Module 15

International expansion

7 lessons, 17 stepsOne instruction at a time, each with the result to expect. Tick steps as you go; Helix remembers.

Outcome: a careful, profitable way to start selling in new countries.

In plain words

Stage: Grow (keep more of every sale, then scale). Every lesson below is tagged with its stage; see Attract, Convert, Grow.

What it is: A careful way to start selling in other countries.

Why it matters: New countries can add growth, but only if shipping, prices and ads make sense there.

Do this:

  1. Start with the country that already buys from you most.
  2. Set local prices and clear shipping costs.
  3. Test small ad budgets before you go big.

Words to know:

  • Conversion rate: Out of every 100 visits, how many end in an order. 2% means 2 orders per 100 visits.
  • CPA: Cost per acquisition: how much ad money it took to get one sale.

All words are explained in the glossary.


Lesson 15.1: Is there demand?Grow

In short

Expanding to a country with no demand burns cash on shipping, ads and setup.

Do this now

Step 1: In Shopify, open Analytics > Reports > Total sales by billing location and Sessions by location .

Why this matters

Expanding to a country with no demand burns cash on shipping, ads and setup. A quick check of your own data shows where people already want what you sell.

Step 1 of 40 of 4 done

In Shopify, open Analytics > Reports > Total sales by billing location and Sessions by location. List your top 5 countries outside home for the last 12 months.

Expected result

You have a ranked list of countries with orders and visits.

Tips

Session
One visit to your store. One person can make several visits.

Lesson 15.2: Recalculate unit economics per countryGrow

In short

Unit economics means what each order earns after its costs.

Do this now

Step 1: Work out landed cost for the new country.

Why this matters

Unit economics means what each order earns after its costs. Those costs change in a new country. Shipping, duties, taxes and the exchange rate can turn a profitable product into a loss.

Step 1 of 20 of 2 done

Work out landed cost for the new country. Add product cost, shipping there, import duties, taxes and exchange rate effects.

Expected result

You have a per-order cost for the new country.

Tips

Landed cost
What one unit really costs once it reaches your warehouse: product, freight, duties and fees.
Product cost
What one item costs you to make or buy, including freight to your warehouse.
Duties
Taxes charged by a country on goods coming in from overseas.

Lesson 15.3: PricingGrow

In short

Local prices in local currency, rounded to normal price points, sell better than converted prices.

Do this now

Step 1: In Shopify, open Markets > Catalogs to set prices in local money for that market.

Why this matters

Local prices in local currency, rounded to normal price points, sell better than converted prices. Deciding who pays duties up front avoids angry customers at the door.

Step 1 of 20 of 2 done

In Shopify, open Markets > Catalogs to set prices in local money for that market. Round them to normal prices (49 euros, not 47.83).

Expected result

Shoppers in that country see clean local prices.

Lesson 15.4: Product and promotionGrow

In short

What sells at home may need tweaks abroad.

Do this now

Step 1: Convert sizing for the country (for example US versus European sizes) on size charts.

Why this matters

What sells at home may need tweaks abroad. Three changes cover most of it.

Step 1 of 30 of 3 done

Convert sizing for the country (for example US versus European sizes) on size charts.

Expected result

Size charts show local sizes.

Lesson 15.5: Shipping options and logisticsGrow

In short

How you ship overseas decides delivery time, cost and returns.

Do this now

Step 1: Compare the three shipping options in the table below for your first country.

Why this matters

How you ship overseas decides delivery time, cost and returns. There are three main options, each suiting a different stage.

Step 1 of 20 of 2 done

Compare the three shipping options in the table below for your first country.

Expected result

You have chosen ship from home, a local 3PL or direct from factory.

Tips

3PL
Third-party logistics: a warehouse company that stores your stock and packs and ships your orders.

Good to know

Option When to use it
Ship from home While testing, and while orders are few
A local 3PL (a warehouse in that country that packs and ships for you) Once demand is proven. Delivery is faster and returns are easier.
Shipping direct from the factory Can be cheaper for some products. Check delivery times and quality.

Lesson 15.6: One store or an expansion store?Grow

In short

One store with multi-market settings is simpler and is where to start.

Do this now

Step 1: Set up the new country in Shopify Markets on your existing store.

Why this matters

One store with multi-market settings is simpler and is where to start. A separate store only makes sense when products, prices, content or apps need to be very different.

Step 1 of 20 of 2 done

Set up the new country in Shopify Markets on your existing store.

Expected result

The country is live as a market on your main store.

Lesson 15.7: Reporting and campaignsGrow

In short

Each country needs its own report and, once spend allows, its own campaign .

Do this now

Step 1: Build a report showing MER by country (ad spend divided by sales for each country).

Why this matters

Each country needs its own report and, once spend allows, its own campaign. Otherwise one strong country hides a weak one.

Step 1 of 20 of 2 done

Build a report showing MER by country (ad spend divided by sales for each country).

Expected result

You can see which countries are profitable.

Tips

MER
Helix shows it as all ad spend divided by all sales, as a percentage. MER 25% means $25 of ads for every $100 of sales. Many tools flip it to sales divided by ad spend, so 25% shows as 4x.

Self-check

  1. Where should you expand first?
  2. Why work out your costs again for each country?
Answers
  1. The country that already buys from you.
  2. Shipping, duties, taxes and exchange rates change your margins.

Words to know in this module

Conversion rate
Out of every 100 visits, how many end in an order. 2% means 2 orders per 100 visits.
CPA
Cost per acquisition: how much ad money it took to get one sale.
Session
One visit to your store. One person can make several visits.
Duties
Taxes charged by a country on goods coming in from overseas.
Landed cost
What one unit really costs once it reaches your warehouse: product, freight, duties and fees.
Product cost
What one item costs you to make or buy, including freight to your warehouse.
Break-even ROAS
The ROAS where an order makes $0 profit after its costs. Below it, ads lose money.
ROAS
Return on ad spend: how many dollars of sales you get for each $1 of ads. ROAS 3 means $3 of sales for $1 of ads.
DDP
Delivered duty paid: you pay the import taxes so the customer pays nothing extra on delivery.
3PL
Third-party logistics: a warehouse company that stores your stock and packs and ships your orders.
Campaign
The top level in an ad account. It holds the goal, like getting sales.
MER
Helix shows it as all ad spend divided by all sales, as a percentage. MER 25% means $25 of ads for every $100 of sales. Many tools flip it to sales divided by ad spend, so 25% shows as 4x.
All words to know