Most small business have limited opportunities to expand internationally but as of 2014, customers were buying online and sales volumes increased vastly. This cross-border e-commerce growth created new markets for sellers worldwide. Here are key aspects to help you tap into this grand unknown international market whilst overcoming the complexities involved.
#1. Leverage local market places
Online markets offer small businesses the ability to integrate into new markets quickly and cost effectively. Market places are filled with customers looking to buy a vast variety of merchandise so small businesses are provided a platform to generate more sales. Startup costs are low since there is no need to invest in branding, marketing and website design. Just set up a catalog and begin selling immediately. Market places also allow new consumers easy access and keeps overhead and customer acquisition costs low.
#2. Outsource fulfillment and logistics
Delivering your products to the market places to deliver to the customers can present logistical challenges. Pick vendors that are strategically located with huge warehouses and distribution systems. Your main considerations are to know how fast the marketplace will deliver to centralized warehouses, and don’t overlook logistics in terms of shipping options, costs and turnaround time.
#3. Use cross-channel inventory management
Strategically managing order is a challenge for small businesses. Leading vendors aid merchants optimize their stock management, reduce transport costs and delivery times. This means shipping multiple orders by a customer together for small businesses and that the valuable marketplaces are restocked first. As your business grows, stock management becomes a great tool to set prices and to make better forecasts.
#4. Consider payment methods
Verify the payment provider chosen is regulated and that they work with your partner marketplaces. Ensure they have a reliable service and whether they can pay out in your local currency. Understand the time required to clear funds, their payout options and fees.
These solutions have made environments where barriers to make your business grow are lower than before. Anticipating complexities and working with strategic partners, small businesses become well poised to capture a share of the massive global e-commerce market.