Exporting offers new opportunities for your company. It can also lead to more sales. However, it is not that easy. Good preparation and an export plan will help you to successfully expand your business.
Imagine you want to build a house. You don’t say to the contractor: just build a house. The contractor would not know what exactly is intended. That is why you first sit down with an architect. Flat roof, pointed roof, a garage and how many bedrooms are all questions that require a construction drawing. And a contractor can get started with that construction drawing.
Details, such as the color of the curtains or the garden furniture, will be discussed much later. You first make a sketch, a blueprint of your plans. Only after that you start building. You always start with the basics. It is the same with exporting. Start by thinking about export opportunities for your business. Then create your export plan.
Export Canvas as a base
Just like the architect in the example above makes a blueprint for you, an experienced export coach will help you with the Export Canvas. It is the first step to a successful international business.
Selling your products and services in other countries is convenient. But where do you start?
What is the best transportation method?
How and where do you get the permits needed?
What documents and licenses do you need?
Who are the best partners?
“An experienced consultant will help you with your Export Business Model.”
Start with export
Exporting offers new opportunities for your company.
It can also lead to more sales. However, it is not that easy.
Good preparation and an export plan will help you to successfully expand your business.
Components of an Export Plan
What are the strong and weak points of your story? Do you want more revenue, or just better margins through a higher volume? Do you want to replace clients that you have lost during the crisis? Or do you want to grow in a specific market? Through the right questions and answers the Export Business Model Canvas will contribute to your goals.
- Step 1: Market Definition
The market definition determines the direction of your export. The market definition usually contains several dimensions: products, customer groups, and needs. In this step you look into the question of what the company considers as their market.
- Step 2: Internal analysis
Is the company financially capable to broaden their market or develop their market? A financial ratio analysis is indispensable. Beside the financial approach you have to analyze both the organization as well as the product of the client.
- Step 3: Export Country Selection
Which country would be the best to start selling your products? Focus on a few potential interesting export markets first, and then determine which ones you are going to tackle (first).
- Step 4: Industry Analysis
The most important question for the exporter is how the developments in the industry of the chosen country will form. Then you will look at the opportunities and threats from the industry and how the export companies can position themselves within the markets.
- Step 5: Competitive Analysis
In what way can the product differentiate itself from competitive products? Important is to determine who are the current or potential competitors and how they differentiate themselves. You design a competitive analysis based on how a competitive analysis can be defined.
- Step 6: Customer Analysis
After, with the help of your filter model, you have chosen a few countries, you will determine which countries contain attractive segments that react homogeneous on the marketing policy.
- Step 7: Distribution Analysis
An answer to the question on how the foreign market should be approached, an analysis of how the enter and their possibilities is necessary. You will put the pros and cons of the possible different channels opposite of each other.
- Step 8: Confrontation Matrix
After the internal and external analysis you will put together a confrontation matrix. You will formulate a few options on how the country/market can be successfully realized. Also, you will set your growth strategy and determine your market choice and market entry strategy.
- Step 9: Export Marketing Policy
Why should a foreign client buy this product or service and why should it be with you? In this part you will refine the P’s of the marketing mix.
- Step 10: Financial feasibility of your Plan
In the last step you will ask yourself what is the extent of financial risks and what are the steps that need to be taken and what the feasibility of your plan.
The Export Canvas forms the basis for your Export Plan and further development of it.
How to get a clear oversight
Export Canvas provides practical advice and business tools to help create new business opportunities in another country. It can lead to more demand for your product and eventually more revenue for your company.
Export Canvas Coaches with local knowledge will help you make that first step and protect you from making crucial mistakes. Before you start exporting you have to determine if you are ready. That’s why a coach assesses your exporting needs and capabilities by asking the right questions.
- Looking for opportunities
First we determine if you have a product or service potential consumers outside your country need. Is it worth all the effort?
- Market Information
Which markets have the best potential for your product or service. There are regulatory, logistical and cultural factors that play an important role in entering a new market.
- Internal Research
Each target market is different and requires local knowledge. Does your product meet foreign import regulations, cultural preferences and will it survive the competition.