A new study by eTail Canada, which was sponsored by Radial, provides insight and benchmarks relating to the complexities of Canadian retailers expanding internationally. The study notes that a significant number of Canadian retailers are either looking expand their operations internationally, or are already in the process of doing so. The report can be downloaded here.
More than one-third of Canadian retailers have started to expand their business into the Asia-Pacific region, as well as into Central and South America. With such expansions, Canadian retailers are engaging in new competitive markets with uncertainty — unfamiliar customs are the norm, though there are tremendous growth opportunities. Canada is a small country and opening business up to international markets can be lucrative, if done right.
As part of its analysis, the eTail Canada study recognizes that creating a great customer service experience abroad requires analyzing challenges to international expansion, building multi-location fulfillment strategies, and understanding cultural differences that will affect brand performance. The report discusses some of the most pressing challenges and strategies to combat the numerous challenges that present for expanding Canadian retailers. Some of these challenges include:
- Centralizing distribution to reduce capital expenditure and gain better control over the supply chain,
- Identifying unique consumer preferences in international markets, and
- Finding global expertise to reduce operational costs and acquire customers.
Download the study to learn more. It’s full of interesting and useful information and can be used as a benchmarking tool for retailers that are contemplating an expansion, or have already initiated that process.