Few U.S. Online Retailers Are Truly Global Despite Rising Interest in Global Expansion

Despite a mounting interest in global expansion from U.S. online retailers, very few currently have global presences. A new report published by JupiterResearch, "Global Online Retail: Navigating Successful International Expansion," indicates that the majority of top U.S. retailers do not have a substantial international online presence.

According to the report, low dollar values, a slowdown in the U.S. economy, and a rapidly shifting global Internet population have all prompted online retailers to consider international markets as key to their growth strategies, yet most remain cautious about global expansion.

"At no time during the past few years has interest in international online commerce been higher," explained Zia Daniell Wigder, Web globalization analyst and lead author of the report for JupiterResearch. "U.S. online retailers that have no global strategy risk missing out on the biggest areas of online growth during the next five years."

Complex regulations, logistical hurdles, as well as consumers' differing behavior and expectations in international markets are just a few of the factors that have given pause to online retailers looking to expand internationally. Additionally, retailers' reluctance to cede any control to local managers has prevented retailers from successfully capitalizing on the unique dynamics of international markets.