As a DHL authorized reseller, we have opportunity to work with our share of ecommerce operators shipping goods overseas. We also get to hear all their concerns about international shipping. We can address some of those concerns through services like International Export Express. Other concerns we have no control over.
It goes without saying that international shipping can get messy. It is certainly nothing like putting a stamp on a letter and mailing it to a family member in another state. When you ship goods across borders, there is a lot you need to pay attention to.
From our experience, here are the main international shipping concerns for ecommerce:
1. Fraud
Unfortunately, any small business that ships goods overseas run the risk of becoming victims of fraud. It is a bigger problem for ecommerce only because operators are usually dealing with retail sales. It’s a lot easier to commit retail fraud than ripping off wholesale suppliers, distributors, etc.
Protecting against fraud involves confirming identities and payments. That is not something a shipping partner can do for an ecommerce operator. Still, it must be done to the best of the operator’s abilities.
2. Customs Regulations
Fraud is probably the biggest concern from a financial standpoint. But when it comes administration and compliance, the biggest concern for ecommerce operators is keeping up with customs regulations. The unfortunate thing about customs is that regulations are not uniform around the world. Every new country an operator chooses to ship to may have its own regulations.
Incidentally, one of the benefits of working with a company like ours for international ecommerce shipping is getting access to our customs expertise. We know customs inside and out. We make compliance a priority on every package we ship.
3. Taxes and Duties
Along with customs compliance come taxes and duties. Most international shipments are subject to duties of some sort. It is a question of who pays them and at what point they are paid. Not knowing this ahead of time can delay shipments at the border, subsequently alienating customers who simply want their goods.
Along with taxes and duties, there are often other fees involved with shipping overseas. Pretty much everyone involved in the logistics life cycle has to get paid. Who bears responsibility for the expense? Ultimately, it is the end user. But along the way, an ecommerce operator may have to foot the bill for some of those fees.
4. Payment Processing
Payment processing is another international shipping concern that a company like ours cannot help with. Payments are a separate part of the equation. Nonetheless, they can be very problematic. An ecommerce operator may discover that their main payment processor doesn’t process payments from a given country. They need to find and sign on with another processor in order to service that country.
There is also the issue of different currencies. Will the operator only accept U.S. dollars, or will other currencies be accepted? And what about currency exchange fees? If international currencies are going to be accepted, someone has to pay the fee to have the funds exchanged for U.S. dollars.
There is a lot Preferred Shipping can do to make international shipping easier on ecommerce operators. There are a lot of challenges we can meet as an authorized DHL Express reseller. However, there are some things we cannot do. That’s why we encourage customers to educate themselves as much as possible about international shipping.
It has its challenges, that’s for sure. But wherever there are concerns, there are also solutions. Successful ecommerce operators who ship overseas prove that every day.
