Stop Losing 5-10% on International Sales: The Simple Guide to Cross-Border Fees

Stop Losing 5-10% on International Sales

The Simple Guide to Cross-Border Fees

Nov 4, 2024

International sales are a goldmine, but hidden FX markups and cross-border fees are silently eroding your margins. Learn how a single 1.5% fee can change everything.

International sales are the fastest path to scaling an e-commerce business. Your market instantly grows from local to global.

However, for every international transaction, a silent killer is at work: hidden cross-border fees and unfavorable foreign exchange (FX) markups. These costs, combined with standard processing fees, can easily eat up 5-10% of your total sale, turning a profitable transaction into a marginal one.

The Anatomy of the 5-10% Fee Trap

When a customer in Europe buys from your Shopify store in the US, your money passes through a complex, expensive chain of intermediaries:

  1. Standard Processing Fee (2.9% + $0.30): The base fee charged by your payment gateway (Stripe, PayPal, Shopify Payments).
  2. Cross-Border Fee (0.5% - 1.5%): An extra fee charged because the customer's bank is in a different country than yours.
  3. Foreign Exchange (FX) Markup (1% - 3%): The bank or processor converts the foreign currency to your local currency, often using an exchange rate that is significantly worse than the true market rate, pocketing the difference.
  4. Currency Conversion Fee (0.5% - 1.0%): An additional fee for the act of conversion itself.

The result? Your effective transaction cost can skyrocket to 5%, 7%, or even 10% of the sale value.

The Web3 Solution: Eliminating the Middlemen

The reason these fees exist is simple: traditional finance requires multiple, geographically separated banks and card networks to communicate and move money across borders. Each one takes a cut.

Web3 payments, powered by stablecoins like USDC, bypass this entire system.

Gecko Vision's Transparent 1.5% Fee

Gecko Vision replaces the entire complex fee structure with a single, transparent cost: 1.5% per transaction.

Fee ComponentTraditional System (5-10% Total)Gecko Vision (1.5% Total)
Standard Processing2.9% + $0.30Included in 1.5%
Cross-Border Fee0.5% - 1.5%Eliminated
FX Markup1% - 3%Eliminated (Settlement in USDC)
Currency Conversion0.5% - 1.0%Eliminated
Total Effective Cost5% - 10%1.5%

How is this possible?

  1. Stablecoin Settlement: We settle your funds instantly in Digital USD (USDC). Since USDC is a global, borderless currency, there is no need for costly FX conversion or cross-border fees.
  2. Direct Rail: The payment moves directly from the customer's payment source to your Smart Wallet on the blockchain, cutting out all the expensive bank intermediaries.

The Profit Margin Revolution

For a merchant doing $100,000 in international sales per month, switching from a 5% effective fee to a 1.5% fee means:

  • Traditional Cost: $5,000 per month
  • Gecko Vision Cost: $1,500 per month
  • Monthly Savings: $3,500
  • Annual Savings: $42,000

This isn't just a cost saving; it's a direct, significant boost to your net profit margin. It allows you to be more competitive on pricing, invest more in marketing, or simply keep more of the money you earn.

Conclusion

The complexity of cross-border payments is a relic of the past. If you are serious about scaling your e-commerce business globally, you must adopt a payment rail that is built for the global, digital economy.

Gecko Vision offers the simplicity of a single, low fee and the stability of Digital USD, ensuring that you keep the profit you worked hard to earn.


Ready to stop losing money on international sales? See how Gecko Vision's transparent 1.5% fee can boost your margins. Join our waitlist and start keeping more of your profit.

Get Started with Gecko Vision

Total Sales
$12,450
Chargebacks
$0
Saved
$890
cross-border paymentsinternational salestransaction feesFX feesprofit margins
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