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World Trade Month Go Global Webinar Series Growing Your Global eCommerce Sales Webinar #2: May 27, 2021

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World Trade Month

Go GlobalWebinar Series

Growing Your Global eCommerce Sales

Webinar #2: May 27, 2021

We are here to help you Go Global.

Learn about the logistics of growing global eCommerce including tips for handling payment and shipping in the electronic environment. The session will also include Federal support programs for

all your export needs.

Access more international trade resources on www.trade.gov/export-solutions.

Go Global Webinar Series

Brought to you by your federal trade partners:

• U.S. Small Business Administration

• Export-Import Bank of the United States

• U.S. Census Bureau

• U.S. Commercial Service

Growing Your Global eCommerce Sales

GO GLOBAL Webinar Series

Wendy PeeblesLead Outreach CoordinatorU.S. Census Bureau

Actionable Insight on Shipment & Payment in a

Virtual Environment

How can the Federal Government help you grow

your global business?

KEY TAKEAWAYSGrowing Your Global eCommerce Sales

I. Introduction to Common Logistics Questions/Issues- James Bledsoe, U.S. Department of

Commerce

II. Key Insights on Shipment & Payment in a Virtual Environment – Tawnee Steinke, Zonos, Inc.

III. Next Level Resources for Expanding Sales- Federal Programs

o Department of Commerce- James Bledsoe, Director, eCommerce Innovation Lab

o Small Business Administration- Michele Schimpp, Acting Associate Administrator for

International Trade

o EXIM Bank- Steve Maroon, Director of Marketing

o U.S. Census Bureau- Wendy Peebles, Lead Outreach Coordinator

IV.Q&A – Moderated by Steve Maroon, EXIM

AGENDA Growing Your Global eCommerce Sales

Introduction to Common Logistics Questions/Issues

GO GLOBAL Webinar Series

James BledsoeDirector, eCommerce Innovation LabU.S. Commercial Service

Source: Statista, eCommerce Worldwide Study

1. Lack of Business Digital Strategy & Knowhow• Solutions: CS Digital Strategy Counselling

2. Lack of eCommerce Service Provider Awareness• Solution: eCommerce Business Service Provider Referral

3. Help identifying non-tariff barriers• Solution: Traditional Counselling

4. Shipping/Logistics Costs• Solution: Traditional Counselling

5. Online Payment Solutions• Solution: eCommerce Business Service Provider Referral

Top eCommerce Business Issues We Can Help With

Slides- Insights on Shipments & Payments in a Virtual Environment

Zonos Inc

St. George UT

Get your business ready

for international eCommerce

© 2021 All rights reserved

Tawnee Steinke

Director of Global Partnerships

[email protected]

Tawnee is head of Global Partnerships at Zonos overseeing the

Business Development department. In her role, she is responsible for

helping to grow and expand the company by helping online merchants to

convert international shoppers into lifelong customers. Being a small

business owner herself with a focus on eCommerce she understands the

difficulties and rewards of online business.

Learning to navigate international ecommerce with Zonos for over 6

years has helped her to be successful in opening new markets and

adding growth to the company. Customer experience has been an

important part of her career and will continue to adapt to the changing

times.

© 2021 All rights reserved

© 2021 All rights reserved

International Trends.

22%

1. DPD and ParcelHero independent quotes. 20212. Metapack eCommerce Benchmark Report, 20203. BigCommerce, “Shipping, Delivered - Best Practices and expectations 2020

Ecommerce is growing

of ecom will be cross-

border by 2022

in 2020! Up from

300bn in 2015!

Global ecommerce reached

$4.5tn

Negative buyer experience

20% of all shipments are being

stopped at the border 1

81% of people had a bad delivery

experience in 2020 2

58% will stop buying from a retailer

after a bad experience 3 fd

Localized Website

Simple Google search, no language barriers, and

easy to use address fields

Payments

You know the exact cost, with fast easy options

for payments

Shipping

Customers are looking typically for free or flat rate

shipping

No Surprises

Receive your product quickly and have a

happy customer

Image placeholder graph or image goes

here

The US

customers

online buying

experience

© 2021 All rights reserved

© 2021 All rights reserved

Shipping costs

Shipping costs are unclear

with limited options

Payment fees

Additional fees for an

international credit card, not a

lot of options

Delivery

Vague delivery expectations

Exchange rate

Foreign exchange rate is

unknown

Duties & taxes

Collection of duties and

taxes after the order upon

delivery

Bad experience

Nothing but surprises in a

difficult situation

The international buying

experience for shoppers

© 2021 All rights reserved

Complicated conversion

Higher abandon rate without

localized experience

Multiple currencies

Lorem ipsum dolor sit amet,

consectetur adipiscing elit,

Multiple languages

More questions manually

touching orders in other

languages

Difficult process

Lorem ipsum dolor sit amet,

consectetur adipiscing elit,

The international

buying experience

for merchants

© 2021 All rights reserved

© 2021 All rights reserved

Shoppers may abandon merchants as well

as carts

https://www.canadapost.ca/blogs/business/ecommerce/conversion-and-

abandonment-the-ingredients-you-need-to-maximize-your-checkout-experience/

In the past year international

fraud has increased by 46%*transunion

Strict rules for

international fraud

Payment companies have

stricter rules about the types

of orders they will accept with

international orders,

Retailers restrict high

risk countries

Online retailers will shut

countries off that have a higher

percentage of fraud

Technologies not setup

for international

Address verification is difficult

with international orders

© 2021 All rights reserved

Total Landed Cost

Image

© 2021 All rights reserved

Brexit, UK VAT and EU VAT

81% of consumers had a bad

delivery experience last year!

59% of consumers blame the

carrier!

© 2021 All rights reserved

The New Rules

● Brexit - EU/ UK customs clearances

● UK VAT - mandatory HMRC registration for low-value goods

● EU VAT - €22 de minimis removal

● Introduction of IOSS and end of distance selling thresholds

● Market places deemed supplier

Effect

● EU ‘doubling-down’ on transport disruption

● “53% of cost is in the final mile of delivery” -BI Intelligence

● Customs Delays resulting in bad delivery experiences

● Increased Merchant Responsibility

Zonosguides

for cross

border

© 2021 All rights reserved

https://docs.zonos.com/guides

Zonos

Hello

© 2021 All rights reserved

Set International customers

expectations

Zonos Hello

Free Duty & Tax Quotes for

Shoppers

The first step in improving the

international buying experience.

Shoppers get estimates duties and taxes

as they add items to their cartJS

For custom sites and

other platforms

Plugins

JSFor custom sites and

other platforms

Next Level Federal Resources

James BledsoeDirector, eCommerce Innovation LabU.S. Commercial Service

Wendy PeeblesLead Outreach CoordinatorU.S. Census

Stephen MaroonDirector of Digital MarketingExport-Import Bank of the U.S.

Michele SchimppActing Associate Administrator for International TradeU.S. Small Business Administration

Next Level Federal Resources- DOC

GO GLOBAL Webinar Series

James BledsoeDirector, eCommerce Innovation LabU.S. Commercial Service

The world is open for your business.Our global network of experienced trade professionals is located throughout the United States and in U.S. Embassies and Consulates worldwide. Whether you’re looking to make your first export sale or expand to additional markets, we offer the expertise you need to connect with lucrative opportunities and increase your bottom line.

Our Services

Export Counseling• Develop effective market entry and sales strategies. • Understand export documentation requirements and import regulations of foreign markets. • Navigate U.S. government export controls, compliance and trade financing options.

Market Intelligence• Analyze market potential and foreign competitors. • Obtain useful information on best prospects, financing, laws, and cultural issues. • Conduct background checks on potential buyers and distributors.

Business Matchmaking• Connect with pre-screened potential partners. • Promote your product or service to prospective buyers at trade events worldwide. • Meet with international industry and government decision makers in your target markets.

Commercial Diplomacy• Overcome trade obstacles to successfully enter international markets. • Benefit from coordinated U.S. government engagement with foreign governments to protect U.S. business interests.

Let our global network work for you.

Worldwide RecognitionAs the U.S. government, we can open doors that no one else can in markets around the world.

Global NetworkOur unmatched global network with trade experts in more than 80 countries can provide you with on-the-ground knowledge and connections.

Results DrivenOur expert, in-person counseling is unparalleled and designed to help you succeed in global markets.

We are where you are, and where you want to be

Light green - Open Office(virtual services with limited delays)Yellow - Open (virtual services with significant delays)Red – Closed

Grey - Vacant / UnstaffedWhite - Other / No data

U.S. Department of Commerce | International Trade Administration | U.S. Commercial Service

Trade.gov/eCommerce Explore eCommerce Resources

Resources- Online Market Research

GO GLOBAL Webinar Series

Michel SchimppActing Associate Administrator for International TradeSBA Office of International Trade

Next Level Federal Resources- SBA

The SBA Can Keep You Competitive

Business Intelligence for Changing Times

Grants to Reach International Buyers

Financing for Your International & Supply Chain Sales

See if your state/territory offers grants at sba.gov/international

Contact your local export finance manager at sba.gov/international

Get advice on exploring export markets atsba.gov/tradetools

SBA’s Trade Tools for International Sales

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One-Stop Website for Information on Exporting and Importing for Small Businesses. Learn about:

• Developing an export plan

• Federal and local resources available to help small businesses

• Identifying markets, including information about U.S. trade agreements, such as USMCA, and the opportunities created for small businesses.

• Laws and Regulations that impact trade, including customs, tariffs, intellectual property, and e-commerce.

Want to learn more?

• Visit www.sba.gov/tradetools.

• Information is available in English and Spanish.

Business Intelligence for Changing Times

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SBA’s Fast Track Service

• Meet privately with SBA senior trade and technical staff to discuss unique needs

• Quickly access to accurate information, guidance on eligibility requirements

• Receive introductions and professional referrals to Federal, State or local resource partners

How to Schedule Fast Track Service and SBA’s International Trade Hotline?

• Call SBA toll free at (855) 722-4877 or send an email to [email protected]

Grants to Help You Reach International Buyers

The State Trade Expansion Program or STEP provides grants to U.S. states/territories to help small businesses to go international.

• Eligible Uses of Funds include:

− Training workshops

− In-person and Virtual trade missions

− Services to support foreign market entry

− International Partner Search

− Website optimization for global sales

− Translate websites to attract foreign buyers

− Designing marketing media and more

Visit sba.gov/STEP to find out if your state/territory is participating in STEP.

Overcome Financing Challenges

SBA can work with your lender to help you overcome financing challenges such as:

• Canceled or reduced buyer credit insurance coverage

• Reduction in lines of credit or working capital financing

• Demand by foreign buyers for performance guarantees on advanced payments

• Supply chain issues: extended payment terms from OEMs

Financing Your International & Supply Chain Sales

Loan options for direct and indirect exporters (i.e. supply chain):

• Export Express for business development

− $500,000 limit

• Export Working Capital to fulfill your international & supply chain orders

− $5 million limit

• International Trade Loan for expanding your production capacity, re-financing debt, and reshoring

− $5 million limit

Export Finance Managers at www.sba.gov/international

Get International Trade Support From SBA

• For assistance with trade barriers and SBA Fast Track Service call SBA toll free (855) 722-4877 or Email [email protected]

• For a list of State Trade Expansion Program (STEP) with grants visit www.sba.gov/STEP

• For export finance questions and help navigating SBA resources, locate and connect with one of our Export Finance Managers at www.sba.gov/international

• Explore Opportunities at www.sba.gov/tradetools (Spanish version available.)

• Stay Informed with SBA’s OIT’s Newsletter and Webinars: sba.gov/newsroom

GO GLOBAL Webinar Series

Stephen MaroonDirector of MarketingExport-Import Bank of the United States

Next Level Federal Resources- EXIM

EXIM’s Products Help U.S. Companies Grow Sales

• Export Credit Insurance

• Allows exporters to protect against buyer nonpayment

• Enables exporter to extend open account credit terms to buyers

• Medium- and Long-Term Insurance and Loan Guarantee

• Assists international buyers in obtaining lender loans to purchase U.S. capital goods and services.

• Typically one to seven year terms and longer for large projects, aircraft, etc.

Export-Import Bank of the United States (EXIM)

GO GLOBAL Webinar Series

Wendy PeeblesLead Outreach CoordinatorU.S. Census Bureau

Next Level Federal Resources- Census

Census Resources

• Census COVID-19 Data Hub

• Census Business Builder

• Global Market Finder

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• Schedule B Search Engine

• Webinars and Training

• International Trade API

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Census Resources

Contact Information• International Trade Help Line 800-549-0595

• Automated Export System, Option 1

• Schedule B Commodity Classification, Option 2

• Foreign Trade Regulations and Export Filing Requirements, Option 3

• Trade Data Productions, Option 4

• Outreach Activities, Option 5

Census Academy www.census.gov/academy

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Questions?