Succeeding in overseas markets doesn’t come overnight. It takes research and preparation to understand the legal implications of international trade, choose the right target market and develop an export strategy.
This includes giving potential overseas partners the opportunity to examine your products and negotiate with you in person.
New technologies may have changed how you present your offering to the world. But face-to-face interaction remains the most effective way to close deals. This is why trade shows and trade missions continue to play a key role in international trade.
Ready to find out how to make the best out of these two export promotional activities?
– What are the benefits of exporting?
Opening new markets abroad holds plenty of advantages for any company, such as:
- Reduced vulnerability
You are less dependent on your local market. If the domestic economy falters, you won’t take such a big hit, as you’ll have a plan B abroad.
- Increased sales
You’ll improve your sales potential by accessing more consumers and businesses.
- Extending the life cycle of mature products
You may have reached saturation in your country. Introducing your product to a new market in other parts of the world allows you to keep on selling it.
- Higher profits
International customers tend to place larger orders than local buyers to optimize their shipping costs.
Plus, you may be able to charge a higher price if overseas customers consider your product to be premium because of its origin (e.g., Panama’s geisha coffee or Japanese whiskey).
- Lower costs
Greater production may lead to the price per product dropping.
- Increased competitiveness
Exporting allows you to learn new business practices and marketing strategies to improve your brand positioning.
– What’s trade fair and trade mission?
A trade show is like a “shop window”. You have a booth where you can display your offer to participants and visitors (e.g., importers, distributors, wholesalers, and media, to name but a few), with a view to:
- Raising product and brand awareness.
- Doing market research.
- Keeping an eye on your competitors.
- Testing prototypes with your target audience.
- Generating trade leads.
- Meeting potential buyers.
- Marketing new products and services.
The trade show organizer brings an audience and handles much of the logistics on your behalf. This gives you peace of mind when you’re taking your first steps in your overseas expansion.
Now, a trade show can also go hand in hand with a trade mission.
A trade mission is an organized delegation of companies traveling to a foreign country. Its goal is to arm the exporter with the knowledge needed to expand into another market by means of:
- Matchmaking with potential business partners.
- Market overviews.
- Consulting with experts in foreign offices established by state trade agencies (e.g., chambers of commerce or embassies).
- Networking opportunities.
- Site visits.
All in all, trade missions focus on market information acquisition and relationship-building.
– What’s the disadvantage of trade shows and trade missions?
Participating in a trade show or trade mission can be an expensive investment. Costs pile up before you know it: stand space and design, travel expenses and accommodation for your representatives attending the event…
If you’re concerned about the expenses your company will be incurring, look out for trade shows and trade missions sponsored by state governments.
You can apply for grants to take part in these events, which tend to cover:
- Stand rental and construction fees, as well as costs of promotional materials, for trade shows.
- Accommodation and travel expenses for trade missions.
Another option to reduce your trade show expenses is to exhibit in a country pavilion or joint stand. A joint participation has more leverage to negotiate with suppliers, so you’ll cut your stand-building, promotional and logistics costs.
– How can you get the most out of a trade show?
Here are some tips to ensure your participation is successful:
- BEFORE
– Plan your participation at least 8 months ahead to secure a good location.
– Draft a project plan and assign tasks to your team.
– Engage contractors to design and build your booth.
– Find a freight forwarder who can inform you on the appropriate procedures to import your exhibits.
– Prepare materials in local languages.
– Set a goal for the event: do you want to find a local distributor, support your existing importer, find new buyers…?
- DURING- Visit other stands to become acquainted with the local market.- Find out more about your competition.– Ensure that interpreters are available.
– Ask potential buyers for information on their activities.
– Keep track of all contact details and interactions.
– Gather feedback on how visitors react to your product.
– Don’t rush into an agreement. The right partner may not have visited your booth just yet.
- AFTER
– Create a database with all your prospects.
– Follow up. A thank you message goes a long way.
– Honour your commitments. If you agreed to send a price list, don’t wait until your contact chases you.
– Draw conclusions from your interactions. You may need to tailor your products to the target market.
– Evaluate whether you achieved your goals.
– How can you get the most out of a trade mission?
- BEFORE- Do your market research to ensure the host country is a good match for your business.- Identify your potential customers in the market.- Study your competition.
– Submit an in-depth company profile for the business delegation.
– Reach out to your contacts and send any requests for meetings well in advance.
– Translate your marketing materials.
– Practice your pitch. Trade missions are like speed dating in that you have a limited amount of time to make an impression.
- DURING
– Follow the programme of events, meetings and visits.
– Have an interpreter by your side for your one-on-one meetings.
– Identify the local buyers’ needs and adapt your pitch as you go.
– Attend the debriefing session at the end of the trade mission to share conclusions.
- AFTER- Follow up with an email or phone call to thank your contacts for their time.- Send any relevant information and focus on building lasting business relationships.- Give the organizers feedback.
Participating in trade missions and trade shows may bring plenty of benefits for your company. All the more so if you rely on an LSP to address your buyers in their language.
Whether it is translation of your marketing materials, interpretation services for your one-on-one meetings or assistance with your international branding, Montero Language Services helps you grow overseas.
