The majority of people living in Britain have already decided that they are in favor of Brexit. This means that United Kingdom is no longer a part of the European Union. The entire process of the exit from the EU would be completed within two years after the voting. It might be finalized two years from now but one thing is for sure, there are implications on the ecommerce industry after Brexit has been decided.
There are already effects happening as soon as the result of the voting was announced. In short term, the British currency sunk down to the lowest level it has gotten since 1985 and continues to do so in the coming days. This has an impact when it comes to foreign retailers that are getting order from consumers that are living or residing in the United Kingdom. Products that have been priced based on another currency will be more expensive when sold to British clients.
According to a research conducted by Internet Retailer, almost 50 per cent of the largest online retailers in the US belonging to the top 500 list are shipping their products to the United Kingdom. For the meantime, this industry will not see some negative effect as a result of the Brexit. According to a study conducted by Payvision only last year, British consumers are prone to shopping from across their border with data showing that 54 per cent of British consumers have shopped at least once from a foreign website. Now that the value of pound is lower than it used to be, there will be less spending when it comes to foreign ecommerce sites.
This is good news for European citizens who are planning to buy products coming from Britain and British based companies since the price will be lower so long as the payment is made in another currency.
The effect of Brexit is evident on ecommerce industry thus it is important more than ever to invest in an ecommerce website by employing professionals such as Vimi. This will ensure that the business will continue to thrive despite the challenges presented by the Brexit aftereffect.