The great competitive equalizer for U.S. small businesses is the emergence of cross-border e-commerce as a viable channel to increase U.S. exports. Since the beginning of COVID, retail and B2B businesses have been redirecting resources to move online in order meet this growing demand or in many cases, as an effort of basic business survival.
E-commerce is much less common in Madagascar than in the United States. Nonetheless, the market and consumer data provider Statista predicts revenues from e-commerce in Madagascar may reach $156 million in 2023, while mobile phone penetration is expected to reach 32.5 percent. Mobile banking and payment services provided by the four major mobile network operators in the country have expanded significantly since their introduction in 2010, and the national post office also offers competitive services like mobile money, thus contributing to increased financial inclusion.
The Ministry of Commerce, Industry, and Consumption (MICC) regulates e-commerce. Businesses selling online must have a secured online website. e-Commerce owners and managers must have a mandatory signed engagement to protect clients; there must be a signed agreement between the seller and customer, and round-the-clock processes for banks to seek customer approval for the use of credit card for e-commerce purposes.
Counseling U.S. businesses begins with helping clients develop a business’ digital sales strategy, which helps them to become more competent and confident online exporters as they eventually interact with you at Post to find overseas opportunities. This U.S. client counseling also involves a Website Globalization Review (WGR) Service that helps the client improve their online sales presence for overseas sales.