5 min read
They took their e-commerce abroad
Q&A with Niclas at Ekokul. Have you ever wondered what it would be like to launch your e-commerce business in another country? Ekokul started its business in 2008 and focuses, among other things, on toys that are sustainably produced. Six years after its launch, it launched its online shop in Finland and the following year in Denmark. In today's blog post, we pepper Ekokul's founder Niclas Lundgren with questions about how they did it, what experiences they gained and what tips they can share. Follow along! Before we get into the e-commerce itself, tell us a bit about who you are! - Founded in 2008, Ekokul is a family business driven by the desire to change. We are constantly looking for products that can become the obvious choice over mass-produced products without a second thought. We believe in joy and attractiveness instead of finger-pointing and fear-mongering. We want to be able to offer toys, baby products and more that meet the standards that many consumers now take for granted in other products, such as food and children's clothing. We look for products that are, among other things, organic, sustainable, recyclable and fairly traded. So far we have to be content with at least ticking off a couple of our criteria, but we think that's at least a good start.
Where did you get the idea for Ekokul?
- It was born in 2007. My wife Anna and I had been discussing different business ideas and had a dream of running our own business. When we realised that there was a gap in the market for organic and environmentally friendly toys and children's products, we started working on launching an online shop. We were relatively early and have been part of an exciting journey where we have really seen from the inside how e-commerce has evolved and how customer behaviour and buying patterns have changed.Ekokul does not have a physical store but conducts all its sales online. After six years of working in the Swedish market, it was time to launch the online store abroad in 2014.
How did you decide to go beyond Sweden's borders and how did you go about it?
- Copenhagen is a stone's throw from Malmö where we have our office, so it was quite natural that we would launch our shop abroad. However, it was more of a coincidence that it was Finland and not Denmark that became our first new country. This was because we found a good partner in Finland who could take care of translations and customer service. In 2015, we launched Ekokul in Denmark as well.What has it meant for your business to go international?
- Competition in e-commerce in Sweden has intensified in the last five years and more companies are having to share the pie. By investing internationally, we have been able to keep our turnover stable and expand our business with a wider range of products.What lessons have you learned?
- There is a big difference in customer behaviour in the different countries. Our Swedish and Finnish customers are often more patient and understanding when something doesn't work properly, for example in the case of a delivery delay. Danish customers, on the other hand, set much higher standards and rarely tolerate that something can go wrong. Moreover - new markets bring new challenges. In addition to knowing your customers, it is crucial to know the essential laws and regulations that affect doing business in the new country.What has been most difficult about growing into other countries?
- Freight rates are always a challenge and it is often the high freight rates that make it difficult to establish a business in a new country. It can also be a challenge to keep up the pace of translations into the different languages. First we write the Swedish text for an article and then we have to wait for translations into Danish and Finnish, which means there is always a bit of a backlog.What do you think of Abicart's e-commerce platform?
- What is great is that you can easily add different languages and domains to your online shop and that all standard texts have already been translated. In addition, it was easy to get started and the price is very competitive.Niclas's five tips for those thinking of launching their web shop abroad:
- Find a reliable and long-term partner in the country you want to establish yourself in, who can take care of translations and customer service.
- Consider shipping prices and delivery times. Do not underestimate the cost of the translation work.
- Try to get free marketing through partnerships and targeted emails to press and journalists.
- If you have a small budget, try to get a cooperation agreement based on profit share instead of a fixed hourly fee.
We thank Niclas for the chat and wish him the best of luck in the future!
If you want to know more about Ekokul you can find their online shop here.