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Go Global - Shipping Options To Grow International Sales
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Go Global - Shipping Options To Grow International Sales

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Shipwire presentation at PrestaShop Bar Camp 2012 given by Kenny Lim. http://www.shipwire.com

Shipwire presentation at PrestaShop Bar Camp 2012 given by Kenny Lim. http://www.shipwire.com

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  • 1. Go Global Kenny  Lim,  Shipwire   International Shipping or Using Outsourced Warehouses To Grow Your Global Business www.shipwire.com   provides   enterprise   order   fulfillment   and   managed   shipping   to   growing   brands.       We   operate   pick  pack  warehouses  in  the  USA,  Canada,  Europe  and  Asia   (Hong  Kong)  where  brands  put  their  inventory.        hEp://www.shipwire.com/why-­‐shipwireKenny Lim, Shipwire March 20, 2012 - Barcamp 5 PrestaShop
  • 2. Today’s Topics •  Overall we’re talking about 2 models   Do-it-yourself International Shipping   Outsourced fulfillment and shipping •  Where is global growth? •  Pros and cons of international shipping •  What is order fulfillment? Who is it good for? •  What is Shipwire? 3/15/12   2  Kenny Lim, Shipwire March 20, 2012 - Barcamp 5 PrestaShop
  • 3. 5 Steps to Global Expansion Know what type of business you are?   How many products do you sell?   How much inventory do you carry?   Do-it-yourself and/or outsource? 3.  Get  best   1.  Set  goals  and   sellers  into   2.  Simplify  your   4.  Know  your   5.  The  power  of   do  your   market  or   product  catalog   markeQng  plan   local  fulfillment   research   figure  out  x-­‐ border   3  Kenny Lim, Shipwire March 20, 2012 - Barcamp 5 PrestaShop
  • 4. Should you go global? •  USA –  Largest B2C e-commerce market. Still growing fast. Product  selec,on  Toys,   –  Projections of $223-250B by 2014 electronics,  apparel,   •  UK (Gateway to Western Europe) health  and  beauty   –  Online retail sales will grow at 10.5% through 2013 •  Canada –  Most web enabled country as a percentage of total population. –  E-commerce penetration growing •  Others: –  Asia: Growing market. Hungry for branded product. Reach from Central Asian Warehouse –  Australia: Hungry market. Long distance. Reach from Central Asia distribution –  Germany & core European countries: Can be reached from UK or European hub –  Brazil: International parcel, border challenges can exist. –  Eastern Europe: International parcel, border challenges can exist. *Source:  Internet  Retailer,  June  2009  (excludes  travel)     4  Kenny Lim, Shipwire March 20, 2012 - Barcamp 5 PrestaShop
  • 5. Direct Shipping From U.S.A. Is Complex •  Expensive shipping Good for merchants with DEEP •  Returns nightmares catalogs & low inventory depth •  Long time delays for buyers and customs, duties & tax issues on buyer •  You will not “look local” to the buyer •  Save with: Consolidators, zone skipping, proxy shipping 5  Kenny Lim, Shipwire March 20, 2012 - Barcamp 5 PrestaShop
  • 6. International Shipping Challenges International shipping is bad for conversion •  Too slow for today s e-commerce sales •  Too expensive •  Too risky •  Confusing for buyers •  Not a good customer experience 6  Kenny Lim, Shipwire March 20, 2012 - Barcamp 5 PrestaShop
  • 7. Outsourced Fulfillment •  Fortune 500 model •  Goods stored locally – sellers look like a local seller •  Each facility can ship domestic or international •  Competitive local shipping options & fast delivery •  Less customs, duties and tax implications on buyer •  Local returns handling 7Kenny Lim, Shipwire March 20, 2012 - Barcamp 5 PrestaShop
  • 8. Inbound - Store - Outbound Warehouse Storage Manufacturer   Shipping Distributor   8  Kenny Lim, Shipwire March 20, 2012 - Barcamp 5 PrestaShop
  • 9. Outsourcing Helps You Impress Buyers •  Consumers buying online expect flawless order execution •  Order fulfillment*, as key driver, impacts: High-shipping cost is biggest –  Initial purchase / abandonment driver of shopping cart abandonment (46%) as –  Repeat purchases reported by PayPal** –  Overall brand perceptions (in marketplaces and via storefronts) –  Automates and reduces support costs Fulfillment Service Quality In 6 Dimensions 1.  Price 2.  Choice 3.  Timeliness 4.  Transparency 5.  Consistency 6.  Error recovery/returns Sources: *Order Fulfillment in this context covers Order Sourcing, Order Changes, Order Processing, Shipment, Delivery, and Returns. **Reference Wall Street Journal, Oct 21 2009 9  Kenny Lim, Shipwire March 20, 2012 - Barcamp 5 PrestaShop
  • 10. Automate Your Business Shipwire  Takes   Care  of  Shipping   Seller  Takes   Care  of  Shipping   10  Kenny Lim, Shipwire March 20, 2012 - Barcamp 5 PrestaShop
  • 11. What Shipwire Offers •  7 warehouses, 4 countries, 1 account •  Every warehouse ships domestic & international •  100% accurate order fulfillment, guaranteed! –  Eliminate shipping headaches –  Cut domestic shipping costs by 35% –  Cut international shipping costs by 75% –  Rate shop every order –  Grow overseas and domestic sales –  1-click error resolution + insurance claims •  Free order management –  Multi-location support –  Multi-carrier label printing –  Address verification and order validation –  Bundled shipping insurance –  Inbound inventory management 11  Kenny Lim, Shipwire March 20, 2012 - Barcamp 5 PrestaShop