Business
Chinese warehousing service providers have used big data and other digital methods to choose ideal locations for domestic e-commerce companies which are expanding business internationally.
One of such providers is Discovery International Logistics, which is headquartered in Ningbo City, east China's Zhejiang Province, and has warehousing facilities in the U.S., UK, Australia and some other countries.
Recently, a domestic cross-border e-commerce company, which plans to send more than 2,000 sets of furniture products to the U.S. for replenishment, turned to Discovery for help in warehousing location selection.
The Discovery team decided to suggest its client to choose warehouses in southeastern U.S. cities, after analyzing data generated from its smart logistics supply chain platform, which offers foreign trade and overseas warehouse data in real time through information sharing, intelligent analysis and other technologies.
"They need to arrange warehousing in southern region of the United States for replenished goods. Based on data analysis, we want to suggest them to use the facilities first in Savannah, and later in Atlanta as it has a larger urban area," said Chen Haiyan, customer service manager of Discovery International Logistics.
After discussions, the Discovery team sent a report to the client.
"Based on big data analysis, we decide to stock goods in warehouses in eastern regions of the U.S., because the locations have a larger consumer base. We deliver goods in a targeted manner. This helps reduce product delivery time and fees, and lowers our costs," said Zheng Guoran, the operation manager of the cross-border e-commerce enterprise.
The construction of overseas warehouses allows export-oriented companies to send goods in batches to local storage facilities, which speeds up deliveries.
Thus, warehousing service providers like Discovery have played an indispensable role in Chinese companies' global expansion.