Taking New Zealand Businesses Global: E-Commerce Strategies for International Markets

Expanding a New Zealand business internationally through e-commerce is a strategic move that requires careful planning and execution. Below are key strategies with practical examples to help New Zealand businesses succeed in the global marketplace.

Table Of Contents

1. Localise Content and Translate Languages
2. Understand Currency and Payment Methods
3. Know Shipping and Logistics
4. Master Local Market Dynamics
5. Comply with Import-Export Regulations
6. Implement Global SEO Practices
7. Use Geo-Targeting Techniques
8. Provide Multilingual Customer Support
9. Leverage Local Payment Solutions
10. Establish a Global Logistics Network

1. Localise Content and Translate Languages

Adapt to Cultural Contexts: Ensure your product descriptions, marketing campaigns, and even colours and imagery are culturally appropriate.

Example: The Warehouse successfully localised their Australian site by adapting promotional campaigns to align with Australian holidays and local slang, ensuring that the content resonated with local customers.

Use Native Speakers for Content: Employ native speakers for translation to avoid awkward phrasing and to ensure your content resonates with the local audience.

Example: Fishpond, a Kiwi online retail store, used native speakers to translate their site into multiple languages, making it easier for customers in non-English-speaking countries to navigate and shop.

Localised SEO: Implement keywords that locals use to search for products similar to yours. This can significantly increase visibility on search engines.

Example: Icebreaker enhanced its visibility in Germany by using German-specific keywords in its SEO strategy, leading to a significant increase in organic traffic from German-speaking customers.

2. Understand Currency and Payment Methods

Multi-Currency Support: Enable customers to view and pay in their local currency to make the shopping experience seamless.

Example: Air New Zealand offers prices in multiple currencies, making it easier for international customers to understand costs without needing to convert currency manually.

Popular Payment Methods: Research and implement popular local payment options, such as PayPal, credit cards, or local payment gateways like WeChat Pay or Alipay in China.

Example: Kiwi.com, which serves a global market, integrated popular payment gateways like PayPal, and AliPay, catering to the preferences of international customers.

Transparent Pricing: Include all costs upfront, such as shipping, taxes, and duties, to avoid surprises and build trust.

Example: Noel Leeming ensures that all costs, including shipping and taxes, are displayed upfront for international customers, reducing cart abandonment due to unexpected fees.

3. Know Shipping and Logistics

Partner with Reliable Carriers: Work with established logistics companies that have experience in international shipping.

Example: Mighty Ape partners with global carriers like DHL and FedEx to ensure reliable and timely delivery to international customers.

Offer Multiple Shipping Options: Provide customers with different shipping choices, from economy to express, catering to different needs and budgets.

Example: The Iconic offers various shipping options, including standard and express, to meet the needs of different customer segments in Australia and New Zealand.

Tracking and Communication: Ensure that your shipping process is transparent with real-time tracking and regular updates to keep customers informed.

Example: EziBuy provides real-time tracking for all international orders, allowing customers to monitor their orders and reducing customer service inquiries.

4. Master Local Market Dynamics

Market Research: Conduct thorough research to understand local demand, pricing strategies, and competitive landscape.

Example: Xero, a New Zealand-based accounting software company, conducted extensive market research before entering the US market, tailoring their product to meet local regulatory requirements and customer needs.

Local Influencers and Partners: Collaborate with local influencers or partners who understand the market and can help bridge the gap between your brand and local consumers.

Example: Allbirds partnered with local influencers in Japan to promote their sustainable footwear, leading to a successful market entry.

Tailored Marketing Strategies: Adjust your marketing strategies to align with local preferences and platforms. For example, in some markets, platforms like WeChat or LINE might be more effective than Facebook or Instagram.

Example: NZXT adapted its marketing strategy for the US market by focusing on platforms popular with American consumers, such as Reddit and Twitch, rather than sticking with platforms that work in New Zealand.

5. Comply with Import-Export Regulations

Understand Tariffs and Duties: Familiarise yourself with the tariffs and duties applicable to your products in the target market.

Example: Tip Top Ice Cream ensures compliance with Australian tariffs and import regulations, which allows them to export their ice cream without legal issues or unexpected costs.

Legal Requirements: Ensure compliance with local regulations regarding product standards, labelling, and certifications.

Example: Fonterra navigates complex European dairy regulations to export their products smoothly by ensuring all products meet the necessary certifications and standards.

Customs Documentation: Prepare accurate customs documentation to avoid delays and additional costs at borders.

Example: Zespri prepares accurate customs documentation to avoid delays when exporting kiwifruit to markets like China and Europe.

6. Implement Global SEO Practices

Country-Specific Domains: Consider using country-specific domains (e.g., .co.uk, .com.au) to improve local search engine rankings.

Example: Trade Me uses country-specific domains for its Australian operations, improving its local search rankings and user trust in that market.

Multilingual SEO: Develop SEO strategies for different languages, focusing on local keywords and search behaviours.

Example: Orion Health implements multilingual SEO strategies to increase visibility in non-English-speaking markets, such as the Middle East and South America.

Technical SEO: Ensure your website’s technical SEO is sound, including hreflang tags for multilingual content and fast loading times across different regions.

Example: Datacom uses hreflang tags to ensure that their multilingual content is correctly indexed by search engines, leading to better SEO performance across different regions.

7. Use Geo-Targeting Techniques

Personalised Ads: Use geo-targeting in your PPC campaigns to show relevant ads to users in specific countries or regions.

Example: Countdown uses geo-targeting in their Facebook ads to display region-specific promotions, such as discounts on local produce, to customers in different parts of Australia.

Region-Specific Content: Tailor your website content to reflect local trends, holidays, and events, making your brand more relevant to the target audience.

Example: BNZ tailors its online content for its Australian customers by highlighting products and services that are particularly relevant in Australia, such as mortgage options for expats.

Dynamic Pricing: Adjust pricing based on the customer’s location to reflect currency differences, shipping costs, and local market conditions.

Example: Spark adjusts its pricing dynamically based on the customer’s location to reflect local market conditions and exchange rates.

8. Provide Multilingual Customer Support

24/7 Support: Consider offering round-the-clock support to cater to different time zones.

Example: ANZ provides 24/7 customer support in multiple languages to assist international customers across various time zones.

Multilingual Help Desks: Employ customer service representatives who speak the local language and understand the local culture.

Example: Auckland University offers multilingual support to international students, ensuring they can receive assistance in their native language, enhancing their overall experience.

Self-Service Options: Provide comprehensive FAQs, guides, and chatbots in multiple languages to assist customers efficiently.

Example: The New Zealand Post has a multilingual FAQ section that covers common queries for international customers, reducing the need for direct support.

9. Leverage Local Payment Solutions

Integrate Local Payment Gateways: Use payment processors that are popular in your target market, such as Klarna in Europe or Afterpay in Australia and New Zealand.

Example: Trade Aid integrates with local payment solutions like Afterpay in Australia to accommodate customer preferences for “buy now, pay later” options.

Offer Buy Now, Pay Later: This payment method is increasingly popular in many markets, giving customers more flexibility.

Example: Hallenstein Brothers offers Afterpay to Australian customers, leading to higher conversion rates and larger average order values.

Secure Transactions: Ensure that your payment systems comply with local security standards and offer fraud protection to gain customer trust.

Example: Kathmandu ensures all transactions are secured with SSL encryption and comply with local security standards in the markets they operate in.

10. Establish a Global Logistics Network

Global Warehousing: Consider setting up warehouses in key regions to reduce shipping times and costs.

Example: Ecostore uses global warehousing to store products closer to their international customers, reducing shipping times and costs.

Third-Party Logistics (3PL): Partner with 3PL providers who can manage your inventory, shipping, and returns globally.

Example: Blunt Umbrellas partners with 3PL providers to manage their international shipping and returns, allowing them to focus on their core business.

Local Distribution Centres: If feasible, establish local distribution centres in major markets to ensure faster delivery and a better customer experience.

Example: Icebreaker has set up local distribution centres in key markets like Europe and North America to improve delivery times and reduce shipping costs for international customers.

Conclusion

Expanding your New Zealand business into international markets through e-commerce is a strategic and rewarding venture. By localising content, understanding local payment methods, mastering logistics, and implementing global SEO and geo-targeting strategies, New Zealand businesses can successfully connect with global customers and drive growth.