Gorilla Group has integrated Digital River’s Global Seller services into our Gorilla IQ solution for rapidly deploying commerce experiences on Adobe Commerce. This ensures that our customers can not only launch better commerce experiences for domestic channels in a matter of weeks, but also for identified international markets when scaling globally. We are excited about this partnership and its already proven success.
Having the right partners that can provide strategic support when weighing your options of going global goes a long way, and that’s why we’ve partnered with Digital River. Digital River provides clients with the ultimate payment solution for international growth and risk protection. As merchant of record, they take on the complexity of payments, taxes, compliance, and fraud mitigation, allowing clients to focus on what they do best.
Brand manufacturers are at a critical stage as they weigh their relationships between trusted distributors and consumers seeking more personalized relationships with the brands that they love.
The trend toward digital places added pressure on the decision for how — not if — brands will navigate a direct relationship with their customers. According to Forrester, digital sales grew 49% compared to 15% for overall annual sales in 2020. In fact, 27% of total sales for brand manufacturers are now digital sales according to the same report.
Covid only accelerated this trend in 2020. According to the State of Commerce Experience, 72% of shoppers said that online shopping came to their rescue in 2020, with 51% of shoppers indicating they will maintain their online shopping habits in a post-Covid world. Additionally, 83% of brands reported double-digit growth in digital revenue in 2020, compared to a mere 9% of brands experiencing such growth in 2019.
The digital channel has also expanded into multiple channels including owned ecommerce, owned marketplaces, and third-party marketplaces. According to Forrester, 57% of ecommerce sales came from marketplaces in the US with online marketplaces representing 36% of digital sales for brand manufacturers.
But as with any major market shift come significant challenges. In particular, brands who want to take advantage of global markets have even greater challenges than just deciding to go direct domestically. As a brand, you have to evaluate external factors such as overall market size, ecommerce readiness, the size of the addressable market, the ease of market entry – not to mention the competitive landscape (reference the Forrester Readiness Index for additional help).
Additionally, you have to assess your own organizational readiness to go global with ecommerce. Organizational adoption can be one of the easiest or greatest challenges, and it’s different for every organization.
Finally, you also have to determine the right mix of direct channels to leverage in your global approach. Direct is not a single channel anymore, it’s multichannel. Consider a branded marketplace store, an optimized brand experience with local online retail partners as well as your own direct-to-consumer site. There are pros and cons to each, and it’s not a one-size fits all approach.