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Amazon Advertising: Claves para elegir el tipo de anuncio perfecto para tus productos
Por JEVNET
Hoy os traemos la guía perfecta para hacer la mejor campaña en Amazon Advertising, consiguiendo unos resultados increíbles para tu negocio. No te pierdas nuestro artículo y aprende lo más esencial sobre la publicidad y creación de anuncios de este conocido gigante del comercio electrónico con nuestra agradable compañía en JEVNET.
¿Qué es esto de la publicidad en Amazon?
En primer lugar, por si no estás familiarizado con el nombre, Amazon Advertising es la plataforma que utilizamos para poder anunciar los productos de los vendedores y su marca a través de su sitio web o desde la aplicación móvil. La publicidad en Amazon funciona muy similar a la de otros canales que ya conoceréis. Se basa en una estrategia de puja de CPC, es decir, Coste por click, lo que quiere decir que tan solo se nos cobrará cuando un usuario haga click en el anuncio que estamos promocionando.
¿Y qué ventajas ofrece Amazon Advertising?
Pues bien, la publicidad en Amazon a la hora de hacer anuncios, además de tener un gran alcance con más de 300 millones de usuarios activos a día de hoy y mejorar la relación con tus clientes apareciendo en el canal dónde más compras se realizan, el principal motivo por el que tu ecommerce debería promocionarse a través de Amazon Advertising es que te permite llegar a tu público objetivo en el momento perfecto ya que tu anuncio aparecerá en las búsquedas específicas que realicen a través de la web o la app, las cuales estarán mucho más cercanas a la conversión.
¿Qué tipo de anuncios podemos hacer en Amazon Ads?
Bueno, pues veamos cuales son las diferentes opciones que nos ofrece Amazon para anunciarnos:
Sponsored Products
En primer lugar, si tu objetivo es generar ventas directas a través de la plataforma, puedes anunciar tus productos con la opción que ofrece la herramienta llamada Sponsored Products de Amazon Ads. Estos productos aparecerán como patrocinados mientras los usuarios navegan y hacen una búsqueda de un producto o una categoría que sea similar a tu producto. Aquí podrás elegir las keywords por las que quieres pujar y optimizar de la forma más efectiva la puja que quieres efectuar por cada una de ellas.
Sponsored Brands
La segunda opción que nos brinda Amazon Ads, es la de Sponsored Brands, que nos permite generar notoriedad de marca o branding. Este tipo de anuncio nos irá genial si nuestro objetivo principal es dirigir a los usuarios a nuestra página web o a una store.
Una store será una página de tu marca que aparecerá dentro de amazon con una URL única y donde los usuarios podrán descubrir tus productos y categorías.
Anuncios Display
Otras de las opciones que podemos encontrar en Amazon Advertising es la de anuncios de display y vídeo, que ya conoceréis de otras plataformas. Se mostrarán los banners de tu marca en su web, apareciendo en las barras laterales del buscador, en el banner superior de las páginas de producto o en la propia aplicación para móvil en la parte inferior de la pantalla. Esta opción va muy bien para alcanzar a un mayor número de usuarios y captar su atención con un mensaje claro y específico, para que estos hagan click en él mientras realizan búsquedas. Además de aparecer en su propia web o en su app para móviles, también podrás mostrar tus anuncios en la red de afiliados de Amazon, que pueden dirigir a tu web directamente, sin necesidad de pasar a la plataforma para finalizar la compra.
Los anuncios display nos ayudan también a generar más tráfico a nuestro sitio web y poder así trabajar sobre una estrategia multicanal que nos permita impactar de nuevo a estos usuarios que ya se han interesado a través de otros medios y plataformas.
Anuncios Personalizados
Por último, Amazon también ofrece anuncios personalizados con experiencias creativas y diferentes para cada anunciante, como eventos en directo, diseños de cajas personalizadas con la marca…
¿Cuáles son las claves para realizar una campaña exitosa en Amazon?
Bueno, pues ha llegado la hora de explicaros las claves para crear una campaña exitosa en Amazon. En primer lugar, es imprescindible tener claro cuál es el objetivo de tu campaña. Dependiendo de si quieres aumentar las ventas de tu negocio o ampliar el reconocimiento de tu marca, será mejor que realices un tipo de anuncio u otro.
En segundo lugar, deberás crear páginas de productos claros, con descripciones que atraigan a los compradores y con mensajes atractivos y descriptivos. Cuando un usuario haga click en tu anuncio, tendrá que llegar a una página dónde respondan a todas sus posibles dudas y que le demuestre que ese producto es perfecto para cubrir la necesidad que tiene en base a la búsqueda que ha realizado.
En tercer lugar, será importante utilizar una buena segmentación y elegir las palabras clave que mejor se adapten a tu producto y a las necesidades que pueda tener tu público objetivo. La segmentación de audiencias en Amazon será muy importante para conseguir tus objetivos. Tendrás la opción de escoger audiencias automáticas, a través de las cuales la herramienta mostrará tus anuncios siempre que las keywords de la búsqueda coincidan, sean similares, o complementen a tu producto, o la opción de emplear una audiencia manual, eligiendo las palabras clave con concordancias exacta, de frase o amplia y las categorías acorde a tu producto.
Por último, recuerda revisar tus campañas y optimizarlas al máximo de forma rutinaria desde el inicio. Sea cual sea el canal y la campaña, siempre es importante mantenerse bien activo y estar al tanto de cómo van los resultados de tus campañas, especialmente al principio. Destina la inversión a aquellas palabras clave que más se acerquen a tu producto e incluye palabras clave negativas que eviten que tus anuncios aparezcan en aquellos términos que no derivarán en una conversión final y que no están relacionados con tu producto ni con las necesidades que cubre. Por eso, os recomendamos que reviséis las palabras clave para analizar su rendimiento y, a partir del performance que os muestren, poder tomar decisiones clave que os lleven al éxito con vuestra estrategia y vuestra campaña.
Y hasta aquí el artículo de hoy. Si sigues estos consejos y optimizas al máximo tu campaña en Amazon Ads, podrás llegar a aumentar tus ventas online y conseguir el éxito en tu negocio.
Postings
10 Tips for Planning your Cross-Border eCommerce Strategy for 2022
Por Go Global Ecommerce
13 Ene 2022
eCommerce continues to experience record sales volumes. Online sales in Europe have been growing steadily in recent years, a trend that is likely to continue into 2022. According to eMarketer’s survey, total eCommerce sales will be $5 trillion in 2022 – $1 trillion more than in 2020 – rising to $6 trillion by 2024. These staggering numbers are enough to explain why more and more sellers are starting cross-border eCommerce projects.
Selling online offers the opportunity to address a worldwide pool of potential customers, which not only ensures the company’s viability, but also its continued growth. However, mere presence is not enough to sell. If you want to improve your cross-border eCommerce, you need to take a global view of the market, with a focus on the countries in which you decide to sell and plan an effective eCommerce strategy.
Knowing what makes what you sell unique, emphasising the strengths and being able to address the weaknesses is the first step. Even with the best marketing strategy, no one will buy (or buy again) a bad product. The second step is to identify the target customer, towards whom you should direct your efforts. «Shooting in the dark» is a useless waste of time and resources. Get to know your customers, what they want and what latent needs they might have. Finally, the third step is to create an eCommerce strategy that allows you to sell across national borders, bearing in mind that each country has its own rules when it comes to eCommerce and that it is good to know them well before jumping into the adventurous world of cross-border.
10 key points for a winning eCommerce strategy
If you want to improve your cross-border eCommerce sales in 2022, it’s a good idea to start drawing up a sound online sales strategy now. To get started, we recommend you follow these 10 points – a sort of guideline for better market positioning and more profits. A word of advice before you start: to further optimise your results, it may be useful to identify benchmarks and evaluate them on a quarterly basis. This will allow you to identify any strategic or product errors and correct them in time.
1. Choose the right platform
It is important to sell on highly optimised web platforms to maximise conversions. Having your own eCommerce store is obviously important, and it is a good idea to choose a platform that is sufficiently scalable and customisable to integrate third-party activity. Among the features that the platform must have is the possibility to upload multilingual pages, because if you want to expand beyond national borders, you need to communicate in the language of potential local customers. To find the best approach, do an A/B test – i.e. try two versions and analyse the results on the basis of predefined parameters to see which one performs better. If you are looking to sell in different countries, it is advisable to do an A/B test for each of them. Each market responds differently. Also pay attention to graphics and how text and images are distributed. Try to make your eCommerce inclusive. This means, for example, taking into account colour shades that are not perceived by colour-blind people and writing the main information in such a way that it can be read by visually impaired people.
For cross-border trade, it is also very important to rely on marketplaces in the various countries in which you choose to sell because they allow you to make your brand known more widely and quickly. Furthermore, in some countries, such as China, it is possible to avoid complex authorisation procedures with local authorities through marketplaces, which we have to go through if we sell through our own website.
2. Local user experience for global eCommerce
Texts and multimedia content are the calling card for online sales. Study your competitors’ websites, identify keywords and build your texts on them. Use clear and direct language, check for errors and typos. Do not limit yourself to simply translating the description of the products you are selling, but always bear in mind the culture and characteristics of the population you are targeting. For example, if you want to attract a German customer, you need to use different characteristics to those that would attract a French or Spanish customer. Communication not only has to do with language but also includes technical components such as design, layout and colours. When customers are looking for information, it should not only be presented in their native language, but also in a way that is familiar to them. An error such as the wrong colour can have a negative effect, especially if it has negative connotations in the customer’s culture.
A good eCommerce strategy must also include the use of photos and videos, naturally in the languages of the target countries or, at most, in English. This content allows the product to be seen from various points of view, as if the customer were in the shop and could almost touch it. The latest trend is to include augmented reality content that simulates a visit to your physical shop.
3. Allow more payment options
The issue of payments can determine the success or failure of an eCommerce store.
Payment security is a prerequisite, but it is also good to allow for multiple payment options and to understand which ones to use in a given country: from PayPal, to credit or debit cards, to local payment systems. In Germany, for example, Sofort is very strong, while in Italy it is Satispay that took off in 2021. Knowing these trends is essential for integrating your eCommerce into the country in which you choose to sell. Some countries are already heavily using cryptocurrencies for online payments. In Russia, Sweden, the UK and the Netherlands, cryptocurrency payments are widespread, users are more familiar with them, and in many cases expect to see them as an accepted payment option.
4. Logistics and shipping first!
Logistics is one of the pillars of eCommerce, and knowing which solution is best for your case (but also for your country) is essential. First of all, it is good to know whether to choose to open a warehouse in the country where you choose to sell online or whether, instead, to have a centralised warehouse in your country and then turn to a local distribution network. Each of these solutions has its pros and cons, and often these have to do with the volume of business of the brand in that particular country.
One feature that everyone agrees on is free shipping: no matter whether you are doing cross-border eCommerce in China or Germany, «free shipping is always a good idea».
Most users will switch sites or choose not to buy if they see that shipping costs money, so include this option wherever possible.
Other ideas for rewarding your customers could be to send them their favourite product as a subscription with a set frequency and automated payment, or to give them the opportunity to get discounts, try a preview of new products or receive gifts for their birthday or other special occasions. It is good to know if there are specific holidays or peak times for each country: sales, for example, do not start everywhere on the same day, and knowing this in advance will allow for adequate logistical organisation, avoiding bottlenecks.
5. Improve eCommerce sales with a Merchant of Record
If you want to improve your eCommerce sales, especially if you sell to different countries, it may be a good idea to use a Merchant of Record (MoR). A Merchant of Record is an intermediary between the seller and the end customer, who is responsible for all legal matters, taxes and handling all forms of payment. Each country has specific regulations and taxes, which you should know in order to avoid penalties. By relying on an MoR, you will not have to deal with these issues yourself, and you will be free to focus on other strategic aspects instead. In addition, the Merchant of Record will manage the transport and delivery of the product. This is a very important service for cross-border eCommerce, as it saves the seller from having to make agreements with couriers for each country they sell to, and from having to deal directly with any unforeseen delivery issues.
6. Beware of regulatory changes: privacy, consents and VAT
Here are some of the new laws that will come into force in 2022 that we need to keep an eye on if we don’t want our online store to make any legal missteps:
DMA and DSA
The European Parliament has given the green light to the Digital Markets Act (DMA), while the Digital Services Act (DSA) is on the home stretch. The DSA and DMA have two main objectives: to create a safer digital space where the fundamental rights of all users of digital services are protected, and to establish a level playing field to promote innovation, growth and competitiveness – both in the European single market and globally. At the heart of the measures are clear and transparent communications, new provisions on targeted advertising, restrictions on ‘killer takeovers’ and controls on reviews.
Omnibus Directive
The aim of the directive – to be implemented from 28 May 2022 – is to modernise EU consumer protection rules. In particular, the aim is to ensure transparency for consumers, remove excessive burdens on businesses, and adequately inform users about the criteria for ranking offers on platforms.
EPR Directive
The EPR (Extended Producer Responsibility) directive for packaging waste is common throughout the EU, but France is the first European country to introduce specific obligations for textiles, banning the destruction of unsold items from 1 January 2022. With this directive, online sellers are also responsible for the disposal of products. Sweden and the Netherlands will implement it by 2023.
UK
A separate chapter for the United Kingdom and in particular for wine sellers. From 2022, the VAT applied to the sale of wine may have a different rate from that of other European countries, as is already the case for excise duties. In addition, anyone selling wine in the UK in 2022 will need an importer or bottler (FBO) physically based in the UK, and from 1 October 2022 will have to declare their name and address on the label of each bottle.
7. Activate a multi-channel and multi-lingual customer service
In order to give the customer greater security, it is important to have a customer service that is easily accessible. This implies clearly written contacts visible on the home page, the possibility of contacting support through different channels (phone, email, WhatsApp, social media, chatbots…) and with a time slot that goes beyond traditional office hours and includes at least Saturdays.
If you are looking to sell online across borders, it is a good idea to provide support in English but also in all the languages of the countries concerned. But there is more to it than language. The tone of voice with which a customer care professional addresses their customers varies from country to country: Americans, for example, tend to be informal while in some Eastern cultures a more formal approach is preferred. This is very important to integrate your eCommerce within a given country.
Another thing to look out for if you have a cross-border eCommerce is your customer care channels: in some countries WhatsApp may be a good solution, while in others Facebook is the best or even just traditional email. The right thing to do is to first know which channels are most popular for each country and to put in place an integrated strategy, including more than one.
8. Faster distribution channels and multichannel eCommerce
The longer you wait to receive goods, the less likely it is that people will order from you. Make agreements with companies that guarantee faster delivery or, if you sell on marketplaces, rely on those who allow you to receive your order in a short time. If you can’t guarantee fast delivery with your website, focus on multi-channel eCommerce strategies, including selling on channels such as Amazon, at least for those countries where you can’t guarantee fast delivery times. Remember that many users go directly to these platforms when they need to make a purchase, and there are also those who only buy if delivery is within 48 hours, regardless of whether the product arrives from another country. Better to use a multi-channel sales approach than to give up on the customer, don’t you think?
9. Perform instant analysis and machine learning to optimise sales
Try to acquire information about your customers, assess the way they interact with your site, how they got there, try to intercept their needs and understand their tastes. Make separate analyses for each country you sell to, assessing some standard parameters that you will use for all markets and others differentiated for each of them. This will allow you to create more targeted and increasingly effective marketing campaigns and identify the markets where your offer is most enthusiastically received. Today, many eCommerce platforms give you the opportunity to carry out this analysis and have the results live.
10. Focus on ethics and sustainability to improve positioning
In recent years, consumers have become increasingly aware and demanding. Today, they don’t just consume a product, they want to know its ethical and environmental impact. Adopt a code of ethics and make it public on your website. Choose suppliers and partners on the basis of their ethical conduct and what they do for the environment, and choose shipping companies with a low environmental impact. If you want to reduce your impact, a good idea is to buy carbon credits. This is good for the environment, but it is also good for your reputation, as it will ensure that you are better positioned in the market and that you will be chosen by more consumers.
10 points for an effective strategy
These 10 points are a good starting point for planning an effective cross-border eCommerce strategy that will help you increase your customer base and maximise sales and profits. The pandemic has changed the shopping behaviour of consumers around the world, who are increasingly turning to online shops. By 2022 there will be at least 3.20 billion e-consumers worldwide. This is why it is so important for your brand to become a virtual shopping destination.
Gana tiempo, dinero, la confianza de tus socios y asociados cumpliendo las normativas y dando reputación y seguridad a lo largo de los años.
Si tienes que enviar periódicamente convocatorias para juntas ordinarias o extraordinarias y necesitas enviar un gran numero de correos, benefíciate de la asistencia de los profesionales de Certifydoc y prevén conflictos,
excepciones y anulaciones, enviando email con acuse de envío certificado.
Con esta solución innovadora #legaltech, los administradores, las gestoras y los asesores legales pueden contar con un proceso de envío preciso, controlado, de alta calidad y personalizado, que delega a los expertos: la
gestión de la complejidad técnica de la privacidad y cyberseguridad, las certificaciones electrónicas y las evidencias digitales.
El proceso de envío se prepara cuidadosamente planificando fechas y ensayos. En pocas horas se logra transformar un texto de convocatoria con cualquier tipo de adjuntos y un excel de correos, en un envío masivo de alta eficacia probatoria, transparente, trazado, pensado para archivarlo y usarlo de manera fácil en caso de necesitarlo.
Construyendo una billetera virtual
Las billeteras virtuales se han convertido, en pocos años, en uno de los productos digitales de uso habitual para las personas. Y aunque en principio tienen funcionalidades que parecen simples, su desarrollo y evolución pueden no serlo.
En este artículo tres colaboradores de Flux IT cuentan los principales desafíos que debieron sortear a la hora de desarrollar desde cero una e-wallet para una reconocida entidad financiera de la Argentina: desde la organización del proyecto hasta el diseño e implementación de la arquitectura, pasando por cuestiones de seguridad y GitOps, sin dejar de lado la consistencia técnica y el time to market.
#AWS #Serverless #Microservices #NodeJS #Express #Java #SpringBoot #Auth0 #Oauth2 #Terraform #Docker #Kubernetes #GitLab #Bitrise
Contacto: nearshore@fluxitsoft.com
#Optimizar el uso de los transportes para reducir el impacto que la huella de carbono deja en nuestras ciudades (hablamos de un 40%) es el objetivo de las ciudades del futuro
En Hedyla te explicamos 4 Iniciativas de #SmartCity que impulsan la #MovilidadSostenible
https://hedyla.com/movilidad-sostenible-smart-city/
¿Conoces las claves para saber si trabajas con la agencia de comunicación adecuada? Cuántas veces habrás escuchado a lo largo de tu carrera profesional la mágica frase “queremos el efecto WoW”. Cuatro palabras interconectadas que salen de la boca de un/una responsable de comunicación, junto con una mueca de indiferencia a modo de feedback, tras presentar una campaña de comunicación.
Los tiempos han cambiado y las relaciones entre una agencia de comunicación o marketing y sus clientes también deberían de hacerlo. Y con esto no nos referimos a tener las reuniones virtuales en lugar de presenciales.
Elegir la agencia adecuada para gestionar la comunicación y branding es una decisión crítica en cualquier departamento de comunicación. Ya que está en juego la reputación de una marca en ocasiones reconocida en todo el mundo y valorada en millones de euros.
Con más de 25 años de experiencia gestionando la estrategia comunicativa de pequeñas y grandes marcas internacionales, desde LF Channel queremos compartir algunos consejos. Queremos ayudarte a tomar las decisiones correctas para decidir si quieres continuar trabajando con tu agencia actual. Estamos seguros de que te servirán para sacar el máximo partido a vuestra relación.
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La confianza: mucho más allá del SoW
El scope of work (SoW) es el documento que recoge todos los entregables a los que se compromete la agencia en un periodo de tiempo determinado. Pero la capacidad de cumplimiento de dichos entregables o las estrategias de comunicación propuestas no pueden ser únicamente lo que determine el nivel de calidad de una agencia.
Si realmente quieres establecer una relación de confianza, tendrás que valorar muchos otros aspectos. Por ejemplo, el nivel de seniority y el background de los miembros que gestionarán tu cuenta, la calidad de las relaciones con los medios de comunicación, su creatividad o su capacidad multidisciplinar, más allá de las habilidades redaccionales clásicas. Si te fijas en esas cualidades, irás por el camino correcto para asegurarte de que cuentas con un equipo de profesionales de plena confianza. Así te podrán guiar en un mercado que seguramente conocen mucho mejor que tú.
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La claridad: no dar nada por sentado
Si hay algo que te va a ayudar a consolidar una buena relación con tu agencia de comunicación es la claridad. Hablamos de una comunicación bilateral sin rodeos. Manejar adecuadamente las expectativas en cuanto a resultados y especialmente, ser francos a la hora de dar feedback durante todo el proceso de comunicación es clave. Construir confianza es una cuestión de tiempo y los errores, tarde o temprano pueden llegar. No hay que juzgar el trabajo de largo recorrido de una agencia por un fallo puntual, pero tampoco hay que esconder cosas bajo la alfombra, porque a la larga, se tensará la relación.
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La visión: adelantarse a las dificultades
Una agencia es mucho más que una extensión de tu propio equipo. Tiene que ser parte de él. De esta manera podrás empezar a construir esa relación de confianza tan necesaria. Por otro lado, es vital que la agencia tenga el suficiente conocimiento del mercado para detectar con antelación hándicaps o dificultades que este pueda presentar. De este modo, el cliente optimizará sus recursos en aquellas estrategias de comunicación que realmente le generen un rédito comunicativo y no malgastará esfuerzos en acciones que no cumplan sus expectativas. La agencia no sólo debe ejecutar, también asesorar desde su punto de vista experto.
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La proactividad: suficiencia vs. excelencia
Volviendo al pacto de trabajo establecido entre agencia y cliente, es necesario que la primera se ciña a hacer bien las tareas a las que se ha comprometido. La proactividad debe ser la norma a la hora de detectar y ofrecer oportunidades de desarrollo para el cliente. Vamos con un ejemplo: si sabemos que nuestro cliente dispone de presupuesto, podríamos adelantarnos y brindarle una agenda de los eventos que tendrán lugar en el próximo trimestre y que puedan ser de su interés. Esto es válido siempre que creamos que su presencia o colaboración pueda ser relevante y beneficie a sus objetivos. Por otro lado, es importante que la agencia no reciba de forma recurrente tareas que no están incluidas en su marco de trabajo.
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El respeto: haz que se sientan parte de tu equipo y de tus éxitos
La agencia debe sentirse parte de tu propio equipo, ya que contribuye activamente al desarrollo de negocio de la compañía a través de su trabajo. Del mismo modo en que hay que identificar clara y constructivamente cuando algo no marcha bien, se debe elogiar públicamente a la agencia cuando los éxitos llegan gracias a su buena labor. Todos los miembros del equipo deben sentirse respetados y valorados por igual, ya que en menor o mayor medida todos contribuyen a los buenos resultados de una cuenta.
Postings
What is a Merchant of Record and why is it so important for a cross-border eCommerce strategy?
Por Go Global Ecommerce
07 Ene 2022
To stay competitive in today’s market, you need to sell online. Of course, it’s not enough just to have a shop window with our products, it’s essential to allow users to make secure online payments, and to be able to manage all the most popular methods that our customers are familiar with.
This means not only having the right technological know-how, but also being familiar with payments, invoicing and taxes, which can differ from country to country. This can be particularly complicated, which is why more and more companies are turning to Merchants of Record, a new figure that is becoming increasingly popular in international eCommerce.
What is a Merchant of Record?
A Merchant of Record (MoR) is an online sales legal entity, authorised by a financial institution to process online credit and debit card payments.
It is an intermediary between the seller and the end customer and acts as an eCommerce legal entity. The name of the MoR is what will appear on the user’s credit or debit card statement, next to the expense item.
The MoR is also responsible for collecting taxes on online transactions, handling refunds and transaction cancellations, or chargebacks. Your MoR will also handle relations with financial service providers, for example, to enable installment payments.
As an eCommerce legal entity, it is also responsible for ensuring compliance with the PCI-DSS, which means that it must always remain up to date on all laws in the countries where transactions take place.
Difficulties in selling online abroad
To sell online across borders you need to know the laws and rules of all the countries you want to export to. This applies not only to ensuring that the goods reach the end customer on time and in the agreed manner, but also to taxes and payment processing.
MoR exist to simplify operations related to the financial side, relieving the seller of the burden of processing payments, with the absolute certainty of always operating in accordance with the regulations in force.
This allows the company to save resources and time that can be used in other areas, such as the development of their business and the enlargement of their customer base. A Merchant of Record can be a strategic partner that helps the business grow because, even with a higher volume of sales and more customers to deal with, it will continue to provide the same standards of service.
Finally, the economic aspect should not be underestimated: a MoR is not only safer and more efficient, it is also a tool that saves money compared with relying on traditional accountants and the management of several local offices located in the various countries of interest.
Key differences between a Merchant of Record, a Seller of Record and a payment service provider
A MoR is distinct from a Seller of Record. Although they both handle payments, all financial elements and taxes, the main difference is that the MoR is responsible for all legal land claims from your customers. Another aspect that differentiates the MoR and the Vendor is that the former buys the goods from the company and then resells them to the customer – acting as a de facto reseller – while the latter only manages the economic and financial part.
In turn, the MoR and the Seller of Record are different from the Payment Service Provider. First of all, the latter is not considered as a legal entity for online sales. This means that it is the company that is legally responsible for handling taxes, payments and any refunds or cancellations of transactions.
Payment Service Providers validate transactions ensuring that funds are available to complete the purchase and act as the connection point between the business and access to funds.
Does Go Global Ecommerce constitute a Merchant of Record?
Go Global Ecommerce handles all financial and tax-related matters in all the countries in which it operates. It also handles relations with its customers’ partners and suppliers, including shipping and delivery to the end customer.
It acts as a partner to its customers, saving them time and resources and allowing them to run their business more efficiently, and it constitutes a legal entity for online sales, responding to all legal requests made by end customers.
In light of all these considerations, we can definitely say that Go Global Ecommerce is an efficient example of a MoR.
The challenge of being Agile always begins with making a team Agile. It is one thing to talk about habits like daily stand-up meetings or Scrum meetings, but it’s even more difficult to turn them into a habit.
It can take months of coaching and discipline to cement those habits. However, the challenge extends far beyond getting into the rhythm of these rituals; maintaining these rituals is what’s at the core of being an Agile coach.
![Agile methodology - Talent [R]evolution](https://blog.outvise.com/wp-content/uploads/2021/12/Agile-coach-scrum-master-500x281.png)
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The wine sector in Europe: how to sell across borders without complications
Por Go Global Ecommerce
31 Dic 2021
European Union countries alone account for almost half (48%) of the world’s wine consumption, with an estimated volume of around 112 million hectolitres. Among the countries that most appreciate a good glass are Italy and France, which, together with Portugal, are also the countries that produce the most. The United Kingdom is also one of the world’s leading consumers of wine, with around 1.5 billion litres per year. In contrast to consumers across the Channel, local production here is rather limited, at around 2.5 million litres, making the UK a major importer. However, with Brexit coming into effect, as you might have guessed, selling wine online in the UK is becoming more complex, requiring compliance with more rules that can sometimes cause sellers difficulty. So, here are the basic things to know about selling wine online.
Selling Wine Online in Europe: Taxes and Bureaucracy
Thanks to the Schengen Agreement, the free movement of goods has been established in Europe. However, in the case of wine, and more generally of spirits, there is significant taxation that should not be underestimated. If you have an online wine shop and you want to export this product to Europe, you should know that certain taxes will be added to the final cost of each bottle, which will then be levied by the country in which the product is sold.
These taxes are levied by the country where the product is sold:
- VAT: thanks to trade agreements between EU countries, the Value Added Tax is the same throughout Europe;
- Excise duties: here the issue becomes a little more complex, as each country can impose a different rate by law;
- Environmental contributions on packaging: many countries impose a tax on the packaging of products that are brought into (and subsequently disposed of) in their territory, including online wine sales.
In addition to knowing the tax regime of the various markets you want to target, it is important to know that in order to sell in a foreign country, you need a VAT number from the country you are selling to. This means that if I am a German seller and I want to sell in France or Holland, I will not be able to do so with my German certificate – I will have to have a regular French VAT number, and another Dutch one.
These identifiers will have to be valid in the VIES – VAT Information Exchange System – a database created after the birth of the European single market to ensure a more transparent and correct taxation, trying to reduce the bureaucratic burden for companies.
Transport, storage and sales: the importance of the right partners to sell wine smoothly
Selling wine abroad can be a real obstacle course, with taxes, documents to be submitted and, in some cases, customs controls.
Added to this are the difficulties involved in transporting and storing such goods without the final product suffering damage, such as broken bottle glass and accidental exposure to sudden changes in temperature or excessive light, which could compromise the final taste.
More and more producers who want to expand their market beyond national borders, therefore, prefer to use local partners who are familiar with the regulatory framework of the country and have the necessary tools and expertise to ensure that the bottles can reach the end customer intact and on time. In addition, local intermediaries have warehouses to store large quantities of goods and a solid distribution chain, often based on relationships of trust built up over the years.
Relying on local partners facilitates sales and reduces the risks involved
This is especially true in the case of sales to non-European countries, with tax and trade systems very different from those of the wine’s country of origin, but also for the United Kingdom.
With its exit from the European Union, the rules governing the movement of goods between states have changed, requiring further attention.
Selling wine online in the United Kingdom after Brexit
As mentioned, the UK is a big wine lover. Here, online sales account for 11% of total sales, with a steady growth rate in recent years. A market that, due to the dynamism of demand, is tempting for many wine producers and sellers, but which presents additional difficulties compared to other European countries. Initially, there was even talk of introducing mandatory VI-1 certificates – already required for non-EU sellers such as Australia, the USA and Chile – for European countries as well. A further bureaucratic step that would have led to an increase in prices and delivery times. The government subsequently announced that it would not change the current approach, probably in order to protect the market. This does not mean, however, that things will remain as they are. The main changes will be in the areas of tax and logistics.
Selling wine in the UK: the new taxes
The first thing that will change is the legislation governing taxes. From 2022, the VAT applied to the sale of wine may have a different rate from that of other European countries, as is already the case for excise duties. These changes are likely to have an effect on the final price, but sellers will do well not to overdo it. If you sell online in the UK, you should be aware of the Consumer Protection Act, which governs B2C sales and is available on the government’s website at www.legislation.gov.uk/uksi/1987/1680.
By law, the seller is not only responsible for the goods and the sales chain, but also for the price. If you overcharge on the margin of the sale, you are breaking a criminal law. Changes are also in store for customs controls and, in particular, for the EMCS computerised system used to monitor the movement of goods between Member States.
Selling wine in the United Kingdom: logistics
Another important innovation is related to the logistics chain and labelling. Sales by foreign producers have already decreased significantly. For example, wines from Italy have fallen by around 12% in 2021, while those from France by almost 8%. This is because after Brexit came into effect, many retail chains decided to relocate their purchasing logistics centre outside the UK – mainly between Belgium and the Netherlands – in order to obtain customs and VAT advantages. This has changed (and to put it bluntly, complicated) the ‘route’ that each bottle must take to reach consumers. In addition, anyone wishing to sell wine in the UK now needs an importer or bottler (FBO) physically based in Great Britain, i.e. Scotland, England or Wales. From 1 October 2022, it will be compulsory to declare their name and address on the label of every bottle. This means that, starting next year, a lot of wine sellers will have to completely reset their distribution chain. If your goods are stopped at the border, you can ask for information by e-mailing wine.exports@defra.gov.uk (they usually reply within 5 working days).
Managing the complexities
Selling cross-border online is very complex, because even if you sell in an EU country, you need to know that market and its rules. In the case of wine, it is even more complicated because the sale of alcohol has specific regulations, particularly regarding taxation. Add to this the fact that the UK is one of the main import markets, and it is practically essential to rely on experienced intermediaries – such as a Merchant of Record – who can help sellers manage all the complexities, from logistics to, above all, tax payments.
