2 pepper rating

The European Parliament draft report notes that only 6% of consumers buy from websites outside their home countries. One-third who tried to buy had their business refused by the retailer. The report concludes that "in the light of the lack of confidence of European consumers in the digital environment and the many factors that limit cross-border e-commerce, it is regrettable that the E.U. currently has no strategy of its own that would help resolve the situation." According to press coverage, members of the European Parliament (MEP) want to make it easier for European consumers to buy from websites in other member countries. They’re advocating a trust mark to increase consumer confidence and a charter of consumer rights.

If any MEP happens to read this, call me at +1.978.275.0500 extension 1001 and I’ll send you a copy of a report that discusses the problem and solutions in enough detail to help you develop that strategy — ask for Can’t Read, Won’t Buy: Why Language Matters on Global Websites." To write that report, we surveyed 2,430 consumers in 8 non-Anglophone countries (including EU members France, Germany, and Spain along with EU wannabe Turkey and non-wannabe Russia).

In that research we found that if you translate your site into other languages, you greatly increase the chance of grabbing the attention of people who speak those languages. But if you take the next step and adapt the logistics of purchasing, that website localization will greatly increase the likelihood of someone hitting the buy button. Specifically we found that the customer buying experience varies by their competence of the website’s language — we focused our research on English, but the results would apply just as much to a German trying to buy from an Italian site:

  • Language and pre-commerce issues drive away visitors who can’t speak the language of the website. In our sample, we found that a quick reversion to English, lengthy agreements to read, requirements to provide too much information, and the prospect of paying hefty shipping costs were secondary reasons for them to leave. Next up on their list of site turnoffs was the absence of transaction support for their country, followed by the inability of the site to accept local credit cards. Finally, too much animation and graphics diverted their attention from the purchase at hand.
  • Commerce issues send language-proficient users away. For people who can handle the website’s language, the demand for too much information followed slow-to-load as the most cited reason for leaving a site, a reflection of registration and pre-purchase data collection forms. Then the lack of transaction support for their country, lengthy agreements, and shipping costs sent them on their way. If they managed to get past those pre-purchase hurdles, the site’s inability to accept their credit derailed their purchases. Finally, animation and graphics, along with a reversion to English, trailed their reasons for leaving a site.

So short of issuing a new Directive on Localizing E-Commerce Websites or a Charter of Consumer Rights to parallel its Directives on Distance Selling and Privacy, what can the Parliament do to encourage online cross-border commerce? Frankly, this shouldn’t be a discussion about legislation but rather a desire to broaden the markets into which a retailer can sell. If the online retailers see the opportunity, they’ll invest what it takes to turn browsers into buyers across national boundaries — that means localizing the entire buying experience, from initial site visit to browsing to registration to purchase to payment to post-sales support to the countries they want to sell to. Europeans have long understood the language issue and the euro was meant to simplify cross-border trade among member states. However, the E.U. does have a role in making sure that the banking systems of member countries are integrated so they streamline bank transfers.

Until that happens, who can help online buyers? Last week PayPal announced it would expand its services to 190 markets worldwide, adding 87 new markets from which a buyer can send money online. Furthermore, it said that customers using PayPal.com can view the site in Spanish, French, and simplified Chinese. That’s a good start for many companies but still doesn’t address the question of shipping logistics, consumer trust in the site, and compliance with existing directives on selling online. That’s a laundry list the retailers themselves have to address. Meanwhile, we do find some irony in the fact that a U.S. company may help the European Union realize its promise of one economic zone.