How to adapt to changes in online business?
We know that from January 1, 2023, the introduction of the euro as the official currency in the Republic of Croatia awaits us, and preparations for this have already begun. However, what is not so well known is what needs to be optimized at points of sale to make the transition period as painless as possible for employers and their clients. Don’t forget that points of sale also include web shops in Croatia. That’s why IT DESIGN is here for you – to prepare you for the multi-currency price display, but also to introduce you to all the details and news that you can expect in the coming months when it comes to online business.
Phases before and after the introduction of the euro
In order to properly prepare your web store for the upcoming period, there are three phases aimed at facilitating the transition to the euro as smoothly as possible, and it is important to know that during the dual price display, a fixed conversion rate is used: 1EUR=7.53450 (which must be clearly stated).
September 2022 – primary currency kuna
On the first Monday in September (September 5, 2022), dual pricing will be mandatory, meaning that you must display the price of your product in kuna and euros in your web shop. The price in kuna must be more clearly indicated than the price in euros. This method of displaying prices must be unambiguous, while the full amount of the fixed conversion rate must always be used when converting. The period of dual pricing with an emphasis on kuna lasts until January 1, 2023.
January 2023 – December 31, 2023 – primary currency euro
This is the date when the official currency in Croatia becomes the euro. For the first two weeks after the introduction, payments will be possible in kuna and euros, and after that period (and beyond), dual pricing will remain, but with an emphasis on the price in euros.
Although the dual circulation of kuna and euro does not have a direct impact on your online store because payments will be made in euros, it is still necessary to know because a large number of citizens use the option of paying upon collection, so during those two weeks, customers will be able to pay the delivery person or when collecting in the branch in kuna.
On January 1, 2024, we will completely switch to the euro and thus dual display of prices will cease.
From January 1, 2024, Croatia will completely switch to the euro – thus dual display of prices will cease and prices will be displayed only in the euro currency.
How to prepare a web shop for dual display of prices?
Your web shop will have to display converted prices of all products, and after January 1, the main currency will have to be converted to the euro – it is up to you how you adjust the currency display. In Europe, the price is most often written as “€ 199.99”, but it is also possible to see other forms: “€ 199.99” or “EUR 199.99”.
You should use the fixed exchange rate of the Croatian National Bank to display prices, and make sure that your users see the price in euros and kunas when searching for a product, when adding it to the cart, during the checkout process, and when making a purchase.
The two-week dual payment period should not have a direct impact on your store, as kuna funds in bank accounts and cards will be automatically converted to euros. After this period, you should disable the option to pay in kuna, but you will need to leave the dual display of product prices for about another year, after which prices will only be displayed in euros.
Leave the introduction of the euro to the web shop completely to our experts in order to:
Implemented a dual display of prices (EUR / HRK)
Made the conversion and conversion of the currency according to the fixed / dynamic exchange rate (merger with the CNB)
Adjusted prices according to the exchange rate (fixed, dynamic or adjusted)
Made adequate preparations for the easiest possible change of currency (euro), when the time comes
Created the necessary standardization for integration into the WordPress and OpenCart environments
Why is it necessary to start adjusting prices as soon as possible?
As the deadline for displaying multi-currency prices approaches, the demand for changes in online stores will also increase. In Croatia, there are a large number, even millions, of websites that sell services and products – all of them need to adapt to the changes that will start from September 2022. Do not postpone these changes for the last minute.
Adapt to prescribed decisions
Be sure that your online business will function smoothly without any difficulties and in accordance with the prescribed provisions. With professional IT help, you can easily align all the necessary functionalities for the upcoming directives.
Preparing your online business for the new currency is an adjustment process and requires some time for setup, programming and testing the solution, and it is important that it functions smoothly in all environments, as well as that it displays well on different screens. Leave the introduction of the euro to our experts, and you can focus on other priorities of your business.
Additional information
All guidelines for the adaptation of the economy in the process of replacing the kuna with the euro are available on the official websites of the Croatian National Bank and the Ministry of the Economy and Sustainable Development:
https://euro.hnb.hr