April 2013

International e-commerce index

Content:

Page 1: Casio AW-590-1A Page 2: Samsung Me76v-bb Page 3: Samsung CLX-3305 Page 4: ASUS Transformer Pad TF300T Page 5: Epiphone Les Paul Standard EB Page 6: G-Star Yard Pyro Page 7: Methodology / About Salesupply

1

For this product, price and cost structures vary substantially across the countries researched. In France and the UK the selling prices that can be achieved are significantly lower and marketing costs higher. In Italy and Spain, this item can be marketed at a somewhat higher price and with better marketing costs. Demand for this watch in both countries, however, is negligible. For this product, Poland has by some margin the lowest CIR (cost/income ratio). It is here, with 25% higher selling prices and 75% lower marketing costs, that the lowest costs per 100 Euro turnover can be found. Demand, too, is several times higher than in Germany.

Salesupply AG recommendation

• Poland definitely merits closer examination.

2

Pricing of this product is very consistent across the countries researched, though at a premium in the Scandinavian region and with lower prices in Poland. Although demand is greatest in France, this market actually seems the least attractive because of relatively high marketing costs. The situation in the UK is similar. Overall, this product cannot be recommended. In none of the countries examined can an attractive CIR be found. Nor is market reach, on the whole, high enough to offer a good basis for market entry.

3

For this product, a multi-function printer, the market in Germany is likewise below average. It is true that, as for most other similar products, the German market is the largest. Seen from the point of view of the CIR, however, only the Dutch and UK markets are poorer. Poland represents the most interesting market for this product. Even though dealers in Finland can reckon on a price premium of over 40%, marketing prices and a relatively small market size prevent this from being a sufficiently attractive market. Taking everything into account, it is only Poland (with its 75% lower marketing costs), and to some extent Italy, that offer interesting opportunities.

Salesupply AG recommendation

• Poland and perhaps Italy merit closer examination.

4

Selling prices of this product are relatively consistent across the markets examined. The Scandinavian countries, where a 20% premium can be factored in, are an exception to this. The consistently low CPC2 (on average, 0.28 Euro) is something of a surprise. The CIR is also low, at only 7.7% on average, and in terms of marketing expenditure represents the lowest costs found in any products researched so far. This may be due to the poor margins available in this product group. Overall, the situation is most favourable in Poland. Here the selling price is about average but marketing costs are 60% below average. Market reach should be checked.

5

For this product, again, the domestic German market is the least attractive compared with the other countries examined. Germany has the least potential for this product. At the same time, marketing costs here are almost twice the average level. Looking at the statistics as a whole (selling price, marketing costs, reach and CIR), the interesting countries appear to be Poland, Italy and perhaps France and the UK. In these countries, selling prices are higher and marketing costs up to 80% lower. France and the UK are special cases. Here the CIR is markedly higher than in Poland and Italy. Nevertheless, they might prove worthwhile because of the relatively high reach in these markets.

Salesupply AG recommendation

• Analyse Poland and Italy more closely. • At least consider special situation in France and UK because of high

reach and low CIR compared to Germany.

6

In terms of selling prices, the picture is consistent across the countries researched, with only minor variations in either direction. The situation with regard to marketing costs and the resulting CIR does not make it possible to make an express recommendation for market entry into any of the countries examined. Lack of reach is another reason why no country offers a compelling market, Spain is the most attractive market for this product. Here the selling price is average, while marketing costs are almost 50% lower than those in Germany.

7

Methodology 1. Definition of market price The market price corresponds to average selling prices on the internet in the relevant country, as at the beginning of March 2013. 2. Definition of CPC The quoted CPC corresponds to the average cost per click of a Google AdWords campaign for the product, as at the beginning of March 2013. 3. Definition of monthly reach The figure for monthly reach relates to the search term enclosed in square brackets in each case. About Salesupply: Salesupply AG is an international network offering support to businesses that are internationalising their online shop. Successful internationalisation depends on professional localisation. Salesupply will translate your online shop and offer support in adapting designs and layouts for individual countries. It is also possible to obtain a local address and telephone number, to promote customer confidence. Salesupply also offers additional services that a shop will require for thoroughly successful entry into foreign markets: recognised certification, appropriate payment methods, preparation of terms and conditions of business, legal support and more. In addition, Salesupply has native speakers available offering international customer support in each target country, to ensure that orders, transactions and any returns are handled professionally. Further services offered by Salesupply include marketing activity appropriate to the target country in areas such as SEO, affiliate marketing, SEM, social media, lead generation and more. To ensure timely delivery of goods, Salesupply's international logistics fulfilment processes can also handle local warehousing, commissioning, delivery and returns processing. Salesupply is the internationalisation expert in e-commerce.