The Key to International Brand Growth
“Man on the Ground” – a reference to having a point person physically at a location where the action is happening as opposed to observing or directing from a distance.
Third-Party Logistics is a two-sided coin of technology and geography. In today’s market, the 3PL providers that succeed are those that have the integrated systems that allow for seamless order flow and the global footprint to allow those orders to reach customers in a cost-effective, timely manner. For the growing business and forward-minded entrepreneur, the latter factor is especially important if you have international brand growth on the brain. Why? Because you want your 3PL to be ready to scale as quickly as you do, reaching your customers wherever they may be.
With backbones in advanced technology and fine-tuned systems, ShipMonk has been able to achieve success for clients with a “Man on the Ground” mindset. As in, the best way to effectively and swiftly get customers merchandise is having a physical presence in strategic locations across the globe. It is a means to meet customers wherever they are and however they choose to transact, utilizing our multiple channels and 75+ integrations. Having strategically-located, state-of-the-art fulfillment centers worldwide gives brands a huge advantage in terms of international growth, especially when we consider the necessities of:
1.) Overcoming Border Barriers
2.) Adapting Quickly to Meet Needs and Beat Obstacles
1.) Overcoming Border Barriers
Making a purchase online can be simple wherever you are in the world as long as you have a strong Wi-Fi signal and valid credit card. However, as brands attempt to grow their business internationally, oftentimes crossing borders for delivery of goods can bring huge problems. Hurdles include:
- Expensive shipping rates
- Lengthy delivery times
- Local language differences
- Currency exchange rates
- Taxes, duties, and tariffs
- Clearing customs
- Fraud and security
- International returns solutions
A Bridge Not Too Far
Working with a third-party logistics provider that has a physical presence in foreign countries and access to international supply chains gives brands a chance at overcoming these hurdles in a cost and time efficient manner. Business owners may think that it is worth saving on the cost of a 3PL. However, there is an “opportunity cost” to focusing on the granular logistics of fulfillment versus other important areas like product development, sales, and marketing. In other words: Why waste countless hours from afar hopping through complicated international hoops as you try to find all the answers yourself? When you work with a 3PL like ShipMonk, you have the added benefit of 3PL experts storing, protecting, handling, and shipping your goods to customers. At the end of the day, eCommerce is complex enough as it is. A 3PL with a growing network of integrated, technology-driven locations significantly reduces the stress of scaling your business to new markets.
2.) Adapting Quickly to Meet Needs and Beat Obstacles
When we’re talking about international brand growth, having a strong fulfillment footprint is not only a crucial factor for faster shipping on a regular basis. Having that wider footprint also allows 3PLs to adapt more rapidly during difficult times so that your customers are still being taken care of and you can continue to grow.
Consider the shipping crises that initially impacted companies worldwide during the onset of COVID-19, and that still plague different geographies in the aftermath. COVID was met with the dual perfect storm of a huge influx of eCommerce orders paired with the logistics nightmare of inventory shortages, disrupted supply chains, and shipping backlogs. Having multiple strategic locations across the globe is the vital element that helped innovative 3PLs continue meeting their clients’ needs during this time.
Evolving and Expanding
Extra challenges of the pandemic aside, in the last two years ShipMonk has continued to do what it has always done–grow and scale strategically. Since 2020, the company has increased efforts and capacity, expanding further so clients have more places to store their inventory and additional means to get products to customers faster. In May 2020, ShipMonk moved into its California fulfillment center with 332,000 sq. ft. of warehouse space. Later in September 2020, the Pennsylvania location expanded to a 260,000 sq. ft. facility. And in September 2021, ShipMonk expanded its international presence by opening its Mexico 120,000 sq. ft. fulfillment center.
Meanwhile, while other warehouses were closing amidst COVID concerns, in 2020 Ruby Has Fulfillment (now a ShipMonk company) added a distribution center in Kentucky, expanded into a brand-new Las Vegas distribution center that was triple the size of the company’s previous Nevada location, and doubled its international footprint in Canada. The Canada expansion and ShipMonk’s 321 development in Mexico have allowed better responsiveness and increased space for growing and scaling brands.
Stress Less Grow More
ShipMonk has had its eye on international growth since being founded in 2014. We are a forward-thinking fulfillment partner dedicated to thriving in the present and striving for a stronger tomorrow. This is part of the vital lifeblood of our business, as it is for any eCommerce brand intending to grow in a market that is evolving and expanding at an incredible rate.
Through 2020 eCommerce sales grew by 18.1% in North America and 16.5% worldwide (eMarketer). In the US alone, in 2021 eCommerce amounted to $469.2 billion, an increase from $431.6 billion in 2020 (Statista). And US retail eCommerce sales are predicted to grow 16.1%, reaching $1.06 trillion in 2022 while B2B eCommerce sales are forecast to increase 12% and reach $1.77 trillion (Insider Intelligence forecast).
With supply chain problems persisting even as many countries try to move past the pandemic and the added stresses of increasing inflation, international brand growth is tied more than ever to having the right fulfillment and logistics partner. Bottom line: if you want to grow, you need a 3PL with increasing cross-border capabilities that brings your products closer to customers by physically being closer to local markets, while having the technology to keep processes running smoothly along the way.
Onward!
ShipMonk’s ongoing expansion increases our supply network and logistics strength, thus increasing your potential to grow. And this is only the beginning. Growth is not a to-do that can ever be marked complete on a checklist; it is an ongoing initiative. If you’re a business owner you know that, and we’re right there with you. Later this year we plan on opening two new locations while continuing our commitment to advancing integrated technologies and services.
Our 2022 3PL vision is “To become the most innovative and trusted tech fulfillment provider with facilities and solutions around the globe, partnering with the fastest-growing brands and helping them scale through best-in-class fulfillment and software.”
With our processes and partnerships always getting stronger, technology being sharpened, and footprint ever-expanding, we have designed our 3PL to prime clients for international brand growth. All in all–You want to grow? Our logistics services are the ultimate key for doing that. Taking advantage of that all starts with this first step onward.