Global ecommerce markets are growing significantly, and for the U.S.-based small businesses this represents an opportunity to put a great ecommerce retail site or excellent products into the hands of international customers.

By creating an international market presence, small businesses can expand their operations, increase sales and keep competition at bay in other parts of the world.

Localization: The Biggest Challenge of Global Ecommerce

When localizing your business to a new international region, you need to consider communication barriers and also become familiar with the region's customs and culture to be successful.

"You have to have something unique and differentiable as far as a product to get attention," said Mark Begin, president of Asknet, a global ecommerce solutions provider.

According to Begin, the biggest challenge for small businesses owners is building brand awareness in your local market. Trying to do it in another market -- where you don't understand the business practices -- adds another layer of difficulty and challenge.

One common problem is that companies don't always understand who the international target market is or know how those customers need to be approached. Japan, for example, is seen as the world's second largest market and one in which many businesses want a presence, according to Begin.

Some of the frequent issues Asknet has seen with clients looking at this market include like not translating links on the product website, not having customer service reps who speak Japanese, and not offering forms payment that are common in that country.

Another mistake is the practice of deeply discounting a product. In the United States people love a sale, but if you deeply discount a product in Japan the customer will wonder what is wrong with it. Begin said these are fixable challenges, but only if a business has a real knowledge of the market they are going after.

Begin recommends that small business owners find a good partner to help them determine the markets in which they'll be the most successful. He also said that the partner you choose needs to understand the local customs of the target customer, so they can help you implement best practices for establishing a presence in that market.

Tips for Online Retailers Selling Globally

In addition to the big challenge of localization for penetrating global markets, there are also specific considerations for online retails who want to open their storefront to international customers. Payments, returns, and customer support are only a few of the ecommerce business processes that need to be adjusted for different markets.

"Some retailers may be hesitant about doing business globally because of concerns about shipping or getting paid. The reality is the benefits to selling globally far outweigh the challenges," Eddie Davis, senior director of SMB Merchant Services for PayPal wrote in a statement.

Davis also offered the following tips for online merchants and retailers who want to go global:

1. Be Online: The Internet has no boundaries, and provides an easy way to reach out to international buyers. If you have a website, make it more appealing to foreign customers by: highlighting your willingness to accept international orders, making sure your website has a multi-language toggle, listing your products in local currency, and offering clear information on shipping, costs, return policies and countries served.
2. Get Smart or Pay Later: There's a lot to know about selling abroad, and mistakes can be very costly. Make sure you understand international customs, currencies, taxes and regulations. Resources are available online to help businesses get informed, such as the U.S. Commerce Department website.
3. Cater to Local Tastes: McDonald's serves millions of hamburgers in restaurants all around the world. But it also serves Ayam Goreng McD (regular or spicy) in Malaysia. Understanding the local tastes, preferences and customs is essential to the success of any business.
4. Know the Global Rules When it Comes to Shipping: Claiming you didn't know just won't cut it when it comes to shipping globally. Shipping can be expensive and going through customs can make small businesses fear exporting. However, many global shipping companies offer resources to help a small business ship outside the U.S. Check out the websites of large shipping providers in the U.S. and learn about their international options.
5. Make Payments Easy: Dealing with exchange rates and foreign currencies can be confusing. Ensuring you get paid is especially important when dealing in the global marketplace. Without having to open multiple merchant accounts, PayPal's tools easily and safely help businesses manage global commerce.

PayPal also offers a guide to selling overseas for online retailers and merchants looking to expand their business to other countries.

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