Top logistics advice for small businesses exporting overseas

The global marketplace is brimming with opportunities for small businesses to connect with new customers. However, while exporting overseas presents a significant avenue for growth, it also introduces complexities, particularly for those venturing into international trade for the first time.

This article provides comprehensive guidance for small businesses looking to export overseas. This will cover the importance of getting small business shipping solutions and choosing the right delivery partner throughout this journey.

How small businesses can benefit from exporting

Under the Philippine Export Development Plan (PEDP)¹, the goal is for Philippine exports to reach US$163.6 billion next year, US$186.7 billion in 2026, US$212.1 billion in 2027, and US$240.5 billion in 2028. Small businesses play a huge role in reaching these targets, especially since there the country has roughly 1.24 million² MSMEs. 

While exporting can seem daunting, the potential benefits for small businesses are equally significant and far-reaching. Expanding into international markets can unlock new avenues for growth and enhance operational competitiveness.

Here's a closer look at some of the reasons why small businesses should consider shipping internationally:

• Increased revenue and profitability: Small businesses can access a more extensive customer base and generate higher sales by tapping into new markets. This increased revenue can contribute to higher profitability and provide resources for reinvestment in the business.
• Enhanced competitiveness: Exporting can help small businesses become more competitive in domestic and international markets. Shipping to new markets and competition encourages innovation, efficiency, and being able to keep up with global competition.
• Diversification and reduced risk: Relying solely on the domestic market can expose small businesses to economic fluctuations and local market trends. Exporting diversifies a company's revenue streams, thereby reducing reliance on a single market.
• Improved brand recognition: Expanding into new markets can increase brand visibility and recognition globally, which contributes to increased credibility and customer trust.
• Access to new technologies and ideas: Having a small business export strategy that involves shipping goods to international markets exposes businesses to new technologies, ideas, and business practices. This cross-cultural exchange can foster innovation and improve products, services, and operational efficiency.

Top 6 logistics advice for small businesses looking to export

From selecting the right shipping partner to understanding customs regulations, efficient logistics can make or break a small business's exporting success. Make sure to take into consideration the following tips for your export strategy:

1. Choose the right small business logistics partner

Selecting the right logistics partner can provide small businesses with the right shipping service options to ensure your export products reach your customers wherever they are.

When choosing a partner, consider their global reach, expertise in international customs procedures, and track record of delivering on time. Look for a company that offers a range of services, including freight forwarding, customs clearance, and warehousing.

DHL Express is a leading logistics company in the world that provides comprehensive logistics solutions for small businesses. With our wide network coverage and expertise in international shipping, DHL Express can help you ensure your goods reach their destination as scheduled.

2. Understand international customs regulations and compliance

Understanding international shipping regulations is crucial to avoid delays, fines, and other issues. This includes familiarizing yourself with customs duties, taxes, and documentation requirements for your destination country.

Failure to comply with international regulations can lead to costly delays and even the rejection of your shipment. A trusted delivery partner can help your small business address these complexities and ensure compliance with all applicable regulations.

3. Optimize your packaging for global shipments

Proper packaging goes a long way in protecting your goods during international shipping. It should be sturdy enough to withstand the rigors of transportation and meet compliance requirements with global regulations.

As such, consider using standardized packaging materials and methods to maintain your product's mint condition. You may also need to customize your small business packaging depending on the product for exporting.

4. Select the best shipping method for your small business needs

There are several shipping methods and services available for small businesses exporting overseas, including air freight, sea freight, and express shipping. Each method has its advantages and disadvantages, so choosing the one that best suits your business needs is essential.

When selecting a shipping method, make sure to consider the urgency, cost, product type, and destination. Having a logistics partner can help you assess your options and recommend the most appropriate shipping option for your specific needs.

5. Keep track of your shipments with real-time updates

Effective shipment tracking is crucial for capitalizing on export business opportunities. It ensures a smooth flow of goods across borders and allows small businesses to identify and address potential delays or disruptions proactively. 

6. Plan for returns

Returns are a natural part of doing business, and having a straightforward returns policy when exporting overseas is essential. This helps manage customer expectations and ensures a smooth and efficient returns process.

DHL Express offers various shipping options for small businesses in the Philippines and can help you handle international customs clearance and reverse logistics to streamline the entire experience.

Expand your small business overseas with the right shipping solution

Exporting overseas can be a rewarding experience for small businesses. Following these top logistics tips can help you overcome the challenges of international shipping and successfully reach new markets.

Start navigating your small business export strategy today with the right logistics solution. Open a shipping account today!