{"id":651,"date":"2025-01-17T22:04:14","date_gmt":"2025-01-17T22:04:14","guid":{"rendered":"https:\/\/www.shipbob.com\/uk\/blog\/international-logistics\/"},"modified":"2025-10-07T21:39:40","modified_gmt":"2025-10-07T21:39:40","slug":"international-logistics","status":"publish","type":"blog","link":"https:\/\/www.shipbob.com\/uk\/blog\/international-logistics\/","title":{"rendered":"How International Logistics Works: Goals, Challenges, & Winning Approaches\u00a0"},"content":{"rendered":"\n

Table of Contents<\/p>

** Minutes<\/p><\/div><\/div>\n

What is international logistics?<\/a><\/p>\n\n\n\n

Why is international logistics important?<\/a><\/p>\n\n\n\n

Key international logistics processes explained<\/a><\/p>\n\n\n\n

What are the challenges of international logistics?<\/a><\/p>\n\n\n\n

6 strategies to nail international logistics<\/a><\/p>\n\n\n\n

Why partner with an international logistics company?<\/a><\/p>\n\n\n\n

How ShipBob helps you ship internationally in 4 steps<\/a><\/p>\n\n\n\n

International logistics FAQs<\/a><\/a><\/p>\n<\/div>\n\n\n\n

In the past, going global was only an option for enterprise brands and the largest retailers. Today, ecommerce businesses of all sizes have more resources than ever before to expand internationally. <\/span><\/p>\n\n\n\n

Thanks to globalisation, getting in front of an international customer base is a huge opportunity. However, the international ecommerce market is competitive \u2013 so how does an ecommerce business expand into international markets with a competitive edge?<\/p>\n\n\n\n

It all comes down to having a strong international logistics strategy. Shipping international orders is complex, and can be costly and time-consuming. But with the right technology, fulfilment infrastructure, and logistics expertise, you can easily launch into global markets with ease.  <\/p>\n\n\n\n

In this article, you will learn the ins and outs of international logistics to stay competitive, save on<\/span>logistics costs<\/span><\/a>, and meet customer expectations. <\/span><\/p>\n\n\n\n

What is international logistics?<\/h2>\n\n\n\n

International logistics are the processes, activities, and functions that work together to move<\/span>finished goods<\/span><\/a> through an international supply chain. It consists of cross-border shipping and international inventory distribution to efficiently deliver goods to end users across the globe. <\/span><\/p>\n\n\n\n

Why is international logistics important? <\/h3>\n\n\n\n

If your brand currently has or wants to establish a global presence, international logistics is a key aspect of your overall strategy \u2013 not one that you can just overlook. This is because:  <\/p>\n\n\n\n

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  1. It\u2019s critical to customer satisfaction.<\/strong> Having good cross-border logistics in place helps ensure that all customers have the same fast, affordable, high-quality delivery experience, no matter where they live or order from. <\/li>\n\n\n\n
  2. It helps you stay compliant with international laws and regulations.<\/strong> When you carefully coordinate how you move your products, you are able to meet all legal and regulatory requirements for each country you\u2019re shipping to or from.  <\/li>\n\n\n\n
  3. It can save you time and money<\/strong>. Seamless, efficient international logistics enable your brand to optimise for cost and spend less time managing international orders. <\/li>\n<\/ol>\n\n\n\n

    Even if your brand doesn\u2019t sell to customers around the world, international logistics still directly impact your business\u2019s ability to work with suppliers, obtain raw materials, and receive inbound inventory.  <\/p>\n\n\n\n

    For instance, if there is a global supply chain disruption or bottleneck (as we experienced during the COVID-19 pandemic), it will be much harder for you to get inventory or materials from manufacturers or suppliers. As a result, global logistics issues can lead to delays and problems for your business.  <\/p>\n\n\n\n

    Key international logistics processes explained<\/h2>\n\n\n\n

    Though it\u2019s never been easier for<\/span>direct-to-consumer (DTC) brands<\/span><\/a> to break into new markets, establishing an international<\/span>ecommerce supply chain<\/span><\/a> adds an extra level of complexity.<\/span><\/p>\n\n\n\n

    From the types of products you can sell and transport overseas to additional costs of<\/span>shipping internationally<\/span><\/a>, there is much more involved in inbound and outbound logistics<\/a> when building a global brand.<\/span><\/p>\n\n\n\n

    Here is an overview of what international<\/span>logistics operations<\/span><\/a> involve.<\/span><\/p>\n\n\n

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    1. Handling of goods<\/h3>\n\n\n\n

    If you\u2019re looking to expand into new markets, you will need to evaluate your current<\/span>physical distribution<\/span><\/a> of goods. For instance, if you\u2019re storing inventory and shipping orders from a single warehouse location in your home country, you will have to calculate how much it will be to ship an international order overseas (taking landed costs<\/a> into consideration).<\/span><\/p>\n\n\n\n

    There are several options here: you can still ship international orders from your home country, but you might want to move or expand into a warehousing<\/a> location that will reduce shipping costs to reach the border before it gets sent overseas. <\/span><\/p>\n\n\n\n

    Or, if you\u2019re seeing a large volume of orders from a different country, you can store some inventory in a<\/span>fulfilment centre<\/span><\/a> within that country and have orders picked, packed, and shipped from there.<\/span><\/p>\n\n\n\n

    Global fulfilment<\/span><\/a> reduces many common customs and tariff issues since inventory is already stored within the country and can be shipped domestically.<\/span><\/p>\n\n\n

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    2. Mode of transportation<\/h3>\n\n\n\n

    Depending on your budget and delivery timelines, you can choose from different modes of transportation to carry your goods to the customer: parcel or<\/span>freight shipping<\/span><\/a>, and air, sea, or ground shipping<\/a>. To make the right decision, you have to consider time, cost, and reliability of each and determine what works for your margins.<\/span><\/p>\n\n\n\n

    Based on where you ship from and where you\u2019re shipping to, several modes of transportation are often involved in delivering an order to an international destination \u2014 especially if you\u2019re dealing with cross-border shipping. <\/p>\n\n\n

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    3. Transportation process<\/h3>\n\n\n\n

    As the shipper, you send goods to freight forwarders. They liaise with multiple couriers to find the best shipping options (via freight forwarding). Next, the goods are loaded onto trucks, planes, or ships and sent on their way to the end customer. At the destination port, after customs clearance, the goods are unloaded<\/a> and transported to a specific customer address. <\/span><\/p>\n\n\n\n

    The transportation process for international orders can get tricky. Delivery times vary, depending on where you\u2019re shipping to, and are often slow, since orders are being shipped to another country to different governing bodies and sometimes via several modes of transportation. <\/span><\/p>\n\n\n\n

    To make sure all goes smoothly, double check shipping documentation and the product that you\u2019re shipping meets the country\u2019s trade rules and regulations.<\/span><\/p>\n\n\n\n

    Lastly, it\u2019s important that you make estimated<\/span>last-mile delivery<\/span><\/a> times and any duties they will incur clear with your customers, and then communicate with your customers on any order updates as they wait for their package to arrive. <\/span><\/p>\n\n\n

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    4. Customs and import duties<\/h3>\n\n\n\n

    With<\/span>global shipping<\/span><\/a>, you will deal with additional fees, including customs and<\/span>import duties<\/span><\/a> (taxes). An import duty is a tax placed on imports by customs authorities in the destination country of the shipment. These duties vary by country and are dictated by the value of the goods being imported.<\/span><\/p>\n\n\n\n

    All global orders need to be cleared through customs of the country they are entering. This involves quite a bit of paperwork, in which you must include the right details (e.g., tariff codes, dollar value, and product descriptions), so orders don\u2019t get held up.<\/p>\n\n\n\n

    As the shipper, you are responsible for communicating these additional fees to your customers. If a customer is not aware upfront of the additional duties they will have to pay to receive their package, they may never claim it and you are liable for packages that get held up at customs.<\/span><\/p>\n\n\n\n

    That\u2019s why some ecommerce brands choose<\/span>DDP shipping<\/span><\/a> (delivery duty paid), in which the seller takes responsibility for all risk and fees of shipping goods until they reach their destination. This way, you won\u2019t risk orders getting sent back when a consumer refuses to pay additional duties and fails to receive the package when it enters their destination country.<\/span><\/p>\n\n\n\n

    What are the challenges of international logistics?<\/h2>\n\n\n\n

    Expanding into international markets can be challenging for several reasons \u2013 most of which come down to logistics. Here are the common challenges that hold ecommerce businesses back from going global. <\/p>\n\n\n\n

    Time-consuming<\/h3>\n\n\n\n

    If not managed properly, international<\/span>logistics operations<\/span><\/a> can be a huge headache for ecommerce companies. Every aspect of the cross-border supply chain, from choosing the right carrier partners to tracking the flow of goods and calculating international shipping costs and transit times, takes a lot of time and energy. <\/span><\/p>\n\n\n\n

    Since there is so much opportunity in going global, many international ecommerce brands reap the benefits of outsourcing international logistics to a<\/span>third-party logistics<\/span><\/a> partner like ShipBob that has the infrastructure, technology, resources, and expertise to ship international orders efficiently and affordably.<\/span><\/p>\n\n\n\n

    Late shipments<\/h3>\n\n\n\n

    Not only can shipping far from your home country increase transit times, other issues such as customs can cause delays in delivery. No matter where your customers reside, fast and affordable shipping is expected. And if you\u2019re selling a<\/span>high-demand product<\/span><\/a> overseas, chances are there will be competition. <\/span><\/p>\n\n\n\n

    But there are solutions to reduce cross-border shipping delays. One way is to store inventory<\/a> within the country you\u2019re shipping to, which reduces transit times significantly, and allows you to worry less about international orders getting held up at customs. <\/span><\/p>\n\n\n\n

    This will not only save you money, but it will also help you meet customer expectations no matter where they live.<\/span><\/p>\n\n\n\n

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    \u201cLeveraging ShipBob\u2019s global network to fulfil and ship locally reassures our customers, so that when someone in a key market like Australia or Canada buys from us, they\u2019re not worrying about their order getting stuck in customs or wondering if they\u2019ll ever get their items. They also know it\u2019s not going to take two weeks or more to be delivered, and they don\u2019t have to pay exorbitant international shipping rates.\u201d<\/em><\/p>\n\n\n\n

    Sergio Tache, Founder and CEO of Dossier <\/p>\n<\/blockquote>\n\n\n\n

    International customs & taxes<\/h3>\n\n\n\n

    Each product has a tariff code associated with it for customs. When you ship the goods internationally, you will need to ensure that the right codes are assigned to each SKU, and taxes and other import<\/span> costs<\/span> are calculated accurately. <\/span><\/p>\n\n\n\n

    If not managed correctly, your business could face legal action and costly delays if you accidentally assign the wrong code, undervalue shipments, or fill in the wrong details in your customs paperwork. To ensure there are no delays at the border, double check all your documentation. <\/span><\/p>\n\n\n\n

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    \u201cCanada is our biggest market outside of the US. We were shipping from our Chicago area warehouse to Canada for a long time. We were missing out on revenue by taking on import fees and taxes. We wanted to outsource fulfilment there to reclaim some of that. We also wanted to help improve customer satisfaction by speeding up their order delivery time and avoiding those frustrating customs hold-ups. Being in ShipBob\u2019s Canadian fulfilment centre has been great for us.\u201d<\/em><\/p>\n\n\n\n

    Adam LaGesse, Global Warehousing Director at Spikeball   <\/p>\n<\/blockquote>\n\n\n\n

    Poor returns management<\/h3>\n\n\n\n

    Returns are often an unavoidable part of a growing ecommerce business. But handling returns can get tricky, especially with international orders. Return delays will not only frustrate your customers, but reverse-logistics costs will also cut into your profit margins. <\/p>\n\n\n\n

    If you invest time into creating an efficient<\/span>returns management<\/span><\/a> process, it can highly benefit your business.<\/span><\/p>\n\n\n\n

    6 strategies to nail international logistics<\/h2>\n\n\n\n

    To reduce headaches, save money, and make shipping worldwide worth the investment, here are some tips and best practices that will help you optimise your international logistics operations.<\/span><\/p>\n\n\n\n

    1. Check how your products are classified<\/h3>\n\n\n\n

    It\u2019s important to check that all of the products that you wish to sell and ship internationally are allowed to cross and enter foreign borders. Many countries restrict the types of products that can be imported from other countries (even a single ingredient found in your product can cause issues at customs). <\/span><\/p>\n\n\n\n

    This includes<\/span>prohibited items<\/span><\/a> (e.g., those that are considered<\/span>HAZMAT or dangerous goods<\/span><\/a>), packages over a certain weight, and other restrictions at the country-level. Though there is no universal product classification system, different countries use standardized coding systems to distinguish between products.<\/span><\/p>\n\n\n\n

    2. Choose the right packaging<\/h3>\n\n\n\n

    Choosing the right packaging is always important, no matter where you\u2019re shipping to. But with international orders, you\u2019re dealing with packages being in transport for much longer than a domestic delivery, so pay extra attention to packaging.<\/span><\/p>\n\n\n\n

    Before shipping overseas, check the dimensions of your different order sizes.<\/span>Dimensional weight<\/span><\/a> may likely apply to your shipments and cause the shipping cost to increase, so entering weight and dimensions helps ensure accuracy of the amount charged. It\u2019s a best practice to round up on weights at the pound or ounce level.<\/span><\/p>\n\n\n\n

    You will also want to make sure that<\/span>fragile items<\/span><\/a> are packed well with the right amount of<\/span>dunnage<\/span><\/a>, and can safely be transported and delivered damage-free, whether orders are being delivered via truck, plane, and\/or boat. Rough, long trips through different climates can also damage items easily. Some items will also need additional certain packaging requirements to go overseas.<\/span><\/p>\n\n\n\n

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    3. Calculate international shipping costs<\/h3>\n\n\n\n

    Affordable \u2013 and especially free \u2013 shipping is a huge conversion lever for ecommerce brands.But before letting your customers know that you offer free international shipping, make sure it\u2019s a viable option. <\/span><\/p>\n\n\n\n

    To assess the feasibility of international shipping, you need to<\/span>calculate shipping costs<\/span><\/a> based on package measurements, shipment type, weight, international destination, etc. <\/span><\/p>\n\n\n\n

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    \u201cBefore we had in-country fulfilment in the US, when someone was shopping in the states, they were faced with ridiculous shipping costs. By opening up a warehouse in Arizona, that has completely changed. Now we can offer our US customers shipping costs that are comparable to that in the UK. <\/em><\/p>\n\n\n\n

    We can see the customer\u2019s journey when they\u2019re using our Shopify store. Before we had in-country fulfilment in the United States, we could see how many people would abandon their carts after they saw the shipping costs. Cart abandonment has dramatically decreased, and our conversion rate has improved. Since joining ShipBob, international fulfilment has been incredibly easy, where beforehand it was frustrating.\u201d<\/em><\/p>\n\n\n\n

    Will Kerr, Apparel Lead at Quadrant <\/p>\n<\/blockquote>\n\n\n\n

    When expanding internationally, make sure you do thorough research on import laws, taxes, and<\/span>import duties<\/span><\/a> (which can be different for each country) to determine how much it will cost you.<\/span><\/p>\n\n\n\n

    Being proactive in calculating shipping costs can also help you determine which international markets are not feasible for you unless you increase your<\/span>average order value<\/span><\/a>.<\/span><\/p>\n\n\n\n

    4. Update your website and shipping policy<\/h3>\n\n\n\n

    If you\u2019re looking to ship to different countries, it might be worth updating your website to include new shipping destinations and any additional information related to your international<\/span>shipping policy<\/span><\/a>. <\/span><\/p>\n\n\n\n

    An international shipping policy should include mention of shipping costs and methods and estimated delivery times, and specifies additional shipping fees and taxes \u2014 and whether or not the customer is responsible for paying them.<\/span><\/p>\n\n\n\n

    Depending on the size of your business, you may want to open unique online stores tailored for each country or region. Another option is to optimise your current website for international buyers with a multi-language translator tool as <\/span>CAT (Computer-Assisted Translation) too<\/span>l<\/a> or create<\/span>landing pages optimised<\/span><\/a> and tailored for different countries or regions.<\/span><\/p>\n\n\n\n

    Some other considerations include:<\/p>\n\n\n\n