U.S. Women’s Chamber of Commerce Growing Your Business Globally with the United States Postal Service
Growing Your Business Globally Why US small businesses are going global: • Increased Buying Power Abroad • Rising Middle Class (RMC) • Market expansion through the Internet • Stagnant US Market
The Number of U.S. Small Business Exporters is Growing … Small and medium-sized enterprises (SMEs) account for the vast majority of growth in new exporters. More than 66% of exporters have fewer than 20 employees. 97% of U.S. exporters are SMEs SMEs account for 30% of the total export value of US goods. Nearly two-thirds of SME exporters only sell to one foreign market Source: Export.gov, US Department of Commerce
Percentage of US Exports in Billions of US$ Top Five Export Destinations, 2005 $33.4
$157.6
$30.6
$105.6
$16.9
$13.9
$10.9
$52.2
$39.4
$34.8
Source: International Trade Administration
Global Rise in eCommerce Business-to-Consumer (B2C) eCommerce Sales Source: eMarketer Research in $US billions
United States
2007
2011 (projected)
$136.1
$301.0
Canada
$15.5
$36.7
Asia Pacific
$73.1
$168.7
Europe
$140.7
$407.1
Total (Non-U.S.)
$229.3
$612.5
Source: World Market Express: Unlimited Access,Volume 1, Issue 3; Access Technology Solutions: Unlimited Access,Volume 1, Issue 2
Four Ways the US Postal Service Can Help Your Business Go Global • Partnerships – Posts from all over the world ─ Commercial Alliances
• Products – Expedited Parcels – Personalized letters
• Price/Convenience – Payment method – Print labels and customs forms
• People – Postal and Beyond
USPS® delivers reliable service The largest mail network in the world. • Handles 46% of the world’s card and letter mail volume • Nearly 1 billion pieces delivered annually by our Postal partners • Nearly 700,000 career employees • United States Postal Inspection Service™
Top Five U.S. Export Countries Bilateral Canada
Agreement $248.9B
Mexico FedEx $136.5B Alliance
China KPG $65.2B EMS
EPG UK $50.3B
Japan UPU $62.7B
Census Bureau Statistics from Jan-Dec 2007, in billions of US$
US Websites Generate eCommerce USPS Supports Global Global eCommerce Growth
Google has operations in 37 countries and serves more than 100 countries Over 50% of Google’s traffic is outside of the US eBay has over 276 million users in 39 global markets Nearly 1.3 million sellers worldwide use eBay as a major source of income (ACNielsen International Research) PayPal has 164 million accounts in 190 countries and accepts 17 different currencies
Data taken from Google, eBay, and PayPal company websites
USPS: Your Global Business Partner
You
(Business)
Your partner
Your customer
USPS Global Shipping Options There are four core package services 1. Global Express Guaranteed® envelopes and packages (1–3 business days)* 2. Express Mail International® (3–5 business days) 3. Priority Mail International™ (6–10 business days)* 4. First-Class Mail International™ (delivery time varies by destination)*
*Average number of days may depend on origin and destination. Visit usps.com/international for more information.
Global Express Guaranteed® (GXG®) Our fastest date-certain service with Global delivery by FedEx Express® 1–3 business days* Starting at $29.95
*Average number of days may depend on origin and destination. Visit usps.com/international for more information FedEx Express is a registered trademark of the Federal Express Corporation and is used by permission. on.
Global Express Guaranteed® (cont.) Benefits include: Money-back guarantee $100 Insurance included Online postage discount: 10% Tracking to all destinations Free Package Pickup* *For complete details on Free Package Pickup, visit usps.com
Express Mail International® Fast, reliable service with date-certain delivery to select countries. 3–5 business days* Starting at $23.95 (Flat Rate Envelope)
*Average number of days may depend on origin and destination. Visit usps.com/international for more information.
Express Mail International® (cont.) Benefits include: Money-back delivery guarantee to Australia, China, Hong Kong, South Korea, and Japan Flat Rate Envelope available $100 Insurance included Online postage discount: 8% Tracking available to major destinations Free Package Pickup*
*For complete details on Free Package Pickup, visit usps.com
Priority Mail International™ Unbeatable rates on reliable delivery of documents and packages. 6–10 business days* Starting at $9.95 for a Flat Rate Envelope or Small Flat Rate Box No tracking or insurance 4 Pound maximum weight
Or $17 for a single package Regular Flat Rate Box starts at $23.95 Large Flat Rate Box $29.95 *Average number of days may depend on origin and destination. Visit usps.com/international for more information.
Priority Mail International™ (cont.) Benefits include: Flat rate options Registered Mail™ service (Flat rate envelope and Small Flat Rate Box) Insurance (Parcels only) Built-in indemnity (Parcels only) Online postage discount: 5% Tracking available (Parcels only)
Free Package Pickup* *For
complete details on Free Package Pickup, visit usps.com
First-Class Mail International™ Economical shipping for letters, postcards, and items weighing up to 4 lbs. • Transit time varies by destination* • Starting at $0.72 • Registered Mail™ service available • Can be used with various PC Postage® vendors *Visit usps.com/international for more information.
How USPS is Positioned in the Marketplace • Priced competitively • Online Convenience Options and Incentives • Volume Discounts
Product Offering Comparison Provider
1 - 3 Days
3 - 5 Days
6+ Days
Global Express Guaranteed (1-3 Days)
Express Mail International (3-5 Days)
Priority Mail International (6+ Days)
International Priority (1-2 Days)
International Economy (3-5 Days)
N/A
Worldwide Saver (1-2 Days) World
Worldwide Expedited (3-5 Days)
N/A
Worldwide Priority Worldwide Priority N/A Express Express (1-3 Days*) (3-5 Days)
Online shipping: features and benefits Pay for postage – Automatic incentives on GXG® (10%), EMI (8%), and PMI (5%) – Accepts major credit cards Print labels and forms – Packaging labels with tracking numbers – Customs forms Manage shipments – Arrange pickup – Provide notification to customers
Online Shipping Labels ► Mailing Label and Customs form combined into one ► Hassle-free and easy International Shipping Online
Growing Your Business Globally What started as a hobby became a business Shipped internationally since inception to attract as many customers as possible Biggest challenge was automating the shipping documentation Make sure there’s an international market for your business
Online shipping made easy: options Global Shipping Software (GSS)
Click-N-Ship® at usps.com
Shipping Assistant®
PC Postage® Vendors (i.e., endicia.com)
A few per day/week
1,000 per batch
5,000+ per year
5,000+ per year
Payment options
Credit card
Meter payment (Pitney Bowes)
Credit card, checks, and deferred
Permit imprint
Stealth postage
No
No
Yes
Yes (permit)
Customs forms
Yes
Yes
Yes
Yes
Customs support (pre-advice)
No
No
No
Yes
Manifest
No
No
Yes
Yes
Number of packages
Growing Your Business Globally Today you learned how USPS can help you go global through its “Four P’s” You know that you have several options to reach global customers and to prepare your export fulfillment shipments. You understand how core postal products compare to our competition…and that USPS offers the best value
Thank you for this opportunity to speak with you about working together to pursue global business opportunities. Violette R. Jacobson U.S. Postal Service International Products
USPS Publications/OnlineResources:
USPS Reference Material
International Mail Manual (IMM) http://pe.usps.gov/text/imm/welcome.htm Global Express Guaranteed Service Guide (Pub. 141) http://www.usps.com/cpim/ftp/pubs/pub141.pdf International Inquiries and Claims (usps.com) http://www.usps.com/insuranceclaims/intlclaims.htm International Resource Center http://www.usps.com/international/intlresourcecenter.htm Supplies www.usps.com/supplies International Rate Calculator http://ircalc.usps.gov/ Carrier Pickup https://carrierpickup.usps.com
Other Resources:
Universal Postal Union www.upu.int Export Information - www.export.gov. Estimate of duties and taxes- http://ita.doc.gov or call 1-800-USA-TRADE Proof of Filing Citation for items valued over $2500 go to: www.aes.direct Proof of Filing citation for items requiring an export license go to: www.export.gov/regulation/exp_reg_licenses.asp or call 1-800-USATRAD(E).
Growing Your Business Globally