The luxury goods industry has been severely impacted by the global pandemic, with the market experiencing its sharpest fall ever . Luxury brands have been reluctant to embrace e-commerce in the past, instead relying on physical stores to drive sales . However, consumers today are more comfortable with online shopping than ever before. In fact, according to Ipsos’ World Luxury Tracking study, 68% of respondents plan to shop for luxury goods online, primarily on multi-brand sites. With online shopping gaining momentum, adapting to e-commerce is not an option, but a necessity for luxury brands.
Given that consumers are shifting to online shopping, luxury watch companies will also be rethinking their strategies to cater to the digitally savvy younger generation . As luxury brands shift to e-commerce platforms to remain competitive , it becomes crucial for online sellers to create a cost-efficient and fast payment system that seamlessly connects them with their international vendors and suppliers.
Instarem for Business is working with Watchmen, a wholesale distributor of luxury watches, to do just that. Through Instarem, Watchmen has been able to achieve timely and secure payments to its vendors and suppliers around the world. Through their partnership with Instarem, Watchmen can now send fast and secure payments, with better FX rates.
“Instarem has provided much better customer service in terms of feedback and response, and that made me eventually port over most of my transactions to Instarem.” – Dylan Tan, Founder of Watchmen Inc.
Limitations of traditional payment systems
Disbursing funds through traditional systems is time-consuming and costly. Banks use the SWIFT system to transfer money internationally, which usually takes 1-5 business days . In addition to this, businesses incur expensive fees due to the presence of multiple intermediaries. Creating a seamless payment infrastructure that supports fast and reliable transactions helps businesses like Watchmen to pay their vendors and suppliers internationally, without burning a hole in their pockets.
Ensuring the security of transactions
Online businesses are faced with the challenge of ensuring secure payments. Ensuring payment security to protect your vendors and suppliers is a priority for businesses sending funds internationally. Instarem’s innovative platform helps businesses like Watchmen to ensure data security and track all transactions in real-time.
Removing high FX rates
Being able to send payments to vendors and suppliers in their preferred payment methods is another challenge online businesses face. Additionally, high FX fees associated with traditional payment systems become a deterring factor in ensuring seamless payments. Managing FX rates was a key concern for Watchmen when paying their suppliers overseas. Instarem solved this challenge by offering transparent multi-currency payments at competitive rates.
Why did Watchmen choose Instarem?
Instarem’s innovative platform addressed the complexities associated with Watchmen’s payment system. After integrating Instarem’s solution, Watchmen has been able to achieve cost-efficient and instant fund transfers to their vendors and suppliers located around the world.
With Instarem’s solution, Watchmen can now:
- Ensure timely payments with 24/7 processing;
- Save on small payouts and cross-border payments;
- Enable multi-currency fund transfer to vendors and suppliers with multi-pocket/wallet spend management features; and
- Control FX conversion rates on cross-border transactions.
How can Instarem benefit other businesses?
Instarem has helped businesses across sectors expand their payment capabilities. Here’s how your business can also benefit from Instarem’s services:
Improve efficiency of payments with competitive rates
Businesses get access to fast payments at competitive rates. This means businesses have the flexibility to convert funds 24/7. This is priceless for companies working with vendors and suppliers across multiple time zones.
Achieve scalability with optimised cashflows
Instarem’s BizPay solution allows businesses to convert their existing credit lines into working capital to make card payments – even to non-card accepting vendors and suppliers. This can be achieved at no extra cost, and without the need to onboard payment recipients.
Enhance relationships with vendors and suppliers
With Instarem, sending payments in your vendor’s local currency becomes simple. Businesses can make payments in 60+ countries, which makes it possible to send multiple payments at the click of a button. This is a key advantage for businesses working with multiple vendors across the globe.
More about Instarem
Instarem is a leading digital cross border payments platform that enables consumers and SMEs to send and receive international money transfers conveniently and securely. With our network in over 100 markets, 65 markets in real-time, Instarem is setting a precedent in bridging currency borders by making global money transfers quick, easy, and cost-effective. We are a trusted licensed service provider with licenses in Australia, Singapore, Indonesia, Japan, Hong Kong, Malaysia, India, UK, US, EU, and Canada.