The EU referendum: in, or out?

LinkedIn Twitter Facebook

 

Author: Paul Galpin, Managing Director, P2P Mailing

 

The key delivery considerations for retailers

Would the UK be better off leaving the EU, or remaining part of it? This is the key conundrum facing voters on 23 June. The EU referendum is a hot topic in the media as debate intensifies between the two campaign groups. However, with less than six weeks to go, what delivery questions are at the forefront of retailer’s minds in the countdown to this landmark event?

 

Border controls

 

At present, EU membership allows for the free movement of goods so most shipments can be dispatched to other member states of the EU without special customs documentation. However, if the UK were to leave the EU, will UK retailers see additional customs charges? In addition, what implications would stricter border controls have for cross-border trade?

 

Delayed deliveries

 

In the event of a leave vote, delivery from the UK may initially be slightly slower due to customs checks at European borders; this could have far-reaching implications for the customer experience. Customers don’t like delayed or unsuccessful deliveries. Indeed our research shows that experiencing delays or delivery problems just twice or more would convince 87% of people to switch to another supplier.

 

The returns process

 

In addition to working out how items would be delivered cross-border, it’s also vital for retailers to consider how they would get them back, should the need arise. It is reasonable to assume stricter border controls would also complicate the returns process. Research by Harris Interactive shows that 85% of customers will stop buying from a retailer if the returns process is a hassle and, conversely, 95% will return to the same catalogue or internet retailer if the process is convenient.

 

Alternative markets

 

Ecommerce provides UK retailers with a clear opportunity to expand their customer base across the world. However, what effect would an EU exit have on UK retailers targeting European markets? The EU is currently Britain’s largest trading partner, with 52% of the nation’s goods and services exported to the region.1 Would international trade and export plans be reconsidered with an exit from the EU? Or will retailers choose to focus on other overseas markets? For example, the eCommerce landscape in China presents lucrative opportunities for UK retailers. Indeed McKinsey & Co recently produced a report suggesting that the market will be between $420bn and $650bn by 2020. Would an exit hasten this growth?

 

Understanding the European Customer

 

The political uncertainty around the EU referendum adds another level of complexity to an already challenging international delivery market. However, overcoming these challenges doesn’t have to be done in isolation. An expert partner with a proven track record will have the necessary global knowledge, contacts and expertise to ensure that retailers can successfully navigate any cross-border delivery challenges, whatever the result of the referendum in June.

 

1 - BBC News, Better off out or in?, 23 February 2016

 

LinkedIn Twitter Facebook

Royal Mail Sponsor

Register today for unlimited article views, and unique insights

Register Now

Delivery preference of Dutch and Belgian online shoppers

Delivery preference of Dutch and Belgian online shoppers

Dutch and Belgian consumers are increasingly buying their goods online, but they differ in how they want those goods delivered. A savvy online retailer needs to localise its delivery options to meet these local requirements. But what are these delivery preferences?
The fundamentals of retail: Which European countries are leading the way?

The fundamentals of retail: Which European countries are leading the way?

From delivering on promise, to quickly resolving contact centre queries, to minimising the amount of returns, there are myriad aspects for retailers to get right when it comes to delivering a great customer experience. But which European countries are most successfully delivering on the fundamentals of retail?
Beyond Black Friday: Unmissable international events for 2017 eCommerce plans

Beyond Black Friday: Unmissable international events for 2017 eCommerce plans

In the US, the day after Thanksgiving has been a key focus for US shopping. Now, Black Friday is becoming the unofficial start to the Christmas shopping season in countries across the world. But there are hundreds of other events across the world to be aware of when developing an international strategy. Here are a few...
How UK retailers use localisation to succeed in Asia

How UK retailers use localisation to succeed in Asia

Expansion into Asia can be a natural next step for a successful business and with UK brands such as Burberry, The Body Shop and Lush having all had huge international success, what can we learn from these brands?
Why international e-tailers should re-visit the top of the funnel

Why international e-tailers should re-visit the top of the funnel

The role of brand awareness is increasingly critical to international expansion and with various platforms offering better reach and targeting than ever before, why is it important for international retailers to revisit the top of the funnel to help create a more compelling picture?
‘Your Global Consumer Isn’t Who You Think She Is’ - An Interview with Kai Li from Revolve Clothing

‘Your Global Consumer Isn’t Who You Think She Is’ - An Interview with Kai Li from Revolve Clothing

Kai Li, Vice President of International for Revolve Clothing, took part in an insightful Q&A session and shared his approach to expanding businesses into new Countries and why identifying his business’s value proposition in those countries is critical.
Black Friday growing strongly in Brazil

Black Friday growing strongly in Brazil

The phenomenal performance of Black Friday rippled around the world and Brazil was no different with eCommerce Brasil reporting billions in sales. So what are the figures coming out of Brasil on this bargain-hunting shopping day?
eCommerce in Brazil: Going local is key

eCommerce in Brazil: Going local is key

As with anywhere, Brazil has its fair share of problems – but with a population of 200 million, a tech-savvy and consumption-driven middle class and arguably the most internet-connected population in the world, is Brazil seen as a necessary evil for international merchants looking to expand internationally?
Quality of delivery offer important to Dutch shoppers

Quality of delivery offer important to Dutch shoppers

Cross-border eCommerce in Belgium and the Netherlands is making big strides and with a population of 28 million people and combined GDP of €1.08trn and English spoken widely, it’s no wonder it offers an attractive market to international merchants looking to expand into new territories. But does the quality of delivery offered that important to Dutch shoppers?
How to maximise your chances of success in India

How to maximise your chances of success in India

eCommerce is growing at an unprecedented rate in India thanks to a number of factors and with the percentage of online retail sales growing rapidly, what do retailers need to consider in order to maximise their chances of success in India?

Contact Us

eCommerce Worldwide
2 Ching Court
49-53 Monmouth St
London
WC2H 9EY

Tel: 0203 696 0980
2016© eCommerce Worldwide

Keep In Touch

powered by Affino

About eCommerce Worldwide

eCommerce Worldwide provides online retailers with all the information, and resources, they need to develop cross-border strategies for entering new markets around the world
Read More