What prevents an e-shop from being born global?

What prevents an e-shop from being born global? Here we share some thoughts.
Let’s start with having a look at what “born global” means:
“Born global is a type of company that from the beginning of its activities pursues a vision of becoming global and globalizes rapidly without any preceding long-term domestic or internationalization period”. – Dictionary of International trade

What’re the biggest obstacles?

The most obvious obstacle, for an e-shop to be born global, is most probably the physical involvement which an e-commerce business needs to take care of. In contrast to companies such as Spotify (with an 100% intangible product), which does not have a considerable need of a physical presence, e-shops (in most cases) needs to deliver its products physically, in order to fulfill all commitments to its customers. This leads to the fact that there in most cases is a physical link between an e-shop and its clients. And this drags them down from being born global.
Also, a lack of presence in marketing and local market awareness do effect.
But, many e-shops easily offers to sell its products on a global scale. Isn’t that the same as being born global?
That is partly right of course. But it also depends on how you see it. If you define born global as just reaching out to potential buyers, then it is quite easy to become a “global player”.
This can today be done together with a global delivery partner, which there are several of. But, if you rather define to be born global as an ability to compete in all markets, on equal terms as the local players do. Then it becomes a bit more complicated.
But why?
There is a simple answer to this: Shipping. More exactly – the cost of shipping and the delivery time. Today’s e-commerce clients are picky when it comes to delivery time. Yes, you can even say that they are a bit “spoiled” these days and they have a good reason to be so. More and more competing e-shops, but also more freight alternatives available, has given the opportunity of 1-2 days in delivery time on most major markets. This more or less demands a physical presence not too long from where its clients live.
An in-house logistics set up on a global scale at an early stage is very rarely possible for an e-shop. The cost and complexity are basically too high.
So, how does an e-shop gets born global?
So, is there a possibility for an e-shop to become “born global”? Yes, we are pretty sure it is – If it can master it’s global supply chain and logistics.
One way of doing so is to outsource the logistics part to a local 3PL partner, for all logistics handling at the actual market. This can be the best and easiest way for global expansion at a rapid pace.
Sounds interesting? Prime Penguin simply brings you a network of selected 3PL companies with an easy integration to your e-shop.

Gardenstore.se 👨‍🌾

Always a pleasure, to meet the e-shops and hard-working people behind them. Like last week, when the two co-founders (as well as brothers) of Gardenstore.se – Leo and Valentin visited us.
Gardenstore is one of the leading Scandinavian retailers of gardening products online, with a business growing at the same steady pace as the plants they are serving.
Their range of products differs a lot, with everything from tiny seed bags to full-scale houses and everything in between. Logistics can, therefore, be complicated and is vital for client success. We are therefore happy to offer them the interface and smartness of Prime Penguin, for full control.
Leo and Valentin is a great example of where everyday questions and struggle of a growing e-shop, can be a great source of inspiration in our process of improvement. There is always a lot to discuss and we learn a lot from their truth out there. That’s why they, as well as all clients, always are welcome for a meeting together with us.

Say hello to Harald 🐧

We are happy to present our latest penguin – Harald Lindström

Harald has former been working, as a team leader, for the Swedish e-commerce payment startup and unicorn Klarna. He has some genuine competence and experience in e-commerce and digital solutions and we are very happy to have him onboard.

Harald Lindström at Prime Penguin

Except from dressing very well in a suit (as well in a t-shirt), Harald will be responsible for our growing e-commerce team and will be a natural point of contact for you as an e-shop.
For any help you need optimizing your e-commerce logistics, Harald will be happy to help.

Get in touch with Harald 👋

harald@primepenguin.com
+46 (0) 79 337 90 53

Dear e-shop, we know you prefer it digital

Dear e-shop, – we know you prefer it digital. Therefore, we created an interface where you can visit your warehouse whenever you want. All from your favorite device.
Of course, we also help you to find a suitable logistics partner to handle, some or all, of your e-commerce logistics. Prime Penguin simply helps you to outsource your logistics with full control.
Sounds interesting? Please let us know and get started for free. We think you will enjoy it.

Sharing is caring

Oh yeah, some of the code and technology of Prime Penguin can be found on GitHub, as we surely believe opens source code benefits the community.
What does that mean?
GitHub is a platform, globally used by software developers for sharing and collaboration on projects. The idea is to bring software developers together to write code and manage projects in an efficient way. As all users have their own profile, this makes GitHub one of the most powerful networks out there for software developers.
Thanks to the idea and usage of GitHub, a mass of professionals can contribute to and advance a project forward. And yes, this is a much more efficient way to bring and get each other valuable feedback, compared to how it was done back in the days.

Photo from: https://education.github.com
Are you a developer, using GitHub? Hope to see you at: https://github.com/PrimePenguin

Ernesto Morretta

Ernesto Morretta was founded in 2012 and was one of Prime Penguin’s very first clients.
The company’s idea is to offer custom-made Italian shirts with high quality. All shirts are sewn from a traditional Venetian technique.
This on demand business is a good example of where sufficient management of complex logistics truly makes a difference.
Order your very own shirt today at: ernestomorretta.se

Julia & Julia Paperworks

Explore Julia & Julia Paperworks – the Stockholm based fashion designers who saw the opportunity in transforming the traditional business of gift cards – making them less ordinary.

Their creations are designed and printed in Sweden. Always on eco-labeled paper. The manufacturing and transport of the cards is 100% climate-compensated by the United Nations Gold Standard.

Julia & Julia Paperworks have based their web shop on Woocommerce and was fully technically connected to Prime Penguin within minutes.

Find and shop their stunning creations today at: jjpaperworks.com

Mulligan shop

This small, but rapidly expanding e-shop was founded by the two golf nerds.
Today they have over 7000 followers on their Instagram channel @mulliganmoments which is popular for it’s frequently posted content of funny moments in golf.
Mulligan shop is based on Shopify and is fully integrated with Prime Penguin from where they have outsourced all its logistics to one of Prime Penguins professional 3PL partners.
Through a plug and play connection, the platform then gives them quick access and total digital control over their e-commerce logistics.
Experience Mulligan shop: https://mulliganshop.com/