Projections are indicating a large growth of consumers engaging in cross-border eCommerce in the next few years. Some have predicted *$1 Trillion in cross-border eCommerce by 2020 at a faster growth rate than is forecasted for domestic US growth.
How Do You Tap Into the Billion Dollar Market?
Three areas to keep an eye on escalating your international market to maximize your profits:
The eCommerce space has been set up to make shopping easier for the domestic consumer and manageable for the eTailer. However, when it comes to cross-border tools for the merchant, those tools have been very limited. When looking for software to augment your existing eCommerce platform, some key items to look for is the ability to manage your processes:
Q- How is it possible to comfortably handle, all the nuances of international sales?
A- Gain access to a controllable robust rules engine (Robbi). With Robbi rules and process are easily defined including your own business nuances.
Q- How much should I localize my online shop?
A- If your platform is in English don’t concern yourself with language translation. The consumer will shop in the language of your site. Browsers also offer a number of translation options for the user. Instead, localize with correct address formats, accurate landed cost and currencies. Ignoring these in your shop kills customer conversions.
Q- How about shipping options?
A- Work with your preferred carrier for multiple logistic service levels. Use technology to surface the right options based on consumer, country or product. iGlobal Stores is the leading software to help with shipping options, landed costs, fully integrates with your shop and more.
Third party logistic providers want to take away control of the consumer from a merchant who engages in cross-border. They want control of the logistics, the price and the consumer to make the profit margins they seek, not the profit margins that are good for your business. Before you give up revenue from your product, shipping, duties, taxes and fraud, take a look at your deliverables and evaluate what is the right solution.
Q- Should I have multiple logistical service options based on product, country, and consumer?
A- Yes you should. You lose negotiation power when you give up your international and outsource to a 3rd party provider.
Q- Should I take my own payment?
A- In many cases the answer is yes. Your shop may not have a high risk for consumer fraud but you could pay a hefty premium for a 3rd party to assume that risk.
Q- Should I set the price for the product?
A- Yes you should. You lose control over your profits when you use a 3rd party provider, they set the price, not you.
With the right technology, the international consumer knows early on whether your business can manage their purchase.
Q- How do I stop them from leaving my site early?
A- Welcome them right when they show up. IP location is key to recognizing your consumers’ country. Display a message indicating that you are ready to serve them. iGlobal Stores has a Welcome Mat that tells international shoppers that we recognize their needs and change our shipping options for them.
Q- What do they need to complete the sale?
A- When they get to the checkout:
- Make sure they have options to ‘Pay Now’ or to ‘Pay Upon Delivery’ any duties and taxes or any other hidden fees that they may not expect.
- Give them the right messages at the right time. Let them know when a product isn’t available because of country restrictions. Also, tell them which shipping options are available and which you recommend.
- Be mobile friendly. Mobile devices will account for 30% of International eCommerce spending by 2018, up from 15% in 2013.
Get ready for cross-border eCommerce, prepare for new international consumers and get control of your customer and profits through tools and technologies.
* “Cross-Border E-Commerce to Reach $1 Trillion in 2020 http://www.alizila.com/cross-border-e-commerce-to-reach-1-trillion-in-2020/