Online retailer brings baby products cross-border
As demand for American baby products increases among Chinese shoppers, Babyhaven not only saw an opportunity, it ran with it.
Babyhaven is an online retailer of baby and children’s merchandise in the United States. Like other brands however, the company is feeling pressure from competitors like Amazon, Walmart, and other traditional category retailers, such as Babies “R” Us, that can not only compete on price, but can offer speedier delivery windows.
“It is getting increasingly difficult to compete on price, as well as service,” said Babyhaven's CEO Jason Becker. “To compete on service, you need to operate more warehouses in order to get product to customers faster.”
However, Babyhaven saw an opportunity in an unlikely place — China. As the world’s largest e-commerce market, China represents a lucrative opportunity for U.S. and foreign retailers seeking new growth overseas. In fact, Chinese cross-border trading volume reached $ 920 billion (USD) in 2016, up 26% from 2015, according to data from iiMedia.
Further, Chinese consumers are demanding safe, high quality baby products — merchandise that is hard to come by in China. In fact, demand is so high that mom and baby products are the second most popular category for e-commerce sales in China, behind only cosmetics and personal care, according to iResearch.
It was this demand that pushed Babyhaven to establish a Chinese cross-border e-commerce site. By adopting a fully-managed platform from e-commerce provider Azoya International, the online retailer is creating a direct market presence in China that can be accessed online or through mobile devices.
Azoya helped Babyhaven develop a website that features localized content, and caters to the shopping behavior and tastes of Chinese customers. Azoya is also providing localized logistics solutions and operational services to ensure Babyhaven delivers a smooth customer experience overseas.
Babyhaven has big hopes for the site, which went live on May 11. “We hope that by the end of 2018, we will constantly see between 300 and 500 sales day on the Chinese site,” Becker said, adding that domestically, it processes upward of 6,000 orders a day.
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