Introduction
Over the past two years, the full fulfillment model has brought significant changes to the cross-border e-commerce industry. By offering a low barrier to entry, it has attracted a surge of domestic manufacturers and traders—many with little to no experience in foreign trade or e-commerce. This influx has greatly enriched product diversity and fueled rapid industry growth.
The Shift from Full to Semi-Fulfillment
However, just as the full fulfillment model reached its peak, air freight capacity constraints emerged as a major bottleneck. In response, e-commerce platforms have shifted their focus toward a semi-fulfillment model that leverages sea freight and overseas warehouses. Unlike full fulfillment, semi-fulfillment is better suited for sellers with prior e-commerce and foreign trade experience, creating a clear divide between participants in these two models.
Rising Barriers for Cross-Border Sellers
Five years ago, most cross-border sellers—except those on Amazon, who primarily used overseas warehouses—relied on direct shipping from domestic warehouses. Now, with limited air freight capacity dominated by full-fulfillment platforms, industry growth depends on the semi-fulfillment model, where sellers must stock inventory in overseas warehouses.
For sellers accustomed to direct shipping, this shift presents new challenges:
✅ Higher capital requirements for inventory storage overseas.
✅ More efficient cash flow management to handle bulk stock investments.
✅ Stronger supply chain capabilities to ensure seamless fulfillment.
As a result, the financial threshold for cross-border e-commerce sellers is rising rapidly.
Conclusion
The industry is at a critical transition point. To remain competitive, sellers must adapt, enhance their operational capabilities, and embrace overseas warehouse strategies. Meanwhile, e-commerce platforms must refine their models to foster long-term industry sustainability.
🚀 How is your business navigating this shift? Let’s discuss!