Ambitious Kenyan SMEs with global dreams are in for a great time as the global e-commerce market has been projected to hit $9.3 trillion by 2027. Think about the huge opportunities for Kenyan SMEs looking to expand their reach internationally. It is endless. But of course, diving into international trade expansion comes with its fair share of challenges.
To achieve global market penetration and thrive on a worldwide scale, businesses need to overcome several hurdles. These include navigating diverse payment methods and ensuring smooth international shipping. In this article, we will examine four barriers that business owners face when trying to boost their competitiveness in the international market and the proven strategies to overcome them.
The digital marketplace for online shopping is not just a global phenomenon, it's a local one too. Kenya's payments industry is set to experience a staggering 14.10% annual growth rate from 2024 to 2028. But here's an interesting twist: not all payment platforms that claim to be 'global' have the same global reach. This means that the coverage of some payment platforms might not be as extensive as in other countries. So, as you select the best payment methods for your Kenyan business, remember this crucial detail!
A fascinating fact from a PayPal checkout report reveals that nearly 60% of shoppers will abandon their shopping cart if their preferred payment method is not available. To prevent this from happening in your business, it's essential to provide a wide range of payment options. These should include the most popular ones in each region where you have a customer base.
Language barriers are a major hurdle for e-commerce businesses, especially those from English-speaking countries. While English has a global reach, many consumers prefer to shop in their native language. Studies show that nearly 60% of shoppers abandon carts if their preferred language isn't offered. By translating your website and product descriptions, you can unlock new markets and significantly boost sales.
- Use a local country code, such as .ca for Canada or .my for Malaysia.
- Avoid generic imagery and adapt it to each market. For your website, invest in professional transcreation services. This goes beyond simple translation, ensuring your website's message resonates with international customers while preserving your brand voice and style.
- Digital purchases often require users to enter sensitive credit card information. For this reason, you should initiate data protection measures to establish trust.
Choosing the right e-commerce platform is crucial for growth, much like choosing the right location for a physical store. An outdated platform, particularly a custom-built one from your startup days, can hinder your expansion plans. As you navigate new markets, these archaic platforms might struggle with multiple currencies, require clunky third-party apps for basic features, and lack compatibility with cutting-edge technologies like AI chatbots and payment gateways.
Collaboration with experienced e-commerce solution providers can streamline the platform selection and implementation process, ensuring seamless integration.
Transitioning to a more suitable platform can be disruptive, but delaying this decision only exacerbates the problem.
Plan for the future: Consider your long-term business goals. What do you envision for your business?
Research platforms: Explore options such as Shopify, Amazon, etc.
Prioritize features: Focus on security, customization, flexibility, and scalability.
Content management: Consider if you need a platform with CMS functionality.
Emerging tech: Ensure AI and chat functionalities are included or available as add-ons.
Global payments: Verify that the platform supports various payment methods (e.g., Payoneer, Intuit, Skrill).
Mobile optimization: Choose a platform that optimizes your site for mobile users.
While the idea of expanding your e-commerce business globally might be exciting, the reality of international shipping can be daunting. Shipping costs can quickly eat into profits, especially for low-margin items. On top of that, navigating a maze of size and weight restrictions, customs regulations, and ever-shifting regional practices can feel like an international headache. Then there's the constant worry about damaged or lost packages, potentially continents away. It's no wonder some online retailers shy away from the complexities of cross-border e-commerce. But fear not, there is a way to navigate these challenges and successfully reach a wider audience.
With an experienced international shipping provider, you can reduce the hassle you might experience when shipping internationally. DHL offers an extensive network, expertise in navigating customs regulations, and support for businesses of all sizes. It doesn't matter if you are a global corporation or a bedroom-based startup, you can overcome these logistical hurdles and efficiently reach new markets.
Don't let the challenges of going global overwhelm you. By overcoming obstacles such as diverse payment methods, language barriers, and complex international shipping, Kenyan SMEs can unlock the vast potential of the global e-commerce market. Remember, with careful planning and the right partners, your Kenyan business can thrive on a worldwide scale.
https://www.nium.com/resources/understanding-the-four-major-hurdles-of-global-b2b-payments
https://csa-research.com/Blogs-Events/CSA-in-the-Media/Press-Releases/Online-Shoppers-Rarely-or-Never-Buy-from-English-only-Websites
https://www.statista.com/outlook/dmo/fintech/digital-payments/kenya
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