How to choose an e-commerce platform to sell in foreign markets?
Expanding into foreign markets is one of the most effective ways to grow an e-commerce business, allowing companies to reach new customers and increase revenues. Choosing the right platform to handle international sales is a decision that can make the difference in the success of a global expansion. In this article, we will discuss what to look for when choosing an e-commerce platform, as well as what features are key and how to effectively reach customers in international markets.
The importance of choosing the right e-commerce platform for overseas sales
When planning expansion into international markets, choosing an e-commerce platform is one of the most important strategic decisions. You need a solution that will provide a seamless service in different markets, taking into account local regulations, preferred payment methods, languages, as well as currencies.
The platform should make it possible to quickly adapt its offerings to the specifics of different countries and efficiently manage sales in multiple markets simultaneously. Adapting to the diverse needs of customers from different regions can be crucial to business growth.
According to Statista, the global value of e-commerce sales in 2023 was about $6.3 trillion, up 21% from 2021. This means that the e-commerce industry continues to grow at an impressive rate, with an increasing number of online stores opting for international operations.
A robust e-commerce platform that provides full support for sales in different markets is the foundation for a company's growth in international e-commerce.
Analysis of target markets: what factors to consider?
Successful international sales requires not only choosing the right platform, but also understanding the specifics of the target markets. Here are the main aspects to consider:
- Payment preferences : payment preferences vary from country to country, so make sure to integrate with a variety of payment systems. For example, customers in the United States most often use credit and debit cards, while in Germany local solutions such as SOFORT or Giropay are preferred.
In Asian countries such as China, customers prefer mobile payments through Alipay and WeChat Pay platforms. Choosing a platform that offers the flexibility to integrate with local payment systems can have a huge impact on conversion and customer satisfaction.
- Legal and tax regulations: Each market has its own unique regulations that govern online sales. International sales involve compliance with various regulations regarding VAT, consumer protection, complaint procedures and rules regarding the processing of personal data (e.g., RODO in the European Union).
A well-chosen e-commerce platform should provide features to comply with local regulations, which is especially important in markets with strict regulations.
- Local buying habits and language preferences: Understanding the buying culture and matching your offerings to local expectations often determines success. Adapting to local realities can contribute significantly to successful sales in foreign markets.
Functionality of e-commerce platforms for international sales
When choosing an e-commerce platform for overseas sales, pay special attention to features that will make it easier to manage sales in different markets. Here are key features that can prove invaluable:
1 Support for multiple languages and currencies: Platforms such as Magento, Shopify Plus and BigCommerce offer advanced localization options, allowing you to not only translate your store's content into different languages, but also automatically adjust prices to local currencies, significantly improving the shopping experience for customers. Adapting language and currency to the customer's location can increase conversions and build trust in the brand.
2 Integrations with international payment methods: An effective e-commerce platform should allow integration with both popular global payment systems, such as PayPal or Stripe, and local payment solutions. For example, when planning to sell in China, it is advisable to choose a platform that allows integration with Alipay and WeChat Pay, while for the Dutch market, support for iDEAL is useful. Introducing local payment methods can eliminate purchasing barriers and increase sales.
3. Intelligent product and warehouse management: managing inventory across multiple markets is a challenge, so look out for platforms that offer integration with ERP (Enterprise Resource Planning) systems to support inventory synchronization. For example, Magento offers integration with ERP systems, allowing for efficient inventory and logistics management, which is crucial for operations in multiple markets.
According to the Salesforce report, many Polish companies are paying attention to customer service alignment as a key revenue driver - as many as 58% see proper management of service processes as a revenue-generating element.
Choosing an e-commerce platform - a decision based on function and cost
When choosing an e-commerce platform for international sales, the key is to find a balance between functionality and cost. Some platforms offer a rich set of features, but their price may outweigh the potential benefits.
SaaS (Software as a Service) based platforms, such as Shopify, provide technical support, regular updates and ease of integration, but this comes at a higher monthly cost. Magento (Adobe Commerce), as an open-source solution, offers flexibility and deep customization to meet a company's unique needs, making it a particularly attractive choice for organizations looking for a more personalized solution - but it requires more commitment from the IT team.
It's also worth exploring the platform's integration capabilities with the company's current tools, such as ERP, CRM and logistics systems. Shopify and BigCommerce offer a wide range of pre-built integrations, which streamlines management and logistics processes, while Magento, thanks to its openness, allows for a more fine-tuned integration to fit a company's unique business processes.
Technical support and documentation
Good technical support is especially important for companies just starting out in foreign markets. Platforms such as Shopify and BigCommerce offer comprehensive technical support, documentation and guides that can be useful when technical issues arise.
Magento (Adobe Commerce), while requiring more technical involvement, has a broad community of specialists and resources for developers, which can prove extremely valuable for companies looking for greater control and flexibility in customizing the solution to meet the specific needs of foreign markets.
Summary: What to keep in mind when choosing an e-commerce platform?
When choosing a solution that easily adapts to different markets, be sure to analyze the cost, functionality and level of support that the platform offers. Look for the flexibility that will help you scale your business, and the comprehensiveness that allows you to move seamlessly into additional markets.
Making the right decision can not only accelerate your company's growth in foreign markets, but also help you conquer new territories and increase the reach of your brand.
