International Shipping: How Does It Work?
Why Offer International Shipping?
In the world of eCommerce, international shipping is absolutely fundamental to a successful business. By making international shipping available, you have the opportunity to sell to a much larger audience. In a high-demand market, being able to expand your customer base and drive more sales with international shopping is a complete win-win. Over 2 billion people shop online, and that number is only going to keep growing. Endless potential awaits your business by offering international shipping. So, let’s get into it.
What are the Costs?
Cost is always an important concern to consider with international shipping logistics. International shipping tends to cost more due to multiple factors including:
- Extra steps included in international mail
- Additional fuel costs from transportation
- Weight and dimensions of the product(s) and packaging
- Labor demands
International Shipping may cost more money at first, but it will bring in more revenue for your business to grow and succeed.
Benefits to International Shipping
Brands with global eCommerce in mind make themselves available to an estimated $22.1 trillion industry. If you’re not offering international shipping, you’re missing out on an entirely new group of customers and a trillion-dollar industry. Let’s explore the benefits of international shipping below.
DDU vs DDP
International shipping has many steps needed to be taken between cargo packaging and receiving, such as shipping fees, customs clearance, warehousing, and more. Delivery Due Paid (DDP) and Delivery Due Unpaid (DDU) are arrangements to handle the logistics with international delivery.
3PL fulfillment centers offer both DDP and DDU with their shipping carrier partners, for absolute efficiency with international delivery.
In short, with DDP the seller assumes all financial responsibility for transportation but in DDU the seller is only responsible for ensuring shipment arrives safely. Check out our blog post here to learn more about the differences between DDU and DDP.
Things to Consider
Bottom Line
International shipping has some higher costs associated with it, but any business that wants to reach a global market, and thus drive more sales, needs to offer international shipping. It may cost more money at first, but it will bring in more revenue for your business to grow and succeed.