NEW YORK, June 19 (Korea Bizwire)–U.S. retailers seeking to grow their businesses with online shoppers overseas should look to South Korea, according to a report released today from Borderfree, a market leader in international cross-border ecommerce solutions. The report, part of Borderfree’s series of intelligence pieces on high-interest markets for ecommerce, points to South Korea as a standout market based on its strong currency, demonstrated zeal among consumers for shopping online, broad access to credit cards for online payments and world leadership in broadband speed and penetration.
“South Korea presents one of the best opportunities for American retailers looking to expand their ecommerce sales overseas,” said Michael DeSimone, Chief Executive Officer, Borderfree. “South Koreans are extremely receptive to U.S. brands, particularly in the luxury and technology categories. They are also highly responsive to online deals, and our retailers have found great success with targeted social campaigns in the region.”
Borderfree developed the Borderfree Index (BFI), a proprietary quantitative and qualitative measure to provide an indication of a market’s relative B2C cross-border ecommerce attractiveness. South Korea scored four out of five possible “shopping carts” on the BFI, indicating that it is a “desirable market” for cross border-ecommerce.
South Korea was Borderfree’s tenth-largest cross-border market in 2013 by sales volume, and the ecommerce opportunity ahead remains strong. Nearly 80 percent1 of the country’s population is online, making it the most connected country on the planet. Top spenders who shopped with retailers on the Borderfree platform spent an average of $791 U.S. dollars (USD) each last year. Retail ecommerce spending is forecast to rise from a total of $19.0 billion in 2013 to $25.3 billion by 2017, an increase of more than 33 percent2.
To access the full report on ecommerce in South Korea, click here: http://www.borderfree.com/global-insights/ecommerce-in-south-korea-borderfree-country-report
About the Borderfree Index
The Borderfree Index (BFI) is a proprietary quantitative and qualitative measure established by Borderfree to provide an indication of a market’s relative B2C cross-border ecommerce attractiveness (subject to fluctuate over time). The BFI is a composite score based on the following five criteria:
- Consumer appetite for purchasing cross-border
- Household income and purchasing power
- Relative currency strength and forecast
- Import friendliness and ease
- Forecasted market growth & performance trends
New York City-based Borderfree is a market leader in international cross-border ecommerce solutions, operating a technology and services platform that the world’s most iconic brands rely on to expand globally and transact with customers in more than 100 countries and territories and more than 60 currencies worldwide. Borderfree manages all aspects of international online retailing including: localized pricing and payment processing, landed cost calculation, customs clearance and brokerage, fraud management, logistics orchestration, and customer-experience parity. For more information, visit www.borderfree.com.
1 “The State of the Internet,” 2nd Quarter, 2013 Report, volume 6, number 2, Akamai, 2013
2 eMarketer, 2014
Source: Borderfree (via BusinessWire)