# Entering the global market: a strategy for the New Year and beyond
Author:  Pal Sinha, Barnali 
Author URL: https://financedigest.com/author/pal-sinha-barnali
Published: 2022-01-10
Category: BUSINESS
Category URL: https://financedigest.com/category/business
Meta Title: Global Growth Strategies for E-commerce Merchants amidst
Meta Description: Learn how to navigate supply chain shortages, inflation, and consumer trends to stay ahead in the competitive e-commerce marketplace.
URL: https://financedigest.com/entering-the-global-market-a-strategy-for-the-new-year-and-beyondhtml

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_By_ **_Kenny Tsang,_** _Managing Director of PingPong Payments, advises merchants to think global and maximize their profits as we veer away from the holiday season._

Leaving the Christmas period behind, the livelihoods of e-commerce sellers on marketplaces like Amazon, eBay and Etsy are being threatened as they grapple with acute supply chain shortages and crippling inflation. In addition, the rise in customer demand was challenging to meet as sellers struggled with the significant impacts of the [global supply chain crisis,](https://www.vox.com/2021/10/24/22743104/supply-chain-inflation-shortages-2022) which is expected to continue beyond December and into 2022.

With [most companies doing most of their business in the last quarter of the year](https://www.cnbc.com/2020/11/28/black-friday-2020-online-shopping-surges-22percent-to-record-9-billion-adobe-says.html), the holiday season is crucial for merchants’ survival. The few who are now left are met with further pressures to expand and stay afloat. Sellers who are not fully stocked will have their ranking demoted on leading digital marketplaces, losing valuable traffic in what is [expected to be a $4.89 trillion year](https://www.financedigest.com/philips-expects-to-reach-recall-settlements-this-year.html "Philips expects to reach recall settlements this year") for e-commerce. By following three crucial steps, merchants can [stay ahead](https://www.financedigest.com/staying-ahead-of-risk-this-black-friday.html "Staying Ahead of Risk This Black Friday") of the curve and leapfrog competitors as 2022 kicks into gear. It is high [time that vendors rethink their sell](https://www.financedigest.com/best-selling-books-of-all-time.html "Best selling books of all time") and supply strategies and turn to the opportunities of a global market.

**How** [inflation will affect consumer spending](https://www.financedigest.com/dutch-to-spend-16-billion-to-cushion-effects-of-inflation-media.html "Dutch to spend billion to cushion effects of inflation -media")

The consumer price index surged by 6.2 percent for a 12 month period, ending in October, becoming the largest [increase since November 1990](https://www.bls.gov/news.release/pdf/cpi.pdf). As a result, [consumers now have budgets that do not allow them as much leverage](https://www.financedigest.com/uk-retailers-must-leverage-the-appeal-of-brand-britain-to-entice-chinas-growing-population-of-wealthy-consumers.html "UK retailers must leverage the appeal of ‘Brand Britain’ to entice China’s growing population of wealthy consumers") outside of basic expenses. This will drive high competition between merchants, who must [pay attention to consumer](https://www.financedigest.com/best-paying-jobs-in-finance-consumer-services.html "Best Paying Jobs in Finance Consumer Services") trends and update their inventory accordingly to avoid revenue losses and unwanted stock.

The [digital purchase of goods gives merchants a library of immediate data](https://www.financedigest.com/why-data-is-the-best-weapon-in-the-war-for-digital-talent.html "Why data is the best weapon in the war for digital talent") which can be used to determine what their customer wants. For example, sellers can decide which products perform best and which added features consumers prefer (such as next-day delivery) in regions their brand [sees higher demand](https://www.financedigest.com/inpost-sees-stronger-2022-but-warns-of-slowing-demand.html "InPost sees stronger 2022 but warns of slowing demand"). By being aware of these factors, inventories can be stocked smartly, keeping shortcomings minimal and [customers coming](https://www.financedigest.com/any-business-can-now-offer-their-customers-financial-services-how-embedded-finance-is-reinventing-the-wheel-when-it-comes-to-banking.html "Any business can now offer their customers financial services: How embedded finance is reinventing the wheel when it comes to banking") in.

**Seller preparedness is** [key to success](https://www.financedigest.com/hiring-smart-is-the-key-to-success-for-entrepreneurs-heres-how-you-do-it.html "“Hiring Smart” is the key to success for entrepreneurs. Here’s how you do it.")

Merchants should start [creating a roadmap for the future](https://www.financedigest.com/creating-a-skilled-workforce-fit-for-the-future.html "Creating a skilled workforce fit for the future"), keeping inventory high and business going, as supplier shortages are inevitable. In addition, consumer spending is fast-paced in the digital space, so constant restocking of new products is crucial for [keeping up with customer demand](https://www.financedigest.com/norsk-hydro-keeps-some-aluminium-capacity-offline-due-to-weaker-demand.html "Norsk Hydro keeps some aluminium capacity offline due to weaker demand").

A globally-sourced inventory is what makes [businesses successful](https://www.financedigest.com/acca-sets-out-magnificent-seven-attributes-vital-to-success-in-modern-business.html "ACCA Sets Out ‘Magnificent Seven’ Attributes Vital to Success in Modern Business") and profitable. By accessing different markets, rather than relying on just one, merchants can receive imports from [anywhere in the world](https://www.financedigest.com/be-the-digital-eyes-and-ears-of-your-business-from-anywhere-in-the-world.html "Be the digital eyes and ears of your business – from anywhere in the world!") and choose the most fool-proof option. Unfortunately, the average amount of time it takes to pay a supplier has reached approximately 66 days worldwide, which hampers sellers’ [global supplier](https://www.financedigest.com/volkswagen-to-invest-in-mines-in-bid-to-become-global-battery-supplier.html "Volkswagen to invest in mines in bid to become global battery supplier") reach in the event of local shortages and their ability to deliver their product efficiently to the customer.

To survive in 2022, sellers need to rethink their [payment system from a financial](https://www.financedigest.com/the-future-of-payments-biometrics-within-the-financial-ecosystem.html "The Future of Payments: Biometrics Within the Financial Ecosystem") standpoint. Investing in reliable and cost-effective fintech solutions, which enhance and automate [financial services](https://www.financedigest.com/wrapping-financial-services-in-a-security-blanket.html "Wrapping Financial Services in a Security Blanket") and processes, is the answer.

**[Cross-border payment](https://www.financedigest.com/why-blockchain-could-represent-the-future-of-cross-border-payments.html "Why blockchain could represent the future of cross-border payments") leads to positive supplier relationships**

Maintaining good [supplier relationships can succeed only by adopting a cross-border payment](https://www.financedigest.com/why-it-pays-to-pay-on-time-the-impact-of-delayed-payments-on-supplier-relationships.html "Why it pays to pay on time: The impact of delayed payments on supplier relationships") strategy. The right payments partners can help [businesses retain more of their profits by providing advice](https://www.financedigest.com/advice-on-launching-a-business-in-a-new-market-space.html "Advice on launching a business in a new market space") in navigating long transfers and international exchange fees. They can also offer solutions to keep suppliers happy, who prefer a stable and [efficient payment process](https://www.financedigest.com/1-easy-tip-to-make-a-key-e-commerce-process-more-efficient.html "1 easy tip to make a key e-commerce process more efficient").

[Paying suppliers on time and in the most convenient currency for them will prevent their supply](https://www.financedigest.com/best-paying-jobs-in-water-supply.html "Best Paying Jobs In Water Supply") chain from facing disruption, strengthening not only the supplier’s trust in the seller but the merchant’s confidence in daily operations.

Implementing a robust cross-border [payment system is helpful for inventory upkeep and building an international business where new customers](https://www.financedigest.com/2019-year-customers-take-control-payments.html "2019: The year customers take control of payments") from across the world can engage with the brand. For example, during the 2021 Chinese New Year (celebrated in February), online sales generated [906 billion RMB ($139 billion)](https://daoinsights.com/news/sales-of-online-chinese-new-year-shopping-festival-surpass-139-billion/).

E-commerce in 2022 should be [seen as an opportunity to grow by adapting to ongoing changes in markets](https://www.financedigest.com/analysis-ecb-seen-struggling-to-keep-market-on-side-after-mixed-messages.html "Analysis-ECB seen struggling to keep market on side after mixed messages") across the world. Global outreach is essential, and along with it comes a set of new responsibilities, with [cross-border payments](https://www.financedigest.com/crossing-the-rubicon-why-cross-border-payments-are-primed-for-transformation.html "Crossing the Rubicon: Why Cross-Border Payments Are Primed for Transformation ") being at the forefront. Sellers should [learn from past mistakes](https://www.financedigest.com/tripling-the-size-of-my-business-in-the-pandemic-the-mistakes-made-and-lessons-learned.html "Tripling the Size of my Business in the Pandemic — The Mistakes Made and Lessons Learned") and start rethinking their strategy now.


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