Brexit & European e-commerce
The British people have spoken: the Brexit is happening, as we all know. Within the next few years, the UK will move away from the EU. It goes without saying that ecommerce will also be affected by the British departure. E-commerce News has lined up a few predicitions of what the Brexit will mean for European e-commerce.
One prediction, according to Ecommerce News, is that British online shoppers will likely spend less on foreign websites. This is a significant change, since an earlier study indicated that more than half of British consumers places at least one order on a foreign website. This means that the Brexit will potentially take a toll on cross-border e-commerce. Reason for this is the devaluation of the GBP. For European consumers, however, the devaluation means that purchasing products in the UK will be cheaper.
With regards to shipping products, the market will also become more complex. British consumers will be harder to reach, since tariffs will be imposed when shipping products outside the EU.
Some experts believe that the Brexit could also be a good thing for other European countries such as the Netherlands. American companies which generally settle in the UK for example, may choose to open branches in the Netherlands instead. Potential advantages noted are excellent logistics and proficiency of the English language.