August 8, 2024
According to a recent report cited by Shopify, online beauty purchases are on track to surpass $88 billion by the end of 2024 and are expected to make up nearly 20% of total revenue within the beauty and personal care industry. Now more than ever, beauty brands have a chance to capitalize on these trends and tap into new markets. But along with this global demand comes challenges with meeting consumer expectations, especially when shipping internationally. From understanding local regulations to managing logistics and ensuring customer satisfaction, executing a well-thought-out strategy and finding the right partners are crucial elements for success.
Here are some top strategies and tips to consider when looking to ship and expand globally as an ecommerce beauty brand.
1. Research and Understand Local Markets
Before beginning your international expansion journey, it’s important to conduct thorough research to understand beauty trends, consumer preferences, and the competitive landscape in your target markets. Each region may have different beauty standards, popular products, and purchasing behaviors, so it’s important to be informed in your approach and understand your audience when considering expanding into new geographies. We recommend looking at a combination of outside data sources, as well as your own internal website and social traffic to get an understanding of where there is already demand for your products that you may not be capturing today. For example, North Asia represents the largest regional market, accounting for 35% of the global beauty market according to market research.
2. Optimize Your Global Shipping Strategy
Shipping Partners: Choose reliable international shipping partners with experience in handling beauty products. Look for partners that offer competitive rates, efficient delivery times, and clear and transparent tracking capabilities so that you and your shoppers are kept in the loop every step of the way.
Shipping Costs: Consider implementing a Delivered Duty Paid (DDP) model, where all duties and taxes are included in the purchase price. With 71.1% of customers stating they are less likely to give a second chance to ecommerce stores in other countries if they have a poor purchasing experience, this approach simplifies the checkout process for shoppers and avoids unexpected charges upon delivery, contributing to a positive first impression and increasing the chances that you turn first-time shoppers into repeat customers.
Shipping Insurance: Whether you’re shipping direct-to-consumer (DTC) or B2B/wholesale, it’s important to consider the risks associated with international orders. Shipping insurance can be a lifesaver to help you avoid devastating losses. Partners that include this as part of their product offering can help safeguard your investment and ensure you and your customers have peace of mind.
Packaging Solutions: Use high-quality, protective packaging to ensure your beauty products arrive in perfect condition. Consider the specific needs of your products, such as temperature sensitivity or fragility, and choose packaging and shipping methods that suit those needs accordingly.
3. Streamline Customs and Duties Management
For a deep dive into prepping beauty and cosmetics products for shipping internationally check out our Shipping Beauty and Cosmetics Internationally guide.
Regulatory Compliance: Familiarize yourself with local regulations regarding beauty products, including ingredient restrictions, labeling requirements, and certification standards. Compliance with these regulations is essential to avoid legal issues and ensure smooth market entry. Fragrances and certain cosmetics can be caught in customs due to ingredients or misclassification and artificially labeled hazardous, so having a dedicated customs network and the right partner is essential to avoid delays and be able to handle problems quickly if they arise.
Customs Documentation: Ensure that all required customs documentation is complete and accurate. This includes commercial invoices, packing lists, and certificates of origin. Proper documentation helps prevent customs delays and additional charges, further streamlining the delivery of your goods and contributing to a positive experience for shoppers.
Tariff Classification: Be sure to use accurate Harmonized System (HS) codes to classify your products. Accurate tariff classification helps ensure that the correct duties and taxes are applied and keeps you compliant with local regulations. We recommend finding a partner that offers support for automated HS code classification on your full product catalog so you can rest assured that any new or existing products you decide to offer for international shipping are set up for success.
Pre-Clearance Services: Utilize customs pre-clearance services or find a partner that can provide this to expedite the customs process and reduce the time your shipments spend clearing the border upon import.
4. Localize Your Online Presence
Language and Currency: Adapt your website to accommodate different languages and currencies in line with the new markets you are testing. Providing localized content and currency options enhances the shopping experience and increases conversion rates among customers, especially when they may be less familiar with your brand.
Cultural Sensitivity: Tailor your marketing messages and product offerings to align with local cultural preferences and beauty standards. Understanding and respecting cultural differences, acknowledging local holidays and traditions, and incorporating personalization into your strategies can help you build trust and connect with your audience.
Local Payment Methods: Offer popular local payment methods to make it easier for international customers to complete their purchases. This can include local credit cards, digital wallets, or bank transfers, depending on the market or region you’re targeting.
5. Provide Top-Notch Customer Experience and Support
Real-Time Tracking: Provide customers with real-time tracking information for their orders. This transparency helps manage expectations and reduces anxiety about the status of their shipments. In addition, self-serve tracking helps you cut down on “where is my order?” questions coming into your support team, freeing them up to handle customer inquiries that require a more hands-on approach.
Customer Support: Consider offering multilingual customer support to assist international customers with their issues if expanding into non-English speaking markets. Providing support in their native language can build trust, improve customer satisfaction, and drive loyalty.
Easy Returns: Establish a clear and customer-friendly return policy for international orders. A top concern among international shoppers is the ability to return products easily if they don’t meet their expectations, but international returns can be even trickier to operationalize than domestic ones. Find a partner that can help you make the return process as simple as possible to build trust and encourage conversions.
6. Leverage Digital Marketing for Global Reach
Social Media Marketing: Utilize social media platforms popular in your target markets to promote your brand and engage with potential customers. Tailor your content to local preferences and collaborate with regional influencers. Not sure where to start when evaluating new markets? Capitalizing on today’s social trends is a key opportunity – growth in the beauty industry is being driven by social media platforms. According to a recent survey, 89% of TikTok users have made a beauty purchase after seeing a product on the platform, but if you attract a wide audience, you need to be enabled to effectively serve that audience as well.
Search Engine Optimization (SEO): Optimize your website and content for local search engines to improve visibility in different markets. This includes using local keywords and creating region-specific content.
Email Marketing: Implement targeted email marketing campaigns for international customers. Segment your email lists based on location and preferences to send relevant promotions and updates.
7. Monitor Performance and Adapt Strategies
Analytics and KPIs: Once you’ve dipped your toes into the international shipping pool, be sure to track key performance indicators (KPIs) such as international sales, shipping costs, and customer satisfaction. Use analytics tools to gain insights into your global operations and identify areas for improvement.
A/B Testing: Conduct A/B testing on various elements of your website, marketing campaigns, and ways to optimize conversion at checkout to determine what resonates best with international audiences. Use the results to refine your strategies and enhance performance over time.
Feedback Loop: Collect and analyze feedback from international customers to understand their needs and preferences better. Use this feedback to make data-driven decisions and continuously improve your global operations.
8. Focus on Sustainability and Ethical Practices
Incorporate sustainable practices in your sourcing, packaging, and shipping processes. Consider using eco-friendly materials, ensuring that your beauty products are ethically sourced and produced, and offering ways for shoppers to offset the carbon footprint of their orders, as these extra touches can resonate with more eco-conscious consumers.
Conclusion
Expanding globally as an ecommerce beauty brand presents exciting opportunities, but also requires careful planning and execution. By understanding local markets, optimizing shipping strategies, localizing your online presence, and focusing on customer experience, you can successfully navigate the complexities of international expansion. Leveraging digital marketing and social trends, monitoring performance, and committing to sustainability will further enhance your brand’s global reach and success. With these strategies in place, you’ll be well-equipped to thrive in today’s global beauty market. We invite you to connect with the experts at FlavorCloud and get hands-on support to help your beauty brand implement successful international shipping strategies that drive global growth.
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With international sales on the rise, the opportunities have no borders. With FlavorCloud, you can tap new markets risk-free by offering global guaranteed delivery promises. Go global today.