Top Terms to Know When Selling Overseas

Top Terms to Know When Selling Overseas: The international ecommerce market is booming and expanding your online sales to a new country can open the door for immense growth. Before diving headfirst into cross border ecommerce here are a few key terms that will help you speak the lingo of an international ecommerce expert to both your consumers and providers:
  1. Fully Landed Cost | Full Landed Cost | Total Landed Cost: The total cost of the item once the item has arrived to the international consumer’s door. This price is inclusive of all charges related to the cost of the goods including the product, shipping and transportation fees, insurance, customs fees and any duties and taxes and last mile delivery fees that may apply.
  2. DDP: DDP (Delivery Duties Paid) is inclusive of all duties, taxes, and brokerage fees. The DDP pricing is billed to the sender of the package.
  3. DDU: DDU (Delivery Duties Unpaid) is not inclusive of duties, taxes and brokerage fees. Any duties, taxes and brokerage fees are billed to the recipient in the local country by the customs authority.
  4. Localization: The act of making your brand, business or website local to the international consumers. Building out a global business strategy while maintaining a local approach to consumer messaging and brand positioning.
  5. Harmonized Code | HTS Code: Harmonized Tariff Schedule is the 7-10 digit tax id classification used to assign the tax group classification when importing an item to an international country. The first six digits are recognized globally and the remaining digits are added by each individual import country. In the US the recognized format is 10 digits.