How an innovative EU based online retailer optimised their UK ecommerce strategy
17th October 2022
With growing online sales potentially being hit by new customs processes, lengthening delivery timescales and rising shipping costs - EU based online retailers are choosing to optimise their online sales for the UK market.
Brexit has presented challenges to EU online retailers selling into Europe’s largest online market
After China and the USA, the United Kingdom is the third largest ecommerce market in the world - and the largest of any country in Europe. But many businesses based in EU member states have experienced reduced online sales to the UK since Brexit. This is largely down to the ending of the VAT exemption on low-value goods and a lack of clarity on the rules of origin.
The additional tariffs, taxes and administration burdens have resulted in higher costs for EU based companies when selling online into the UK. As a result, many have withdrawn from selling into this lucrative market. However, one EU based online retailer took the view that missing out on the UK ecommerce potential wasn’t an option - and they were determined to expand their sales.
UK based efulfilment solution was the answer to support sales both B2B and B2C markets
Spatial Global were able to offer a UK based efulfilment solution, combined with freight forwarding expertise. The solution decided upon was to import a consolidated road freight shipment directly to the UK from the client’s suppliers. This enabled the goods to be customs cleared in a single consignment at the port of entry.
The road freight consignment incorporated their B2C stock as well as B2B pre-packed shipments to replenish their UK based trade partner’s stock.
The B2B pre-packed orders were cross-docked on arrival, enabling the pre-packaged trade partner goods to be made immediately available for shipment within UK postal system with duty already paid. The balance of the inventory was warehoused and stored ready for picking in response to UK online sales.
This means their UK online sales orders can be picked and packed, then distributed directly into the domestic postal system. With all the goods duty paid at point of entry into the UK, the customer experience is as hassle free as it was pre-Brexit.
Are you EU based, selling goods into the UK and need help with ecommerce fulfilment'
Spatial Global are specialists in import and can help you take the pain out of your ecommerce fulfilment. You can export direct to our bonded storage or warehouse network. We can help you optimise distributing goods to consumers within the UK domestic mail system as well as across the world. This is because we distribute thousands of packages a day – it means you can tap into our experience as well as our economies of scale.