Teemu Konttinen

Teemu Konttinen

MA in Design Management. Market focused strategist with bids eye view.

Brexit, EU and eCommerce

Fog in canal, continent cut off - still

It does not matter what your opinion on Brexit is the fact is it has affected all of us. Especially the ones working in e-commerce. The UK was and still is one of the most developed e-commerce markets in the world with in 2021 share of GDP 10,24% and revenue 254b euros (soure: statista). From supply chain interruptions to delivery problems, we have all felt it.

The challenges Brexit caused have been simply massive due to simultaneous significant regulatory changes on VAT and customs on both sides. This has been further exacerbated by the eagerness of politicians to increase the fog. We know that opaqueness, misinformation and lack of tools serve absolutely no-one in the long run. We cannot even begin to fathom the motivation behind such actions.

Many logistics and indirect taxation specialists have jumped the gun and given forceful advice without actually understanding the new regulations and their effects. Even large, well-established parties gave simply bad advice on how to handle the new realities and provided inoperative tools to survive the new environment. Worst, many have profited from their own sub-par solutions and terrible advice.

online seller prepares a parcel for EU customers after Brexit time

How to run your eCommerce business after Bexit

How to clear the fog? First of all, get help, you can’t do it alone. And even if you could, you should have better things to do than compliance. From who then? Who is right and what solutions do you need? Don’t take the first advice at face value, the understanding of issues is not necessarily any better in a multinational consultancy than your auditor. Question their advice and get a second and even a 3rd opinion on issues that matter to you. Don’t rely only on your existing partners.

You do not have to clear the fog completely either. Advanced solutions are available that automate the navigation in the fog. Building your navigation yourself might sound like a clever idea but, in reality, in 99% of the cases the sum of parts far exceeds the cost of a well built single solution. That is already without the stress and cost of keeping you and your solution updated.

We are working hard at EAS to make the trade, well, not return to what it was but to make it feasible and even smooth. Our comprehensive, scalable and transparently priced tools for EU sales are something you should have a look at. We are being recommended by industry leaders such as Shopify, Swiss Post, Easyship and Royal Mail, so don’t just take our word for it.

And, since Brexit affected both sides of the canal, we have created tools for both sides to navigate to better business! More on EAS UK solutions here: https://easproject.com/all-you-need-to-know-about-uk-vat/

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