By 2022, European cross border sales are predicted to hit €245 billion, a 50% increase in 2020. Over 80% of retailers worldwide agreed that cross-border e-commerce has been profitable for their business. Greater product selection, appealing prices, trusted brand names and fast fulfilment are leading to more and more consumers looking outside their domestic market for purchasing. Consumers around the world are increasingly comfortable shopping with international retailers, in fact, often when shopping on marketplaces like Amazon or eBay, they don’t even notice!
Never before has it been so easy for brands and retailers to sell their products internationally. That’s the theory right? However, in order to be successful in cross-border trading, you not only have to know where customers are buying, but you also need to address their ever-changing needs. And simply translating a handful of product pages just isn’t going to cut it. Here are some of our tips to increase cross border sales.
Know where customers are buying
The path to purchase begins long before you buy. First stage is all about the inspiration. Once upon a time Google was the first port of call, however increasingly savvy shoppers are turning to marketplaces and social networks for product ideas. And it’s no surprise that where consumers are browsing varies greatly between countries. 11% of UK consumers turn to social networks to search for products online, but if we look at Germany, this figure is only 4%. Whereas in Spain, 80% of shoppers begin their research on Amazon compared to 62% in the UK.
Quality data on consumer preferences and habits are the key to success. For example, many fashion brands use Instagram to stay on the pulse of consumer trends, looking out for trending colours and styles and adapting their product offering accordingly.
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Get started faster with ChannelAdvisor
The dominance of marketplaces globally is increasing year on year. We’ve become a platform economy. However, in some countries, even global players like Amazon and eBay which are predominant in various European countries have a hard time carving their way. For example, the e-commerce market in Poland is dominated by Allegro. Not least because of a first-mover effect, which has ensured consumers built a deep and trusting relationship with the marketplace which began in 1999. (For more on Allegro, check out this handy tip sheet).
It’s so important to have a thorough understanding of which global marketplaces are available to you, and which would be the most impactful for your brand. The increase in specialist and niche players means you have more choice than ever.
The good news is, we’re here to help!
From the beginning, one of the key objectives in the development of the ChannelAdvisor platform was to facilitate the parallel processing of multiple marketplaces for retailers and brands. By using our system, you save yourself the need to reprocess your product data for each marketplace used. At the same time, reducing the complexity of controlling inventory across multiple platforms.
The opportunity is huge. We love helping brands and retailers broaden their horizons and start selling on new marketplaces. What are you waiting for?
Helpful resources to energise your cross border program: