ALL the talk about cyberspace opening new frontiers does not cut ice where online shopping is concerned.
That's because merchants in the United States 'blacklist' non-domestic shoppers, citing mismatched addresses and unethical re-selling of purchases as reasons for the block.
So, even smart buyers who use virtual concierge services can be sniffed out.
Traditionally, Singapore buyers could not shop at certain US websites because they accept only US-issued credit cards and ship only to US addresses.
These merchants include retail chain Macy's, cosmetics and fragrances retailer Sephora and apparel maker Abercrombie & Fitch.
Enter e-concierges like Globeshopper, vPost and Comgateway. They buy products on customers' behalf, then ship them here. Shoppers can charge to their Singapore-issued credit cards.
The virtual shopping butlers also provide customers with a US forwarding address, which they enter when filling purchase forms on the US merchants' websites and to which the e-butlers park the goods before shipping them here.
That's where the handiness of e-concierges end: Customers' orders are still being rejected by US merchants despite their using the virtual shoppers.
All three firms recognise the problem.
Phua Ngee Teck, assistant vice-president at vPost, said that orders are rejected primarily because the shipping and billing addresses are different.
'Some US merchants randomly conduct order verification through their Address Verification System,' he said.
The merchants include Sephora and Macy's.
In an e-mail reply, the retailers cited a mismatch of billing and shipping addresses as the reason for rejecting orders made through e-concierges.
An Internet customer service officer at Macy's offered an alternative solution.
'If you would like to place an order using a foreign billing address and an USA shipping address, you must call our 1-800-289-6229 number.'
Foreign-issued credit cards can be used, but 'the account used for payment must be able to be verified through one of our two credit card verification companies'.
If foreign credit card insurers are not able or unwilling to cooperate with its verification procedures, orders are then cancelled.
Protecting overseas franchises
Some merchants also turn up their noses at the US shipping addresses provided by the e-concierges.
'This is out of fear that third-parties may resell their merchandise overseas,' said a Citibank spokesman.
Citibank, together with logistics firm DHL and British e-commerce solutions firm Borderlinx, powers Globeshopper.
The US address that Globeshopper provides is unique to each customer. Each address, or suite number, is like a pigeon hole in its warehouse at Wilmington, Ohio.
Similarly, Comgateway provides a unique suite number for every customer. Its warehouse is in Portland, Oregon.
On the other hand, vPost provides customers with a common US shipping address at Portland, Oregon.
The Citibank spokesman explained that US merchants have to honour existing distribution and franchise agreements with overseas distributors.
When contacted, an online consumer service personnel from leather footwear and handbag maker Coach echoed this point: 'Since we have a presence in your country (Singapore), we are unable to ship there.'
This story was first published in The Straits Times Digital Life on 1 Oct 2008.
