The 15 Minute Breakdown: 2024 Beauty Marketing Study
Latin america e-exporting
1. Latin America - Exporting in the digital age:
Helping UK companies to succeed globally
Charlie Ruigrok – Digital Trade Adviser
2. The e-Exporting Programme
To encourage and empower companies to
expand international online sales.
•Own Website
•B2C e-marketplaces. Newegg, Xiu.com, LASO,
Tmall (Global), Vip.com, Mercado Libre,
Spree, La Redoute, Amazon Japan and more.
•Flash/Private sale sites
•B2B e-marketplaces and brand awareness
2
3. Meet your Customers Online
The world is shrinking by the day – borders are no longer a
hindrance to shopping – smart phones are the great enabler
Online cross-border trade is passed a tipping point – it is a
natural part of consumer buying
Be visible
Build Trust
Deliver great individual customer service
Have a great product or service
3
4. Identify Opportunities
Research & Country profiling to look at the digital landscape and
specific Markets.
Other free to use tools:
•Google Trends
•Google Consumer barometer
•Google Keyword Planner
•Google Analytics
•PayPal Passport – Country profiles tool
•Santander Trade portal – Country profiles repots and analysis
4
10. Internationalising your site
•Domain Structure .br or com/br??
•Using the local language (all content needs to be professionally translated)
including content and the HTML tags / meta data
•Using metric measurements relevant to that country
•Including currency converters or pricing in local currencies
•Providing information on duties and taxes in each markets
•Making sure your contact form can accept special characters and that it is
suitable for your target country
•Multiple sitemaps for each country to submit to search engines
•What is the country split of mobile and desktop, is the site optimised for this?
•Adding country codes to phone numbers on the website
•You need to check your payment gateway accepts all international
transactions as well as investigating if credit card
10
11. Traffic drivers: Google Shopping Ads (PLA)
US
UK
Australia
Germany
France
Japan
Italy
Netherlands
Brazil
Spain
Switzerland
Czech Republic
11
Austria
Belgium
Canada
Denmark
India
Mexico
Norway
Poland
Russia
Sweden
Turkey
12. Are Emarketplaces right for you?
12
• Access to customers in a trusted
environment
• You keep control of the brand
• Fully integrated IT and stock control
• You keep control of pricing
• Full retail price less listing and
transaction fees
• Excellent way to test the local demand
for your products
• Build valuable research into customer
behaviour
• Counter seasonal in antipodean markets
13. Mercardo Libre In Numbers
13
• 144.6 Million registered users
• 7.0 Million vendors
• 20.0 Million buyers
• 2000 Searches per second
• 2.5 purchases per second
• 80% of sales = new products
In 2015
US$ 7.2 Billion in sales
128 million articles sold
US$ 5.2 billion collected via Mercado
Pago
14. Mercardo Libre In Numbers
14
12 Countries
• 91 % of Latams Population
• 96% of Latams Wealth
AR+BR+MX
• 69% of MELIs Population
• 72% of MELIs Wealth
16. How does it work?
16
•E-tailer in UK
•Provides Mercado Libre catalogue of products
•Including photos
•Product description
•Customs information
•FOB UK Price
•Through an API integrate stock system with MeLi’s
•Mercado Libre
•Receives information and converts it to content for its 12
sites
•Results in:
•detailed listing in each country’s language
•(and variations of language)
•Different prices to reflect costs to import into that
country
•In each country’s currency
•With each country’s financing options
•Local credit cards, installments, etc.
17. Language - Does not compute
You might have trouble choosing out of these cute personality
styled One Direction band members - Harry, Niall, Louis, Liam
and Zayn each come with their own personally styled fashion
outfits. Perfect for all fans of 1D! Collect all 5 members of the
band. 1 doll supplied.
=
你可能有麻烦选择这些可爱的个性风格的单向乐队成员 - 哈利
,尼尔,路易斯,利亚姆和 Zayn 都配有自己的风格的个人时
尚服装。完美的一维的所有球迷! 收集带的所有 5 名成员。 1
娃娃供应。
=
You may have trouble selecting these personality style one-
way band members - Harry , Neil , Louis, Liam and Zayn are
equipped with their own fashion personal style . Perfect for all
fans of one-dimensional ! Collect all five members of the
band . 1 baby supplies.
17
18. Localised
One of the great advantages of using an e-marketplace is that it is truly
local.
The marketplace will offer local currencies, local payment methods,
suitable delivery methods for that country and will comply with all the
local terms and conditions.
Many have their own payment methods such as PayPal (eBay), Alipay
(Alibaba, Tmall, Taobao) and MercadoPago (Mercado Libre).
To appeal to local customers and to be found in local search engines
you will have to have local language product listings – most e-
marketplaces insist on this and will help
You may need to select your products to appeal to local cultures and
local tastes, including updating the messages, the copywriting and the
images. International customers are more likely to buy from you if you
do this
18
19. How does it work When Someone Buys?
19
•E-tailer in UK
1) Customer buys a product from his country’s Meli page.
2) That triggers a request from the stock of the British e-tailer
3) E-tailer ships product to:
a) Directly to customer
b) Pentagon warehouse
c) Meli warehouse in the UK
•Mercado Libre
1)Relabels product according to destination country’s language
and customs requirements
2)Consolidates each parcel in pallets for air freight to each
country’s hub
3)Clears customs in each country paying duties
4)Deconsolidates cargo and ships to final address
5)Collects money
6)Transfers money to UK e-tailer
20. How does it work When Someone Buys?
20
Timings:
•Three weeks for delivery anywhere in Latin America
•Six weeks for collection
Options
•Partial listings
•only in certain countries or
•different products for different countries
•Official shop for a given brand
Costs:
•6 month waiver
•10-12% of sales price
Bans:
•Products that require country approvals
•(cosmetics, food products, etc.)
22. 22
Other Routes To Consider
Linio covers all of Spanish speaking S.America and are going to
be pushing the cross border element of their marketplace in Q1
2016 but are keen to hear from prospective UK merchants in
the meantime – follow link
Amazon has a dedicated Amazon.mx (Mexico) Which Accounts
for about 14% of visits from online shoppers (MiLI 31%)
49% Brazilian e-consumers have shopped from international
sites of those 25% frequently visit Amazon.com*
For Alibaba.com B2B global selling platform and launched in
Latin America and appears in the top 10 selling websites for the
countries in the region - michelle.chen@alibaba-inc.com
Source: *comScore, 2015, **eBit Relatorio webshoppers 2014
In Brazil ebay is the second largest international website with
about 27%** of unique monthly visitors and 13% in Mexico.
24. Get in Touch
Digital Trade Adviser
Twitter: @Charlie_UKTI
Charlie.Ruigrok@mobile.ukti.gov.uk
www.exportingisgreat.gov.uk
24
Notes de l'éditeur
The closer to owned channels the more margin rich
Business costs like logistics need to be accounted for
Owned website
Costs – Traffic drivers (paid)
Emarketplaces
Different models
FBA
Dropship
Flash Sales
Retail & Distribution
If you are working on an SEO strategy don’t assume that Google is the main search engine for every country.
Russia (Yandex)
China (Baidu)
Japan (Yahoo)
South Korea (Navar)
As you can see in the title, Latin America is big, with over 600 million inhabitants vis-a-vis the EU´s 500 million and with two countries like Brazil (5th in world with 206 million) and Mexico (11th in world with 122million) with over 100 million each.
As you can see in the title, Latin America is big, with over 600 million inhabitants vis-a-vis the EU´s 500 million and with two countries like Brazil (5th in world with 206 million) and Mexico (11th in world with 122million) with over 100 million each.
First phase - you will have your products listed in Brazil, Mexico, Chile and Colombia and once we have tested the model we will roll it out to the remaining eight countries MeLi has presence
Option 1 – Listing directly with Mercado Libre, fulfilling the goods directly to the final consumer in South America. ML doesn’t get involved, buyers pay for any duties and the returns are managed by the merchant in the UK. You don’t need to offer free return and it can be negotiated between buyer and seller.
You will have to translate your listings and there are two ways of doing it:
Manually translate your product titles and then machine translate the description or machine translate everything but it can be risky as your title can be translated into something else which will damage your listing’s performance
Manually translate your titles and leave the description for MeLi to translate the description. (This will be machine translated)
Option 2 – Integrate through Pentagon ( www.wearepentagon.com ) who is a mid-ware company and you will be managing your store through their systems. If you decide to go down this route you should contact Dilyana Gramadarova ([email_address] ) and their terms are:
A) Pentagon managed services (the supplier of products is the merchant of record on the marketplace and pays for the marketplaces' fees as well as payment providers' fees and logistics):
Technology and Implementation – Provision and management of the required technology, integrated to a number of marketplaces and a single integration to the products supplier's systems
Listings services – Manual creation, optimisation, catalogue matching, localisation and translation
Designs for listings pages
Store Management - Ongoing management and trading of all marketplaces (They give the products' supplier an Account Manager from their team as a daily point of contact)
Customer services in multiple languages
Market research and regular KPIs Reporting
Pricing:
- One off implementation fee of around £2K per online marketplace (reduced total one off implementation fee if the products supplier starts with more than one channel);
- On-going revenue share of around 5%;
- Minimum services agreement: 12 months.
B) Arcade managed services:
Technology and implementation is provided by their own software called Hemisphere.( The management of the required marketplace is through Hemisphere which is integrated to a number of marketplaces on one side and to the products supplier's systems on the other side)
Merchant Facilities – Arcade is the merchant of record and pays for the marketplaces' fees as well as payment providers' fees
Listings services - Creation, optimisation, catalogue matching, localisation and translation
Designs for listings pages
Store Management – Ongoing management and trading of all marketplaces (They will allocate an Account Manager from their team as a daily point of contact)
Pricing management – Currency conversion based on prices provided and funds repatriation as per an agreed schedule. The client determines the selling price
Customer services in the respective languages
Market research and regular KPI Reporting
International logistics (through their partners)
Pricing:
- One off implementation fee of around £2K per online marketplace (reduced total one off implementation fee if the products supplier starts with more than one channel);
- On-going revenue share of around 20%;
- Minimum services agreement: 12 months.
Phase two:
Mercado Libre is finalising their partnership with a logistic provider here in the UK and the deal should be concluded by the end of this month. So, if you think that neither of the above options suit you, please wait until end of May when you will be able to list your products with Mercado Libre and then ship to their UK logistic hub. Mercado Libre will then be responsible for the parcel from the UK to South America.
First phase - you will have your products listed in Brazil, Mexico, Chile and Colombia and once we have tested the model we will roll it out to the remaining eight countries MeLi has presence
Option 1 – Listing directly with Mercado Libre, fulfilling the goods directly to the final consumer in South America. ML doesn’t get involved, buyers pay for any duties and the returns are managed by the merchant in the UK. You don’t need to offer free return and it can be negotiated between buyer and seller.
You will have to translate your listings and there are two ways of doing it:
Manually translate your product titles and then machine translate the description or machine translate everything but it can be risky as your title can be translated into something else which will damage your listing’s performance
Manually translate your titles and leave the description for MeLi to translate the description. (This will be machine translated)
Option 2 – Integrate through Pentagon ( www.wearepentagon.com ) who is a mid-ware company and you will be managing your store through their systems. If you decide to go down this route you should contact Dilyana Gramadarova ([email_address] ) and their terms are:
A) Pentagon managed services (the supplier of products is the merchant of record on the marketplace and pays for the marketplaces' fees as well as payment providers' fees and logistics):
Technology and Implementation – Provision and management of the required technology, integrated to a number of marketplaces and a single integration to the products supplier's systems
Listings services – Manual creation, optimisation, catalogue matching, localisation and translation
Designs for listings pages
Store Management - Ongoing management and trading of all marketplaces (They give the products' supplier an Account Manager from their team as a daily point of contact)
Customer services in multiple languages
Market research and regular KPIs Reporting
Pricing:
- One off implementation fee of around £2K per online marketplace (reduced total one off implementation fee if the products supplier starts with more than one channel);
- On-going revenue share of around 5%;
- Minimum services agreement: 12 months.
B) Arcade managed services:
Technology and implementation is provided by their own software called Hemisphere.( The management of the required marketplace is through Hemisphere which is integrated to a number of marketplaces on one side and to the products supplier's systems on the other side)
Merchant Facilities – Arcade is the merchant of record and pays for the marketplaces' fees as well as payment providers' fees
Listings services - Creation, optimisation, catalogue matching, localisation and translation
Designs for listings pages
Store Management – Ongoing management and trading of all marketplaces (They will allocate an Account Manager from their team as a daily point of contact)
Pricing management – Currency conversion based on prices provided and funds repatriation as per an agreed schedule. The client determines the selling price
Customer services in the respective languages
Market research and regular KPI Reporting
International logistics (through their partners)
Pricing:
- One off implementation fee of around £2K per online marketplace (reduced total one off implementation fee if the products supplier starts with more than one channel);
- On-going revenue share of around 20%;
- Minimum services agreement: 12 months.
Phase two:
Mercado Libre is finalising their partnership with a logistic provider here in the UK and the deal should be concluded by the end of this month. So, if you think that neither of the above options suit you, please wait until end of May when you will be able to list your products with Mercado Libre and then ship to their UK logistic hub. Mercado Libre will then be responsible for the parcel from the UK to South America.
First phase - you will have your products listed in Brazil, Mexico, Chile and Colombia and once we have tested the model we will roll it out to the remaining eight countries MeLi has presence
Option 1 – Listing directly with Mercado Libre, fulfilling the goods directly to the final consumer in South America. ML doesn’t get involved, buyers pay for any duties and the returns are managed by the merchant in the UK. You don’t need to offer free return and it can be negotiated between buyer and seller.
You will have to translate your listings and there are two ways of doing it:
Manually translate your product titles and then machine translate the description or machine translate everything but it can be risky as your title can be translated into something else which will damage your listing’s performance
Manually translate your titles and leave the description for MeLi to translate the description. (This will be machine translated)
Option 2 – Integrate through Pentagon ( www.wearepentagon.com ) who is a mid-ware company and you will be managing your store through their systems. If you decide to go down this route you should contact Dilyana Gramadarova ([email_address] ) and their terms are:
A) Pentagon managed services (the supplier of products is the merchant of record on the marketplace and pays for the marketplaces' fees as well as payment providers' fees and logistics):
Technology and Implementation – Provision and management of the required technology, integrated to a number of marketplaces and a single integration to the products supplier's systems
Listings services – Manual creation, optimisation, catalogue matching, localisation and translation
Designs for listings pages
Store Management - Ongoing management and trading of all marketplaces (They give the products' supplier an Account Manager from their team as a daily point of contact)
Customer services in multiple languages
Market research and regular KPIs Reporting
Pricing:
- One off implementation fee of around £2K per online marketplace (reduced total one off implementation fee if the products supplier starts with more than one channel);
- On-going revenue share of around 5%;
- Minimum services agreement: 12 months.
B) Arcade managed services:
Technology and implementation is provided by their own software called Hemisphere.( The management of the required marketplace is through Hemisphere which is integrated to a number of marketplaces on one side and to the products supplier's systems on the other side)
Merchant Facilities – Arcade is the merchant of record and pays for the marketplaces' fees as well as payment providers' fees
Listings services - Creation, optimisation, catalogue matching, localisation and translation
Designs for listings pages
Store Management – Ongoing management and trading of all marketplaces (They will allocate an Account Manager from their team as a daily point of contact)
Pricing management – Currency conversion based on prices provided and funds repatriation as per an agreed schedule. The client determines the selling price
Customer services in the respective languages
Market research and regular KPI Reporting
International logistics (through their partners)
Pricing:
- One off implementation fee of around £2K per online marketplace (reduced total one off implementation fee if the products supplier starts with more than one channel);
- On-going revenue share of around 20%;
- Minimum services agreement: 12 months.
Phase two:
Mercado Libre is finalising their partnership with a logistic provider here in the UK and the deal should be concluded by the end of this month. So, if you think that neither of the above options suit you, please wait until end of May when you will be able to list your products with Mercado Libre and then ship to their UK logistic hub. Mercado Libre will then be responsible for the parcel from the UK to South America.
First phase - you will have your products listed in Brazil, Mexico, Chile and Colombia and once we have tested the model we will roll it out to the remaining eight countries MeLi has presence
Option 1 – Listing directly with Mercado Libre, fulfilling the goods directly to the final consumer in South America. ML doesn’t get involved, buyers pay for any duties and the returns are managed by the merchant in the UK. You don’t need to offer free return and it can be negotiated between buyer and seller.
You will have to translate your listings and there are two ways of doing it:
Manually translate your product titles and then machine translate the description or machine translate everything but it can be risky as your title can be translated into something else which will damage your listing’s performance
Manually translate your titles and leave the description for MeLi to translate the description. (This will be machine translated)
Option 2 – Integrate through Pentagon ( www.wearepentagon.com ) who is a mid-ware company and you will be managing your store through their systems. If you decide to go down this route you should contact Dilyana Gramadarova ([email_address] ) and their terms are:
A) Pentagon managed services (the supplier of products is the merchant of record on the marketplace and pays for the marketplaces' fees as well as payment providers' fees and logistics):
Technology and Implementation – Provision and management of the required technology, integrated to a number of marketplaces and a single integration to the products supplier's systems
Listings services – Manual creation, optimisation, catalogue matching, localisation and translation
Designs for listings pages
Store Management - Ongoing management and trading of all marketplaces (They give the products' supplier an Account Manager from their team as a daily point of contact)
Customer services in multiple languages
Market research and regular KPIs Reporting
Pricing:
- One off implementation fee of around £2K per online marketplace (reduced total one off implementation fee if the products supplier starts with more than one channel);
- On-going revenue share of around 5%;
- Minimum services agreement: 12 months.
B) Arcade managed services:
Technology and implementation is provided by their own software called Hemisphere.( The management of the required marketplace is through Hemisphere which is integrated to a number of marketplaces on one side and to the products supplier's systems on the other side)
Merchant Facilities – Arcade is the merchant of record and pays for the marketplaces' fees as well as payment providers' fees
Listings services - Creation, optimisation, catalogue matching, localisation and translation
Designs for listings pages
Store Management – Ongoing management and trading of all marketplaces (They will allocate an Account Manager from their team as a daily point of contact)
Pricing management – Currency conversion based on prices provided and funds repatriation as per an agreed schedule. The client determines the selling price
Customer services in the respective languages
Market research and regular KPI Reporting
International logistics (through their partners)
Pricing:
- One off implementation fee of around £2K per online marketplace (reduced total one off implementation fee if the products supplier starts with more than one channel);
- On-going revenue share of around 20%;
- Minimum services agreement: 12 months.
Phase two:
Mercado Libre is finalising their partnership with a logistic provider here in the UK and the deal should be concluded by the end of this month. So, if you think that neither of the above options suit you, please wait until end of May when you will be able to list your products with Mercado Libre and then ship to their UK logistic hub. Mercado Libre will then be responsible for the parcel from the UK to South America.
Advise people to consider 98% - 100% taxes on top of their products. The reason being is that Brazil has a not “too clear” tax policy and even though the legislation says people can import up to U$50 without taxes, that’s not always the case.