Retailers – Get Online and Export, or Die

Click to view on British Pathe site

UPDATE 9.10pmGMT onwards Amazon earnings Q4 2012:

This is lower than the consensus and their stock which had fallen during the day to $260.35 (-$15.69) has recovered in after hours trading by some $20 ish to $282!

Their Q 1 2013 guidance revenues are $15-$16.6 billion which again is below consensus (see below)

We may give a further update after their earnings call

It was pretty dry!

They are investing heavily in China came through as a positive. It finished at 10.38pm GMT approx when  the shares were at $281.38.

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Back in 1946 The Ministry of Information encouraged all businesses to “Export or die”. You can still view/buy the original British Pathe video to rekindle the flavour of those austere days!

Which sort of brings us bang up todate with Amazon announcing its quarter 4 results later today (see below) and just having done a  press release “…. Kindle Paperwhite Now Available to Customers in over 175 Countries”

So possibly the edict today should be “Get online and export, or die”.

Now we reckon there’s both help and inspiration close at hand.

Royal Mail have just done some research with the Brass agency and discovered that for UK online retailers’;

  • Overall, 56 per cent who export saw a sales uplift in 2012
  • 65 per cent of SME’s who export are confident of growing sales in 2013
  • seven in ten will be targeting new international markets to help them achieve their growth plans. USA and Europe (28%) are the top growth targets, followed by Canada (21%)
  • Asia (15%), Russia (14%) and Africa (8%) are also part of their expansion plans. The Middle East and A8ustralasia (6%) and South Africa (5%) complete the picture.
  • 30 per cent are planning to develop a website with the domain address of the country they are targeting
  • improved online search activities are being planned for around four in ten SME’s with growth plans
  • to aid overseas growth, 43 per cent have introduced payment options in different currencies, while three in ten (31 per cent) have added tracking to their deliveries so the customer knows the progress of an item. One quarter  said they have introduced a foreign language section to their websites.
  • three in ten (27 per cent) are planning targeted direct mail campaigns while one quarter (23 per cent) are planning on using catalogues to win new business

Royal Mail offer additional practical help in an export section of their, rather large, site.

Now lets have a look at a UK success story. It’s SuperJam.

You may have seen the MOO commercial.

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Well now we have the full story.

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Mr Doherty seems to be doing rather well and already is selling in nine currencies  and we’re sure we heard a million jars of jam a year mentioned elsewhere. Likely this is out of date already. He’s even got himself a personal website.

Now back to those Amazon results which are due out shortly after “the bell” tonight at 9pm GMT. Seeking Alpha  reckon the consensus is at the top end of their guidance for revenues at $22.27 billion with earnings in mid range at about 28cents. He looks for forward guidance on Q 1 2013 revenues to be about $16.84 billion. If it’s all positive news he thinks the shares may just go from their (yesterday’s close) price of $276.04 to over the $300 level. In our limited Amazon results watching on occasion the price drops initially and then recovers over the next few days!

We will report back after the announcement. As ever there is a conference call due after the release which can be heard/viewed on their site at circa 10pm GMT.

 

Credit: Header Graphic British Pathé

Disclosure: We have affiliate Marketing arrangements with Amazon but have no commercial arrangements with any of  the other above mentioned companies. We have no position in any of the above companies.

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