exploreexport 2014 - ecommerce seminar
DESCRIPTION
eCommerce presentations from the ExploreExport 2014 event on 10 November 2014 at Murrayfield Stadium in Edinburgh.TRANSCRIPT
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ExploreExport
2014
Murrayfield Stadium
Edinburgh
Monday, 10 November 2014
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Develop Your International
Sales Online
Chris Elvery
&
Alan Linton
ICT Specialists
Scottish Enterprise
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Question:
So what is International Ecommerce?
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International Ecommerce
eCommerce…Internationally!
“The sale or purchase of goods or services, conducted over
computer networks by methods specifically designed for the
purpose of receiving or placing of orders”
It’s NOT just:
• Business to Consumer
• Physical goods
Source: OECD, ONS
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International Ecommerce
Everything that is true of ecommerce,
is also true of international ecommerce,
………………only more so!
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What are the challenges?
• Customer service (time of day around the world)
• Language
• Payment (Credit/ Debit card? Bank transfer? Payment on receipt?)
• Currency?
• Transport? Shipping? Returns?
• Legals?
• Seasons?
• Local customs/ culture/ design preferences
• Local Domains/ Search Engine Optimisation/ Social marketing?
• Brand recognition
• Will my products work?
• Trust?
• “It’s just too difficult!”
Image: http://activerain.com/blogsview/864127/turning-challenges-to-opportunities-will-rock-your-2009
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What are the opportunities?
• The "internet economy" was worth £121 billion to the UK in 2010
equivalent to 8.3% of the UK economy, that’s more than £2,000 pp
• £221 billion by 2016 representing 12.4% of UK GDP
• UK exports £2.80 for every £1 imported.
• 730,000 people work directly in/or support the ecommerce industry
• Of Scottish businesses:
– 40% are selling products or service online
– 48% generate 20% of their sales online
– 29% generate over 50% of their sales online
Source: SE.com website and ONS
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What are the risks?
• Going international before you’re ready
• Lack of planning
• Lack of execution
• Too much business
• Time spent on the wrong things
Image: www.integracore.com/atlanta/wp-content/uploads/2011/07/international-ecommerce.jpg
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Where to get started
• Research
• Plan
• Get it right at home first!
• Develop a strategy (for each market)
“Thinking is the hardest work there is,
which is probably the reason so few
engage in it.”
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Research
• Your target market
• Your target audience
– Keywords; behaviours; business
practices; preferences
• Google Global Market Finder
• Google Trends
• Consumer Barometer
http://www.consumerbarometer.eu/
“Speakers on a France and Germany panel at Multichannel Merchant’s recent Growing Global conference agreed that unlike other places like the UK and the Nordic countries – or the U.S., for that matter – consumers in France and Germany were more wary of ecommerce and thus merchants had to work harder to establish trust”. http://multichannelmerchant.com/ecommerce/france-germany-ecommerce-matter-trust-31072014/#_
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Research
• UK Trade & Investment Website - provides guides for exporting to
Global markets including:
– Challenges
– Opportunities
– Growth potential
– Legal issues
– Tax & Customs
Source: https://www.gov.uk/government/collections/exporting-country-guides
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Don’t make your customer think too hard!
• Acquisition: Get the right products/ services and the
right message in front of the right people, in the right
place, in the right way
• Persuasion: Remove the barriers: “I don’t
understand”; “I don’t like it”; I can’t find it”; “I don’t trust
it”; “I don’t get it”; “I don’t believe it” “I just don’t know”
• Conversion: Make the process to “purchase” from you
as simple and as uncluttered as possible
Image: Steve Krug – “Don’t make me think”
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www.searchenginecolossus.com & www.thesearchenginelist.com
International Search Engines
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What will customers think of your site?
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Language
• Do you need a foreign language site? (imagery/ photography can go a
long way)
• Car Hire, Holiday, vs Auto Rental, Vacation
• To drive: mexican – manejar; Spanish – conducir
“Make sure your business finds the most talented people”
“Asegúrese de que su negocio se encuentra la
gente más talentosa.”
“Make sure your business the most talented
people are.”
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Culture
• A picture speaks a thousand words!
• The left hand
• Cleanliness and purity? Or something else?
www.thumbsupworld.co.uk
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Shipping
• Hidden delivery costs are the leading cause of
shopping cart abandonment
• 18% of abandonment due to delivery times
• Can you offer free shipping? Free returns?
• Can you consider local fulfilment?
• If you can’t, be VERY clear about shipping costs and
times.
• Businesses will expect and accept shipping costs;
consumers may not.
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Payment preferences
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Expedia (UK)
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Expedia (France)
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Expedia (Hong Kong)
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Expedia (Japan)
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It doesn’t have to be difficult!
• Can set up an ecommerce quickly using an off-the-shelf service
• Can start off with using UK/ International market places (as much as
65% of shoppers prefer them) e.g. Amazon, eBay etc
• PayPal - An increasing alternative method for some markets
– Not currency dependent
– Provides automatic exchange process (if needed)
– Small transaction fee
– Has fast transaction times (mostly in minutes)
• Can use 3rd party logistics/ payment collection services
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International Checklist
1. Research market (including your current analytics)
2. Understand your customers – do they shop online?
3. Understand your competitors
4. Does my product lend itself to online sales?
5. Get it right for home market first – but build for the future and budget
accordingly
6. Prioritise markets - Simplest “jump” first – English speaking country/
same SEO/ social landscape/ similar payments?
7. Don’t assume they’ll know your brand outside of Scotland/UK
8. Product/ image led site
9. Make it easy to communicate with you
10.Set realistic expectations for traffic and conversion to sale
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Top 10 things to ask your developer
1. Previous eCommerce work undertaken/ retail sales experience?
2. Do they have any sectoral experience?
3. What eCommerce platform do they propose and why?
4. Their experience of international sites?
5. Their experience of XYZ country?
6. How will the website integrate with your other systems?
7. Will the site be mobile friendly?
8. Will they set up Analytics to allow you to monitor sales and conversion?
9. Will they agree Key Performance Indicators (KPIs)?
10.Will they work with you on an ongoing basis?
Image: www.houseplanology.com/blog/top-10-house-plans-over-2000-sq-ft-2013/
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Scottish Enterprise support
• International eCommerce workshops
• Scotland IS master classes (www.scotlandis.com/ecommerce/2014-2015-
event-details)
– 19th Nov: Multi-screen/Multi-channel Ecommerce Strategy (Margaret
Robertson, European Marketing Director, Canvas Holidays/ Cat
Leaver, Head of Marketing, Alienation Digital)
– 29th January - Ecommerce Security and Legal (Matthew Godfrey-
Faussett, partner, IT and healthcare, Pinsent Masons/ Dave Stubley,
CEO, 7 Elements)
– 3rd February - Analytics keynote (Kitt Gilbert Scott, EMEA Manager,
Google Analytics/ John Cawdery, Account Director, Google)
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Thanks!
Alan Linton Chris Elvery ICT Specialists Scottish Enterprise
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Sarah Chanter
Director
eteaket
My story
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Bill Gordon
CEO
Red Torpedo
My story
Poering POWERING EXPORT GROWTH
Poering
Est 2005
Maverick Male Underwear Brand
Rooted in Indie Music scene
Distribution biggest headache
Change of Strategy
Full blown Casual Wear Brand
Poering
UK Road Racing
High Octane niche market
Internationally known and revered
Hero culture
Affordable
Giving It Full Throttle
Poering
Web sales core distribution channel
Finding right platform
Keeping up with speed of development
Funding
Maintaining Growth
Social Media Explosion
Poering
Red Riders / Social media
Commitment
Quality not quantity
Drive connection with the brand
Drive awareness / profile / sales
C 30,000 2007 , now 900,000 plus
Poering
Seeding new markets
Prioritise USA , Italy , Germany , France
Maximise power of social media
Attend key events
Start the buzz
Poering
Developing Export Markets
Establish local fulfilment
Supply distributors / dealers
Use Social Media to fuel the story
Broaden Distribution Channels
Expand web offer in UK
Poering
Developing Export Markets
Establish local fulfilment
Supply distributors / dealers
Use Social Media to fuel the story
Build Wholesale and direct Distribution Channels
Poering
Maintaining web store as key channel
Redesign
Enhance Impact
Continuous improvement
Add complementary brands to extend offer
Stay on It !
Poering
Thanks for listening
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John McIlvogue
Managing Director
Stevens & Graham
My story
Introduction
Brooks Brothers NYC
history
Social Media & Ecommerce
Get Social
engagement
the future
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Q & A
Panel Session
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Book an appointment with an Export Advisor to get you started.
Email: [email protected]
Telephone: 0800 0191 953
Events: http://www.scottish.enterprise.com/events
Newsletter sign-up: https://www.scottish-enterprise.com/subscribe
NEXT STEPS – TALK TO SDI
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End of seminar
Thank you!