The 80/20 of Ecommerce – September 3, 2021

As we are turning the calendar to September, Happy Labor Day to those celebrating in the US!  

It’s the unofficial end of summer as we are almost entering fall and Q4.  

Meanwhile, because of space issues and Covid risks at our current residence, my family and I decided to move our home this week which is a big project so this will be a short newsletter.  

59 container ships stuck “at anchor” at the Port of Long Beach

It seems that the shipping headaches continue as there are now 59 container ships “at anchor” at the Port of Long Beach according to the Marine Exchange of Southern California.  

According to Business Insider, the Port of Long Beach, CA accounts for nearly one-third of US imports.  

The reasons for the wait include “ the labor shortage, COVID-19-related disruptions, and holiday-buying surges. 

Port of Los Angeles data indicated that the ships’ average wait time had increased to 7.6 days.”

 “The normal number of container ships at anchor is between zero and one,” according to Kip Louttit.

Source: Southern California Marine Exchange

As you can see from this graph, the problem seems to be escalating.  

Plan ahead guys and if you don’t have your orders for Q4 on the boat yet, better move fast so you don’t miss out!

Amazon bans over 50,000 “Blackhat” sellers in China

This can be considered “good news” for ecommerce sellers who are playing by the rules.  

According to a Global Times report “Since May, Amazon has blocked up to 50,000 Chinese sellers on its platform. The reasons for the ban include “improper use of review functions”, “soliciting fake reviews,” and “manipulating reviews by giving gift cards.”

What are the banned sellers doing to react?  

Some are looking at setting up their own websites to eliminate the risk of putting all their eggs in one Amazon basket.

But it’s not so easy driving traffic and building trust selling from your own website.

There is a saying in Chinese called “Kill the Chicken to scare the Monkey”.  Will this bloodletting by Amazon be the wakeup call needed to jolt Chinese blackhat sellers that they need to start playing by the rules? 

Time will tell!

The moral of the story is: In any case it makes business and ethical sense to play by the rules.

Here are some things you may have missed recently:

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.

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