80/20 Of Ecommerce – June 3, 2022

China Sourcing Updates

Update 6/3/22

As of Wed. June 1st, 2022 Shanghai has lifted the COVID lockdown according to Reuters.  

Source: Reuters/Aly Song

While the people are starting to resume a normal life and offices are now open, in terms of the supply chain it can be best summed up as “Everything is happening at once” according to Jarrod Ward, a supply chain executive from Yusen Logistics based in Shanghai. 

Further reports from supply chain professionals say that “I think the best way to describe it is that the firehose has been turned on full but the water is being forced through a sieve.  There’s massive back pressure and splatter as everyone is trying to figure out how to make things work while complying with the new reg(ulations).” 

Takeaway: While this is great news it may be a bumpy ride ahead in the near future as the supply chain tries to get back on track.  

The Sourcing Shift Away from China? 

As of mid-2022 China is no longer the only sourcing game in town. 

We have seen a shift away from China in the last 3 years as other sourcing destinations are gaining a share of the sourcing market.  

According to a survey of US and European businesses by QIMA, the top sourcing destination has shifted away from China.  In 2019 China represented 61% but it fell by 14% to 47% in Q1 2022.

Similarly, India’s sourcing market share has risen dramatically from 6% to 10% in the past 3 years.  

The takeaway is we are seeing a shift in the sourcing and supply chain base towards countries like India and Vietnam.  

Another key trend is “Nearshoring” as buyers are shifting their sourcing to nearby destinations such as Mexico for US buyers and Europe for buyers in the EU.  The thinking is that this close proximity will reduce shipping costs, lead times, and lower duties and tariffs. 

A key point to consider is that while buyers are shifting sourcing, they are not completely moving out of China because China is “too big to ignore”.  

No other single country can replace China.  In fact, the big players such as Apple and Nike have been adopting a China +n strategy.  They are outsourcing some products to other countries while keeping the non-movable production in China.  They have been doing this China +n for years.  Shouldn’t you? 

Good news – you probably don’t have a sourcing or supply chain department in your business so I’ve done the work for you.  

Introducing the 7 Figure Sourcing Summit (June 13th – 14th, 2022)

I’m super excited to announce the 7 Figure Sourcing Summit – The A to Z resource for all your Sourcing and Shipping Needs launching online June 13-14, 2022. 

It’s like the 80/20 of sourcing from around the world. 

You won’t find a resource like this anywhere else and you will learn sourcing strategies directly from 7 to 8 Figure Ecommerce sellers and sourcing experts.  

You can get your free pass right now at http://7figuresourcingsummit.com/ 

See you inside!

Amazon Ad’s Prime Day Summit is just around the corner

Image Credits: Amazon.com

Prime Day has signified a peak period for Amazon Sellers. This event also ensures that merchants reach out to customers, increase sales, and simultaneously build their own and Amazon’s businesses.

Amazon has established the Amazon Prime Day Summit. It will be held on June 7th and 8th, from 9:00 a.m. to 12:00 p.m. Pacific Time.

The first step is to create an account on your Seller Central dashboard. This can also help you create or improve a Peak Advertising Campaign and create powerful product description pages. It’s even better if you use the sessions to assist you set up and monitoring practices for your firm’s advertising side.

The summit will also give sellers an overview of numerous reports and a more excellent grasp of applying what they’ve learned to achieve success. There will also be live Q&A sessions to address vendor problems and questions.


Constant learning is an essential variable to the growth of your business. Stay relevant and innovate, especially in implementing strategies to keep up with the competition. Events similar to this Prime Day Summit can help.

Remote Fulfillment with FBA adjusts its fees

Image Credits: eCOMMERCE BYTES

Businesses that participate in FBA in the United States have been permitted to employ remote fulfillment with FBA since 2018. This is to make their merchandise in the United States available for purchase in Canada and Mexico. Customers have benefited from the program since it has expanded their options and made it easier to sell outside of the United States.

Amazon’s Remote Fulfillment with FBA takes advantage of domestic and foreign marketplaces. Amazon has made considerable efforts to assist its sellers better, nearly doubling the number of fulfillment facilities available. Over 750,000 full-time and part-time jobs were also added. All of this comes with an increasing hourly salary, ranging from $15 to $18.

However, beginning June 30, Amazon will adjust remote fulfillment fees with FBA fulfillment fees. These increases are believed to be comparable to or less than the industry average for fulfillment services. To better comply with the conventional FBA rate structure, they will also incorporate a dimensional weight adjustment in their rate calculation.


This initiative helped retailers to expand their business. However, we need to go to 2022 remote fulfillment with FBA fee changes to study how the shifting prices of fulfillment, shipping, storage, and customer support can influence our business.

[Video Replay] The Sourcing Algorithm Live Webinar

Did you know that Sourcing can make or break your business?

Gary Huang, founder of the 7 Figure Sourcing Summit and 80/20 Sourcing just provided a valuable discussion 

 In this masterclass, Gary shared the landscape of the supply chain around the world, what are the major changes that you have to know in 2022 and the 80/20 of the different areas of the world you can source from.

In this 60-minute live webinar, you’ll learn:

[2:48] Which of the countries most of you are interested to source from?

[3:20] Where most of you are currently sourcing from?

[4:09] Sourcing is Changing

[6:26] China – Sourcing King

[9:40] Q&A: What platforms should we use for sourcing apart from Alibaba

[11:08] India – Rising Star

[15:32] Mexico – Pura Vida

[19:44] The 9-9-6 work culture in China

[21:00] Vietnam – Big Players

[25:41] Q&A: How to get connected online with Vietnam sellers?

[27:34] USA – The American Dream?

[31:09] Q&A: What is the best country to source for Amazon Middle East and Australia?

[32:05] Sourcing Countries At A Glance

[32:45] Type of products you can get from different countries

[40:05] The 7 Figure Sourcing Summit – The A to Z resource for all your Sourcing and Shipping Needs

Watch the full replay here

In case you missed it:

Have a great weekend!


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