Global trade tool helps Amazon’s foreign sales

A web-based Global Trade Management platform from Management Dynamics is helping Amazon and other retailers serve foreign markets by providing shoppers with total shipping costs, Management Dynamics reports.

Management Dynamics provides web-based technology that provides international sellers with real-time access to international shipping rates and tax and duty rates for more than 118 countries, a spokesman says. Online retailers like Amazon that are selling into foreign markets use this real-time information to present shoppers accurate total shipping costs in the online shopping cart, preventing shoppers from seeing a higher total cost of delivery once a package arrives.

“Amazon used to estimate costs for duties and taxes, but if it turned out to be 42 euros instead of 32, customers might get upset and return the package,” the Management Dynamics spokesman says. Amazon’s shipments to 225 countries outside the U.S. accounted for 49% of worldwide shipments in 2004, up from 43% in 2003, according to Amazon’s financial statement for 2004, when total sales were $6.92 billion. Amazon is No. 1 in the Internet Retailer Top 400 Guide to Retail Web Sites.

Management Dynamics recently acquired NextLinx Corp., which provides information for complying with international commerce rules. Management Dynamics’ other clients include VF Corp., Panasonic, FedEx and Digital River.