Choose right direction

Localisation process

Business cases

Your road to international e-commerce

Who am I?• Donatas Gudelis (linkedin.com/in/donatasgudelis)

• Working with e-commerce since 2010

• Experience in government agency, marketing agencies, web shops, own business.

• Founded MakesYoulocal offices in Lithuania, Latvia and Estonia in 2014

Choose right direction

Localisation process

Business cases

Your road to international e-commerce

Are there any markets for your business?

Are the markets accessible?

Look to neighbours

Be Baltic company instead of Lithuanian

• Euro zone.

• 3 separate languages with two general (Eng & Ru)

• All three countries has more similarities than differences

• Open to foreign based web shops

• Low competitive level

• One web shop- three countries

• Launch in 6-8 weeks

See it as one country

•Currency issue

•Local payments and Banks issues

•Zelando, etc

•±40% higher marketing costs

•Very well developed web shops

•Expensive delivery and return process

•Price level very depends on products

Choose right direction

Localisation process

Business cases

Your road to international e-commerce

……in the beginning our focus was on localization (payment methods, trust marks, translations etc.)

• Choose the right country • The competitive situation • Businesscase

• GTM strategy

• Localisation of the shop • Build trust • USP’s

• Focus on the conversion rate • Understand the market • Optimise processes

• Build volume through localized marketing

• Marketing investment

• Optimise and re-negotiate based on new volume

• Set new goals

Launch

To be successful you have to do moreWe see 5 phases in an international launch

Market scanRoadmap

Localisation

Growth plan

Site check

Market report

Manual Norge

What tasks we can solve

Customer support

Online marketing

Shop management

Text translations

Launch

• Choose the right country • The competitive situation • Businesscase

• GTM strategy

• Localisation of the shop • Build trust • USP’s

• Focus on the conversion rate • Understand the market • Optimise processes

• Build volume through localized marketing

• Marketing investment

• Optimise and re-negotiate based on new volume

• Set new goals

Launch

To be successful you have to do moreWe see 5 phases in an international launch

Successful expansion abroad is not a sprint, it's a marathon

Launch

Decision phase

Market Scan Road Map

Main online competitors in the new country A benchmark of your competitors’ web shops Price comparison of your most important products and brands Insights in the marketing environment, important channels An estimate of the online marketing cost for promoting your products Input on customer expectations on delivery and return

IPOCalculating earnings per order

Realized Estonia

Estimate Latvia

Comments

Average Order 150 150 Realised average order the last 3 months, excl. shipping

+ Shipping income 3 4 Realised average for all orders 3 months

-Taxes 31,5 31,5 We all have to pay VAT and income taxes

-Items price 71,1 71,1 Your price for products

-Shipping cost 3 6 Your cost for shipping

-Online payment cost 1,5 1,5 We all payment % out of payments made online

-Warehouse operation 2 2 Pick and pack price

-Customer service operation 1 2 Labor costs and software expenses divided by the number of orders

-Return expenses 0 3 Calculate the return cost and total benefit per. order

-Packaging 1 1 Overall packaging costs broken down by. order

Earning pr. order 41,9 35,90 Earnings per order (before marketing costs)

Calculating earnings per order

Realized Estonia

Estimate Latvia

Comments

Average Order 150 156 Realised average order the last 3 months, excl. shipping+ Shipping income 3 4 Realised average for all orders 3 months

-Taxes 31,5 32,76 We all have to pay VAT and income taxes

-Items price 71,1 71,1 Your price for products

-Shipping cost 3 6 Your cost for shipping

-Online payment cost 1,5 1,5 We all payment % out of payments made online

-Warehouse operation 2 2 Pick and pack price

-Customer service operation 1 2 Labor costs and software expenses divided by the number of orders

-Return expenses 0 3 Calculate the return cost and total benefit per. order

-Packaging 1 1 Overall packaging costs broken down by. order

Earning pr. order 41,9 40,64 Earnings per order (before marketing costs)

Launch

Localisation process

Market Scan Road Map

Translations Product text translations Legal package Payment & trustmarks Logistic Local “Look & Feel” Search bar Virtual office

Build a trust

Localisation process

Launch

Virtual office

Market Scan Road Map

Translations Product text translations Legal package Payment & trustmarks Logistic Local “Look & Feel” Search bar Virtual office

Local phone number Local address Local return address Native customer support speaker

• Choose the right country • The competitive situation • Businesscase

• GTM strategy

• Localisation of the shop • Build trust • USP’s

• Focus on the conversion rate • Understand the market • Optimise processes

• Build volume through localized marketing

• Marketing investment

• Optimise and re-negotiate based on new volume

• Set new goals

Launch

To be successful you have to do moreWe see 5 phases in an international launch

Choose right direction

Localisation process

Case studies

Your road to international e-commerce

Online Retailer

Service Provider

Brand Owner

Service/Product provider

B2B

Case Studies

Harmonylife.lt - Online retailer

Markets around us

5 phases in a successful international launch

What companies have difficulties abroad and who do it well

Tract the numbers

A local hero

MTTC.lt - Service provider

Dermoshop.com- Brand Owner

PictureHappy.lv - Product/service provider

Select.lt - Retailer, Localised companies

CASE Facebook Bodylab ‘Ride the Wave’

About Bodylab

• Leading training nutrition brand in Denmark since 2001

• Sells more than 610.000 kilo protein powder a year

• In 2014 they sent over 350.000 orders to Danish customers

• Online shop online in Denmark until January 2015, when Swedish webshop launched

In January we tried again using only Facebook…

Proteinella (Nutella with less sugar and high level of protein) was introduced in december

2015 with very little interest.

48 likes 66 comments

3 shares 30.134 reach

Sales: $

Meta posts2.000+ likes

2.000 comments 134 shares

647.741 reach Sales: $$$

So far… 264 likes

187 comments 16 shares

140.000 reach Sales: $$

donatas@makesyoulocal.com linkedin.com/in/donatasgudelis +37069337346

makesyoulocal.com/blog twitter.com/makesyoulocal

Donatas Gudelis