I. Core Selection Criteria
Qualifications and Compliance
Confirm whether the overseas warehouse has a local business license, tax registration and customs record in the Philippines to avoid legal risks.
Prioritize a team that is familiar with the customs clearance process in both China and the Philippines to ensure merchandise compliance (e.g. FDA certification, import restrictions, etc.).
Location and Infrastructure
Proximity to core cities such as Manila: shorten end-to-end delivery time and cover major consumer markets.
Warehousing conditions: check constant temperature, moisture-proof and security facilities, especially for sensitive commodities such as electronics and cosmetics.
System and Technical Support
ERP/WMS system: support real-time inventory synchronization, multi-platform order docking (e.g. Shopee, Lazada), automated ordering.
Data Transparency: Provide inventory warning and sales analysis reports to help stocking decisions.
Logistics Network and Timeliness
Confirm the integration of local mainstream logistics providers (e.g. J&T, LBC) to ensure that the “last mile” covers the entire territory.
Standard delivery time commitment (e.g. 24-48 hours in Manila, 3-5 days in remote areas).
Cost Structure
Cost breakdown: Compare headway ocean/airfreight prices, warehousing fees (by volume/day), order processing fees, return and exchange fees.
Hidden costs: such as long-term warehousing fees, peak season surcharges, etc.
Second, the unique advantages of Chinese-owned overseas warehouse
Language and cultural communication
Chinese language customer service and docking team to reduce instruction misunderstanding and solve problems efficiently (e.g. emergency replenishment, after-sale disputes).
Localized Operation Experience
Familiar with Philippine consumer preferences (e.g. high percentage of COD cash payment), holiday promotion rhythm, provide stocking advice.
Value-added services
Customized services: labeling, packaging change, product quality inspection, photo inspection.
Return processing: support local quality inspection, refurbishment and resale to reduce losses.
III. Risk Avoidance and Field Verification
Field inspection or third-party verification
Inspect the warehouse through video inspection, or commission a third-party organization to assess the level of operation (e.g., order processing timeliness, error rate).
Trial operation stage
First send out small quantities of goods to test the whole process (inbound - on-shelf - outbound - after-sales), and monitor the actual performance.
Review contract terms
Clarify the liability for inventory loss/damage, service SLA (e.g., order processing time), and exit mechanism (e.g., clearance and return fees).
IV. Marketplace Adaptation and Scalability
Multi-platform support: whether it is compatible with Shopee, Lazada, TikTok Shop and other mainstream platforms.
B2B/B2C compatibility: e.g. serving wholesale customers and retail orders at the same time.
Expansion potential: whether to support the warehousing needs of neighboring countries in the Philippines (e.g., Malaysia, Indonesia) in the future.
Translated with DeepL.com (free version)
