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How to deliver a product to another country?
Most likely you are asking this question because you make some product that you would like to sell more of and after much thought you concluded that a good option is to start shipping it abroad. Not only because you are going to have much more income, but also but because you diversify the risks and more importantly, you want to see your brand succeed internationally.
However, you don't know how to do it. Let me tell you that your conclusion is correct and that here you will find the three main ways in which you could send your product to other countries.
The way in which you can deliver a product to another country will depend mostly on the purpose for which you are sending it.
Maybe you want to send only one or two of your products to a family member, friend or potential customer. On the other hand, you may want to send several products to be sold in the country you selected. In all cases you will be entering into an international trade operation.
¡At the end we tell you the easiest way to do it!
Send one or two products to an acquaintance
If your purpose is to send it to an acquaintance and it is only one or two products, you can send it by conventional shipping companies, this could be DHL or Fedex who will take care of most of the paperwork for your product to cross the border.
It should be noted that there are specific regulations for certain products, which means that in certain cases you cannot ship them conventionally. For example, in the case of liquors, they cannot be shipped normally and will most likely be retained by customs, the agencies in charge of checking products entering a country.
In this case, there are only exceptions so that the product can be received by people who are registered as importers, meaning that they buy from abroad to market those products within their country.
E-commerce platforms
Platforms such as Mercado Libre, Amazon, Ebay,etc. are easy to use, take care of most of the delivery formalities, and now offer delivery to the end customer within 24 hours.
The disadvantage of this option is the commission they charge. This leaves a small margin of competitiveness and in conjunction with the new legislation for e-commerce greatly reduce your profit margin.
Consider that this option is given for unit sales as opposed to the export option in which you send large batches.
Deliver wholesale products
On the other hand, if your purpose is to send large quantities of your product to be sold in another country, you will incur in an operation known as export. In this, the role of the importer is essential since he will be a partner who will help you check the requirements of his country as well as distribute them. Depending on the arrangement, the importer will be the one to buy your products and then sell them within their country. exportIn this, the role of the importer is essential since he will be a partner who will help you check the requirements of his country as well as distribute them. Depending on the arrangement, the importer will be the one to buy your products and then sell them within their country.
The uniqueness of this type of operation is that by shipping wholesale, shipping costs are reduced, which means that the price for the end buyer is reduced and your product is more competitive with similar products. Additionally, there is stock or availability close to the end buyer which will benefit delivery times.
A great advantage for you is that you have a recurring wholesale buyer, which not only increases your income but does so on a constant basis.
Regarding deliveries, there are companies that specialize in transporting these charges. Although DHL or Fedex offer this service, it is usually more expensive.
In the following list you will find some of the most important aspects that you should consider in order to export your products:
- To know and comply with the health and safety requirements of your country and the country to which you want to send your products.
- Investigate the shortest and cheapest ways to deliver your products.
- Research and contact different importers. They usually specialize by product. So if you export flowers, you will have to find importers specialized in that sector.
- Quote shipping costs to different points. We recommend, for example, at the shipment, at the border, across the border, in your warehouses, etc.
- Contract an international insurance in order to have peace of mind in case of an eventuality.
- Consider the international payment method to secure your export payment. There are various but you can start by asking your bank.
- We suggest you to give your product unique characteristics that distinguish it from others. Be sure that your product will be competing with others with the same characteristics..
To be imported by a branch of your company
¿Importing yourself into another country? Yes it is possible and it is a quite common practice for corporations.
Although it is a more complex process since your company will have more responsibilities such as more legal aspects, tax, sales work, etc. There is no single person in charge of distributing the products in the other country as there is in the option of sending wholesale products to an importer.
In this option, the subsidiary/branch you establish in the other country will be responsible for distributing them.
The advantages are that by operating as a corporation it has access to international taxation opportunities, it makes moves that reduce the tax burden in a legal manner.
The OECD understands them as BEPS (Base Erosion Profit Shifting), which in means"erosion of the tax base and profit shifting caused by the existence of loopholes or undesired mechanisms between different national tax systems".
Considerations for the three options
In all cases you must comply with the laws of each country, consider the appropriate packaging (also known as packing) so that your product arrives in good condition.
Remember that in exoap we give you all the tools to internationalize your business, just access the library or write us directly. This is the easiest way to reduce from hours to minutes the time you will invest in learning everything you need to know to send your product to another place.
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