Cross-Border Strategy Models

Pure and Mixed Cross-Border

Pure Cross Border:

This model is the starting point for all brands that want to participate in the Brazilian market, without any local experience.

Basically, as orders arrive on the e-commerce platform in Brazil, they are passed on to the Manufacturer or distributor individually, or in batches, to a warehouse responsible for the individual preparation of each delivery, which will later be shipped for consumers in Brazil, in the United States, China and Europe.

This model allows the entire catalog of a brand to be offered, without restriction, increasing the offer and valuing the concept to be transmitted to consumers.

With the digital presence properly “climatized” for Brazil, confidence in the acquisition process is ensured since the guarantee and technical assistance are offered.

Mixed Cross Border:

The presence of the brand in a restricted way makes market giants in some countries have a timid presence in Brazil, which consequently causes a repressed demand. This could be perfectly complemented by the cross-border.

In this way, the brand could market products that have stock in Brazil, and those that do not (direct import), testing new product possibilities, which, if they reach a satisfactory level of sales, can evolve into local stock, if it is advantageous.

Besides, inventories can be kept in Brazil in bonded areas called Dry Port, and as consumers carry out their purchases, they are released for direct delivery.

The Dry Port model has pros and cons, like everything else in our lives. Despite the freight being consolidated, reducing the cost by the quantities, the storage value is always greater than that of a common warehouse. On the other hand, the delivery is much faster, as well as the customs clearance process.