2011 GROTTO Market Expansion Exchange

U.S. Commercial Servicewww.export.gov

Miguel OlivaresSenior International Trade SpecialistU.S. Dept. of CommerceMiguel.Olivares@trade.gov

OverviewWhere to Start?

Identifying Opportunities and Markets.

Leveraging the Web.

Working with the U.S. Commercial Service.

Where to start? Are you export ready?1. Does your company have a product which has been successfully

sold in the domestic market? (if it does not sell here, it may not sell there)

2. Does your company have, or is preparing, an international marketing plan with defined goals and strategies?

3. Can your company commit sufficient production capacity to the export market?

4. Does your company have the financial resources to actively support the marketing of your products in the targeted markets?

5. Is your company willing and able to dedicate staff, time, and resources to the process of developing export markets? (can you send folks traveling?)

Identifying MarketsNot extensive but you may wish to keep these

in mind: Market Size: Colombia is larger than Guatemala etc. Income Distribution: what % of the population has ability to

purchase your product? Market Growth: Is the target country growing economically? Market Accessibility: Will the product be allowed into the

country and/or what would the cost be? Economic Stability/Political climate. Do you want to put your

resources into a country that’s at risk of instability? Cultural Climate. Will your product work in a given country?

Will it have to “culturally modified”? Language. Portuguese is NOT Spanish. Canada is a bilingual

country.

OK, How do I find these out?There are a number of sources available for

you to identify potential markets. Export.gov: Access to Country Commercial Guides, real-

time market research reports, U.S. Commercial Service websites overseas.

Assessing inquiries from overseas. Have you received statements of interest in the past from more than one country?

Attending industry trade shows. Strategis.ic.gc.ca- Excellent website for U.S. and

Canadian statistical trade. Cia.gov: World Fact Book.

More Market Research SourcesThe following are fee-based services and should

be used only to gain additional information not generally available:

Harris On-line Database http://www.selectory.com/Selectory/Login.aspx

Piers Data http://www.piers.com/

Kompass.com http://us.kompass.com/

Distributor Match http://www.distributormatch.com/

U.S. Commercial Service Customized Market Research http://export.gov/mrktresearch/eg_main_018208.asp

 

Promoting your Product(s)Key Terms-the following are terms you will

hear often as you engage your export strategy:

“Agent”- an entity that works to sell your products in a foreign country. Akin to a “manufactures representative”.

“Distributor”- a foreign merchant who purchases goods from a U.S. exporter (at discount) and resells them for profit. Distributors often provide support and service for the product .

“End User”- the customer, the final purchaser of your product.

Promoting your ProductsContinued…

Soliciting foreign visitors at domestic trade shows you are exhibiting at.

Exhibiting at select foreign trade shows.

Overseas industry publications.

Networking thru key international industry associations.

Promotional Assistance thru U.S. Commercial Service.

Leveraging the WebOnce you have a website you are already “out

there”. You have global exposure whether you want it or not. Asia and Europe have more web users than North

America and the number in Africa, Middle East, and Latin America is doubling.

Try a “phased” approachSimple enhancements to your site InternationalizationLocalizationTranslating your websiteProactive Promotion

Simple Enhancements

“Contact Us”

• Don’t use info@company.com• International Sales –

Tony@company.com

• Better yet…create a separate page for International Sales

• Show your address as you would on envelope except…

• No abbreviations - spell out your state

• Include USA in your address

Contact Us Example of online form

International Formats and StandardsAddress formats differ per country:

Free text for postal codes-at least 12 digits Some countries don’t use, many combine letters and

numbers (Canada). Allow for longer lines, multiple names & titles Always include country and city fields and allow for

any number of digits in phone numbers.

Hiro Watanabe Trudi HechtC-207 1-19-25 Oude Gracht 621Ikki-Machi 1381 X2 WeespAizu-Wakatsu City The NetherlandsFukushima 765Japan

International Formats and Standardscontinued

DatesSpell out dates to avoid confusionU.S. convention is different than most countries8/3/11- Is this March or August?

Time Specify your time zone and use both 12 and 24 hour formats.

“Office Hours 9:00am-7:00 PST”

(9H00-19H00 GMT-8)

Measurements If your company makes products that include weights and measures

and you want to include that on your website…make sure you include metric weights and measures as well as the US conventions.

Is English enough?(2008)

Is English enough?(2011)

Website TranslationAlways use a professional. Better not to

translate than translate poorly.

Can Impact website design – Text expansion/shrinkage

Translated English is 30-40% larger in some European languages and 30-50% smaller in Asian languages.

The word “speed” in German = Geschwindigkeit The word “speed”in Chinese = 馳

Website Translation ContinuedAvoid machine translators (although they are

getting better-always best to have someone check it for inaccuracies).

In Spanish, “Como” means “How.”In Spanish, “Mucho” means “Much.”

However…

“¿Como mucho?” does not mean “How much?” --- It means “eat alot?”“¿Cuánto?” means “How much?”

Translation pointsYou don’t need to translate your entire site-a

splash page or translated introduction page will do.

Make it easy for the international visitor to see your site. Right example better than left.

Internationalized Site- Cisco. Notice how all relevant information is on one page without scrolling, and pages are designed according to language.

Working with the U.S. Commercial Service

The U.S. Commercial Service is part of the U.S. Dept. of Commerce.

We are the export-promotion branch of the U.S. Government.

Our mission: To promote the export of goods & services from the

United States, particularly of small- and medium-sized businesses

To represent U.S. business interests internationally

To help U.S. businesses find qualified international partners

Where we are and what we can do

We are in 80 + countries and in every U.S. State.

We locate international buyers, distributors & agents.

We provide help and guidance at every stage of the export process.

We help you to enter new markets faster and more profitably.

Each one of us is measured individually and as a team for creating exports. It is our interest to help you succeed.

Our ServicesWe will work with you and our team of experts

overseas in getting you all the information and advice that you need to successfully enter identified markets.Help you evaluate international competitors Identify and comply with legal and regulatory

issuesLocate & screen foreign

reps/distributors/agentsExplain cultural issues and business protocolWe can provide you with market research

reports to help you identify top potential markets.

Our Services ContinuedBusiness Matchmaking

Gold Key Matchmaking International Partner

Search International Company

Profile

Market ResearchMarket Research LibraryCustomized Market

ResearchChina Commercial Brief

Tailor Made ProgramsAdvocacySingle Company

Promotions (FUSE) Web promotions

Trade Promotion EventsTrade Missions / US

Pavilions International Buyer

Program

Final ThoughtsBe realistic and prepare to have some of your

preconceptions challenged. Accept things for what they are more than what they should be.

Take the time to learn something of the culture you are selling to. Knowing something about a country outside of business/politics (sports, language) goes a long way. It gives you a connecting point with people.

Have fun and don’t be afraid to step outside your comfort zone. Try new things when you are “out there”.

How to Contact UsU.S. Dept of Commerce1850 Eller DriveSuite 401Fort Lauderdale, FL 33316954-356-6640

5835 Blue Lagoon Dr., Suite 203Miami, FL 33126305-526-7425