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Avalara Study Uncovers Cross-Border Shopping Challenges for Young Consumers
Slice of Retail Team
July 12, 2024
Key Highlights:
63% of 16-24 year-olds and 68% of 25-34 year-olds made international purchases last year.
51% of young American consumers participated in cross-border shopping.
Hidden costs and complex regulations are major barriers for businesses expanding internationally.
58% of cross-border shoppers encountered surprise customs charges.
75% of shoppers reconsider purchases after hidden fees; nearly half refuse delivery.
Source (PR Newswire)
Notable Quote:
"No one wants a jump scare at the checkout – or when your package has made it all the way to your doorstep. As global ecommerce continues to grow, driven by younger generations' shopping habits, it's clear that businesses need to better manage and streamline their cross-border compliance requirements if they are to thrive in a fast-evolving digital marketplace."
Our Take:
Avalara's recent analysis underscores the critical disconnect between the ambitions of younger consumers who are eager to engage in global shopping and the complex regulatory environment they face. The high rate of cart abandonment due to hidden costs highlights an urgent need for businesses to streamline their cross-border compliance processes. As younger generations continue to drive global ecommerce trends, companies that effectively manage and simplify their international trade requirements will be better positioned to capture this growing market segment. Avalara's comprehensive tax compliance automation solutions offer a vital tool for businesses aiming to overcome these challenges and thrive in the competitive digital marketplace.