What tips would you give an eco business that’s thinking of exporting internationally?
Research, research, research
The more you know about a market the better equipped you will be to make the correct business decisions based on sound information when trying to enter that market. Market research is vital when looking at which countries to target so you can work out where you would have the most likely success. Does the country have an appetite for eco-technology? What barriers to entry are there? How should we position our product/service in that country? Who are the major players and what’s the competition like? Do I need to adapt or modify my product/service? Getting answers to these and other questions can save you a lot of time and grief.
Develop an export plan
Once you’ve decided which market(s) you want to export to draw up a plan setting out clear goals of what you want to achieve and how you will go about it, whether that is through agents, distributors, direct sales, licencing, JV or setting up your own operation. Allocate sufficient resources (people, time, money), define roles and responsibilities and put figures to goals so you can measure your success.
Choose your partners wisely
Don’t jump into bed with the first person that shows an interest in you - a good motto for life in general, but particularly so when it comes to international trade as it’s much more difficult to get out of a relationship than it is to get into one. Be proactive in selecting the right partners for your business, so if you’ve decided that selling through distributors is the best route to market find ones that have a track record and the right customer base in the eco-technology sector, ones that have a product range that is complementary to yours and ones that know what they’re talking about.
Protect and exploit your Intellectual Property
Eco technology is highly innovative by nature so it is always worth looking at protecting your IP in overseas markets. But IP is not just patents, trademarks and copyright, it’s also about your knowledge and how you operate which are very valuable assets especially if you are thinking of licencing or a JV.
Make sure you get paid
As obvious as it may sound, it is very easy to overlook the risk of non-payment. You can establish the credit rating of potential clients in many countries and guard against non-payment through, for instance, a letter of credit or credit insurance accessed through your bank. UK Export Finance (UKEF) can provide advice and insurance where the private market can’t help.
Get in touch with UK Trade & Investment (UKTI)
UKTI is the government organisation that offers UK businesses practical and financial support to access global markets. Through our network of locally-based International Trade Advisers and UKTI staff at the Embassies and consulates around the world we can help you to develop and execute and export strategy. We can research markets on your behalf, identify and get you talking to potential international partners, help you to understand cultural differences, help you address the logistics of exporting, increase your online visibility overseas, help towards the cost of exhibiting overseas and we also organise events and training in the UK as well as missions to many different countries. Go to www.ukti.gov.uk/southeast or contact us on 08452 789600 or [email protected].
Stephen Golding, International Trade Adviser, UK Trade & Investment