Cross-border e-commerce trends that you just cannot ignore

Category: Super Merchants

Cross-border e-commerce trends that you just cannot ignore

Cross-border e-commerce trends that you just cannot ignore

E-commerce is a rapidly evolving area and it can be a daunting task trying to keep up with the trends. With the advent of technology, some of the ways in which we meet our basic needs have undergone a tremendous change. Online retailing is one such major gift.

As more and more people have begun to prefer e-commerce, it is becoming essential to adapt accordingly for the businesses to keep growing. Brick and mortar stores are no longer the preferred choice, as many brands and companies have begun to adopt e-commerce instead.

And the e-commerce market is not confined to a specific location, like a particular country, but has a worldwide presence. In keeping with the times, it has become vital for businesses to keep up with cross-border e-commerce trends, not only to sustain but to grow.

Access to the web

Everyone you meet, every person that you know and even people on the street, everyone owns a smartphone. As internet literacy grows, people find themselves with easier access to businesses around the world. This is a great time for businesses to expand into the e-commerce world and cash in on the general global trend of growth in internet usage.

Global becomes local

With the mammoth growth in internet marketing, more and more businesses are joining in the e-commerce world. People now have access to global stores right from their screens. Products are available from anywhere in the world and can be sent to anywhere. The need to travel distances to make specific purchases is long gone. The businesses that have made themselves available globally have seen massive growth and have managed to take over the cross-border e-commerce industry.

Ease of access

For the growth of any e-commerce undertaking, it is essential for the business to make itself as easily accessible as can be. With monetary transactions being a major concern for prospective buyers, providing secure and simple payment options is vital. There is a myriad of online payment platforms available that provide complete security and good services. Making the process of purchase simple is a great way to grow in the e-commerce industry.

Competitive prices

One of the most significant ways to make the consumers happy is to give them the best rates for your products or services. With e-commerce, it is all the more essential to keep on top of the competition at all times. With consumers having so much access to so many businesses, without having to physically go and find the best bargain, showing them that you offer the best product at the least price is vital. It is very important to change online prices according to the changes in currency as well.

Understanding the local consumer

When setting up a cross-border e-commerce business, it is essential to understand the customs and traditions of the local people. A smart study of the local market and its trends can help a business brings forth products and offers that the local majority cannot refuse. Catering to the needs of the local consumer in the best way possible is the only real means of survival when it comes to cross-border e-commerce.

Customer support and services

When competing in an e-commerce setting, it is wise to create an easily accessible customer support system. For international customers to feel safe and satisfied, around-the-clock consumer support system is a good idea. Auxiliary services not only keep the current consumer happy but also help bring in new business through word of mouth and internet reviews.

The Bottom Line

E-commerce is exploding and with it comes a great opportunity for local businesses to go global. By providing a great product, and a reliable payment gateway and customer support system, any business can establish a global presence in a short duration. However, as easy as that might sound, it is exceptionally important for businesses to stay on top of their game by adopting best business practices.

How Millennials are revolutionizing the Digital Banking & Payments Scenario

How Millennials are revolutionizing the Digital Banking & Payments Scenario

According to a recent study, 86 percent of the millennials aged 18-34 years say that they are “Mobile Money Users”, meaning they use digital banking and payments solutions on their smartphones. The millennials were the first to get introduced to gadgets and electronic products. And this is one of the reasons why they are more comfortable using digital payment solutions on their gadgets.

Let us discover the aspects that drive millennials to use digital banking and payment solutions. We will also look at the ways they are using these payment solutions in their daily life.

Millennials are Exploring New Options

Digital banking service providers are promoting cashless transactions in order to save recurring expenses and to grow their customer base. The millennials seem to be most interested in the options offered by payment solution providers. The use of hard cash is diminishing day by day and digital banking & payments are on a consistent rise.

Credit card, debit card, and net banking payment solutions are widely accepted around the world. Not only millennials but other generations are equally proficient in using these payment modes. But when it comes to evolving online payment platforms, millennials are the first one to register their presence.

Let’s take a look at the peer-to-peer lending services. Whether you are booking tickets for a concert or dining out at a vegan café; you can use the peer-to-peer lending app to split the bill. This is an excellent choice for all those who go out in groups. Nobody shares the burden of paying bills as everyone can contribute their share. And as millennials tend to go out in groups frequently, they are the ones who are enthusiastically using and promoting these payment sharing services.

Microfinance companies have initiated collateral-free loans. Yet again, millennials are at the forefront to avail these services. The complete process takes place online, from submitting documents to verification to setting up automatic EMIs.

Besides these, unified payment interface (UPI) facility links your mobile number with your bank account, allowing for hassle-free payments without entering user credentials. Similarly, contactless cards working on the principle of near-field communication (NFC) are a rage these days. And undoubtedly, millennials are the ones who are vigorously adopting these digital payment solutions.

Digital Solutions Because…

There are various reasons to opt for digital banking and payment solutions. For millennials, the following factors prompt them to opt for digital solutions:

  • Real-time – You don’t need to wait for hours, or even minutes, to complete a digital transaction. Everything happens in real time, whether it’s splitting money amongst friends or subscribing to a recurring OTT subscription.
  • Secure – Financial transactions must happen over secure online payment systems because financial fraud is a common phenomenon. And millennials, like everyone else, opt for digital banking solutions that integrate robust security measures such as PCI-DSS compliance, 2FA, 256-bit AES encryption, and so on.
  • Convenience – You don’t need to step into the bank premise, sign up checks, count the cash, etc; there are countless ways of conveniently transacting with digital banking solutions. And as time is the most important asset for everyone, including millennials, you can save a lot of it by using digital payment solutions.
  • Personalization – As millennials are tech savvy, they are more inclined towards personalizing preferences on digital banking apps and systems. So whether it’s opting for subscriptions, managing contact list, or browsing offers; these apps have features that millennials simply love.
  • Environment-friendly – Digital banking solutions eliminate the need to use paper and don’t require you to commute to and fro. These are progressive steps that aim at reducing carbon footprint. The millennials are quite conscious about the need to keep the environment clean and prefer eco-friendly solutions.

Final Words

Millennials are surely harbingers of change in the digital banking and payments landscape. While the previous generation is learning from millennials to adapt to digital solutions, the future generations will surely take these to the next level.

How Cross-selling Can Help Maximize E-commerce Profits

How Cross-selling Can Help Maximize E-commerce Profits

Are you using the cross-selling strategy to increase your sales in your online shop? You are losing a lot of money if you haven’t considered cross-selling. Both cross-selling and up-selling tactics are effective ways of increasing the order value, including one of the most critical business metrics. Are you wondering what this is? Well, this post will outline what cross-selling is, how it works, and why your online store needs it.

What’s cross-selling?

This is a sales approach designed to generate more sales by recommending related, complementary or additional items to a consumer who has shown commitment to buying a product. These are products that improve or optimize the original item by providing new functionalities. For instance, think about the insurance or casing sold to you whenever you purchase an electronic device.

However, this isn’t merely about providing anything you can think of. The key here is to offer the customer additional value by showing them how you understand their needs. Just like any other sales and marketing activities, cross-selling must be planned and executed strategically.

Differentiating cross-selling and up-selling

Both cross-selling and up-selling help maximize the purchase value and enhance the buying experience of a consumer by adding value to a product. Cross-selling only focuses on the promotion of additional products from related categories while up-selling encourages a consumer to buy a higher-end version of the same item or pay more for extra features and upgrades.

Cross-selling in e-commerce

When you choose to incorporate cross-selling as a sales strategy, you will focus on introducing related products to consumers who view products on your website or have added an item to their shopping cart. If executed correctly, the cross-selling technique will feel natural and boost your client’s purchasing experience by offering them matching products that will increase the value of the product they have bought.

How cross-selling is done

The initial and most vital step to succeeding in cross-selling is finding matching products, and creating offers. Like other e-commerce aspects, the positioning and timing of these offers must be tested. But, a prevalent practice is to provide the right options on the pages of your product especially during follow-up email campaigns and checkout.

Common cross-selling strategies include:

  • Visual aids – This strategy is ideal for lifestyle and fashion products, where clients are mainly driven by visual cues. Use high-quality product videos and images to show the functions of the items in real life and prompt the consumer to purchase the entire package rather than getting one item.
  • Bundling – This involves packing items that go together naturally like a digital camera, camera case and memory card. This will maximize your profits and you should make sure that the client knows that they require these items to use the product they bought initially. Consider providing outstanding discounts to appeal to the buyer.

Reasons for cross-selling in your online store

You must be wondering if cross-selling is worth the effort. Of course, it is! Most retailers have relied on cross-selling for many years for a reason; it works. If you haven’t thought of incorporating it in your store, you are leaving cash on the table. Advantages of cross-selling include:

  • Boosts profits: Many large chain stores usually have high margins on accessories than on main products. Consider using this strategy in your store. If you choose to offer flat-rate or free shipping, you will save money on the small accessories that do not cost extra to ship but still offer more revenue.
  • Increasing the average order size: A consumer who is ready to but a product is likely to get another item if the second item adds productivity to the first item. So, if you spend some funds to market such products to your new clients, most of them will buy more from you.
  • Increased customer lifetime value: Each time a consumer buys your products, they will spend more. This means you will be earning more whenever the customer opts to buy from you.

Cross-selling can help grow profits. If you haven’t yet used cross-selling, consider giving it a try. Once you find the best selling items, get related products that will interest your customers. Present all the products to interested customers during the checkout process or on the product’s page. Do not forget to build trust with clients and avoid pitching too hard.

How to use Price Localization for Increasing Global Sales?

How to use Price Localization for Increasing Global Sales?

The price of a product or service is the most influencing factor for a buyer. Of course, there are other factors affecting online sales, such as geographic location, currency, user experience, and so on. When we talk about price localization, we incorporate all these factors to render a customized shopping experience. According to a study, a group of SAAS companies confirmed that sales performance increased by 30% when price localization was implemented.

You can simply make changes in a payment gateway process by accepting local currencies and adjust pricing according to the market demand to successfully implement price localization. In addition to these, there are other ways as well. Here, we highlight the importance of price localization, and how it will affect your international business.

Cosmetic Localization versus True Localization

Price localization happens at various levels, depending on your goals. For example, if you have a product that sells really well, you can apply basic changes to boost global sales. But if you are entering a new market, you have to consider multiple aspects. Based on these two situations, there are two localization types – Cosmetic localization and true localization.

  1. Cosmetic Localization

Currency Exchange – Under this strategy, you can provide competitive exchange rates when converting the price of the product in local currency. Further, ensure minimum payment gateway charges to reduce additional costs, besides the product price.

Local Currency – You can also simply eliminate the need to provide an exchange facility by showing prices in local currency. This will improve the user experience, resulting in higher chances of customer acquisition.

Local Language – Translating website content into the local language is another way of tapping local customers. According to a study by KPMG and Google in India, 68% internet users prefer content in local language rather than in English.

  1. True Localization

Market Demand – You just cannot change the price and currency, and expect a rise in sales. When cosmetic localization doesn’t work, true localization comes in. The foremost influencing factor is market demand, and whether the market is saturated or not. For example, if the product demand is high in Europe but the competition is low, you can sell the product at a higher price.

Buyer Personas – The price is influenced by buyer personas as well. This involves customer’s demographics, buying behavior, and other factors. You have to customize a package, design, or features according to the customer’s preference. For example, some products may work well in the USA but they won’t sell in India unless you customize it according to buyer persona.

Purchasing Power Parity (PPP)

The price localization depends on the purchasing power of the currency. The purchasing power is determined by considering factors like income levels, cost of living, and so on. The purchasing power parity (PPP) aims at striking the balance between two currencies. In other words, as per PPP, the cost of a product should be the same in both currencies. For example, if a pair of shoes cost $50 in the USA, it should cost Rs 2500 in India, if the conversion rate is 50.

But the currencies, in comparison to US dollar, are either undervalued or overvalued. Now if you keep the prices same for the global market according to the PPP, the sales may get hampered. So on the basis of the conversion rate, exchange rate, and customer’s willingness to pay a particular price; you should adjust the selling price so that customers don’t hesitate to pay the price.

Customer’s Sensitivity

A customer is sensitive to various factors, not just the price and benefits. While pricing the product for a targeted audience, analyze factors like customer’s income, lifestyle, spending pattern, preferences, market demand & supply, the local language, and so on. Conduct surveys or deploy big data analytics to accrue information. The price localization works effectively when you create value according to customer’s sensitiveness and set a suitable price tag.

The Final Words

Price localization is an effective strategy of catering to the targeted audience, thereby, boosting local sales. It’s not just an option but a dire need if you want to tap the global market. Understand the market demand, and step into the market with the right product and price tag before you lose the ground to your competitors.

Changes in the E-Commerce Landscape That Could Affect Your Business

Changes in the E-Commerce Landscape That Could Affect Your Business

It is no news that merchants have been making the most of the e-commerce boom for quite some time now. Most businesses these days sell products as well as services online, to customers sitting in far-flung parts of the world.  While the internet has opened up a whole new world of opportunities to merchants, there are certain things you should focus on if you wish to thrive as a virtual business. As the e-commerce landscape is constantly changing, if you want to stay ahead of competition, here are the things you should keep in mind:

Offering multiple payment options

If a shopper visits your website, likes a product, clicks to buy, but sees that you only accept credit cards, he or she might abandon the cart. This is because they were probably looking to use their e-wallet. Naturally, you will lose valuable customers this way. Luckily, these days, there are payment gateways like PayTabs that allow merchants to accept many different currencies and multiple payment options like Visa, MasterCard, Union Pay, WeChat Pay, American Express, Sadad and more. Hence, as a business, you have a better chance to convert potential shoppers into actual ones if you offer more payment choices by adopting these gateways.

Make social media work for you

Social media platforms like Facebook and Twitter have become smart ways to advertise products online as well. Hence, businesses of all sizes have the scope to compete and connect with customers and turn them into loyalists. So, you should focus on social media marketing, create engaging posts, and interact with potential shoppers to build trust and confidence. Remember to accept both positive and negative reviews to get better.

Go mobile or get wiped out!

More and more online shoppers are using their mobile devices or smartphones to make purchases these days, be it a pizza or a gold ring! It is expected that by 2019, sales through tablets and smartphones can be as much as $150 billion. So you see how important it is to make your e-store mobile friendly. Or, you will lose out on sales. Adopting a payment gateway like PayTabs is also essential to make the payment process seamless and easy on mobiles.

Don’t ignore Omni-channel marketing

There was a time when people could make purchases only through a merchant’s website. But those days are long gone. You can now use social media, mobile apps, emails and even SMS to connect with your audience, inform them of sales and such, and make it easier for them to shop from you. This way, you will open up multiple channels to them for convenient shopping. Are you worried that managing the revenues from these different channels will be tough? Don’t worry as thanks to gateways like PayTabs, payment integration irrespective of the transaction channel is a reality.

Focus on customer service

The world of online shopping has become intensely competitive over the years. Customers today have more options than ever before, whether it comes to brands, type of products or benefits. So, in this scenario, great customer service can take you a really long way! But it is often expensive to set up and manage a call centre, especially if you are a new business. Though automated chatbots are popular and widely used by many e-stores, they are not always personal and don’t provide the support needed. Hence, a better idea is to use IVR or Interactive Voice Response which will work round the clock to cater to customer needs.

Payment security is very crucial

Online shoppers will only trust you when you use a secure payment gateway like PayTabs. This is because online frauds, identity thefts and phishing are on the rise. Hence, using a gateway that is PCI compliant makes total sense. Such a gateway will protect customer details, transaction data and prevent fraudulent attacks.

Finally, you see how surviving and succeeding in the e-commerce landscape is a tricky business! But with a little foresight and discretion, you can make technology work wonders for you. Just keep the above tips in mind and stay abreast with changes.