An executive conversation with President of eShopWorld’s U.S. operations, Cynthia Hollen, was published in Internet Retailer’s latest report.
Cynthia discusses why North American online retailers should go global, the growing demand for US brands in international eCommerce markets, why it’s so important to understand the nuances of non-US markets, and which product categories are most popular with global shoppers:
Why should a North American e-retailer reach out to global markets?
There is huge demand for North American brands from shoppers around the world. Smart retailers are realizing that selling directly to hundreds of millions of new customers in other countries who already know and love their brands can be a powerful addition to their strategic growth plans. As pressure builds to grow domestic e-commerce sales by even 10%, many e-commerce merchants see more than 75% growth in global revenues in their first year, having optimized for global expansion. And it is an expansion that will only increase revenues each year.
Which overseas e-commerce markets are most and least receptive to US brands?
That depends a lot on a brand’s existing global presence and the kinds of products it sells. For instance, we find that the most known US brands in the fashion and apparel space get almost 95% of global revenue from the top 30 markets. Some brands get a much bigger impact from extension in European markets and some really benefit from filling a market void in Middle Eastern markets.
Canada is a great global expansion market for retailers seeking to get quick results. Market demand, logistics, language and proximity make Canada a place where American brands easily launch a full integrated, seamless e-commerce experience, and then roll it out in additional countries, market by market. UK and Australia are large markets for US brands, with Germany, Japan, Korea and Russia close behind. US luxury products especially sell well in Asia and the Middle East.
The top 10 global markets span North America, Europe, Asia and Australia and dominate the attention of most new expansions. But targeting all of the top 30 markets can capture 95% of a brand’s global demand.
To read the full interview, download the report here.
The 86-page 2018 E-Retailer Global Expansion Report analyzes how retailers and brands—large and small—are taking advantage of a growing array of channels to reach the world’s online shoppers. The report includes a list of the Top 1000 retailers, ranked by share of e-commerce sales from outside the U.S, as well as an exclusive survey of 111 retail executives on their cross-border initiatives.