Cafe24 said on March 9 it signed a strategic memorandum of understanding (MOU) with Global-e, a global e-commerce company, to support the expansion of global sales by online merchants on the Cafe24 platform.

Global-e is a Nasdaq-listed direct-to-consumer (D2C) e-commerce company serving global consumers. It provides solutions that remove language, payment, tariff and delivery barriers in cross-border e-commerce. It has partnerships with about 1,500 brands and companies in North America, Europe, the Middle East and Africa, targeting consumers in more than 200 countries worldwide.

Through the cooperation, the companies will explore ways to provide online merchants using the Cafe24 platform with Global-e’s advanced cross-border e-commerce solutions. These include merchant-of-record (MoR) services, local payment methods for overseas consumers, local currency display, estimated duties and taxes, and overseas settlement.

Online merchants will be able to lower payment barriers for overseas consumers and raise conversion rates from global traffic to drive overseas revenue growth. The company expects merchants will be able to provide localized shopping experiences and prevent customer drop-off during complicated payment processes.

For example, when European consumers buy K-beauty products, they will be able to check the final amount including duties and taxes in euros (EUR), rather than won (KRW), and pay using local payment methods. Online merchants that lack expertise or staff for country-specific payment processes and tax rules will also be able to enter overseas markets more easily.

Cafe24 expects it will be able to further strengthen the global e-commerce ecosystem within its platform by leveraging Global-e’s platform capabilities. Cafe24 and Global-e plan to explore partnership areas for service promotion and synergy creation through future cooperation.

Ran Almog (란 알모그), head of Global-e Korea, said the strategic cooperation will help Korean sellers provide global consumers with smooth, localized shopping experiences beyond language, payment and delivery barriers.

Lee Jae-seok (이재석), CEO of Cafe24, said he hopes an environment will be created in which online merchants based on the Cafe24 platform can conduct business overseas simply and effectively. He said the company plans to advance its global e-commerce infrastructure so that strong K-brands can meet consumers worldwide and grow their businesses.