SmallBusiness.wa.gov.au
The Small Business Specialists
Phone: 131 BIZ
Website: www.smallbusiness.wa.gov.au
Exporting is a great way to expand your business and if done properly, can significantly increase your profitability.
Getting the right balance between international and domestic trade can protect your business if there is a downturn in one of your markets. Exporting will also expose you to new ideas, marketing techniques and ways of competing that you wouldn't generally experience at a local or national level. The challenges and victories you experience through exporting to overseas markets will also help develop your skills and ability to compete more robustly in your domestic market.
Success in exporting doesn't happen over night or by accident – it needs careful preparation, planning and commitment.
The following section provides the top 11 tips for exporting success. Getting your export business off the ground can be challenging and tricky so don't hesitate to ask for help.
Below are our 11 tips for exporting success:
Before you think about exporting it's wise to conquer your domestic market. The most successful exporters are well established and have a strong customer base at home.
Once you've established a strong domestic presence it's time to learn the basics of exporting. There are many new terms and concepts you'll need to understand, but there are plenty of people who can help you on the way. Check out the Austrade website to get started.
It is essential to develop an export strategy before launching into an overseas market. Your strategy should identify your export aims and the resources you need to achieve them. You'll need to analyse your business, the export environment, your product and service offerings and potential markets. You should also develop plans to implement your strategies and ways to evaluate their success.
Austrade has some excellent resources and case studies to help you develop your export plan.
Your business contacts can make or break your exporting endeavours. By making the right contacts you can learn more about your industry and meet potential customers.
A good way to build your networks is by attending functions designed for new exporters run by Austrade, the Small Business Development Corporation and the WA Chamber of Commerce
Market research is about finding out what drives a market and how to access it. In researching your export markets you'll need to find out about import duties, distribution channels, regulations, market size and growth. You also need to develop a “feel” for the market which includes knowledge of how buyers operate, potential barriers to market entry, what your competitors are doing and the dynamics of business meetings.
Go to Market Research for more information about conducting market research and visit the Austrade website
Export marketing is about building relationships and making a good impression. Use your networks to make contact with buyers in your export market and ensure your support material provides relevant, accurate and substantial information. This could include letters, brochures, emails, faxes and websites. It's also important to take the time to learn the business etiquette of the culture you are dealing with.
Go to Marketing for more information and visit the Austrade website
Once you've identified your new markets it's time to visit them and start building networks on the ground. Visit your markets before committing to major agreements with prospective agents, distributors, or other business partners. You might also want to consider visiting major trade fairs in the target country.
For more information about trade fairs and visiting new markets go to the Austrade website
Venturing into international markets will expose your business to a new range of risks so it's a good idea to review your risk management strategy. New risks could include foreign exchange exposure, legal issues, political stability, shipping, customs clearance days, quarantine and standards regulations.
Go to Risk Management for more information and visit the Austrade website
Market development and getting ready to export can take a lot of time and money so you'll need to manage your cash flow carefully. Financial assistance and advice is available from the Small Business Development Corporation and Austrade. Go to the Austrade website for more information.
Establishing an efficient and effective freight process is crucial to good exporting. Most exporters use a freight forwarder but you will still need to learn the basics of shipping terms, pricing and documentation.
Visit the Austrade website for more information about transporting your product overseas.
Receiving your first genuine enquiry is an exciting moment. Make sure you've developed procedures to handle leads professionally. This could include a commitment to respond within 48 hours and developing an email format to promote your business. You will also need to check their bona fides to ensure they are a genuine client and that the transaction is secure.
Visit the Austrade website for more information about qualifying and securing export sales.
There are plenty of legal issues to consider once you start exploring overseas markets including import and export regulations, patent and other intellectual property registrations, product liability, bilateral sanctions and the differences between legal systems.
Visit the Austrade website for more information about legal issues and current scams.