Global Shipping for Your eCommerce International Orders
What defines a successful business? Is it the brand identity? A huge customer base? Or a notable presence in every corner of the world? Long-standing businesses like Puma, Adidas, Coca-Cola, Samsung, etc., may have started in one part of the world but over the years these brands have created a name that is recognized the world over.?
Although these companies didn’t start off as online brands, we believe, digital-first businesses have similar if not greater opportunities to be just as successful. One of the ways to do that is by expanding the existing audience reach and delivering to customers outside your country.
In this article, we’ll walk you through the many steps of international shipping and give you tips on how to do it right.
What is International Shipping?
International shipping can be simply understood as shipping products to countries other than your own. It seems straightforward in principle but successful international shipping depends on a lot of moving parts like the selection of the right shipping carriers, order fulfillment and distribution processes, router optimization, and more.
But if you get these right, the benefits you will reap from shipping to international markets will far outweigh the challenges you face doing so.?
A few reasons why international shipping is the gateway to success: - You get to experience a wider market reach and newer customers who may like the products not usually popular among your existing customers.
- Return rates for articles shipped abroad are usually lower because of the high shipping costs incurred by the buyers.
- Peak seasons vary from country to country. Therefore, you may be able to tap into more sales if you correctly calculate demand before sale seasons.
How Does International Shipping Work?
International shipping may seem daunting, but it follows a series of straightforward steps, similar to domestic shipping, with a few additional checkpoints.
1. Order Placement
The journey begins when a customer places an order through your online store.
2. Order Fulfillment
The order is then packed and labeled for international shipping.
3. Order Shipping
The package is collected by your logistics provider or delivered to the post office.
4. Order Export
Orders are segregated by destination and shipping mode (land, air, or sea). They are further sorted based on shipping methods, depending on the time sensitivity and cost considerations.
5. Order Import
Upon arrival at the destination country, packages go through customs, where they are inspected, and duties or taxes are calculated.
6. Order Notification
Customers are notified when their package is ready for delivery or pick-up, pending any payments.
7. Order Delivery or Return
Once fees are cleared, the package is delivered to the customer. If payments are not made, the shipment may be returned to you.
The Cost of International Shipping
Shipping costs are a significant consideration in international eCommerce, influenced by a variety of factors:
1. Customs Duties and Taxes
These are tariffs imposed on goods crossing international borders, aimed at protecting the home country’s economy and generating revenue. High trade tariffs may be applied to encourage domestic production or as a response to international trade relations.
2. Security Measures
Strict security protocols at ports, especially in politically unstable regions, can delay shipments and increase costs. Goods may undergo multiple screenings, particularly if they contain hazardous materials or if there are concerns about the destination port’s security standards.
3. Port Congestion
In busy ports, especially in Asia, congestion can cause significant delays. Factors like labor disputes or an overrun of empty containers can lead to increased shipping costs due to prolonged delivery times.
4. Fuel Costs
Fuel prices fluctuate constantly, directly impacting international shipping costs. Events like wars or disputes that disrupt fuel supplies can lead to soaring shipping prices.
5. Transportation Mode
The choice between ocean and air freight plays a crucial role in determining costs. Ocean freight is more economical but slower, while air freight is faster but more expensive.
Preparing Your Package for International Shipping
The long journey and increased handling in international shipping necessitate careful packaging to ensure goods arrive safely.
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1. Pressure Ready
Ensure your goods are stackable and protected from handling pressures such as tilting during airfreight, forklift handling, and road vibrations.
2. Right Packaging
Opt for reinforced or double-walled corrugated cardboard boxes that offer adequate protection. Larger goods should be packed in pallets or crates with edge protectors, shrink-wrapped, and strapped together for added sturdiness.
3. Internal Packaging
Use packing peanuts, air cushions, or styrofoam to fill empty spaces in boxes, minimizing movement and preventing damage.
4. Weight Check
Choose packaging that can handle the weight of your goods to avoid accidents during transit.
5. Brawn Over Beauty
Prioritize sturdy packaging over aesthetically pleasing options like baskets or jute bags, which offer little protection.
6. Feedback Time
Regularly review customer feedback to identify potential packaging issues and make necessary improvements.
Choosing the Right International Shipping Company
Selecting the right shipping partner is crucial for smooth international operations. Consider the following factors:
1. Special Considerations
If your products require specialized handling, choose a shipping company experienced in managing such goods, including temperature-controlled carriers and protective packaging.
2. Customer Service
Ensure the logistics provider is reliable and accessible, offering dedicated account management for high-volume shipments.
3. Trackability
Opt for a shipping company with advanced tracking technology to keep both you and your customers informed throughout the journey.
4. Cost
Balance cost considerations with quality, avoiding providers who offer suspiciously low rates that may indicate cut corners in service.
5. Delivery
Choose a provider with an extensive network in your key markets to ensure timely deliveries and customer satisfaction.
Optimizing Your Shipping Experience
To enhance your international shipping process , consider the following tips:
1. Safe and Timely Shipping
Plan ahead and account for potential delays. Don’t overpromise delivery times to customers.
2. Save Money
While affordability is important, prioritize service quality. Negotiate with logistics providers for better rates.
3. Avoid Common Mistakes
Ensure proper packaging and accurate labeling to avoid delays and additional surcharges.
4. Lost or Damaged Packages
Invest in cargo insurance to cover potential losses and protect your business.
5. Stay Informed
Educate yourself on international shipping norms to make informed decisions and reduce costs.
Final Takeaway
As we’ve discussed, international shipping can open many new doors for ecommerce businesses but everything depends on the way you do it. Choosing the right shipping carriers, and fulfillment providers, and understanding the pulse of your international audience is essential for securing a solid foothold outside your country. All the best.