When registering an Amazon account, cross-border e-commerce sellers, especially new sellers, should choose the US site, because the US site covers the United States, Canada, and Mexico, while the European site covers the UK, Germany, France, Italy, Spain, when the Japanese site and Australian sites just covers Japan and Australia independently. Among these sites, why should cross-border e-commerce sellers, especially new sellers, choose the US site? There are several reasons for this.
For the first point, the entry threshold of the US station is the lowest. When registering an account, the US site is the easiest. According to the information you prepared in our previous explanation, use the socks5 node to configure the US residential IP to register the US website, basically the probability of passing is 100%. In such a situation, it is easy for us as a seller to have an account first, right? Of course, the weight of this account also requires us to maintain the stability of this residential IP for a long time to cultivate. At the same time, we know that foreign trade counterparts are often mentioned, and the counterparts are Europe and the United States. However, as the world's largest economy, the United States has always had the highest consumption capacity and consumption level, and its market share is the largest. In such a situation, for us sellers, it means that you can have the largest market, which must be a good thing. Of course, we operate the US website. Another reason for operating the US website under such circumstances is that the overall threshold of the US website is that the requirements of the platform rules are relatively loose, and the national policy is relatively looser. a policy. We all know recently that in other countries on the European station, each country is introducing its own VAT, which also includes e-commerce into the tax system. But for the current United States in Europe, this matter is not so serious for the time being. For most of our sellers, we don't have to consider taxation when we are doing US stations.
On the other hand, in the actual operation process, we will find that shipping goods to the United States is simpler, faster, and with better conditions, but shipping goods to Europe may have stricter scrutiny and restrictions. Overall, the U.S. is the market with the largest market share and offers us a lot of opportunities. Of course, you may also hear friends talking about the fierce competition in the US market during the previous understanding process. Because the US has the most sellers, it is recommended that you give priority to other markets.
In this case, I would say that the conclusions drawn by the person you are asking are based on his personal experience and experiences. But you have to remember that he is at a different height from you as a new seller. Therefore, the difference in viewing things from different heights is also different. For a new seller, what we need is to get started quickly and get on the road, while for an old seller, he may be more inclined to choose the blue ocean market. These two conditions determine the difference between choice and direction. But you ask me if I can choose the blue ocean market? Of course you can, but you will face more pressure. Because if you choose a market with a higher threshold, you have to know that you are a smaller individual and have not grown up to the extent that you can deal with such a challenge, then this challenge is very big.
Facing other countries, sellers need to deal with VAT tax in Europe, product certification in Japan, etc. These are many problems for sellers. On the surface, these may seem like thresholds, but in reality they can also be many pitfalls, right? There are a lot of traps, you don't know which trap you will fall into, and in such a situation, you will actually suffer a lot of damage. Back to our American station itself, is the American station really so competitive? Many people may give examples to illustrate, such as Amazon’s official data, saying that in 2017, the number of registered users on the US website exceeded 1 million. This is a very large number, and the competition must be fierce. But do such numbers make sense? From an economic point of view, such figures are of course meaningful, which means that the competition is indeed fierce, which means that this is a sea of red and a sea of blood. But don't forget that in such a situation, the actual situation you face may be different from this number. Why aren't all of these 1 million sellers necessarily your competitors? First of all, these 1 million accounts are not necessarily all active accounts. Some new sellers have not continued to operate after registration, and some accounts registered by old sellers are just backup accounts that have not been activated. In the process, the operation has ceased, or their old account has ceased operation, so they can only register a new account.
In addition, in such a situation, in addition to reducing the total number of accounts, there is another very important factor: even if we are all an insignificant molecule among the 1 million, we may not be in a competitive relationship. For example, if you sell clothing and I sell 3C electronic products, we will not compete with each other. Also, we shouldn't waste time on pointless socializing. In fact, on a competitive level, you don't have as many competitors as you think. So, for new sellers, don't be intimidated by 1 million sellers, because when you're entering an industry, it's actually not that scary.
Even in the commercial space you will find that the competition is not as great as you think because we can break down the numbers considering that some sellers are not in business, some sellers are not using FB to ship, some sellers have categories different from your product category. In this case, you will find that the competition is actually not as fierce as you thought.
On the Amazon platform, we recommend that you give priority to choosing the Amazon platform. At present, among the cross-border e-commerce platforms, the profit margin on the Amazon platform is relatively high. Because the profit margin is so high, we think Amazon is a more worthwhile platform. Although the competition on the US website is more intense than other platforms, if you operate with heart and earnestly, it is very feasible and easy to achieve a profit margin of about 30%. To sum up, for new sellers, the US market has a low threshold and is easy to get started. At the same time, the market is large and has promising prospects.