Written by Max Riis Christensen
For webshops expanding into international markets, achieving a high conversion rate is a common challenge. A low conversion rate not only leads to fewer orders than anticipated but also results in higher Cost Per Order (CPO), causing frustration and financial loss. Understanding the reasons behind this problem is crucial for achieving success.
There are several factors contributing to low conversion rates in international e-commerce. Here are some of the main reasons:
When localising for a new market, webshops often prioritise essential elements such as payment methods, language, and legislation. While this may be sufficient to start, it can significantly impact conversion rates. If local players offer a less complicated return process or have a local phone number for customer service, visitors may choose them over your webshop.
Selling in multiple countries increases the workload for ongoing webshop maintenance. Naturally, your home market takes precedence since it is likely the primary revenue source. As a result, foreign markets may be deprioritized, causing delays in introducing new products, features, and campaigns. Meanwhile, local competitors seize the opportunity and become more competitive in their home market.
Managing a webshop in your home market allows you to have a clear understanding of your competitors' initiatives and customer behaviour influencers. However, in a foreign market, this local touch is missing, making it challenging to adapt and respond effectively.
Market dynamics vary across different countries, and it's essential to know when to leverage marketplaces, invest in social media platforms like Twitter and Pinterest, and implement pre-paid returns. Timing these decisions correctly is crucial for success.
At MakesYouLocal, our daily mission is to provide solutions that help webshops succeed abroad. We offer two critical ingredients that businesses may lack or have only partially:
1. The local team
We have native professionals residing in the target country, equipped with extensive e-commerce experience. They can manage your web shop, interact with customers, and provide valuable local insights to optimise your business.
2. Scalable extra resources
We can provide additional resources, such as customer service support, tailored to your specific needs. Whether you require assistance with phone calls or other daily tasks that you may lack time or language skills to handle, we have you covered.
If you don't seek these resources from us, we encourage you to find them elsewhere. Understanding why customers choose another web shop and effectively addressing their concerns requires a broad range of competencies. Our experience in each country enables us to provide comprehensive solutions. Contact us today to solve the problem and achieve a conversion rate abroad that matches your home market. That's our goal.