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~ Expandeco ~





            of online purchases with still sufficiently large reserves for   region cooperatively while maintaining their margin. This
            growth.                                           possibility is offered by Expandeco with its fully equipped
                                                              infrastructure, human resources and, of course, important local
            Throughout 2020, a large number of online shops   know-how.
            experienced a shopping season comparable to the
            Christmas one. Can we say how the epidemic has    A common example is an online shop operating in English,
            affected the growth of the CEE market and what    possibly only offering the most widely used European
            changes have taken place? What can we expect in the   languages, but with the possibility of worldwide shipping. As
            near future?                                      e-commerce continues to grow, the question arises regarding
            Quite naturally, the pandemic has contributed to the growth   locating such e-commerce directly to all countries to which
            of the e-commerce sector on a global scale. This was also the   the brand can distribute its products. This enables them to get
            case in the region of Central and Eastern Europe. We expect   closer to other potential customers effectively and maximise
            an increase in online business of about 30%, which is, however,   their revenue. For example, just by correctly localising into
            comparatively large growth in recent years in this European   Polish, the online shop can significantly open up to almost 33
            online environment. The beginning of the COVID-19   million internet users.
            epidemic in March was accompanied by logistics problems and
            extending the delivery time of orders. Online shops were thus   What does cooperation with Expandeco look like
            forced to deal with a situation comparable to the Christmas   in practice? What will remain fully within the com-
            season, for which online entrepreneurs normally start preparing   petence of the client and what can you encompass
            in advance as early as September.                 locally?
                                                              We are a stable and progressive company. In the SaaS segment,
            I assume that this year’s Christmas season will break new   we are one of the fastest-growing companies in Europe.
            records, which can reach a turnover increase of up to 50%   Between 2015 and 2018 alone, our turnover increased by
            compared to previous years. Therefore, it will be crucial, in  560%. The role of online shops is, in principle, only to store and
            particular, to what extent companies can logistically prepare   deliver goods according to orders placed. Expandeco can fully
            for the fast and effective delivery of orders in cooperation with   provide technology infrastructure, including choosing popular
            courier companies.                                payment gateways, reliable courier companies, reverse logistics,
                                                              up-to-date legal and tax advice, and online marketing. We also
            How does large-brand placement work in CEE        have a well-established customer support network, taking into
            countries only through the so-called marketplace?  account cultural specificities. Thus, we can deal with complaints
            The disadvantage of the CEE region is that marketplaces   immediately in customers’ native languages.
            are not yet established in this area in such a way that it is
            possible to plan expansion exclusively through these platforms.   We have an overview of the specifics of customer behaviour in
            A possible solution and the basis for success for companies   individual markets. For example, more than half of Ukrainians
            expanding in CEE markets is, therefore, a logistics partner with   who made an online purchase expect a return confirmation
            local know-how and quality infrastructure. In my experience,  of the order by phone from the online shop. Directly in a
                                                              particular country, we have also established our own reverse
              “THE CEE MARKET IS SIGNIFICANTLY MORE DYNAMIC,   warehouses, which is why we can check the goods and
              WHICH CREATES A LOT OF SPACE FOR NEW BUSINESS   immediately send the online shop information about their
             OPPORTUNITIES AND, AT THE SAME TIME, CUSTOMERS   status and reasons for returning them. Customers, on the other
                                                              hand, appreciate that they can return the goods to an address
                         ACCEPT CHANGES EASIER.”              in their country and do not have to wait up to 12 days for
                                                              the mail to deliver the parcel to a warehouse in a completely
                                                              different country. In the case of long-term responses, concerns
            the markets of Central and Eastern Europe are “low-hanging   about whether they will get new goods or other refunds may
            fruit” for Western European e-commerce. With relatively low   arise, and trustworthiness towards the online shop is being
            input costs, they can get a decent turnover.      undermined.

            What are the possibilities for a successful online shop   In addition, we can also provide comprehensive website
            that is considering expanding to other countries?   translation and cover marketing activities in several markets
            Why should it consider the CEE region in particular?  simultaneously. I believe that marketing itself can best be done
            Cooperation with Expandeco in the form of the e-commerce   by a person who lives in a given country and knows his or
            business model D2C (direct-to-consumer) can also be a way   her domestic business environment and customer behaviour
            to expand into our region. This creates an opportunity for   thoroughly. ••
            renowned brands in Western Europe in the long term to
            expand their brand and the goods themselves to the CEE







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