If you’re a small business owner, the world is your oyster. But if you want to make the most of the opportunities out there, the know-how of an expert on exporting can make all the difference.
International trade advisers (ITAs) partner with businesses to help them explore opportunities for selling goods and services internationally. There may be a wealth of information and support available for SMEs, but these dedicated advisers bring an extra level of knowledge, and have the expertise and experience to offer tailored support to individual companies.
Estelle Dingley has been an ITA for eight years and works in the Department for International Trade’s (DIT) consumer team, specialising in digital strategy and e-commerce. Based in Brighton, Dingley previously set up and grew an export department for an educational products manufacturer.
“Very often SMEs need an impartial person as a sounding board – because we’re not part of the business, we see it differently, and can bounce questions off each other,” says Dingley.
Stephen Noblett, another experienced ITA, was recruited by DIT from industry 10 years ago. A food and drink sector specialist based in Yorkshire and the Humber, he uses his knowledge of having run his own speciality meats business to help advise clients.
“A large percentage of advisers have worked for businesses on the export side, then become advisers because of our knowledge,” says Noblett. “Wherever you are in England, there’s an adviser to help you.”
We asked Noblett and Dingley to share some of the key questions they hear from businesses time and again – and how they respond:
Q: Is it worth looking into exporting?
Even if you’re comfortable with your business’s success in the UK, you could grow your business exponentially through exporting.
“Companies are selling to 68 million people in the UK – but there are billions more people worldwide,” says Noblett. “Small orders build up into repeat orders, then somebody else sees your product overseas, and before you know it, things have snowballed. I’ve seen SMEs gain £400,000 of extra sales through exports.”
Dingley adds: “It’s very common for service-based SMEs to think they need a physical product to export. I worked with a PR agency that thought they couldn’t export, so I brought in a market research consultant to work out exactly what they should be offering abroad, and we developed a clear path for them to follow. A year later, the US now makes up 25% of their revenue, which has doubled overall – so don’t ever assume you can’t export.”
Q: Is my product ready to export?
You might be expecting your bestselling product to fly off the shelves in foreign markets, but an ITA can help you navigate potential pitfalls before you take the plunge.
“You might have to change your product, or look at some new packaging, but these things aren’t insurmountable,” says Noblett. “For example, if you’re exporting sweets into the Middle East, is your product completely free of gelatine and alcohol? What labelling regulations do you need to know about? And what health certificates are needed? These are the things we educate people about, and by working closely with embassies around the world, we ensure businesses know exactly what they’ve got to do before they export.”
Q: How can I ensure my product sells?
Exporting isn’t as simple as taking your existing product and sending it out into the world: it has to fit the market you’re pursuing. Before proceeding, find out where your competitors are based, how they’re pricing themselves, and where you fit into the market.
“I once had a product that was a bestseller in the UK that simply wouldn’t sell in Denmark,” says Dingley. “When I spoke to the distributor, he told me it was too cheap – customers assumed it wasn’t a quality product. So we repriced it accordingly, and it became a bestseller there too.
“Also, make sure you’re not competing with yourself. You could be selling via a distributor or retailer, then pricing differently online, but if you end up undercutting your distributor, you’re indirectly competing with yourself.”
And remember to price your product after factoring in costs such as import duties, customs and shipping – not before.
Q: Do I need to protect my trademark?
“Companies don’t always realise the importance of protecting their trademark,” says Dingley. “One client found a distributor, and against my advice failed to register his trademark. Two weeks later he called in a panic, saying: ‘The distributor’s trying to register our trademark, how do we stop it?’ And that’s not very easy once the process has started.”
Noblett adds: “If someone else registers your product in another country, you’re facing years of getting your branding back. You might even end up with your product having its reputation destroyed.”
Q: What countries should I be targeting?
Wherever you feel your product fits, the key is to take things slowly – country by country or even region by region – rather than trying to export everywhere at once.
“You wouldn’t export to Europe, you’d export to France or Germany, and in the US you should be concentrating one state at a time,” says Dingley. “Find out where the demand is coming from, and do your market research.”
Attending trade shows can also help you identify the markets that are the best fit for your brand.
Noblett says: “We proactively put SMEs in front of people who want to look at the export market. One company came to us with the idea of exporting gluten-free flour, and we helped them to identify that there’s a huge market for their product in the Middle East and in Nordic countries. Six years on, they’ve built up a very healthy export business.”
Q: How do I work out what to do next?
A great place to start is the UK Export Academy, which offers sector-specific seminars, and teaches SMEs about the latest business opportunities. And, of course, find your local trade office, where you can find out if you can be put in touch with an ITA.
“Our job is to find out what’s out there for you and to avoid the pitfalls,” says Noblett. “So use our knowledge.”
For more information about how to start selling internationally or grow your company’s international markets, visit great.gov.uk
