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On November 10th, China and Indonesia signed a $10 billion agreement at the "China Indonesia Business Forum" held in Beijing, which not only marks the deepening of economic cooperation between the two countries, but also injects new vitality into peace and development in Asia and even the world. In this context, Best Group recently announced the official launch of cross-border supply chain services and SaaS solution services for the Indonesian market, which is another important layout of Best in Southeast Asia after Thailand, Vietnam, Malaysia, Singapore, and the Philippines. Since 2015, Best has been accelerating its efforts to expand into international markets. It has not only pushed its high-quality businesses to Southeast Asia, the United States, and other markets, but also adjusted and adapted to local market conditions from various aspects such as operation, organization, and technology, providing solid logistics support for the rapid development of the local economy.
The Road to Internationalization: Steadily Advancing, Penetrating the Eastern and Western Markets
As a leading provider of smart supply chain and logistics services in China and Southeast Asia, Best has undergone more than ten years of technological and business model innovation. It has over 20000 service outlets, nearly 400 cloud warehouses, and more than 3 million square meters of warehouse management area in China, providing high-quality comprehensive supply chain services to more than 3000 well-known enterprises and millions of small and medium-sized enterprises.
In 2015, BEST established a subsidiary in the United States, officially embarking on its international business journey. Since 2019, Best regards Southeast Asia as its most important overseas market, based on local express delivery services, gradually stacking and laying out warehouse networks, large item express delivery networks, cross-border logistics networks, software services, etc., forming a B2B2C and cross-border business network between China, Southeast Asia, and North America, providing global supply chain services for Chinese brands going global, as well as local brands in Southeast Asia and North America. The recent official launch of cross-border and software business in Indonesia marks a solid step forward in its internationalization layout.
As of now, Best's international business has covered seven overseas countries, with 33 self operated express distribution centers and 1128 sites in Southeast Asia. The overseas warehouse area has reached 47000 square meters and has achieved sustained growth in overseas revenue. According to the financial report, in the first quarter of 2024, Best International's business revenue reached 281 million yuan, a year-on-year increase of 42.6%. The total volume of cross-border business increased by 256.4% year-on-year, and the package volume in Southeast Asia increased by 39.4% year-on-year. Serving over 20000 Chinese enterprises and local brands, it demonstrates its strong competitiveness in the global logistics supply chain field.
Our internationalization process has always been accompanied by the concept of fully adapting to localization. For example, in Southeast Asia, we quickly laid out our network through franchising as the main approach and direct sales as a supplement, balancing the quality and cost of network services to the greatest extent possible. At the same time, we are compatible with both expatriates and local talents in team building, and have adapted our self-developed systems to local conditions in technology application. This has formed our unique competitive advantage and has been highly praised by the local governments and customers, making Best an indispensable member in supporting local economic development, "said Wang Xiaoqing, Vice President of Best Group and General Manager of Best International.
Supply Chain Upgrade: Connecting International and Domestic Networks to Assist Chinese Brands in Going Global
As Southeast Asia gradually becomes the main destination for Chinese enterprises to go global, the demand for customized supply chain services has significantly increased. On the basis of existing supply chain business experience and resource accumulation, Best has built a global supply chain service that includes domestic consolidation, cross-border logistics, overseas warehouses, express delivery, and fast delivery networks to meet the Southeast Asian overseas needs of brand customers. It can also provide customized supply chain overseas solutions for different customers' personalized needs. The supply chain services provided by Best in China are customized and have significant advantages in industries such as footwear, fast-moving consumer goods, automotive parts, and pharmaceuticals. We also hope to continue to leverage this advantage in the process of internationalization and lay a more smooth and efficient supply chain logistics channel for Chinese brands. Wei Yongqiang, Vice President of Best Group and Deputy General Manager of Best Supply Chain, said.
Moreover, in view of the rapid development of the e-commerce market in Southeast Asia, Best Cloud Warehouse, a subsidiary of Best Supply Chain, announced its comprehensive overseas plan in May this year. It will utilize its advanced digital system and strong operational capabilities to integrate front-end business flow, end logistics, and resource end, and build a cloud warehouse network in Southeast Asia that adapts to the international market.
Baishi Cloud Warehouse has nearly 400 franchise and direct operated cloud warehouses in China, serving over 30000 customers. This strategic upgrade not only provides support for Chinese enterprises to 'go global', helping them reduce operating costs and improve consumer experience, but also provides high-quality cloud warehouse service models for local customers in Southeast Asia, "said Wei Yongqiang.
Software Business Going Global: Digitized Support Empowers Small and Medium sized E-commerce Companies to Enhance Global Competitiveness
Baishi's continuous innovation in technology, networking, and supply chain services has never stopped. Considering that many customers who engage in private domain operations and marketing, as well as small and medium-sized cross-border e-commerce sellers, suffer from long management links, multiple transaction links, scattered information, and difficult interconnection on the road to going global, its subsidiary Baishi Software has cooperated with mainstream e-commerce platforms such as Shopee, Lazada, Tik Tok, Amazon, Temu, Shein, and established interfaces; On the other hand, we will launch multiple easy-to-use software products and provide SaaS solutions for all scenarios and links. For example, the software "Qianyi ERP" that provides comprehensive management services for cross-border sellers, the software "Qianyi WMS" that provides warehouse management, and the software "Qianyi TMS" that provides logistics and distribution management. Through these specialized management tools, the management efficiency and business transparency of small and medium-sized cross-border e-commerce have been improved, allowing them to focus on their main business and continuously build competitiveness.
Nowadays, small and medium-sized e-commerce companies have increasingly high precision requirements for customer management. They hope to integrate customer management and classification with subsequent marketing and after-sales service systems, so as to make the management chain more complete. Our software services have played a great role in assisting them in data collection, data analysis, and promoting comprehensive digitization, "said Chen Peng, Vice President of Best Group and General Manager of Best Software.
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