I want to add: I don't believe that Walmart's logistics cost is as low as 1.3%.
Back to Lang Xianping's blog "behind the low price of Walmart every day:Walmart's logistics costs accounted for 100 of the sales of 1.3% yuan, Kmart was 8.75%, and westles was 5%.
First of all, I have some doubts about the syntax of this passage: What is 100 of 1.3% yuan? If the percentage is one hundred yuan, one thousand yuan, 10 thousand yuan is the same as 1.3% yuan, there is no need to modify it!
Second: I hope that the logistics cost here should include general definitions in the industry, including freight, consumables (containers, etc.), warehousing, labor, loss, and even insurance. If Walmart outsourced this part or distributed this part to upstream manufacturers, it should be explained and cannot be directly compared with the logistics cost data of other manufacturers. But in the original article, Lang Xianping said that Walmart is in the unified upstream and downstream, at least compare the entire supply chain, so I think the 1.3% originally intended by the author should include all these costs.
Third: Walmart's products cover lower-end products, such as daily necessities, or foods mentioned by the author, which are similar to K-Mart, but Sears) the average unit value of the product is small, so the relative logistics cost of the product should be high. Regardless of the optimization through information technology and other means, the relative logistics cost of a kilogram of cabbage cannot be four times lower than the relative logistics cost of a kilogram of electrical appliances or jewelry.
Fourth: if this is Walmart's global data, the U.S. data is very weighted. Wal-Mart 40%-60% (my conservative estimate) is made in China, and many small commodities from slippers to toys. The sea freight for a single container in the United States is about 3000 ~ $6000, not as low as 1.3%, at least similar to other manufacturers.
Fifth: if this is China's data, it will be compared with 22% of China's data. Unfortunately, in addition to a little bit cheaper labor in China, other products are in line with international standards, or they are derailed by international companies: cars are more expensive than us! Oil is more expensive than the United States! With our special features: toll? Urban management protection fee?
Sixth: this data is at least not a reality. Otherwise, no retail chain in the world will survive today, because it is not comparable. Although it may not be a good thing for customers. The truth is simple: even if I love the country, it doesn't mean that I love state-owned enterprises. Who can guarantee that I don't have melamine milk powder or cucumber without birth control pills? Who can I buy? What's more, it's 10-20% cheaper?
My main website: http://vincentyang.cn/blogs/vincentyang/archive/2009/10/10/1-3.aspx