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Implications

Low Growth

Medium Growth

High Growth

$48.9

$51.0

$53.1

$56.2

$61.2

$66.4

$61.8

$70.4

$79.7

$68.0

$80.9

495.6

Applying the growth projection above to the estimated $43.6 million that we assumed would be the “Online Women’s Apparel Market among online Canadians with HHI of $50K+,” this would yield the following:

Exhibit C

Year 2009 2010 2011 2012

Using the information contained in Exhibits C and A, you can now calculate a projected penetration level for each year of the HEWA sector. An example of the penetration level in 2011 using the low growth scenario is an online portion of the HEWA is approximately 14%.

In closing, the steps presented to assist you in calculating cross-border e-commerce opportunities are a guide. Thus, for your particular industry, the application of additional assumptions or caveats will likely need to be applied.

The following chapters will delve into other components of your “due diligence” process and provide examples, tips and additional considerations for you to think about as you embark on this venture.

  • Financial: The financial implications of this exercise will provide you with the necessary inputs for your business case. The outcome will determine whether your company moves forward or not.

  • Strategic: Should the financials and competitive analysis support the business case, the decision to move forward will impact every facet of the project, initially at a strategic level and subsequently at the tactical level. Initially, strategic decisions about IT and operations will have to be made, followed by the type of marketing and merchandising that will be employed.

  • Consumers: For the consumer, this decision will provide them with another retail op-

tion from which to choose.

Visa e-commerce cross-border handbook for U.S. retailers

Copyright 2010 Visa. All rights reserved.

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