UKForex, part of international payment businesses company OFX, short for Ozforex Group Ltd (ASX:OFX), has announced the launch of OFX for Online Sellers, a new online merchant solution that streamlines payments from international marketplaces such as eBay and Amazon into bank accounts in the USA, Canada, Eurozone, Hong Kong, Australia, and the UK. The new product will offer a faster, more competitively-priced transfer option to the millions of merchants that sell on global e-commerce marketplaces in Europe, North America, and Asia.
45% of the trillion dollar global online retail market is attributed to online marketplaces like Amazon and eBay, and current projections say that almost half of online global consumers will make purchases across borders by 2020.
Selling on international marketplaces means merchants can lose profits to foreign exchange payment charges when converting funds back to their home currencies – marketplaces and services like PayPal can take a cut of up to four percent. By enabling merchants to collect money in domestically held accounts, OFX for Online Sellers allows merchants to save on both exchange rates and transfer fees.
Jeff Parker, Chief Enterprise Officer for OFX, said:
Exchange rates and associated fees can mean the difference between growth and stagnation for many up-and-coming merchants.
The standard 3-5% that some marketplaces and banks charge to get money into a seller’s bank account can make a huge difference over the course of a year. With OFX for Online Sellers, we’re providing the means for merchants to reach new customers around the world.”
OFX for Online Sellers offers merchants:
• Local collection accounts: to collect revenues in customers’ local currencies (USD, EUR, CAD, AUD and HKD), to be transferred to a sellers’ back account in pounds, at good rates and with reduced fees.
• No account keeping fees and superior exchange rates: making significant savings on exchange rates. Additionally, there is no charge to open an online seller account and there are no account-keeping fees.
• Rapid delivery and service: funds are delivered to home accounts quickly, with around the clock phone service 24 hours a day, 7 days a week.
Noelle Sandinsky, director of Australia-based Fridge-to-Go, uses Amazon to sell her products in the US and Canada. She says:
When we first started selling overseas, we were getting terrible exchange rates on our overseas income – since switching to OFX, we’ve saved 3-4%. The flexibility the account offers has given us better cash flow and more control. I also think customer service is where OFX stands out – other companies have treated me like a number, but the customer agents at OFX always pick up the phone and offer me great advice.”
Online seller accounts are typically approved within four business days and local collection account numbers are then delivered within two business days.