SELLING DIRECT

Some products can be sold direct over the web

Rationale

Selling direct over the web does not require a significant investment in additional staff or infrastructure, so it can be a low cost way to start an international effort. Many of the processes will already be in place, and any revenues that are generated will drop to the bottom line.

Product profile

Not all products are suited for web-based sales, especially overseas. Some of the characteristics of products that can be sold are:

* Shrink-wrap, plug-and-play
The product should be easy to ship or download, and easy to install

* Little or no tech-support
With users in other countries, it can be difficult to provide technical support, so the product should be self-explanatory

* Priced under US$200
International clients are reluctant to buy high-priced products over the Net. They are concerned about return rights, so are unwilling to accept a significant financial risk

* Consumer or SOHO market
Many corporations have a requirement that software products come with local support

* Not language-intensive
The product should be intuitive to use and/or without a lot of screens, such as systems utilities


Challenges

There are a number of challenges that have to be addressed. First and foremost is the issue of getting paid. If the product is being sold from the U.S., you will find that international buyers often do not have or use credit cards. In many parts of the world it is more common to have debit cards or smart cards that are not compatible with banking systems outside their country. It is also too much of a hassle to get a foreign currency check, so overseas sales tend to be limited.

A second challenge is that of marketing. You still have to generate awareness in order to bring buyers to your website, which means advertising or getting editorial coverage in publications with overseas readership.