Saving on Amazon Currency Exchange Transaction Costs
Any of you international Amazon and Ebay sellers out there will be familiar with the feeling of false hope when you look at your international sales turnover each month, only to remember that by the time you subtract shipping costs, marketplace fees and currency exchange fees, you are left with an amount which appears significantly bleak compared to your initial figures. Considering the amount of time and money that goes into selling internationally in comparison with selling domestically, it’s easy to lose your view of the bigger picture and decide that the costs really are out weighing the benefits.
Luckily, this week I happened to come across a company who were able to take the sting out of the fees that are charged by Amazon to exchange our euro and dollar disbursements back to pounds sterling. At a margin of 4%, we were getting hit hard by Amazon’s charges, especially as our sales continue to grow. With Currencies Direct, they were able to provide us with an exchange service at a margin of less than half of what we are paying with Amazon, which will be a huge saving over the course of a year, leaving that extra bit of capital which was completely unseen before now. Unfortunately the dollar service with Amazon is not live as of yet, but this will be available soon, and the service is not available with Paypal yet either, but if you’re selling on Ebay I wouldn’t get disheartened, because it may be in the pipeline, so watch this space.
If you’re selling internationally on marketplaces and you are finding currency exchange charges to be a huge burden, I would definitely advise having a look at services like this which may allow you to save some of those profits which seem to disappear without a trace.
For more information on Currencies Direct and the variety of services which they offer, take a look at their website on http://www.currenciesdirect.com/en/uk.
If anyone who is also starting out in international ecommerce has any questions for me or would like some advice, I can’t guarantee that I’ll have the answer but I’ll certainly do my best to help, or indeed if anyone has any advice that they would like to share with me, please feel free to get in touch by tweeting @OpentoExport with the hashtag #LornasBlog.
For those of you, who would like to know more about The Rug House, please feel free to visit the website at www.therughouse.co.uk.
Topics: Currency Exchange and E-commerce