The Polish market has been increasingly targeted by foreign companies – along with the growing wealth of consumers and the self-fueling mechanism of market development.
A particular increase in activity can be observed not only in common accessories like food or cleaning products but also if You look at special and technological assortment.
Marketing strategies that skillfully involve Polish market conditions, treat the established cooperation with available Polish distribution networks as the main element of their sales activities. However, the lack of appropriate marketing support combined with the traditional habits of Polish consumers results in unsatisfactory sales results.
Discouragement, driven by rising costs, encourages “direct entry” to the market, that is, bypassing direct distribution, eg through the e-commerce channel.
What are the benefits of such a solution:
• higher income as there is no need to divide the margin, which the distributor can set up to 50% of the product value
• learning from direct contact with the market
• immediate reaction to the changing market situation
From an accounting and organizational perspective, sales may begin through the main company located outside the target country. In the case of mail-order sales, it is subject to legal regulations. The annual limit of sales to Polish individual customers is PLN 160,000 net (approximately EUR 35,000).
If this amount is exceeded, the given company must register with the Polish tax office and, based on an individual tax identification number, to settle VAT in the territory of Poland.
Before registration, the applicable VAT rate is the one that operates in the company’s home country. After reporting the VAT settlement in Poland, the company is also subject to the Polish VAT rate.
When products are shipped to Poland from warehouses outside the country, the duty does not apply to goods shipped from the European Union and the Schengen area. The exceptions are tobacco products and alcohol.
In an effective reduction of costs, it may be helpful to use the services of numerous warehouses that deal with shipping from Poland based on outsourcing. It is also worth taking care of cooperation with a specialized call center, which will provide a comprehensive customer support service.
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