Internet is limitless, so why would you limit yourself to the home market with a webshop? For a good price-quality ratio and/or special products, consumers are certainly willing to ship internationally. This is one of the four trends that will greatly stimulate the growth of cross-border e-commerce. And images play a vital role to flourish an e-commerce business. So image editing is necessary and Clipping Path Work could be the best platform to deal with.
International e-commerce is increasing rapidly in size. According to Forrester, spending will have doubled in 2021 to $ 424 billion. That is 15 percent of the total global e-commerce turnover. PayPal estimates that in 2018 130 million foreign visitors will shop at American web stores, while only a quarter of the webshops are ready for that.
Last year, according to Post Nord, 176 million people were shopping across the border in Europe. The main reason for this is that products in other countries are offered at lower prices. In addition, consumers say that they buy products that are not available in the home market. They prefer to do all of that at web stores in the US, Germany, and China.
Now we will discuss some element which helps to boost int’l e-commerce market.
Liberalization of the Financial Market
The second development that we see is a new regulation in Europe that should liberalize the financial market. The payment sector has always been dominated by banks, but now there is so much more possible than just paying with credit and debit cards. You can pay with your smartphone, via Facebook, and even in virtual reality.
To stimulate innovation and more competition in this area, the EU has adopted the PSD2 regulation. The essence of this is that non-banks can gain access to account information if the holder gives their consent. This opens up new possibilities in terms of business models.
In addition, the power of Visa and Mastercard has come to the attention of the European Commission. In order to regulate this high level of control over payment transactions, rules have been established with regard to interchange fees.
These are the surcharges that a merchant pays to credit card issuers for the acceptance of the card. The EU has set a limit on this for the past two years in order to increase transparency and to keep costs under control.
More electronic payment options and lower costs stimulate e-commerce. The fact that these rules apply throughout the EU naturally means that intra-European cross-border shopping becomes easier. But it is also becoming more attractive for customers from outside the EU to shop at European webshops.
This is European legislation, but the world of cross-border e-commerce is of course much bigger. In Brazil, Mexico, Russia, India, Vietnam, Indonesia, and China, just to name a few countries, the middle class is growing rapidly.
To do business successfully in these promising markets, you must know the local regulations and be aware of the needs of customers with regard to payments. If you offer the wrong mix, you will miss out on business. Anyone who does business in the Netherlands and does not have an ideal, which 85 percent of the population uses, will attract few customers.
Often it also differs per product group how customers prefer to pay. In Russia, for example, Yandex is the payment method for retail, but for gaming, customers prefer Qiwi. And then there is the consideration of how fraud-sensitive the payment methods are.
The third development that encourages cross-border e-commerce is the fact that in more and more countries hardly any cash is paid. As a result, people are reluctant to shop online. For example, Thailand is one of the largest e-commerce markets in Asia and is fast becoming a ‘cashless’ country.
The government is actively working on this and has established a national e-payment program. According to Moody’s, the increased use of electronic payment methods in the period 2011-2015 contributed $ 3.18 billion to the gross national product.
And the Thai are also very progressive when it comes to shopping via social media: 51 percent have used mobile commerce, according to research from PwC.
Millennials Catalyst of Renewal
What naturally also plays a role in Thailand is that there are relatively many young people. And millennials are a global driving force behind innovations in online shopping and payment. Millennials are now 35 years and younger. They work and have money to spend.
Characteristic for this target group is that you as a brand or company must win their trust and establish your reputation. If they like you, they will come back, but that is not automatic – their loyalty is changeable, they always look for something better, newer, or cooler. They are therefore at the forefront when trying new payment methods, such as on social media.
At the same time, millennials such as employees and entrepreneurs are not afraid to experiment with new things. They are the ones who compete with traditional institutions such as banks.
Cross-border e-commerce has a lot of growth potential. For those who want to expand abroad, it is useful to know which payment methods are popular there. Customers drop out if you do not offer the correct payment mix.
They want to have a choice and well-known methods work as a quality mark. This is all the more true for international customers who purchase from a foreign web store. Do you want to know more about exactly what you should take into account international expansion?
In the position paper ‘Growing Faster with Cross-Border eCommerce,’ we list the most important trends and developments. You can download it.
Visual Element Getting Reality
Due to technical advancement, every visual element becoming reality, and image/videography has become the reality when they’re edited perfectly. In recent times both outsourcing and freelancing have become expanding among the developing countries. Photos have become more powerful than any other thing.
Professional and freelance photographers are taking the RAW picture which is edited by an expert graphic designer to attract the consumer about their desired product and service. It’s estimated that annually 20-25 billion images are edited by freelancer image editor and about 100-150 billion images are captured by professional photographers for commercial purposes.
Clipping Path Work is one of the major image editors which offer a wide range of image editing for various service both for professional and personal use. So ultimately Clipping Path Work could be your best image editor in the virtual realm.