have helped us gain new business growth. Currently, our B-side sales on Amazon already account for about 10% of total sales, and this ratio continues to rise. "
“On Amazon, we can not only face end consumers, but also win big business orders, so we can walk on two legs. ” Mr. Wang revealed that with Amazon corporate purchases, Xinmai Technology's business has been revitalized, in large part thanks to the product selection itself. “Some products themselves have B-side best-selling properties. For example, our magnetic whiteboards have always been frequently purchased by overseas companies and schools. With the improvement of the overseas epidemic, magnetic whiteboards have also ushered in a peak in procurement.” How can it be easier to directly target the preferences of business buyers?Mr. Wang also gave two empirical remarks.
Set up quantity discounts
“We set volume discounts according to different quantity tiers. For example, when ordering 10, 30, and 80 products, the price decreases sequentially. When business buyers see an appropriate discount, they place an order directly without additional communication. Abbottt, Premiere Creative’s creative director.
“We set volume discounts according to different quantity tiers. For example, when ordering 10, 30, and 80 products, the price decreases sequentially. When business buyers see an appropriate discount, they place an order directly without additional communication. Abbottt, Premiere Creative’s creative director.
Accreditation and certificate display
“We have uploaded environmental certificates, product certifications, etc., which makes it easier to gain buyers' trust and increases the chances of getting orders. Abbottt, Premiere Creative’s creative director.
As a brand owner, Mr. Wang believes that Amazon's purchase to Xinmai Technology has built a global bridge to help Xinmai Technology efficiently connect with global enterprise end customers. In the future, Mr. Wang said that Xinmai Technology will continue to carry the “tailwind” of Amazon's purchases, seize more B-side large order business opportunities, and while increasing the buyers' repurchase rate, continuously optimize its own operating model and further expand its brand influence.
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