USPS begins international returns test program
Many companies are either already conducting e-commerce transactions or are looking to integrate it into their business model. Changes in technology, especially in the way mobile devices have altered consumer behavior, are creating opportunities for greater access for customers, and, as a result, improved capabilities for businesses to cater to international clients.
By offering products globally, companies can expose their goods to a larger market. This opportunity also creates obstacles, most notably in the accuracy of shipments to foreign addresses. No matter how excellent a product or service is, if it doesn't get to where it's supposed to go or if the wrong item is sent, customers will not be happy. This highlights the need for accurate address verification and mailing software. The U.S. Postal Service has developed a test program called the International Merchandise Return Service that allows foreign consumers to return products that they purchased on an American website, according to Post & Parcel.
E-commerce a modern necessity
A contributor for Bizcommunity.com, an online source for business news, reported that companies should take advantage of Internet commerce because of the rising economies of China, Japan and other Asian countries. To be successful, businesses should research the markets they're attempting to enter. In addition to using address verification, enterprises should investigate a foreign market's language, culture, currency and common methods of payment. According to the business website, failure to understand these components of international business will lower customer purchase rates that companies are aiming to achieve.
Improved international customer service
In addition to overcoming cultural and tax barriers, the USPS hopes to meet the demand in the postal system for international returns. Previously, the method for returns, the Universal Union International Business Reply Service, applied only to letters and cards weighing up to 50 grams. This doesn't meet the needs of customers who need to return larger products.
The program is currently open to Canada Post customers who have purchased goods online, but may be extended to other countries pending the initiative's success. The IMRS will allow customers to print return labels during the postage payment step of Web-based transactions. For items weighing 30 kilograms or less, consumers will be able to return their packages through air or express mail systems and use the associated tracking service. The program's test stage will begin on Aug. 15, 2013, and is expected to run through 2015. Because it is still being tested, the USPS is only allowed to generate $10 million a year in revenue through the IMRS. However, if the program is made permanent, the profits limit would be lifted.
Businesses integrating e-commerce solutions into their existing marketing and sales structure should understand the importance of address validation software. With greater accuracy, there will be fewer errors in mailing and hopefully fewer returns. However, returns are a part of selling international goods. The test program offered by the USPS may help companies and consumers build better relationships with more convenient shipping options.