Breaking into European e-commerce markets with Faire 5 December 2023
Programme • • • •
Export Support Service – International Markets Faire Export Academy Questions and Answers
Why export to Europe? •
The EU is the world's largest single market, with transparent rules and regulations.
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With a population of more than 440 million consumers looking for quality goods the EU offers good export potential and is just a hop across the North Sea.
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The EU is the largest economy in the world, the world's largest trading bloc and the world’s largest trader of manufactured goods and services.
Why export to Europe?
We have world-class trade arrangements with Europe Does Provide: TCA is UK’s largest FTA covering responsible for 47% of exports in 2022. As good or better than any other UK or EU FTA and far beyond arrangements with non-FTA partners e.g. US
But:
Tariff-free, quota-free trade in British produced goods
Need to meet “rules of origin” to benefit from zero tariffs
Provisions for movement of people
Customs procedures apply
Extensive provisions to limit regulatory restrictions on trade
Exports need to demonstrate compliance with EU regulations
UK also has FTAs with 38 non-EU European countries – 99% of UK-Europe trade covered
“TCA does not replicate the Customs Union or Single Market, but it provides trading arrangements for UK exporters that are as good or better than those to anywhere else in the world”
Routes to Market
Options to help you get into the EU • Local agents or distributors • Using local agents or distributors with native fluency is an effective way to develop a presence in this market.
• Direct sales approach • E-commerce • Selling online or through e-marketplaces may be a good option for your company. DBT can suggest online marketplaces to help you get started. DBT’s E-Exporting Programme can also help. Other options include: • Using licensing or franchising • Establishing a joint venture agreement • Setting up a business abroad
E-Commerce • In 2022, total B2C European e-commerce grew to €899bn, with a growth rate of 6%. This is up from €849bn in 2021.
E-Commerce
E-Commerce
A few things to know: • Information sharing: You must provide your company name, physical address, and other identifying information to customers. • Pricing: You must be 100% transparent about pricing, identifying any supplemental costs that may be separate from the sale price.
• Advertising and Communications: You must clearly identify commercial emails and give recipients the ability to opt out. • Consumer Guarantees & Returns: As an online seller, you must provide buyers with a 2-week, no-questions-asked return policy. You must also provide a two-year legal guarantee against faulty goods.
Customs and Regulations
Customs
• Review https://www.gov.uk/check-how-to-importexport for information on: • • • • •
the commodity codes you need to classify goods for export paying the right VAT and duties for your goods which licences and certificates you’ll need for your goods how to get goods into Europe appointing an Importer of Record
VAT
• This UK Gov website provides detailed guidance on when VAT is due when you sell, send or transfer goods from Great Britain to outside the UK or from Northern Ireland to outside the UK and EU. It also provides information on how to zero-rate goods you send by post, dispatch by courier, or collection by customer.
Export Support Services – International Markets Europe
DBT ESS-IM Support • The DBT Europe team is responsible for promoting and supporting UK exports in Europe and attracting high-quality European investment to the UK.
• Our team works closely with FCDO and HMG teams to engage on the new economic relationship, trade policy and identify and reduce market barriers to trade.
What do our teams offer?
1-1 Consultation
Off-the-shelf market intelligence
Overseas Referral Network
Provide tailored, expert advice on the HMTC region and country markets.
Provide access to upto-date region, market and sector specific reports.
Access to a bespoke list of private sector providers.
Links to further support • Export goods from the UK: https://www.gov.uk/export-goods
• Practical export advice: https://www.great.gov.uk/advice/ • Export opportunities: https://www.great.gov.uk/export-opportunities/ • Check duties and customs procedures for exporting goods: https://www.gov.uk/check-dutiescustoms-exporting • Connect with a International Trade Advisor - https://www.great.gov.uk/contact/office-finder/ • Sign up to Export Academy courses - https://www.great.gov.uk/export-academy/ • Contact The Export Support Services Hub - International Markets Form | DBT's Export Support Service
Contact Us Elisa Boullé – Trade Advisor - France elisa.boulle@fcdo.gov.uk Erica Bocye – Business Development Officer Export Growth - Netherlands erica.boyce@fcdo.gov.uk
This document is provided as an information guide only and should not be relied on as a substitute for your own research or independent advice. No investment and/or business decision should be made solely on the basis of information presented in this document. It is recommended that an independent due diligence investigation is conducted before entering into engagement with any individual, firm, company or other organisation mentioned. DBT accepts no responsibility for any loss or damage caused to any person as result of any error, omission, inaccurate or misleading statement in this document.
The accuracy, completeness or up-to-dateness of the content of any website mentioned in this document is not guaranteed in any way, implied or explicit.
Setting yourself up for success
Agenda Team intro Our mission by Charlotte, UK country lead Faire Overview What are the benefits? Success Story- Lime Tree designs Q&A
Introductions
Charlotte Broadbent Country Lead
Bella Gasparro Brand Success Manager Presenter
Natalia Dworak Brand Partnerships Presenter
Our mission Support entrepreneurs by making it easier for them to launch, grow, and manage their wholesale business all around the world.
700,000+
45,000+
100,000+
retailers worldwide buy on Faire
retailers in the UK buy on Faire
brands worldwide sell on Faire
50,000+ cities around the world have retailers who buy on Faire
How can Faire work for you? For Brands
For Retailers
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Grow sales: exposure to over 700,000+ retailers
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A one-stop shop with data-driven recommendations
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Convert prospects through Faire-funded benefits
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Net 60 payment terms
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Guaranteed payment on every order
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Free returns on first order
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Easy order and shipping management
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Free shipping subscription program
Save time
Save money
Increase sales
Faire’s two sales channels: 1/2
Marketplace Faire will help you find brand new customers through our marketplace: Faire.com Commission structure: ● Opening order: 25% ●
Reorder: 15%
A fully optimised page will encourage more visibility on the marketplace Your brand is visible to all our retailers in the 19 countries where Faire is open
Faire’s two sales channels: 2/2
Faire Direct Our program that allows you to maximise sales with your direct stockists or prospects —commission free.
Accelerate sales with existing customers & prospects ●
0% commission on orders from your customers and prospects
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60 days payment terms to eligible retailers
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50% off for their first order upto €150 order value (new to Faire only) - France and Germany. The rest of the Europe €100
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1 year of free shipping (new to Faire only)
Tools to help streamline EU Faire offers a range of tools to help you streamline your EU business, including auto-translating your page 💡 What can you expect? Shipping: ● The retailer will mostly always pay for shipping & duties, meaning you won’t have to absorb this cost ● You can print out pre-paid labels & schedule pick up straight through Faire in most European countries Email Marketing: ● You can send email campaigns that automatically translate to the recipient's local language
Brand Spotlight
Lime Tree Design The Lime Tree Design journey began with our founder, Kate, and her love of vintage jewellery and passion for making the everyday beautiful… Lime Tree Design is a small business based in the heart of Nottinghamshire. All of our lavender products are designed and made right here in our village. Our jewellery is all designed in our studio and made in the UK.
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Apply for a Faire account now!
We’d love to have you onboard: Apply at Faire.com/apply
Make sure you join before Dec 20th date to join in time for our bi-annual virtual trade show: Faire Market and be included in the Market Directory!
Please contact our support team if you are live and have any questions related to: ● Product usage ●
Day to day operations/fulfilment
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Backend/technical issues
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Faire policies around incentives, shipping concerns, trust and safety, etc.
https://www.faire.com/support/self-serve
Post-Webinar Resources
Optimising your shop
01 —Understanding the algorithm 02 —Upload a complete catalogue
03 —Optimise your pricing 04 —Drive discoverability with SEO 05 —Make it beautiful + easy to shop
What factors determine how your products are ranked? Brands
Retailers
Product Information ●
Names, descriptions, categories, images, etc.
Prior activity and engagement ●
Searches, purchase history, preferences, navigation behaviors
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Products that we think are more likely to be purchased are ranked higher in search results (based on favourited products and browsing habits
Brand Performance Shop conversion ● Order volume ● Review rating ● Return rate ● Order lead time ●
Customer Data Reordering customers ● Your pre-existing customers ●
How to stand out on Faire Faire’s search engine uses machine learning to provide a customised shopping experience to our retailers. There are more than 100 factors that influence a retailer’s list of products including factors such as relevancy to search (SEO) & a brand’s performance (e.g. reviews). These are personalised and unique to each retailer.
Upload a complete catalogue This ensures retailers don’t have to shop in multiple places, so full catalogues and new product additions drive meaningfully higher sales. How to upload your products: ●
Manually via brand portal
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Bulk editor
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Import your websites via integrators: Shopify, WooCommerce, PrestaShop
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Get help from Faire’s content team via your portal
x5 more sales when offering entire catalog of products
Optimise your pricing Reducing your brand minimum could increase your search to order conversion by 30%.
How to price competitively: ●
First Order Minimum Set a low first order minimum amount to encourage order conversion
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Price parity As per our terms of service, we require your wholesale prices to be the same or lower on Faire as on other places you sell your products
Up to 30% increase in your search to order conversion
Make it beautiful and shoppable Tips on updating your storefront: ●
Use high-resolution images (3+) for product listings
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Add brand videos
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Arrange products
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Create collections
💡 Tip: Check out the video: How to create your Collection on Faire
Optimising your visibility
01 —Understanding the marketplace and Faire Direct 02 —Inviting your customers and prospects with Faire Direct 03 —Creating marketing campaigns
By generating more orders through Faire Direct, you’ll improve your visibility to marketplace customers
Increase your Faire Direct usage
Increase your Faire Direct sales
Improves the data for your future customer buying habits
💡Brands who use Faire Direct earn ~3x revenue in their first 30 days on Faire compared to brands who don’t
Improves your visibility to new customers
How to use Faire Direct Integrate each step below to increase sales opportunities, convert prospects & lower your commission.
Link
Widget
Share your link via social media or newsletters
Add the widget to your website to capture B2B traffic
Add your customer or lead list & invite them via email
Where can you get contacts from? You can capture new contacts and leads through a variety of methods:
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Trade shows: Email sign-ups, lists, business cards, etc.
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Lead capture: From your website or social media
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Online prospecting: Browse Google Maps, Yelp, and similar website to find targeted prospects
Once acquired, upload onto Faire and send a campaign! Note: Due to GDPR, Faire will not contact your customers
Next steps
01 —Checklist
02 —Resources
Checklist
1. Shop optimisation tactics
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Maintain full catalogue Optimise your pricing Drive discoverability with SEO Make it beautiful and easy to shop
2. Take a look at your first minimum order amount
ロ Set a low first minimum order amount to increase conversion 3. Adopt Faire Direct
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Upload your customer list Offer £100 credit to your customers Install the Faire Direct widget on your website Send an email campaign
Resources
Customer Service: Available in the messages tab in your portal
Help Center ● Understanding your order's status ● Accepting an order ● Shipping an order ● Where is Faire available? (List of countries) Blog ● Faire Learning Hub
Start the Journey: UK Export Academy and DBT support Bernardo da Mata, Senior Design and Development Manager, Export Academy – 5 December 2023 *Please note this session will be recorded.
UK Export Academy Who we are
What is the UK Export Academy? Brought to you by the Department for Business and Trade, the UK Export Academy is a free training programme, designed to give businesses the confidence and know-how to sell overseas.
UK Export Academy Our offer Essentials • The starting point to become an exporter. • 10 modules to build your knowledge and confidence if you are relatively new to selling internationally or interested in learning about how to start.
Masterclasses
• These will broaden their knowledge in areas such as managing overseas partners, accessing funding for scaling up internationally, learning about how to devise a successful e-commerce strategy, and more.
Markets and Sectors
• This is the space to put businesses’ knowledge into practice, including the benefits of new free trade agreements. • This is also where you will also gain insight into the different markets and sector opportunities overseas.
Wider DBT and Government Support
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Wider DBT and Government Support
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Register your company
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View Customer Tenders
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Find an export market
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Choose a route to market
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Get export finance
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Manage payment for export orders
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Prepare to do business in a foreign country