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Opening the Doors to International Customers

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Are you ready to sell products globally to tap into the explosive growth of international ecommerce? The global market is ready. The technology is ready. Your web store is open to its global audience. The question is – what are the fundamentals of global ecommerce that you absolutely need to build to embrace your global opportunities?

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Opening the Doors to International Customers

  1. 1. Opening the door TOINTERNATIONALCUSTOMERSBoyd HowellsStrategic Business DevelopmentMatt SuraciSolution Support ExpertPitney Bowes Global Ecommerce March 7, 2013
  2. 2. Your PresentersBoyd Howells Matt SuraciStrategic Business Development Solution Support ExpertPitney Bowes Global Ecommerce Pitney Bowes Global 2
  3. 3. AgendaMeeting Context 3
  4. 4. Selling Globally: From Trend to Reality• Consumerism trending West to East• Engaged and connected shoppers• Aspirational generation• Access to Western brands, price points, inventory and retail experience 4
  5. 5. Daily Evidence of Global Retail Expansion• Merchants are exploring multiple options• Looking for fastest route to market• Putting the pieces together Source: Ecommerce Facts– March 4, 2013• Building blocks for the future Source: Internet Retailer – September 19, 2012 5
  6. 6. Multiple Paths to International Success• Different paths for Include different merchant Regional Core SCM Functions types Import & DCs Landed Export Costs Stage 3: Mgmt In-Country Fulfillment• Everyone needs their own strategy Optimized Address Shipping Standards Stage 2: Optimize• Many are taking a Cross-Border phased approach Multi- Strategy Payments• Measureable risk Fraud Shipping• Agility – adapt as Stage 1: you go Accept Global Orders 6
  7. 7. Challenges when Considering Cross-Border Ecommerce Buying & Customer Experience Operational Challenges Customer Service 7
  8. 8. Agenda Merchant A: New to cross- border selling and had been seeing significantScenario 1 international online traffic since launching the site in 2007. In fact, over 60% of hits to their online store came from outside the US. 8
  9. 9. How do I create a positive buying experience to my global audience? Key Identifiers Core Needs & Challenge Identify the most critical pain  The challenge of Additional points of an International Fees at the Door Online Transaction.  The Need of Complete Apply these core capabilities to Visibility at Checkout overcome the purchasing  The capability of providing the barriers. lowest “All-In- Cost” for a completed transaction. 9
  10. 10. ResolutionResolution DetailOffer a Guaranteed Fully Landed Cost Providing a Guaranteed, Fully LandedQuote Cost Quote within your existing checkout, offers global consumers with full visibility of costs and a favorableProvide Visibility within Existing buying experience.Checkout The goal is to find the lowest/most accurate cost to export a goodAim to find the lowest cost to export agood, reducing the burden to the buyer 10
  11. 11. Agenda Merchant B: Had finally completed its due diligence on providing aScenario 2 cross-border solution. After more than a year of investigating, they had finally received budget approval from Executives to carry this project out. 11
  12. 12. How do I open the doors to International Customers and maintain efficiency while minimizing risk from an operational standpoint? Key Identifiers Operational Challenges Identify a way to reduce and/or  High Shipping Costs eliminate the possible challenges associated with International  Compliance with Customs Operations. Laws & Regulations  Fulfillment Based Issues 12
  13. 13. ResolutionResolution DetailFind a solution that provides the Finding a solution that can provideability to consolidate volume expertise when it comes to cross- border operations allows for aFind a Customs Compliance Agent seamless process reducing any risk that may come with servicing global consumers from a fulfillmentEliminate any notion of a learning curve standpoint.with preparing International Shipments 13
  14. 14. Agenda Merchant C: Started seeing all competitors start implementing a cross-border solutionScenario 3 and knew they had do the same to maintain competitive. Although this was on their product roadmap, they had to now react fast in order assure they could retain market share. 14
  15. 15. How do I find a Cross-Border Solution that allows me to maintain a strong relationship with my customers and my brand identity? Key Identifiers Customer Service Challenges Identify not only how to serve  Building a relationship with these global consumers but new customers also how to continue to  Creating a universal customer differentiate your brand from experience while maintaining competitors. the consistency of your brand. 15
  16. 16. ResolutionResolution DetailBe mindful of: By figuring out what form of Your Site Customer Service is best for your Your Brand current ecommerce model will assist Your Customers you in choosing the appropriate cross-border provider. 16
  17. 17. AgendaOtherConsiderations? 17
  18. 18. From a Buyer’s Perspective Additional fees at delivery High shipping costs What 61% 77%discourages you fromcompleting Pricing is not my currencya purchase? 37% Delivery too long 34% Does not accept my credit card 34% Can not read the language • 10,000 responses from Bad return 39% Cross-border shoppers • From top 10 International policies Markets 32% • 1,000 participants each from Canada, UK, and Australia
  19. 19. What Other Features? Are These Pitfalls? Site-wide Translation? Localized Pricing? Multi-language Support? 19
  20. 20. AgendaTranslation 20
  21. 21. For Global Brands Only?• Can you afford the upfront investment?• It’s expensive and time-consuming• Requires attention to detail• Requires local expertise• A distraction for your team?
  22. 22. Does It Impact The Sale?• Is it necessary?• Ranks high on shoppers’ wish lists?• Influences buyers?• Already engaged with you in English
  23. 23. How Far Are You Willing To Go?• Create impactful cultural references?• Prepared to extend multi-channel?• Extend to Ad Placement, Banners, Search, Affiliates etc?• Regularly Update?
  24. 24. AgendaLocalized Pricing 24
  25. 25. Help or Hindrance?• Less of a concern for U.S. Retailers• Int’l Shoppers expect U.S. sites to be priced in USD$• Purchasing power of own currency• Does converted pricing appeal?
  26. 26. Getting It Right, Maintaining Success• What is the impact to price points?• Elasticity per market• Price comparison with local sellers• Caveat Emptor! Final price leading to abandonment?
  27. 27. The Right Tools, The Right Partner• Prepared to manage treasury functions?• If not, do you know the right vendors?• You have options!• Avoid yielding control
  28. 28. AgendaMulti-lingualSupport 28
  29. 29. Where To Begin?• Let demand dictate the investment• Keep it simple• Start with same channels as U.S. business• Focus on email, live chat, social
  30. 30. Learn From The Experts• Research industry leaders• Prioritize top markets• Create country specific FAQs• Dedicated reps to top countries/regions
  31. 31. If You Outsource…• Find partners with a proven track record• Remember…you are outsourcing your brand and image!• Ensure SLAs are in place, have a performance scorecard• Hold vendors accountable
  32. 32. Questions and AnswersFor more information:  Contact Us Online:  Site: Boyd Howells Matt Suraci Strategic Business Development Solution Support Expert Pitney Bowes Global Ecommerce Pitney Bowes Global Ecommerce (917) 725-2233 (914) 602-2575 32