Headless e-commerce: A best of breed strategy for global sales expansion_Cybage_Digital River
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This document discusses the benefits of a "headless" e-commerce strategy for global sales expansion. It notes that direct-to-consumer e-commerce is increasingly important as consumers expect seamless online shopping experiences anywhere in the world. A headless approach uses best-of-breed solutions to separate the front-end digital experience from the back-end commerce capabilities for more flexibility and control. This allows brands to efficiently scale globally while reducing operational complexity, legal/financial risk, and costs through an "Onshore Advantage" model that leverages local entities and infrastructure.
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Headless e-commerce: A best of breed strategy for global sales expansion_Cybage_Digital River
- 1. Cybage Software Pvt. Ltd. is a technology consulting organization specializing in outsourced product engineering services. As a leader in the technology and product engineering space, Cybage works with some of the world's best Independent Software Vendors (ISVs).
- 2. “Headless” E-Commerce - A Best of Breed Strategy for Global Sales Expansion Avi Lele, President – Cybage INC. Adam Coyle, CEO – Digital River
- 4. THE IMPORTANCE OF D2C ECOMMERCE
- 5. WHAT IS DRIVING GLOBAL BRANDS TO GO DIRECT? 1. The rise of the Subscription Economy 2. The increasing power of Marketplaces 3. The Consumerization of B2B
- 6. SELLER SERVICES PAYMENTS & RISK ORDER MANAGEMENT COMMERCE PLATFORM DIGITAL EXPERIENCE PLATFORM Control and Differentiation Efficiency and Optimization
- 7. SELLER SERVICES PAYMENTS & RISK ORDER MANAGEMENT COMMERCE PLATFORM DIGITAL EXPERIENCE PLATFORM Traditional NewSolution THE ONSHORE ADVANTAGETM PAYMENTS & RISK ORDER MANAGEMENT COMMERCE PLATFORM DIGITAL EXPERIENCE PLATFORM
- 8. GOING GLOBAL ISN’T EASY GAIN AN ONSHORE ADVANTAGE Bridging the Gap of Global Expansion • Costly investment in local infrastructure • Already established local entities • Complicated import and export regulations and restrictions • Local buying experience • Increased risk of fraud • Localized risk management • Increased levels of payment processing declines • Local payment acceptance • Exposure to foreign exchange and tax risk • Local tax regulatory compliance • Distribution and fulfillment complexity • Distribution and fulfillment management
- 9. RiskSeller of RecordComplexity Unique business model Merchant of Record Financial Responsibilities Legal Responsibilities Payment processing PCI & SOC compliance Fraud screening Currency conversion Returns, chargebacks & reversals Financial reconciliation Local entity establishment Tax registration Tax collection & remittance Compliance with local regulations Fulfillment liability Import/Export management The Onshore AdvantageTM
- 10. What Does a Global D2C Channel Mean For You? Long-lasting relationships with your best customers Own your data; use it build better shopper experiences Significantly reduced operational cost and complexity Greatly reduced legal and financial risk Rapidly scalable across the globe Consistent business model and seamless operating experience around the world
- 12. Thank you!
Editor's Notes
- Traditional, full-stack solutions can work great for smaller, newer brands/brands who sell domestically. But as brands grow and become more complex, they need best-of-breed solutions that allow them to meet evolving shopper needs and go global with ease. We’ve broken apart our monolithic, full-stack offering to modularize our services and move to a “headless” approach – * we’ll hear more about that later during our first panel * – but really, there’s no such thing as headless commerce.. You need the head! Which is why we’ve expanded our partnerships with brands who specialize in the front-end experience – and who specialize in other parts of the commerce stack – to offer a flexible ecommerce solution that works with your brand.
- Traditional, full-stack solutions can work great for smaller, newer brands/brands who sell domestically. But as brands grow and become more complex, they need best-of-breed solutions that allow them to meet evolving shopper needs and go global with ease. We’ve broken apart our monolithic, full-stack offering to modularize our services and move to a “headless” approach – * we’ll hear more about that later during our first panel * – but really, there’s no such thing as headless commerce.. You need the head! Which is why we’ve expanded our partnerships with brands who specialize in the front-end experience – and who specialize in other parts of the commerce stack – to offer a flexible ecommerce solution that works with your brand.
- * The global ecommerce market is constantly evolving and it’s hard to keep up. We’ll dive into that in one of our panels later this afternoon. * Global ecommerce has always been the sweet spot for DR. Our expertise is bringing brands to new geographies to attract new customers – it’s a complex and risky thing to do, but that’s what we’re here for. And to do this, we offer what we call the “onshore advantage”. This is all about selling “onshore” using local entities instead of selling cross-border.
- Click 0 – Where we provide significant value is through our unique business model, which provides a single, integrated solution for simplifying the most complex and risky parts of global ecommerce. Here’s how it works… Click 1 – As merchant of record, we manage financial responsibilities such as maintaining your merchant accounts and banking relationships, payment processing, PCI compliance, fraud screening, recurring billing, returns, chargebacks, and currency conversion all on your behalf. Click 2 - As seller of record, we become the legal seller, using our pre-established local entities to register with tax authorities, collect and remit taxes, comply with country-specific regulations, and take on the liability of fulfilling orders. [Deeper details from DR Legal] Examples of financial and legal considerations: Financial - Know your Customer; Anti-Money Laundering; Restricted / prohibited products (multi-level marketing); Auto-renewal Sales - Privacy (GDPR, HIPAA, GINA, etc.); website accessibility (ADA); Age requirements (video content for games, movies, regulated products – cigarettes, alcohol, etc.); Price presentation requirements (inclusive/exclusive pricing); Subscription (auto-renewal); FTC 30 day rule (and similar) Tax - Collection, remittance and reporting of applicable transaction taxes (e.g. sales, VAT); Fees (e-waste, recycling, packaging, copyright – storage, wee fees); local invoice requirements, including e-invoice; Digital Service Tax (e.g. France); Trade - Restriction on an ability to export (ECCN classifications, banned /embargoed countries, denied parties, etc.); Restrictions on ability to import (CA labeling requirements, goose down products into Canada, wine into France); Duties
- What exactly does all of this mean for you? When you have a country you want to sell into, you can lean on our extensive experience and local infrastructure to take the risk and complexity off your hands.
- I was thinking to include a link (https://nrfbigshow.nrf.com/mobile-app) to download mobile app but it seems we can’t modify this slide.