3 brands that made it big into global markets with cross-border commerce

Last updated on June 22nd, 2018 at 02:22 pm

In the race of cross-border commerce, some brands have carved out a niche following several website localization tactics and processes. Some brands have taken help of localization services while some have developed attractive local websites to grab user attention.

Effective website localization goes beyond just product selection. Consumers demand more of localized content and media that they can understand and trust. When your brand understands this, you’ll be able to create template-based websites that follow a single format, but that can house new blends of content by the market.

Are you looking for investing in the biggest global markets? Do you want to take a step ahead of your competitors in the long run?

Here’s a complete guide how these small businesses have made it into the enterprise businesses.

O Boticario – A big name in the world of cosmetic and perfumery

The largest perfumery and cosmetics franchising network in the world. Also, it is Brazil’s second largest cosmetic company. It is spread across Brazil, Mexico, Peru, the United States, Japan and France with over 4,000 stores.

O Boticario has demonstrated ways to globalize the markets with the best approach. It has utilized the power of analytics to customize the merchandise for local and international customers. It has increased productivity by localizing the sites in terms of SEO perspective. Here are some strategies to expand globally:

  • Tailoring media and content by market

Every emerging brand should understand well that effective website localization is not just about product selection. It is more about how the consumers across the world demand to see the relatable media and content.

  • Ditching the copy & paste method

O Boticario has set a mark in website localization with their channels like .es and .com sites. It provides an engaging digital experience with localized content and global translations based on the customer’s shopping habits and locations.

  • Fully translated product information

Investing an extra time in the translation of product information can help build trust with the local customers. Also, localized content for product boosts SEO page rankings. O Boticario has product page information in English, Portuguese and Spanish.

  • Seamless checkout

O Boticario uses First Data on all its sites for collecting the transactional data. This payment gateway extends global payments and can sync with other payment modes globally.

With such principles and strategies, O Boticario has proved a benchmark in the e-Commerce global market of perfumery and cosmetics.

 

Vivino: Wine Delivery across the globe

Founded in 2009, Vivino is an online review and marketplace for wine globally. It all started with a simple iPhone app for the residents of Denmark. With time, it scaled its market values and aged like wine only to get better.

Vivino is a global marketplace for varieties of wines. It has one of the largest databases of wines in the world. It has nearly 7 million users and more than 3 millions of wines with quality taste. It has offices in India, Ukraine, U.S., and Denmark.

The founders have leveraged the opportunities of the e-Commerce business that within a short time, they started spreading across every major country. Today, around 5% of wine sales are made and Vivino holds a major share. It has localized wine e-commerce sites launched in the UK, The Netherlands, Belgium, Italy, and Spain.

Vivino excels in the online order and delivery of gourmet and wine across the globe.

Several strategies that the brand has accepted are:

  • Consistent presence across emerging markets
  • Localized language, content, and media
  • Understanding consumer preferences across borders
  • Localized product information, features, and reviews

Vivino has played smart in the networking and digital world. On the basis of IP addresses, it redirects its shoppers to their locations. This localization engages a number of communities in the local development environments.

Based on its product, Vivino has proved it truly values its quality and customers. “Wine only tastes better when old, likewise, this brand just gets better with time.”

 

Neon Poodle UK/EU

This brand is a leading supplier of long-lasting and affordable neon signs for homes and businesses in UK and Europe. It effectively manages localized inventories across the board. It has localized warehouses spread across the globe and that is what makes a smart move in terms of data and supplies.

Their Insights tool helps in merchandising the brand effectively for the local customers. These analytics and insights provide information about the demographics. It is vital information any brand needs to enter and spread in the cross-border markets. With social media, we track what the global customers demand. We scrutinize the customer behavior and their belonging domains and later take the next step.

Neon Poodle works differently than big, listed brands. It has spread its data warehouses first as per demands of localized markets. This helps the brand serve better and resolve shipping and delivery problems faster. With a big step, it has already won the game of cross-border expansions. The brand provides shipping to all domestic and international locations. However, only local customers can leverage free shipping and delivery.

Neon Poodle EU/UK understands what a local region needs and how the customers behave. They have effectively blended the technology and data to reach out to every corner of UK and Europe. Localized Data Warehouses, stock management and total landed costs are the key points to enter the cross-borders. This brand does it all and clearly wins the aspects of this expansion game.

Conclusion

Taking a cue from these top brands that have made it big in the world of cross-border markets can help you in every way. Today, they have reached the pinnacles with a strong foundation, plan, and strategies to empower their cross-border commerce strategies.

 

How E-Retailers Manage Inventory and Fulfillment Across All Outlets

 

Few retail brands have managed to build empires by making the most of both local and cross-border commerce deals. Global brands do not dominate by fluke. In fact, they have to weave an intricate web of strategy, manage the system and even bring about perfect execution. They are required to deliver goods to consumers exactly when they need it.

Managing inventory effectively and efficiently is one of the prime concerns of all retailers, regardless of time zones or channels. Even if common challenges like language, currency and geographical distance are put aside, it is important to manage the inventory considering cultural differences and overall brand perceptions, making it a complicated affair.

Retailers who deal with cross-border commerce need to understand the complications and recognize consumer needs holistically and geographically too.

Regional Perceptions

Just because a brand boasts of a strong presence in one part of the world, it does not necessarily translate into quick popularity elsewhere.

For example, a U.S. based retailer might be known to offer quality brand products at low prices. But distribution issues crop up along that forced the retailer to hike prices in another country. The brand promise changes in this regard, and affects the retailer’s identity too.

Successful global brands develop strategies that support their brand promise universally while considering the varied challenges offered by these markets. They may need to chalk out another brand promise or modify its original one based on the new geographical markets.

Real-Time Insights and Transparency

Real-time visibility and insights into the inventory is challenging for most cross-border operations compared to local operations. This is because of wide customer preferences, cultural differences, geographical diversity, and much more. Retail fulfillment does not work in the sense of a one-size-fits-all model, and hence real-time data is pivotal for inventory management. Leveraging Shopify, some ecommerce solution providers have successfully delivered add-ons that aid in ensuring real-time sales insights on more levels than one.

Retailers need to optimize logistics and processes with latest tools and technologies.

  • Lidl, a European retailer consolidated its routine operations across 10000 stores in 26 countries with a robust, centralized IT system to process large data sets in real-time.
  • The synthesis of this data helps the company to fine-tune their supply chain management and also anticipate consumer preferences in any region.
  • Additionally, the central system ensures timely product availability and profitability across borders too. 

Inventory Optimization to Fulfill Demands

Beyond the required visibility into inventory, every cross-border retailer needs to optimize their operations, as one style does not fit all. Brands need to optimize inventory to sell the products effectively across multiple regions at acceptable price points too. How can one manage this?

Size, color, and style pose significant challenges especially when retailers are keen to leverage inventory across multiple geographies.

Brands optimize inventory and refine product assortments based on buying behaviors witnessed in each region. Inventory that does not sell well is promoted elsewhere or to the online channel to prevent extra stocks and price reductions. The sale is likely to happen through, if the inventory is shifted to the region where it sells well. This is tricky in terms of cross-border commerce.

For example,

  • A consumer in Ohio could order a hoodie that is stocked in Vancouver in Canada.
  • The distribution center then ships the product to the customer’s house or a pickup store in the local region.
  • But the shipment is crossing borders and hence as per compliance regulations, the retailer has to include import and export documentation, along with accurate product classification before the sale can be made.

Varied brands now take recourse to automation to expedite the product clearance through customs, and also avoid noncompliance in any measure. This automated implementation reduces costs of cross-border commerce drastically. An automated customs management system enables retailers to classify products and then calculate taxes and duties involved in selling their products beyond borders. The solution could embed import and export documentation aligned with the strict compliant standards.

Streamline your Payment Processes

When setting up cross-border commerce, retailers need to understand transaction taxes for every country with a robust system in place that can ensure that consumers are conveyed about the charges involved transparently including conversion of their local currency, taxes involved and varied cross-border fees.

A brand can meet currency challenges by stating product price in multiple currencies and languages. This is a best practice that can address the labeling problems as well as address some cross-border commerce challenges.

Conclusion

Brands must also evaluate market position when opting for cross-border commerce to any country. Those who are doing well in the U.S. may also face huge challenges when expanding into countries like Australia, India, or even China. Brands need to pay heed to local brand perceptions, implement visibility of inventory, optimize sales processes and also ensure compliance for all sorts of cross-border transactions for maximum success.