Cross-border eCommerce is expected to expand to around $1 trillion in merchandise value by 2030, highlighting the benefit of selling your products or services to consumers outside of the border where your retail business usually operates.
However, this means eCommerce business owners will need to be able to manage transactions across countries with different languages, regulations, and currencies. This is where an international point-of-sale (POS) system comes into play.
An international POS system offers features such as global payment gateways, multi-currency payments, local tax and accounting compliance, multi-language support, and cross-bored inventory management. This enables retail businesses to expand into new markets and enhance their global presence.
This article will help you understand why you should invest in an international POS system by exploring five essential features for your business.
Global Payment Gateways
59% of consumers have abandoned their carts because their favorite payment method was unavailable. An international POS, integrated with global payment gateways, allows customers to pay using:
- Credit and debit cards powered by Visa, Mastercard, Discover, or American Express.
- Digital wallets, such as Apple Pay, PayPal, and Google Pay.
- Local payment methods, such as Giropay in Germany or BLIK in Poland.
- Buy Now, Pay Later options, such as Splitit, Afterpay and Klarna.
Multi-Currency Payments
Your retail POS system should be able to process payments in Euros for those shopping from Spain, British Pounds for those shopping from the UK, and Australian Dollars for those shopping from down under.
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An international POS system that supports multi-currency payment options has a plethora of benefits for both eCommerce businesses and foreign customers. These include:
- Expanded global reach. Multi-currency payment options enable your retail business to expand its global reach and enter foreign markets.
- Enhanced user experience (UX). Customers appreciate the convenience of making purchases in their preferred currency. An international POS system with multi-currency payment options allows customers to view product or service prices, complete the checkout process, and receive refunds in their local currency.
- Increased customer trust. Customers are more likely to trust your business and become repeat customers if they can pay in their preferred currency with accurate exchange rates.
- Reduced cart abandonment. Complicated and unfamiliar currency conversions at the checkout stage can lead customers to abandon their carts. Customers are more likely to go through with their purchase if they understand the price of the product or service, fees, and delivery costs.
Local Tax And Accounting Compliance
Remaining compliant with international tax and accounting regulations across several countries can be confusing, and mistakes can be costly. For example, violating European Union (EU) value-added tax (VAT) rules can result in fines of up to 100% of the tax owed.
However, international POS systems make it easy by acting as a virtual tax and accounting expert. They offer updated databases of tax rates, tax calculations based on customer location and product type, tax-compliant invoices and receipts, and detailed tax reports for each jurisdiction.
Multi-Language Support
If you want to sell your products or services internationally, your retail POS system should offer multi-language support. This accommodates customers with different first languages.
For example, an international POS system can manage transactions in Spanish for customers in Argentina and French for shoppers in Paris.
In addition, multi-language support simplifies staff training, reduces staff errors, and is vital for advancing diversity, equity, and inclusion (DEI).
Cross-Border Inventory Management
An international POS system can track your products, no matter where they are, and update your inventory accordingly. This improves customer satisfaction.
For example, when a customer in France orders a pair of jeans, your POS system can figure out which international warehouse can ship it fastest and cheapest. In addition, your POS system will automatically update your stock count so you know when those jeans are out of stock.
Ready To Invest In An International POS System?
To enable global transactions and dive into foreign markets, upgrade your existing POS system to one with international and cross-border capabilities. Alternatively, opt for a dedicated international POS system that offers the above five features and more.
In addition, ensure your chosen international POS system can integrate with the business software you already use, such as your eCommerce platform, inventory management system, and customer relationship management (CRM) system.
Conclusion
In conclusion, investing in an international POS system is a smart move for retail businesses looking to expand into global markets. The exponential growth of cross-border eCommerce highlights the immense potential of selling products and services internationally. However, success in this arena requires the right technology to manage diverse transaction needs, and an international POS system provides the essential features to make this expansion seamless.
By integrating global payment gateways, an international POS system enables customers to use their preferred payment methods, reducing cart abandonment and building trust. Multi-currency support enhances customer experience by allowing them to view prices and complete transactions in their own currency, which can significantly reduce barriers to purchase. Furthermore, compliance with local tax and accounting regulations across multiple jurisdictions is streamlined, minimizing costly errors and penalties, and ensuring smooth operations in international markets.
Multi-language support not only facilitates customer transactions but also simplifies staff training, making it easier to operate across different regions with diverse language needs. Cross-border inventory management ensures that stock is optimized and shipments are efficiently handled, enhancing overall customer satisfaction by fulfilling orders quickly and accurately from the closest location.
Ultimately, a well-chosen international POS system is an invaluable asset for retailers aiming to scale globally. By choosing a solution that integrates seamlessly with your existing business software, you can maximize efficiency, ensure compliance, and offer a localized shopping experience. This investment not only positions your business to thrive internationally but also strengthens your brand’s reputation and customer loyalty in new markets.
