Want Black Friday Success? Leverage a Merchant of Record


November 04, 2022

Want Black Friday Success? Leverage a Merchant of Record
If you haven't solidified this year's Black Friday ecommerce strategy for your business, now is the time to start. Based on last year's statistics, the long weekend after the American Thanksgiving holiday is poised to be a strong one for online selling. And you don't want to miss out by not considering an investment in Merchant of Record services.

Just how good were 2021's Black Friday weekend figures? Thanksgiving Thursday reached $5.1 billion in online sales, and Black Friday ramped up to $8.9 billion. Small Business Saturday hovered around the $23.3 billion mark, with 58% of sales made through online portals. By Cyber Monday, shoppers were in high gear to snag deals on their favorite sites, reaching $10.7 billion in online sales. Although these numbers might be tempered this year by inflation, consumers are still eager to make their holiday shopping purchases at the end of November.

So what is a Merchant of Record, and where does it fit into the big picture of e-commerce? A trustworthy Merchant of Record takes care of all the backend administrative, legal, and fiscal considerations involved with selling products directly to consumers through the internet. That's a huge weight off your team, particularly if you're going to sell to global customers — and you probably will if you're on a growth trajectory.

With a Merchant of Record, your business doesn't have to be burdened by the concerns associated with remaining compliant while offering amazing customer experiences. In other words, you can focus on marketing and converting leads on Black Friday weekend to maximize your revenue and profits.

Understanding Merchant of Record Responsibilities

Even with all the benefits that come from working with a Merchant of Record, some e-commerce sellers remain confused about the need for this kind of solution. Or they might be under some misconceptions about Merchant of Record services in general.

For example, a big misunderstanding is that working with a Merchant of Record will somehow interrupt a merchant's carefully laid-out customer experience. However, most customers never realize that the e-commerce stores they visit have a Merchant of Record. They simply maintain a normal, streamlined checkout process.

Another myth is that even big brands can't afford to bring a Merchant of Record into the mix. The reverse is actually true. A Merchant of Record removes the need for busy businesses to create the complex infrastructure that's necessary to expand their sales into international markets.

Additionally, working with a Merchant of Record allows already-established brands to expand into global e-commerce without all the heavy lifting.

Companies that partner with a Merchant of Record don't have to hire more staff members to work on processing payments, calculating each country's taxes, reconciling finances, and remaining legally compliant across geopolitical borders. With a Merchant of Record, they can save valuable money, time, and resources — and, most importantly, avoid all the risks associated with international sales. In other words, they become more competitive, not less.

Expanding Your Direct-to-Consumer Strategy and Footprint With Merchant of Record Services

The bottom line is that a Merchant of Record minimizes your risk and maximizes your growth potential. Remember: Black Friday isn't just a phenomenon in the U.S. Countries around the world have jumped on the Black Friday weekend bandwagon. These include Germany, France, the U.K., Finland, and dozens more. As such, the potential to sell products online to these vast markets is larger than ever before.

It's complicated to navigate hundreds of different payment types, negotiate with payment providers, deal with chargebacks, and do everything else that comes with accepting money from shoppers who don't live in your country. Fortunately, a Merchant of Record allows you to move forward with your most ambitious direct-to-consumer strategy plans on Black Friday and beyond.

The Merchant of Record Scheme

Best Practices for Leveraging Merchant of Record Services

Ready to make the most of your Merchant of Record partnership as we move into the biggest holiday season of the year? Here are a couple of e-commerce Black Friday tips:

1. Start selling globally online

If you want as many consumers to buy from your online store as possible, you need to be able to handle all the variables that come with international transactions. Fortunately, a Merchant of Record can provide the support and protection you need to confidently advertise to buyers worldwide.

Nothing hurts your business more than having to limit your sales to buyers in only a few locations. By selling to a global market online, you not only increase brand visibility, but also boost sales and ROI. A Merchant of Record can ensure your business performs to the best of its ability and effectively reaches a global audience while minimizing all kinds of risks.

2. Consider ways to localize the user experience

It's no secret that if your product can be more localized, you can save on shipments, warehousing, and returns. A Merchant of Record can help you succeed in another country by preventing you from having to take on everything yourself. Case in point: Go Global Ecommerce works with big brands to optimize their value chain. We're part of all the best-in-class players that want to make sure they don't try things that lie outside of their competencies.

There's still time to localize the consumer experience on Black Friday. Even if you can't have your product warehoused in another country, you can still ensure your payment processing has a local flavor and feels intuitive to consumers.

Black Friday is one of the most reliable opportunities to sell items, grow your customer base, and drive up your average cost per sale. Just make sure your Black Friday e-commerce strategy includes connecting with a Merchant of Record, particularly if your plans include globalization.

Want to learn more about Go Global Ecommerce? Contact our team today, and let's work together to create a successful Black Friday weekend for your business.

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