Dr. Glenn Gearhart CEO of World Market Vendor Services, Inc. provides News and Commentary

Comparing Cross-Border Sales Service Providers

How do the major cross-border sales service providers compare? Who really offers the best service for the best price?

Cross Border Sales

As an eCommerce vendor seeking cross-border sales, you have choices. Quality services are available from Amazon.com, Ebay/PayPal, Buy.com/Rakuten, and  World Market/PinPay. How do these leading service providers and their unique operating procedures compare in terms of global coverage, vendor retained operational management and control, fraud loss and charge back risk exposure, and pricing?

Because of the distinct variation in the services offered, rather than presenting the results in a table format with some “X’s” and footnotes, we have chosen to summarize the features and drawbacks in a short textual form. Ratings are by the number of stars. The more stars the better. Data sources for this study included the referenced web sites and discussions with current and former users of the services.

In the rating results, one star is the lowest grade and three stars is the highest grade.

Global Coverage

Amazon.com ☆☆

Offers international sales services. Global sales require special signup procedures and rules.

Ebay/PayPal ☆

Offers International site visibility feature. International sales are only supported by the US, UK, and Canada sites. Global sales require special signup procedures and rules. Limited global sales coverage.

Buy.com/Rakuten ☆☆

Sales are US only for Buy.com US and most of the global coverage is personalized by country, with buyer delivery to most countries. Global sales require special signup procedures and rules to join different country or regional sites and services.

World Market/PinPay ☆☆☆

Buyers and vendors can be located in any of 235 counties and territories in the world. Vendors list and shoppers buy from one-single site with worldwide coverage, no multiple sites, no special global signup procedures, and no buyer or vendor country limitations.

Vendor Retained Operational Management and Control


Amazon.com ☆☆

Amazon controls purchase returns and refunds; and is heavily involved in the control of customer services activities.

Ebay/PayPal ☆☆

Very involved in protecting their company’s financial risk exposure from chargebacks and fraud, to the point of restricting many vendors from service access or product listing acceptance. Ebay/PayPal exercises strong operational control over participating vendors.

Buy.com/Rakuten ☆☆

Very limited vendor usage access to their services by small to mid-size enterprises (SMEs). Sales are US only for Buy.com US and most of the global coverage is personalized by country, with the Buy.com/Rakuten business entity in control of the sales process.

World Market/PinPay ☆☆

Markets and customer coverage are totally under vendor control. World Market cross-border growth can be obtained with no capital investment and very little expense. Vendors are paid in cash not reversible credits and are paid immediately. Vendors set the pricing and timing of product sales. Plus the service is safe, simple, economical, and effective.

Fraud Loss and Charge Back Risks Exposure


Amazon.com ☆☆

Buyers pay with major credit cards and vendors stand the risk of loss from payment fraud and charge backs. Vendors are offered Checkout by Amazon as the preferred payment service.

Ebay/PayPal ☆☆

Buyers pay with major credit cards or PayPal, and in the US also pay-me-later. Vendors stand the risks of loss from payment fraud and charge backs. Vendors are offered PayPal as the payment service.

Buy.com/Rakuten ☆☆

Buyers pay with major credit cards and vendors stand the risks of loss from payment fraud and charge backs.

World Market/PinPay ☆☆☆

Buyers pay with cash from pre-funded PinPay Cash Account. If there is no cash in the cash account, then no sale can be made. Vendors are paid immediately without revocability. Vendors address customer service, product returns, and any refunds or adjustments with PinPay oversight.

Pricing


Amazon.com ☆☆

Transaction sales fees vary from 6% to 25% depending on product category. Other fees apply for various additional services, there aer also other monthly fees.

Ebay/PayPal ☆☆

Fees are complex to compute, but are generally from 9% to 15%. Other fees apply to various additional services.

Buy.com/Rakuten ☆☆

Transaction sales fees vary by product category but are normally .25% less than the Amazon.com fees for the same product category. Other fees apply for various additional services.

World Market/PinPay ☆☆☆

World Market/PinPay fees are from 1% to 2% less than Amazon.com in transaction fees and lower fixed fees; less than Ebay/PayPal in most situations, and from .5% to 1% less than Buy.com/Rakuten transaction fees.

To learn more about how World Market can benefit the growth and success of your business sign-up and contact a World Market representative.