There are multiple options for setting the exchange rates to fit any business’s pricing needs:ĭaily average market rates: The average of the currency’s intraday fluctuationįixed market rates: Setting a fixed rate can help manage day-to-day volatility while adhering to business’s financial needs OANDA’s Exchange Rates API allows businesses to accurately and automatically price products in currencies around the world in order to cater to local markets. A study done by Profitwell shows that companies who failed to price their products in the local currency sold 30% less overall versus companies that did localize their pricing in the local currency.Ĭlearly businesses cannot afford to price their products in a foreign currency. Because people tend to feel most comfortable making a purchase in a familiar local currency, when products are priced in a foreign currency the cart abandonment rate increases and cuts into sales for the business. For over 20 years, OANDA has been the go-to source for automation in currency conversion for financial reconciliation and internal reporting needs directly from within ERP systems, accounting software, and more.įor global companies, pricing products in the local currency where the product is offered is very important. OANDA’s Exchange Rates API provides access to the most robust data set of its kind with over 38,000 currency pairs, 200 currencies and precious metals dating back to 1990, as well as over 25+ Central Bank exchange rates. This ensures that everyone is working from the same set of figures, reduces data discrepancies, and streamlines processes. ![]() Establishing a centralized source of data with an accurate and reliable automated Exchange Rate API that will cover global currencies, precious metals, and increasingly necessary Central Banks that companies are exposed to. Having a consolidated and clear source of foreign exchange rates data is best practice when it comes to multi-currency financial reporting. Destabilized currency markets increase the risk of multi-currency errors, and can create a source of tension between finance departments and foreign entities. Automating exchange rates directly into the computing environment not only saves time, but more importantly it ensure data accuracy, minimizes the risk of human error, and ensures consistent data across global organizations.Īccounting, tax, and CPA professionals using exchange rate data for financial reporting must navigate the tumultuous business and economic landscape by balancing multiple local entities, regulatory standards, and exposure to different currencies. Thousands of global businesses who rely on ever-fluctuating exchange rates are switching to OANDA’s exchange rates API for an automated way to ingest exchange rate data directly into their ERP or software system. ![]() Macroeconomic and geopolitical events from Brexit to falling oil prices greatly impacted the FX market, resulting in increased volatility and currency rate fluctuations. In recent years, volatility across the foreign exchange (FX) market has become the new normal.
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