Up Next In Commerce

The Crucial Need for Cross-Border Solutions

Why don’t more companies offer affordable international shipping? The answer is because navigating the world of VAT, customs, international duties, and other intricacies make this too much of a headache for most eCommerce operators. Additionally, technical components, payment options, logistics and, yes, varying holiday calendars are all variables that a company needs to consider when it is expanding globally. It’s nearly impossible to do without some sort of help.  So the question becomes how do you face this nightmare ready and prepared?

That’s where Matthew Merrilees comes in.

Matthew is the CEO, North America for Global-e, and they solve these problems. On this episode of Up Next in Commerce, Matthew shares the ins and outs of what it takes to equip your ecommerce brand for international expansion. 

Whether you need to address currency concerns or want to understand the data that drives your competitors to success in the market, Matthew shares those secrets and more on today’s episode. 

Main Takeaways:

  • Is It a Holiday? — When brands expand internationally, it’s important to know and plan for holidays that affect customers in every single market. There are opportunities being missed by companies who are too focused on the big international holidays and not enough on local strategy. 
  • Pay With Ease — Customers want transactions to be simple. Anything that makes a transaction hard, or confusing, will almost certainly result in an abandoned purchase. Implementing an integrated, hyper-localized payment and taxation strategy is one of the first things companies need to consider when expanding internationally.
  • Plan B — Companies and individuals are currently experiencing many unexpected disruptions in life and business. Being able to navigate through those disruptions is necessary in order to continue providing the best possible customer experience. Creating contingency plans and backup systems to deploy if there is a disruption in your logistics or backend operations will take you a long way.

For an in-depth look at this episode, check out the full transcript below. Quotes have been edited for clarity and length.

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Transcript:

Stephanie:

Welcome back to another episode of Up Next in Commerce. I'm your host, Stephanie Postles, co-founder of Mission.org. And today on the show, we have Matthew Merrilees, the CEO of North America at Global-e. Matthew, Welcome.

Matthew:

Hey, pleasure to be here Stephanie. Thanks so much for having me.

Stephanie:

So, I want to dive in a bit into your background. It looks like you've worked at a lot of different logistics companies. Before we touch on Global-e, I was hoping we could go over your background a bit and how you got to where you are.

Matthew:

Yeah, for sure. It gets a bit about me, and my background, definitely started, I would say from call it my family history, just the family history of fathers and brothers. And call it family members who grew up in operations logistics, and obviously [inaudible] Ecommerce. So, I think as I followed the family tree and fell into place, I think all in all it definitely did kick off and start my career at DHL Express, where I spent quite a number of years in various different positions, leadership roles, and such. And then made the transition to FedEx where I definitely did a lot of the same. And obviously, now here at Global-e. I think when you look at the background, straight from university into the logistics arena, was quite exciting.

Stephanie:

Yep. Very cool. So tell me a little bit about Global-e. What is the company? And what kind of customers do you guys have? And how do you interact with them?

Matthew:

Yeah, for sure. What we are is a cross border enablement platform, right? We focus primarily in three different arenas that support our brands, which is in boosting international conversion rates, which is boosting overall sales and revenue of course. And then most importantly, boosting customer satisfaction for an international transaction. Right? So I think when you look at the vast portfolio of brands that we work with from a global perspective... I mean, we worked with over 350 enterprise global brands, right?

Matthew:

So when you look at some of the likes of, let's just call it Forever 21, Reformation and Anastasia Beverly Hills, Marc Jacobs, Hugo boss, Versace. But, I think when you look at the broad gamut of brands, I mean it is something that is, for me, always eye opening. Just how we're able to help take an international transaction and really, truly localize it to a way that consumer in that individual market would really expect to buy online. And I think there's a lot of barriers when you look at the international market and how we help these brands really position that data, that knowledge, that insight, and that expertise is really I'd say where we come in and help.

Stephanie:

Cool. And what stage does a company need to be at to partner with Global-e? Do they need to be as big as Forever 21, or could a new DTC company also utilize your great services?

Matthew:

Really it's any size, shape or brand. I would say just over I think seven years ago now we deployed the business, right? And I think we came out of the gate with a very strong enterprise focus. But, I think as we evolved we saw the demand in market for small medium enterprise type brands. Really it's any size, shape or brand who has let's just call it an Ecommerce platform running an online digital storefront. And it is someone that obviously has an Ecommerce strategy in place today. So it's not just the Bigs that I think you see in the market that we continue to focus on and then come into the portfolio. I think it's also those brands that are digitally native, that are really looking to capture revenue outside of their home market. So I think it's really any size, shape or size customer that could lead to that discussion.

Stephanie:

Cool. I was hoping we could kind of start the episode there around what are maybe some international fails you see happening with brands right now, or hiccups that maybe new companies would encounter if they don't use a solution that figures out all the different challenges when selling across borders.

Matthew:

Yeah, for sure. I think sales are important. Obviously, I think brands all have different approaches to sale, right? There are some heavy sale brands by design. There are some flash sale businesses out there that really drive high, heavy traffic to a limited amount of inventory. And then I think there's your typical sale holidays where everyone's on sale, which is typically your Black Friday type periods that we recognize here in the North American market. But, I think as brands start to think internationally and think what sales exists outside of just this US home market. For us, we start to really get into the education process, which is number one; what are the holidays that are happening outside of the USA? Is it Singles Day? Is it Boxing Day? Is it Click Frenzy in Australia, for example? Which I think is the beginning part for a lot of the brands that we tend to work with.

Matthew:

I'd say number one, what are the holidays? What and where do these holidays exist? And then number two, how do you get prepared in order to approach that consumer? Is it a similar approach that we have to a domestic customer here in the US? They're going to need to be spoken to and treated in a unique way that more relates to them in that market. So I think sales are critically important. But, I think with branding awareness of when they're happening, why they're happening, and how to really give that consumer, let's just say the customer satisfaction experience that they would expect, is important.

Stephanie:

Yep. Are there any holidays that come to mind that you've seen a bunch of brands missing? Because I've heard of a couple of them like Singles Day. I think especially more recently, we started hearing about these other sales that go on around the world. But, is there any big opportunities or a time when you say, "Hey, there's a sale happening." And a lot of brands are like, "Oh, I've never heard of that." Or, "That's never come across my radar before." But, it's like a big important one?

Matthew:

Honestly, the three I listed, and the reason for listing them is because they are the most important, that typically I would say a lot of brands are just not aware of. And believe it or not, don't have strategies planned around. They used to be sales, and I think that specifically the two in both Boxing Day, and I'd say most importantly, Click Frenzy, is probably the one that is most highly missed out of the portfolio of brands. Just saying, "Wow! Click Frenzy, I didn't realize how large it was." And it's something that we absolutely want to help tailor to our market, which is such a key focus market for a lot of US brands in Australia.

Stephanie:

Got it. So what kind of strategies are you maybe suggesting to them? Maybe we'll focus on those two. How would you walk a brand through these holidays and maybe how to approach it to get into that market?

Matthew:

I think it all begins with the communication. So number one, we talked about the education, the awareness, which is obviously going to be key. And