Five strategies for an international wholesale e-commerce business
With the Covid-19 pandemic disrupting the global marketplace, a significant opportunity for e-commerce showed up.
In the past few years, the space experienced epic growth because online shopping became a necessity for most customers, as stores and shops worldwide were forced to shut down during the quarantine.
Thanks to the explosive growth of e-commerce, the wholesale industry is thriving. And while this growth creates new opportunities for wholesalers, it’s vital to understand more about an international wholesale e-commerce business to succeed.
Here are the five strategies that will help you manage your wholesale business while preparing to expand internationally.
Build an app
Having a website is not enough these days. A mobile app is essential in building a relationship between a business and a customer.
Business owners can target customers anytime and anywhere with an e-commerce mobile app. Increased brand visibility is one of the main reasons to build an app and take advantage of mobile commerce.
Brands connect with their customers more easily with a mobile e-commerce platform. People spend hours on their mobiles, so you should offer the best quality and an easy-to-use app.
Here are some benefits you will have by building an eCommerce mobile app:
● Improved brand recognition
● Increased marketing communication
● Better customer experience
● Improved visitors engagement
● Higher conversion rates
● Increased loyal customer base
● Better efficiency
Customers stay connected with the brand via smartphones. This improves interaction with brands, information exchange, and of course online shopping, as more and more customers prefer shopping on mobile devices.
Including these devices in your marketing approach will improve communication significantly. An e-commerce app assists in higher conversion rates and contributes to revenue.
If you want to go international, you need to localize your app. The software localisation process means adapting an app to the language and culture of users in different markets. Localisation is crucial when going globally, and implementing it will simplify attracting an international target audience.
Use a wholesale management platform
Wholesale distributors face many challenges while trying to increase customer satisfaction. Managing them can be difficult, so they have created a demand for wholesale management software.
With this platform, your whole business integrates into one system, which reduces costs and increases information flow.
Inventory is responsible for an enormous amount of costs in the wholesale business. Businesses that track inventory manually have even more costs and time management inefficiency. Every manual error adds to inventory costs and data that isn’t accurate complicates business processes.
Wholesale management software like JOOR enables you to optimise your inventory management by reducing manual entry and automating stock procedures in your business.
It also provides standard functionality to assist you with handling all of these issues. Instead of dealing with a large team of employees to manually track stock movements, an integrated wholesale management software does this for you.
Real-time visibility stock is why companies implement whole management software.
When everything is centralised in just one system, it’s easier to identify crucial areas and tracking stock levels is more manageable. It prevents shortages and overstocking, allowing you to understand your products better.
Get your prices in order
Setting your pricing structure is vital in selling any type of product.
When in a wholesale business, you need to lower your prices to rationalize larger purchase orders. You need to consider the costs to manufacture, market, transport, and store the product and the other possible expenses of the production.
Set your prices in a way that ensures profitability. Usually, businesses sell their wholesale items by doubling the price of their production costs. Make sure you have analyzed all the costs when determining your pricing.
Some wholesale companies enforce a minimum order quantity. That means that placing an order suggests that you need to purchase a minimum of 100 units. Additionally, volume-based pricing is a good solution because it fluctuates depending on the number of ordered items.
Research regulations per country
The first challenge for those looking to expand their wholesale business abroad is adapting to the rules and regulations of different countries.
A good way to overcome this obstacle is to research the laws and regulations of the countries where you plan to expand your business.
For example, European data protection rules are stricter than in America. Make a plan on how to handle customer data and keep their information secure in case you want to sell to Europeans in the future.
Another thing to consider is tax requirements and shipping restrictions.
To understand different regulations country by country, you may need to consider hiring an international legal consultant. When searching for a consultant, go with someone who is an expert in payment, taxes, and localization.
Use loyalty programmes
The best way to improve your wholesale e-commerce business is to show your customers you care.
Retailers also love when you appreciate them, so reward them when they make several purchases from you. You may offer a discount or some kind of special offer.
Think about what works for your business when considering creative ways to reward your customers. By offering loyalty programmes, you will increase customer loyalty and improve sales.
Final thoughts
Expanding your business abroad is a big e-commerce challenge.
Still, it’s rewarding to reach a new customer base. These strategies will help you launch your international wholesale e-commerce business. With a detailed plan, you will achieve your goals.
