Our experience

Setting the scene

In today’s globalised world, export is a key factor for economic development and growth. It’s also an area that has benefitted from digitisation. Digital export (e-export) has allowed a number of companies to enter foreign markets without the need to set up their own dealership or physical presence in shops. 

In Poland, export sales through websites or applications were growing in 2019. But compared to other EU countries, a low percentage of companies were e-exporting. The Main Statistical Office put this at 4.9%, compared to the EU average of 7% of enterprises in total that sell via websites to other EU countries. In order to advance the country’s digital export development, the former Ministry of Entrepreneurship and Technology (now the Ministry of Development, Labor and Technology) wanted to fully understand the country’s e-export situation. This included forecasts for its development, barriers to and opportunities for Polish enterprises.

How we helped

PwC helped the Ministry to analyse the situation. Based on the analysis, we produced recommendations for how to increase the internationalisation of the Polish economy and the number of Polish small and medium-sized enterprises (SMEs) exporting abroad. 

We carried out 360 individual telephone interviews and received nearly 100 online surveys from 30 companies, representing 12 sectors. Based on our analysis of the survey and interviews with enterprises, we identified the following key e-export barriers:

• lack of capital to invest in foreign market expansion 

• legal challenges, such as a lack of knowledge about foreign regulations 

• high costs of promotion on foreign markets in e-commerce sales

• problems with handling returns and complaints.

The survey also shows differences between the barriers encountered by enterprises which have not started conducting cross-border e-commerce and those that have. The companies already on foreign markets highlighted the scale of competition, high courier and postal prices, and the difficulty in recruiting appropriate staff. Companies that are not involved in e-export activities consider these factors less important. On the other hand, the legal barriers that e-export-prospect companies experience were not seen as a serious problem for those already using digital export.

PwC also conducted surveys to determine what kind of support businesses are looking for. Responding companies prefered training, workshops, and an information platform about the instruments available to support internationalisation.

Impact and potential

E-commerce presents a great opportunity for Europe. Nearly 6% of consumers in Europe shop online every day, and we are seeing improved connection speeds, an increased use of smartphones, and streamlined and integrated logistics processes. The most frequently purchased products are clothing and sports goods. Media and computer software, travel and accommodation are also popular categories.

But it is not easy for online retailers to develop abroad and expand internationally. Enterprises must take into account the rapidly changing and complex consumer environment and adapt to customer expectations regarding delivery times and parcel traceability.

The survey data shows that if the percentage of Polish companies who face no external barriers increased to 10% (the level recorded in Slovenia, for example), then the number of companies engaging in e-export would increase by 16%. This would increase the value of Polish e-exports by 400%, to over PLN 110 bn, ultimately contributing to higher economic growth. As more and more data reveals that shopping patterns are unlikely to return to how they were pre-pandemic, e-export will continue to shape the future.