brexit-scrabble

The truth is, so far there is no clarity as to what degree the ‘leave’ decision will have on the economy and the markets in the long run, leaving UK PLC in unknown territory, especially with regards to our online businesses.

E-commerce need to analyse the source and geography of their traffic and determine what portion of it comes from the UK. This will help provide a worse-case-scenario estimate of what your losses might be if you lose your British customers.

As much as we are looking to prepare for scenarios on the web, it is important to note that we cannot abandon events offline. In a way, brick and mortar will always influence online activities for better or worse.

We will examine five areas that will help UK online or pure play businesses truly prepare for the unfolding impacts of Brexit.

  1. Data Protection (EU GDPR)
EU General Data Protection Regulation (GDPR) is being enforced by EU policy makers focused on data protection and privacy. Post Brexit implementation, we can expect UK to define its own new regulations; companies should make efforts to understand the EU GDPR and align for compliance. Perhaps getting an ISO 27001 certification can be the best proof to comply and prepare for data security. This will empower them to easily switch over to anything new that may be enforced eventually.
  1. International Payments
It is highly probable that as the Brexit speculations and eventual negotiations happen, it is important that there will be fluctuations in the value of the Pound. It may just become quite prudent to enlist the services of expert FX businesses to ensure that your business is getting the best rates as this will ultimately affect your bottom line.
  1. Analytics
This is a time of conflicting reports and permutations. Investing in a good analytics package, hiring a good data scientist or motivating your existing analysts to shine will help design the best strategy to mitigate negative impacts.
  1. Digital Transformation and Innovation
In times like this, the easiest thing to do is to try to maintain the status quo so as to avoid damages or losses. I say no! there are opportunities to be explored far afield beyond Europe.
  1. Monitor Amazon Fulfilment and eBay Fulfilment Service
Online businesses will always need to deliver goods to a particular destination. Amazon and eBay fulfilment service has made it easier to pay less VAT in the landing destination as they take care of the small details of the delivery for a fixed fee.

It will be important to monitor these two key players and potentially prepare for changes to their tariffs as this will ultimately affect the operating profits.

By Dotun Adeoye, digital change management consultant, Exodus IT Solutions