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FedEx's CrossBorder makes e-commerce global from single website

FEDEX cross-border Bongo International, acquired last year, has re-launched under the brand FedEx CrossBorder, in the company's latest venture in e-commerce.

"Actually, it's about time we dropped the ˉe' and just called it 'commerce'," said Chip Hull, vice president of the new CrossBorder, reported New York's Air Cargo World.

"This is really how most commerce is being done now. The flow of information is exceeding the flow of goods."

According to latest FedEx estimates, e-commerce is now a US$1 trillion a year industry and is expected to double in four years.

For the last year, FedEx has been working to make the Bongo service scalable as a global service so it can handle immense volumes.

The result is CrossBorder, which will calculate the usual cross-border difficulties, such as regulatory compliance, package tracking, customs, duties and currency exchanges.

CrossBorder will simplify international shipping and accelerate process from a single platform.

"Only about one-third of US based global e-commerce sites accept foreign currencies," Mr Hull said. "Customers are more likely to abandon shopping carts that only show US dollar pricing."

CrossBorder accepts more than 80 currencies and offers 15 payment options and can handle multiple delivery options to more than 200 countries.

CrossBorder also arranges all transport options for international shipping, including air, ocean, road or rail modes, which eliminate transactional costs, he said.

The service benefits both B2B and B2C customers, Mr Hull said.

"The interface makes it look just like a domestic shipment, but now there is an option for international shipping. We do the same consolidation and shipping, exactly like we do for domestic transactions," he said.

"And all of this is done seamlessly, so there will never be a supplemental bill sent to the consumer or the merchant."

Another major feature is the secure payment processing and fraud protection, Mr Hull said. ¨Cross-border trade usually has two to three times more fraudulent activity than domestic service," he said. "With CrossBorder, we're able to reduce the amount of fraud to at least as low as the domestic level."

FedEx CrossBorder is now available in the United States and Europe, but will soon be expanded to other regions, "as our customers will dictate," he said.