There’s this idea that once a business adds international shipping, the world just opens up, like it can somehow maximize business growth and whatever else. Yeah, customers from every corner of the globe start placing orders, the brand goes global overnight, and everything falls into place. But that’s not how it works. Like, you’d think it would, but it’s not as simple as that. Seriously, going international sounds glamorous until the logistics, payments, and currency chaos start creeping in.
But yeah, it’s true, shipping is the easy part. It’s the financial side that trips people up. So, with all of that said, here’s some things you absolutely need to keep in mind, because they’re the harsh realities.
International Payments aren’t One-Size-Fits-All
Well, different countries have different expectations when it comes to paying online. Some places favour credit cards, others rely on bank transfers, and in certain markets, cash on delivery is still the norm. Trying to cater to all of those without having payments blocked, flagged, or delayed can feel like walking a tightrope.
But really, even something as basic as accepting a foreign currency isn’t always straightforward. On top of that, you can expect that fees pop up, exchange rates shift, and it’s not uncommon for a transaction to be declined simply because the customer is overseas. All of this adds friction at the exact point where a customer is ready to buy. Bluntly put, it’s like one bad thing after another, after another.
Regulations are Messier than You’d Think
Alright, so a lot of businesses don’t seem to understand this, but yeah, there are regulations. So, each country plays by its own rules. What’s legal in one place might be a no-go somewhere else. This matters when it comes to payment processing. Plus, some nations have strict anti-fraud laws, while others are more focused on tax compliance or data protection.
Okay, so why is any of this relevant? Why would any of this be important? Well, it means one checkout system doesn’t work universally. Businesses need to think about things like PCI compliance, local banking laws, and what taxes apply to international sales. Now, if you’re selling on a marketplace like Etsy, you usually won’t have to worry about these (well, not on such a high scale).
There’s the Possibility of a High-Risk Label
Well, this basically ties into what was being said earlier about regulations and staying compliant. Even if a product isn’t controversial and a business has never had a chargeback in its life, going global adds risk by default. But how?
Here’s the thing: banks and traditional payment processors often treat cross-border commerce as unstable. Yes, it’s entirely unfair, which is usually why a high risk payment provider is needed, but there’s a lot of extra layers of complexity when it comes to businesses that sell globally. The last thing you want is any hiccups, and yeah, the payment system/ provider is something that needs to be looked into before you decide to go international with your business.
It Really Shouldn’t Feel this Stressful
At the end of the day, expanding into international markets is supposed to be exciting. It’s about growing the business, tapping into new audiences, and building something bigger. But yeah, in order for things to be steady, well, you’ll need to plan, and it’s far beyond just planning for shipping rates and customs. You have to be realistic here.
