One of the international express courier service providers, DHL Express has predicted the growth opportunity for retailers and manufacturers with an international online product offering.
According to a report, titled the 21st Century Spice Trade, a Guide to the Cross-Border E-Commerce Opportunity, which is looking in detail at the markets and products that offer the highest growth potential, the motivations and preferences of customers is making international online purchases more viable.
The report which has been released last week says, cross-border retail volumes are predicted to increase at an annual average rate of 25 per cent between 2015 and 2020. This means that the volumes will adjust from $300 billion to $900 billion annually, twice the pace of domestic e-commerce growth.
Commenting on the report in a statement released this week, Chief Executive Officer (CEO) for DHL Sub Saharan Africa, Hennie Heymans said with the new development, it is given that online retailers will also boost their sales by almost 12 per cent on average simply by extending their offering to international customers.
“Contrary to what many retailers think, cross-border shipping is actually simple and retailers in Sub Saharan Africa are perfectly positioned to take advantage of international opportunities. Often, retailers choose not to promote their businesses internationally, and worse yet, will turn down international sales interests due to the misconception that it’s too difficult to manage and deliver,” says Heymans.
To Malawi, this is good news to those who are using social media and internet as a means of advertising their businesses, according to Malawi managing director for DHL, Paul Makolosi.
“Taking this thinking to a local level and still working on brand Africa, most Malawians can use social media and internet to advertise and reach regional customers.
“They can send samples or even products to customers using dependable courier service which DHL offers and making the vital business connection and growing their enterprise. In DHL we lubricate business opportunities by connecting suppliers, buyers, customers and investors,” said Makolosi.
The report is based primarily on research and in-depth interviews conducted as well as more than 1 800 responses to a proprietary exporter survey of retailers and manufacturers in six countries.