Caribbean Export OUTLOOK 3rd Edition

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Clearing The Hurdles

I n the following article, LeVaughn Flynn takes a look at the development of e-Commerce in the Caribbean. He speaks with Jomo Cato, Entrepreneur and Co- Founder of Quickcanoe.com about some of the challenges Caribbean SMEs face building e-Commerce businesses. The Opportunity For a moment let’s imagine a bright new marketplace filled with possibilities. Amarketplace that readily responds to the needs of consumers and exceeds expectations with high levels of efficiency and simplicity. A brand new marketplace where start-ups are better positioned to compete with large businesses. A marketplace that evolves from location-based consumers to global purchasers. E-Commerce holds the promise of economic development through market expansion and increased efficiency in how resources are used. To accelerate the shift in the Caribbean so that we realize the full potential of e-Commerce, some fundamental things must be in place. These include Credit Card Payment Processors that invest in and take the time to truly understand the Caribbean marketplace, local banks that move from being third party acquirers into the space of payment processing, relaxing of the prohibitive policies at regional ports which seriously inhibit the growth of intra-regional trade, continuous improvement and affordability of Information and Communications Technology (ICT) infrastructure and close public-private partnerships. E-Commerce first started in the early 1990s which spawned the rise of companies such as Amazon and E-Bay. The world’s most popular online store – Amazon – is celebrating its 25 th anniversary and if you were looking for a barometer of the promise of e-Commerce, Amazon’s Founder Jeff Bezos is now the wealthiest man in the world with a net worth of US$140 billion (at the time of writing this feature). Theupsidesofe-Commerceareveryevident:convenience, efficiency in logistics and human resources and a global expansion of the marketplace that overtime will lead to real economic gains for businesses and countries that embrace it. China, the world leader in retail e-Commerce (US$680 billion per annum), gains 16% of total retail revenue through online sales. Time To Catch Up The current evidence shows that many countries in the Caribbean have been slow to adopt an e-Commerce framework. Apart from banks, telecom companies and hotels that offer some options online, Caribbean businesses are yet to fully appreciate and reap the benefits of a fully integrated e-Commerce model. Most businesses still require