Buying and selling online has become a common phenomenon worldwide. Although the concept has been around for a while, we see more businesses exploring and marketing their products online than ever.
When a business or enterprise thinks of building an e-commerce website, they must consider whether they want it for the local or international market. But is xborder eCommerce the future of global commerce?
If you’d like to know the answer to this question, read further.
What is xborder eCommerce?
The most basic way to define this concept is simply marketing and selling your products to an international audience. In short, you are targeting more than just a local market. You are penetrating foreign markets and building a global client base.
When a business considers selling its products internationally, they want to expand its business and revenue, export what they sell, and reach a bigger audience. Some of the biggest eCommerce popular for having a huge clientele around the world include Amazon, Alibaba, AliExpress, and eBay.
The impact of xborder commerce on global commerce
From a general point of view, cross border ecommerce has been instrumental in shaping global commerce.
- It makes global commerce easy – buyers can access products and services quickly.
A good example: most people will prefer to import goods from manufacturers in China because they will sell legit products compared to what they can get from a local market. Now people don’t have to travel to China to get the goods they need, no. In fact, they can make orders from different eCommerce sites within the country.
- The other impact we see is that xborder eCommerce enhances brand awareness.
In other words, people will buy from brands they know. Assuming a client wants to buy Apparel from well-known brands such as Gucci, FUBU, or even Louis Vuitton. Some will prefer to purchase these items from the official eCommerce site rather than buying from a local store that – maybe – is selling the product at double the price.
- On the side of businesses selling products and services internationally, we can say that xborder eCommerce leads to an increase in revenue.
If buyers in the local market only buy certain products in certain seasons, brands experience a decline in revenue because of a decrease in demand. Hence, expanding your business to foreign markets will increase demand. You’ll be able to get an income that makes up for the money you don’t make during the low seasons.
Final words – so, is xborder ecommerce the future of global commerce?
From the standpoint of the opportunities foreign markets bring to ecommerce brands, xborder ecommerce is the future. We will continue to see more brands building websites ideal for the local and foreign markets, especially if you want to explore newer markets.
On the other hand, xborder eCommerce may not be a ‘thing’ for all businesses, especially if the product you are selling is only custom-made for the locals. Selling such a product to a foreign market may not be profitable.
Also Read: 3 Factors for Designers to Ponder to Avoid any Discrepancy in Designing for E-commerce Portals
