Success Factors for

iNoema Business Development

selling in Germany

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Typical German!

Prezel, Beer, Oktoberfestbut also

Attractive markets

Automotive SuppliersMaschine Building Chemical IndustryMedical Technology

Drivers: Innovation Increasing competition – also from abroad

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Was wir noch für Sie tun können

Which ways lead to Germany?

a) Market entry by chance

b) Inconsistent market tapping

c) Systematic market development

All 3 ways can be successful.

The problem is not the market entry but establishment on the market.

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Was wir noch für Sie tun können

5 misjudgements about the German market

My product is good, the price is attactive, I‘m going for the German market.

An address list of potential German customers guarantees market entry.

The more products I offer in Germany, the higher the chance, that one of them will be successful.

My company is too small, I‘ve got no chance on the German market.

Big German companies are the best.

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Was wir noch für Sie tun können

Misjudgement 1: My product is good, the price is attractive,

I‘m going for the German market.

The challenge: High competition pressure on the German market Many similar products on the market Potential customers cannot be reached Customers can be reached, but they cannot recognize any product

advantage

The approach:

Careful research of the German marketUnderstand the market and the customer needsMake different scenarios how you can reach customersFormulate a solid sales argumentation

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Was wir noch für Sie tun können

Misjudgement 2 : An address list of potential German customers guarantees market entry

The approach: Qualify the customer list:

- reduce complexity by making clusters - set priorities

- inform yourself on the webpage of the potential customer

Evaluate different ways of using the potential customers list

The customer list is a component, not a solution: integrate it into a plan!

The challenge:There are many companies in Germany, but not everyone is a potential customer

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Was wir noch für Sie tun können

Misjudgement 3: The more products I offer in Germany, the higher the chance, that one of them will be

successful

The challenge:Balance between broad positioning and focussing.

The approach: Don‘t try to be in too many markets at the same time with a

small team – you risk to be nowhere. Research market and competition and set a good focus. With a clear product and market mix you can save time and money.

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Was wir noch für Sie tun können

Misjudgement 4: My company is too small, I‘ve got no chance on the German market

The challenge:Find your desired customers on the German market who want to work with a small-size Slovenian company.

Fight the battles which you can win: some (big) German companies work with big companies only - don‘t waste time and money trying to get in there

There are enough German companies which do not have regulations concerning the size of their suppliers: show them the benefits of your small company

There are enough German companies who prefer smaller companies: play your trump cards

The approach:

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Was wir noch für Sie tun können

Misjudgement 5: Big customers in Germany are the best

If you have a realistic chance to win big customers, address them.

Big customers are not always profitable - check costs and benefits.

Search for ways to generate new orders at existing customers (innovations, improvements, etc.)

The challenge:Getting large scale orders which repeat themselves.

The approach:

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Was wir noch für Sie tun können

How do Slovenien companies address the German market?

Sales representatives

Direct sales from Slovenia

[Subsidiary in Germany]

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Was wir noch für Sie tun können

Adressing the German market with a sales representative

Sales Representatives

Some advantages:

Good start at low risk Existing contacts of the

sales representative can be used

Manageable investment of time and money

Operating costs are low Ideally quick results

Some disadvantages:

You don‘t really get to know the German market

High dependence on the motivation of the representative to sell your products

Often restricted market exploitation

With a sales representative you enter the market but you don‘t establish yourself

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Was wir noch für Sie tun können

Practical tips for the work with representatives

Check the readiness of the representative to win new customers previously.

Provide the representative with excellent material about your company and your products.

Keep in touch with your representative.

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Was wir noch für Sie tun können

Addressing the German market directly from Slovenia

Direct Sales

Some advantages:

You don‘t diminish your margins by paying provision

You have freedom to make own decisions

Ideally you gather experience on the German market

You can selectively make use of support in Germany – according to your special needs

Some disadvantages:

Market entry / market establishment can take a long time

You need financial ressources You need to remain consistent in

order to be successful

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Was wir noch für Sie tun können

Practical tips for direct selling from Slovenia

Analyse every sales phase individually and define suitable measures.

Analyse what was successful and what not. Reflect why.

If needed, make use of local support. (external sales, „door openers“, market experts, etc.)

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Was wir noch für Sie tun können

Summary

Analysis of the German market

Research of specific demands of key customer groups

Development of a suitable sales concept

Use of a well-investigated argumentation

Perseverence

The following success factors for the German market become apparent

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Thank you for your attention!