Cross Cultural E-commerce
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The document discusses the challenges and factors associated with cross-cultural e-commerce growth, emphasizing the importance of cultural understanding in international markets. It highlights Euroflorist's operations, its localization strategies for different countries, and the importance of adapting web design to cultural differences. Key insights include the necessity for extensive research, testing, and data-driven decision-making to optimize online presence across diverse cultural contexts.
Cross Cultural E-commerce
- 3. euroflorist.com (Online) business keeps getting more international #shifthappens 3
- 4. euroflorist.com Factors contributing to international growth • Increase/expansion of technology • Cross-border trade liberalization • Better services that support international business • Growing consumer demands • Increased competition • Expansion of cross-border cooperations 4
- 5. euroflorist.com It’s not only small companies that struggle… 5
- 6. euroflorist.com Starbucks 6 Failed in Australia, just planned to enter Italy
- 7. euroflorist.com Walmart 7 Failed… basically everywhere outside USA Even failed buying Seiyu in Japan
- 8. euroflorist.com eBay 8 Destroyed by TaoBao in China Struggled with CreditCards in Japan
- 10. euroflorist.com In the last 15 years, 52% of the Fortune 500 companies have disappeared Average Life Expectancy: vs. 10 1955 75 years 2015 15 years
- 12. euroflorist.com (google.com, logged out, incognito, though a random VPN) Apparently not a popular topic to write about… Too difficult? 12 me me me me
- 13. euroflorist.com What is Culture? Research on Culture Online Approaches Some Euroflorist findings 13 This session:
- 17. euroflorist.com GUIDO @ EUROFLORIST • Conversion Optimization • User Research • A/B Testing • Data Analysis • Growth Hacking • … 17
- 18. Mo 50 + & ke
- 23. euroflorist.com Local Euroflorist markets 23 Our local markets 19 WEBSITES 12 COUNTRIES 8 LANGUAGES Austria Belgium Denmark France Germany Ireland Luxembourg Norway Poland Sweden The Netherlands United Kingdom 20 NATIONALITIES
- 24. euroflorist.com 24 We help people make others happy, noticed & remembered Euroflorist
- 25. euroflorist.com WHAT IS EUROFLORIST? • We send flowers since 1947 • Swedish company, offices across Europe • Sell flowers through our Florist Network (9.000 florists) and Box Product • B2C & B2B sales • 1 billion SEK revenue (majority Online) 25
- 26. euroflorist.com WHAT IS EUROFLORIST? • 200+ employees (90 CS, 30 online) • 2M+ bouquets sent every year • Market shares ranging up to 45% • Growing revenue, teams and taking market share 26
- 27. euroflorist.com LOCALIZATION 27 Every country site is localized by a local Ecommerce Manager: • different campaigns (different holidays) • different content (products, images, …) • different communication
- 33. euroflorist.com Purchasing power index per inhabitant (for 2-digit post codes) 33 Source: GFK Purchasing Power Europe 2015
- 35. euroflorist.com International Problem Solving Guidelines 35Design: @jeromevadon
- 38. euroflorist.com Amsterdam street map (source: Google Maps) 38
- 39. euroflorist.com Get your smartphone out! Open your ‘maps/navigation’ application 39
- 41. euroflorist.com Japanese street map (source: Google Maps) 41
- 42. euroflorist.com Japanese street map (source: Google Maps) 42 1 2 3 4 5 6 7 8 9
- 44. euroflorist.com WHAT IS CULTURE? A shared set of values that influence societal perceptions, attitudes, preferences and responses - Robins & Stylianou (2002) 44
- 45. euroflorist.com WHY IS CULTURE IMPORTANT ONLINE? Why should we care? Different cultural groups employ different usage strategies when using the same interface 45
- 46. euroflorist.com WHAT THINGS ARE CULTURE SPECIFIC? • (Body) Language • Social contexts • Etiquette • Traditions • Symbols • Aesthetics • Colors • … • and much more… 46
- 47. euroflorist.com CULTURE NEVER COMES ALONE • Language • Brand (awareness/perception) • Different local competitors • Different meaning of flowers • Tech level (eg. Internet penetration) • Purchasing power • Regulations • Payment systems (iDeal in NL) • Logistics 47
- 48. euroflorist.com CULTURE EVOLVES • Discounts in Norway • WhatsApp “thank you” images • The meaning of icons and symbols 48
- 50. euroflorist.com WHY IS CULTURE IMPORTANT ONLINE? Cultural Differences are more complicated than just labeling people by the country that they’re from. 50
- 51. euroflorist.com So… what is culture? 51
- 55. euroflorist.com HOFSTEDE’S 6 DIMENSIONS OF CULTURE 55 Image: 4squareviews.com
- 56. euroflorist.com POWER DISTANCE - Attitude towards inequality 56 0,00 23,50 47,00 70,50 94,00 Austria Belgium Denmark France Germany Ireland Netherlands Norway Poland Sweden UK USA Canada China Estonia 40 80 3940 35 31 68 31 38 28 35 68 18 65 11 Hierarchical Decentral
- 57. euroflorist.com INDIVIDUALISM: are you an “I” or a “we”? 57 0,00 23,50 47,00 70,50 94,00 Austria Belgium Denmark France Germany Ireland Netherlands Norway Poland Sweden UK USA Canada China Estonia 60 20 80 9189 71 60 69 80 7067 717475 55 I We
- 58. euroflorist.com UNCERTAINTY AVOIDANCE - Do you want control or just let it happen? 58 0,00 23,50 47,00 70,50 94,00 Austria Belgium Denmark France Germany Ireland Netherlands Norway Poland Sweden UK USA Canada China Estonia 60 30 4846 35 29 93 5053 35 65 86 23 94 70 Rigid Flexible
- 59. euroflorist.com MASCULINITY - What motivates people? 59 0,00 23,50 47,00 70,50 94,00 Austria Belgium Denmark France Germany Ireland Netherlands Norway Poland Sweden UK USA Canada China Estonia 30 66 52 62 66 5 64 8 14 6866 43 16 54 79 Competition Balance
- 60. euroflorist.com LONG TERM ORIENTATION - Hesitant to change, or preparing for future? 60 0,00 23,50 47,00 70,50 94,00 Austria Belgium Denmark France Germany Ireland Netherlands Norway Poland Sweden UK USA Canada China Estonia 82 87 36 26 5153 3835 67 24 83 63 35 82 60 Long Short
- 61. euroflorist.com INDULGENCE - Enjoying life or restraining oneself? 61 0,00 23,50 47,00 70,50 94,00 Austria Belgium Denmark France Germany Ireland Netherlands Norway Poland Sweden UK USA Canada China Estonia 16 24 686869 78 29 55 6865 40 48 70 57 63 Indulging Restraint
- 63. euroflorist.com Conversion by Hour and Day of the week 63
- 64. euroflorist.com Conversion by Hour and Day of the week: Denmark 64 Red: lower CR Green: higher CR Solid line: working hours Dotted line: daily cutoff time
- 65. euroflorist.com Conversion by Hour and Day of the week: Poland 65 Red: lower CR Green: higher CR Solid line: working hours Dotted line: daily cutoff time
- 66. euroflorist.com Conversion by Hour and Day of the week: Germany 66 Red: lower CR Green: higher CR Solid line: working hours Dotted line: daily cutoff time
- 67. euroflorist.com Conversion by Hour and Day of the week: The Netherlands 67 Red: lower CR Green: higher CR Solid line: working hours Dotted line: daily cutoff time
- 73. euroflorist.com 5 TOP TIPS FOR CULTURAL WEB DESIGN 1. Do the research (and hire a psychologist ;)) 2. Listen to the locals 3. What is feasible on your platform? 4. Test everything - don’t make assumptions 5. Act on the data - your customer(s’ data) is always right 73
- 74. euroflorist.com RESOURCES • An Overview of Research on the Accommodation of Culture into Web Design by Punchoojit and Chintakovid, 2012 (link) • The culture differences on web design: a study of Taiwan's and United States' websites by Tsai, 2009 (link) • A process model for developing usable cross-cultural websites by Smitha, Dunckley, French, Minocha, and Chang, 2004 (link) • Callahan, E. (2006). Cultural Similarities and Differences in the Design of University Web sites, 11, 239–273. (link) • Zhao, W., Massey, B., Murphy, J., & Fang, L. (2003). Cultural Dimensions of Website Design and Content. Prometheus, 21(1), 74–84. (link) • Lo, B. W. N., & Gong, P. (2005). Cultural impact on the design of e-commerce websites: Part I – Site Format and Layout, VI(2). (link) • Geert Hofstede - geert-hofstede.com • Edward T. Hall - changingminds.org • Erin Meyer - erinmeyer.com 74
- 76. euroflorist.com 76 GUIDO JANSEN THANK YOU Let’s Connect! EUROFLORIST euroflorist @eurofloristeuroflorist euroflorist guidojansen @guidogxjansen gxjansen