Cross-border trade emphasizes the strides e-commerce has made in the last few years and presents retailers with new opportunities to grow their businesses by tapping into previously inaccessible markets.
However, this growth comes at a cost for some online retailers. Some challenges include the following:
Cross-border delivery. This can be challenging — particularly if third parties handle the shipment. E-commerce businesses that operate internationally should consider having a network of local warehouses instead of a single, central headquarters. While they aren’t cheap, warehouse networks can streamline shipments, reduce the risk of lost merchandise and lower costs.
Language barriers. Most e-commerce platforms only offer support in their native languages, although players like Shopify and BigCommerce are making improvements This can cause delays in resolving issues, such as customer complaints. Merchants who want to benefit from cross-border trade must offer support in multiple languages. Investing in multilingual customer support can dramatically improve customer satisfaction and boost sales.
Currencies. In some cross-border scenarios, currencies differ between countries, making price calculations more complex and costly for the retailer. Partnering with payment processing providers that can support transactions in multiple currencies can help businesses trading across borders and dealing with foreign currencies.
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