The ability to sell abroad online is one of the options that most appeal to entrepreneurs in the digital world, who make products of all kinds available on marketplaces or e-commerce.
Selling in multiple countries generally provides for more profit, which can cut down on warehousing and shipping costs. It turns out to be an advantageous solution for most, but this opportunity must be carefully studied.Today's market is global and borderless, but the strategy for selling abroad online cannot be the result of improvisation.
In this article, we will point out the basic tips for engaging in online sales outside the national borders as well, consciously and constructively.
The first thing to check, if you want to have an online store open to purchases in multiple countries, is the’analysis of potentially target markets. Based on the products you want to sell you should target those nations where the demand for such products is profitable. For example, you might find it useful to know that in South Korea the goods that are most popular are those related to clothing, and personal care.
After you have chosen the countries to address, it is desirable to translate your e-commerce into target languages. It may seem superfluous, given that many online stores use English as the first language for each country, but it can actually be a determining factor. In the digital world, everyone or almost everyone has the technical skills to make a purchase, but not as much in understanding all the specifics of a product in English. Whether it is Russian, Chinese, or Japanese, it is important to make content accessible - especially the features and conditions of sale-in the specific language of the country where we want to sell online.
At the same time, it is recommended Allow as many purchase methods as possible, including local ones. Another aspect to be taken into account is the’site usability: Your online store should be easy to navigate, with a clear and simple purchasing procedure. Both the terms of the contract (including the right of withdrawal), the Privacy Policy and the various certifications related to the merchandise, should be clearly visible and easy to consult.
Read also: What are the success factors of business internationalization?
Speaking of shipping abroad, we can say that they are possible for the vast majority of products. You can sell very easily within the European Union; however, if you want to sell outside these borders there will be to Associate the goods with specific documentation. Such documentation must have both a HS code and an EORI code, which are necessary to transfer assets abroad. The expenses to be incurred depend mainly on the country to which you are shipping, and they are generally not reflected in the product price for more than 10%. Therefore, it will be wise to choose companies and couriers with excellent value for money.
Of course, to simplify shipping and logistics you can rely on a marketplace, such as Amazon's. It must be said, however, that this makes unboxing of products standard, so the ability to compete in this aspect is diminished.
Discover What channels and tools you can leverage to sell online your company's products
The marketplace allows people to sell online abroad without having a platform dedicated specifically to their products. It consists of. a low budget option, which, however, cannot allow targeted work on the goods offered for sale online; at the same time, the marketplace is a place of great competition. Attempting then to launch on one or more marketplaces, taking advantage of a lower price, means adopting a strategy that is not always successful, indeed.
An e-commerce, on the other hand, allows for full control over products and sales leads, while also allowing for clearer and more truthful statistics. E-commerce may represent a higher cost at first, but Can lead to more important results and at the same time allow greater exposure for one's brand.
Since each country has its own culture, it is suggested to create ad hoc content for each country in which you want to sell, including engaging social media through targeted campaigns.
Read also: the guide to the perfect marketplace
Taxation referring to goods sold abroad, inside and outside the European Union, is a not-so-simple subject. Generally speaking for every transaction, it must be applied the value of VAT of the country where the sale was made, if the sales limit set by that state is exceeded; within that limit, however, Italian VAT applies.
If you make sales B2B extra EU, invoices should not include VAT. In contrast, for B2C sales outside the European Union, the goods shipped will be subject to VAT and other taxes, but these will be borne by the buyer.
We have already talked on our website about Digital Export, and how crucial it is for many companies to also address their sales abroad in online mode, given the exponential growth of Italian exports. Not to mention that Digital Export will become an important factor in competition: those who sell abroad online will be able to strengthen one's brand, make it expand and grow for Italian customers as well.
Read also: The benefits of business internationalization
In order to achieve greater brand affirmation through online sales abroad, it can be particularly useful to rely on professionals in the field of not only Digital Export, but also International Advisory.
Octagona can help you precisely in developing winning strategiesi to conquer markets that fall within your company's target audience. Contact our team: We will answer all your questions in a short time and check together the feasibility of any expansion project for your business.
It starts with the analysis of the markets where the demand for your products is profitable, for example South Korea for clothing and personal care products. Then the e-commerce is translated into the target languages, local payment methods are activated, and the usability of the website is taken care of. Selling online abroad does not have to be improvised.
It depends on budget and goals. The marketplace, like Amazon, is low-budget and simplifies shipping and logistics, but it has strong competition, little customization, and standardizes unboxing. Proprietary e-commerce costs more initially, but it guarantees full control over products and leads, clearer statistics, and greater brand exposure.
To ship goods outside the European Union, the goods must be accompanied by specific documentation, equipped with both the HS code and the EORI code, necessary to transfer goods abroad. In the European Union, however, selling is much simpler. The costs depend on the destination country and usually affect the price by no more than 10%.
In the European Union, VAT applies in the country of sale if the sales limit set by that state is exceeded; within the limit, Italian VAT applies. In B2B sales outside the EU, the invoice does not include VAT. In B2C sales outside the EU, the goods are subject to VAT and other taxes, borne by the buyer.
Many users know how to make an online purchase, but they do not understand all the product specifications in English. Translating sales features and conditions into Russian, Chinese, Japanese or the local language, including the right of withdrawal, makes the content accessible and can be a decisive factor in convincing the customer.
Digital Export is the sale abroad through online channels, such as e-commerce and marketplaces. It is becoming increasingly necessary for the growth of Italian exports and as a factor of competitiveness: those who sell online abroad can strengthen their brand and make it grow in the Italian market as well. It can be useful to rely on professionals in Digital Export and International Advisory.
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