7 Figure Seller Summit

80/20 Of Ecommerce – May 27, 2022

China Sourcing Updates

What we know

  • Port congestion in Shanghai could lead to airfreight congestion
  • Shanghai aims to lower down restrictions on June 1
  • Beijing authorities are strictly monitoring business ad residents

Image credits: Pexels

According to South China Morning Post, Shanghai aims to lower down restrictions on June 1. However, the production backlogs could lead to airfreight congestion in the coming weeks as they decide to loosen the pandemic restrictions. Despite this, the vast majority of shops, restaurants, and enterprises remain closed, and a work-from-home policy remains in effect.

Beijing on the other hand is still the Covid-19 hit capital of the country. As a result, they continue to tighten their zero-CoVid approach imposing consequences and punishments on businesses and residents that will not follow the mandate, Rappler Asia Pacific reported on Wednesday.

Despite the damage it has caused to the world’s second-largest economy and global supply networks, the government continues to focus on the zero-COVID policy. After a series of incidents involving a private logistics company within its control, certain employees of the state-run Beijing postal service were either fired or given a strong warning.

A few employees at a Beijing branch of the state railway corporation disguised their trip history and have been placed under police investigation.

According to the Shanghai local statistics bureau, exports from Shanghai, the world’s biggest container port, tumbled 44% year on year last month, while imports fell 33%, the steepest decrease since at least 2011.

E-commerce retail Q1 2022 report: a blip in the radar?

Image credits: Pexels

According to data provided by the US Department of Commerce on Thursday, US retail e-commerce sales in Q1 2022 totaled roughly $250 billion, up only 2.4 percent from the previous quarter.

According to the DOC, seasonal fluctuations were considered, but not price hikes. When you factor in inflation, the 2.4 percent increase in sales effectively flattens the e-commerce growth curve, which has been sagging since the third quarter of 2021, when e-commerce retail sales fell -0.7 percent from the previous quarter.

Overall retail sales in the United States were predicted to be $1.75 trillion in Q1 2022, up 3.7 percent from Q4 2021. Total retail sales grew 10.5 percent year over year in the first quarter.

As the Covid-19 lockdowns loosen, more customers are opting for brick-and-mortar retail. The e-commerce giant retailers are not an exception to the downward slope in the e-commerce growth curve during the onset of the pandemic. Amazon lost over $4 billion in the first quarter, its first quarterly shortfall since 2015.

Yet, this does not hamper the e-commerce sector from pooling the considerable market share gains. The annual e-commerce sales approach $1T, a double of the past three year’s sales. 

While YOY comparisons of e-commerce retail sales show a strong, mature online sector—DOC reported a 6.6 percent YOY increase in e-commerce retail sales in Q1 2022—the YOY growth rate in 1Q 2021 was an exponential 47 percent.

According to Prologis, e-commerce share will climb more exceeding its pre-pandemic trajectory. This is because of improved online sales technologies and same-day and next-day delivery strategies.

Takeaway: 

This report has two separate trajectories for ecommerce. Is a sign that e-commerce is slowing down or maybe it is just a bullish outlook? Do we really feel the slope going downwards, or this is just a blip in the radar?

Amazon Reportedly Ready to Dump Excess Warehouse Space

Image credits: Pexels

Amazon plans to lease some of its warehouse space to reduce excess capacity. The retail giant acknowledged it overbuilt its warehouses as it sought to meet pandemic demand. The company is finding ways to sublease the surplus of space estimated to be more than 10 million square feet. 

Amazon leased over 100 million square feet and owned 4.4 million square feet of fulfillment, data center, and other categories in North America at the end of 2019.

Depending on the market, other types of space are still being acquired by Amazon, such as Southern California office space, where it recently secured leases for a total of 439,500 square feet in Santa Monica, Irvine, and San Diego.

This big move from Amazon follows the first quarterly loss they incurred in April in which demand declined and affected the company’s warehouse operations. 

Takeaway:

Amazon sees a slowdown in their sales and is subleasing excess warehouse space and it could be a benefit to sellers in fewer inventory restrictions

Join me for a Live Training on Tuesday May 31, 2022 at 8PM Eastern Time about The Sourcing Algorithm

I’ve interviewed over 170 7-figure and 8-figure ecommerce experts and sellers. They said the ONE thing you need to get right is to choose a five-star profitable product.

After product selection, sourcing is the most important part of your ecommerce business. Because if you get it wrong, it can become a huge bottleneck and will bring forth bigger problems in the long run. 

Sourcing products for your eCommerce business is no longer a one-trick pony.

Previously everyone considered China as the first and often ONLY place to source and manufacture products for their ecom and FBA business.

Nowadays with the uncertainties with COVID and lockdowns continuing in China, many people are considering alternatives like India, Mexico, Vietnam, and even the US.  

If you want to source well, there’s a lot that you need to know.

But the ultimate resource you need to learn all of this from doesn’t exist yet. So, I decided to create one based on my over a decade of experience in sourcing and supply chains.

I’ve visited hundreds of factories on the ground in China, partnered with dozens of suppliers, and overseen millions of dollars of purchase orders with suppliers. In addition, I have an extensive network of sourcing and logistics contacts in India, Vietnam, and Mexico.

I’ve created The Sourcing Algorithm – the ultimate resource you need to start sourcing from China, Mexico, Vietnam, India, and the US. 

Join me as I will share this Sourcing Algorithm on a live webinar, Tuesday, May 31, 2022, at 8PM Eastern Time. 

Reserve your spot and send in your questions here: https://forms.gle/7FbSahBQaLXV619t8 

See you inside!

Get your Free Pass to 7FSS6 Evergreen now!

Registration is now open for the 7 Figure Seller Summit 6 Evergreen! Get ready to discover how 7 and 8 Figure Sellers think, overcome challenges, and strategize ahead of the e-commerce game. 

If you missed it the first time, good news! Due to popular demand, we have made 7FSS6 Evergreen. That means you can get a free pass to watch for a limited time right now!

You will learn how to do the following:

  • Develop the MINDSET of a million-dollar business owner and FUNDAMENTALS of creating a 7 Figure eCommerce business
  • Master MARKETING and Building a BRAND and Optimizing PPC to drive external traffic to your listings, build an audience that you can launch to, and rank your products with,
  • Implement strategies to SCALE your e-commerce business, so you’re working ON your business and not IN your business
  • Increase your PROFITABILITY, know your numbers, and cut expenses, so you keep more money in your pocket…
  • EXITS – How to build a business that will be attractive to buyers so you can SELL it

We’re excited to have over 30 outstanding entrepreneurs and experts speaking at this eCommerce online event. Enjoy over 30 hours of masterclasses and expert training! You will have 24 hours to view each session for FREE!

However, we believe that every individual, especially business owners, has a timeline and learning curve. 

Learn more about this 7FSS event and grab your free pass now!

In case you missed it:

Have a great weekend!

-Gary

About the Author sevenfiguresel

Meet Gary Huang, the creator of the AI for Amazon Sellers 28 Day Challenge and the founder of the 7 Figure Seller Summit. Gary's journey in the ecommerce world began in 2005, when he launched his first private label brand selling women’s shoes on eBay. Since then, he has steadily grown a portfolio of ecommerce brands on platforms like Amazon and Shopify, serving customers in marketplaces across the globe.

But Gary's experience isn't limited to just ecommerce. With a decade of corporate experience under his belt, he has managed supply chains in Shanghai, China, overseeing multimillion-dollar sourcing campaigns. This broad range of knowledge has provided him with a unique perspective on the ecommerce industry, which he now shares with others through his various initiatives.

He is a highly regarded figure in the ecommerce space, with his strategic insights and innovative approaches widely recognized in prominent media outlets including Forbes, NPR, and Bloomberg.

Recently Gary’s fascination with AI came from a simple observation: AI was changing everything, everywhere, all at once. This impact is affecting everything from education, politics, the arts, to ecommerce businesses.

This led him to spend hundreds of hours testing AI applications in his own business and interviewing other successful Amazon sellers and ecommerce experts at the AI and ChatGPT Summit for Amazon sellers.

His aim was to find out how AI could be used to grow ecommerce businesses, save time, and increase profitability. The insights he gained have played a crucial role in shaping the AI for Amazon Sellers 28 Day Challenge.

Outside of his own ventures, Gary has shared his expertise on platforms like the Helium 10 podcast, Jungle Scout's Million Dollar Case Study, Webretailer.com, and the Global Sources Summit. His understanding of global trade was even acknowledged when he served as the Chair of the American Chamber of Commerce in Shanghai's Supply Chain Committee, briefing White House Congressional officials on US-China trade and supply chain strategies.

Despite a career that has taken him around the world, from his native Los Angeles to Shanghai and now Japan, Gary remains down-to-earth, focusing on his role as a husband and father. His experiences, both personal and professional, inform his approach to business and the advice he shares through the 28 Day Challenge.

Leave a Comment:

12 comments
binance konto says February 22, 2026

Thanks for sharing. I read many of your blog posts, cool, your blog is very good.

Reply
wwb777game says February 24, 2026

What up! Thinking of jumping into wwb777game tonight. I like the variety of games they offer. Always something new to try. See what you think: wwb777game

Reply
10jili777 says February 24, 2026

Hey everyone! Gonna spend some time on 10jili777 later. I’m feeling lucky! Their site is pretty easy to navigate too. Join the fun: 10jili777

Reply
67betapp says February 24, 2026

Alright, downloading the 67betapp right now. Heard it’s pretty convenient for playing on the go. Hopefully it lives up to the hype! Give it a download: 67betapp

Reply
"oppna ett binance-konto says March 8, 2026

Your point of view caught my eye and was very interesting. Thanks. I have a question for you. https://accounts.binance.com/en/register?ref=JHQQKNKN

Reply
创建个人账户 says April 7, 2026

Your article helped me a lot, is there any more related content? Thanks!

Reply
binance says May 7, 2026

Thank you for your sharing. I am worried that I lack creative ideas. It is your article that makes me full of hope. Thank you. But, I have a question, can you help me?

Reply
b^onus de inscric~ao na binance says May 10, 2026

Thank you for your sharing. I am worried that I lack creative ideas. It is your article that makes me full of hope. Thank you. But, I have a question, can you help me?

Reply
注册Binance says May 15, 2026

Your point of view caught my eye and was very interesting. Thanks. I have a question for you. https://www.binance.bh/register?ref=IHJUI7TF

Reply
开设Binance账户 says May 17, 2026

Thank you for your sharing. I am worried that I lack creative ideas. It is your article that makes me full of hope. Thank you. But, I have a question, can you help me? https://www.binance.info/futures/ref?code=L4EUT9FG

Reply
创建免费账户 says May 18, 2026

Thanks for sharing. I read many of your blog posts, cool, your blog is very good.

Reply
binance Registrera says May 20, 2026

Thank you for your sharing. I am worried that I lack creative ideas. It is your article that makes me full of hope. Thank you. But, I have a question, can you help me? https://accounts.binance.com/register/person?ref=IXBIAFVY

Reply
Add Your Reply

Facebook
Twitter