Elaine Curran, Director of Trade and Investment
Is your business ready to export outside of Northern Ireland?
Exporting can elevate your business by boosting revenue, encouraging innovation, and improving your productivity. In fact, a study conducted by the Chartered Institute of Export and International Trade found that 80% of companies surveyed said exporting was critical to their business’s future.
Exporting also helps to promote regionally diverse products, services and solutions to an overseas market. This encourages a regionally balanced Northern Ireland, which benefits both the consumer and the exporter.
Success in international markets can be game-changing for businesses. Whether your business is getting ready to sell outside of Northern Ireland for the first time, or you are looking to expand your external sales to new markets, Elaine Curran, Director for Trade and Investment, has outlined key points to consider at the start of your journey.
Can your product or service be sold to customers outside Northern Ireland?
It is critical to understand any regulatory, compliance, and procedural issues that might affect your product or service in your target market.
A rule or regulation could stop you from exporting, and therefore, you need to research duties, rules and restrictions on your product or service before you spend any time or money exploring your export options.
Have you prepared a structured plan to grow your sales outside Northern Ireland?
An export plan is a business strategy which outlines how your business will sell outside of Northern Ireland. It should consider your objectives, market research, associated risks, pricing, and distribution channels. You need to know what it takes to succeed in markets outside of NI.
Curating an export plan is also beneficial for your partners, suppliers, investors and banks and shows you have conducted the necessary research to start your exporting journey.
Have you conducted thorough market research?
Before exporting, you need to understand your target market – in other words, the specific group of consumers who will be your main audience. These are the customers who are most likely to buy from you, and who will make your business successful.
Your market research should consider the following:
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Identify potential customers
You need to confirm there are enough customers for your product and/or service to make exporting profitable.
It is essential to establish through research and hard evidence that there is enough demand to justify your investment in additional resources, your time, and extra expenses.
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Identify your competitors
Try to find out as much as you can about your competitors – identify who they are, their strengths, and their weaknesses in relation to yours.
Competitor research helps you understand choice and how your competition is marketing their products. Over time, this can help you improve your own marketing programme.
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Pricing for your chosen market
To export profitably, you need to balance charging a price that potential customers are willing to pay while covering your costs, remaining competitive, and making a profit.
You need to make sure you can make enough profit to justify the costs associated with exporting.
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Identify appropriate sales channels
You should identify potential sales channels, which is how you go to market with your product or service. You might be interested in appointing an agent or distributor, setting up an office, or selling online.
Whether you sell online, through a retailer, distributor, or directly to your customers, your chosen sales channels will affect how you market to your audience.
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Shipping, logistics and related costs
An essential part of your market research will be how you get your products to your customers. Could you use a distributor, post your products, or use a freight forwarder?
Once you have decided on shipping and logistics, it is important to establish the cost of moving your products and delivery times for your customers. Your product or service needs to be profitable and competitive.
Do you have the skills in your business to target new sales outside Northern Ireland?
Exporting can be complex and having the necessary skills in your team will help you succeed in your exporting journey.
Consider the following:
- Do you or your team understand transport logistics and the legal issues involved?
- Can you or your team do business in another language?
- Do you or your team understand how to do business in another currency?
- Do you have the resources to commit to growing sales and the additional demand for your product or service?
Proficiency in issues surrounding exporting, such as risk mitigation, supply chain resilience, language barriers and global currency will boost your exporting capability.
Do you have the necessary funds to undertake export activity?
Exporting can be costly. Increased demand means your production or services will increase, as will your transport costs and payment times.
You should calculate the full cost of exporting as part of your export plan.
Invest NI can help
Invest NI is committed to driving global ambition in Northern Ireland.
We offer a range of support for businesses interested in selling outside of Northern Ireland. Our Export Health Check assesses your business’s readiness for exporting and only takes five minutes to complete. Alternatively, if you are interested in getting export and capability development advice, contact our Business Support Team on 0800 181 4422 or complete the enquiry form here.
You can also access guidance and resources on exporting by visiting nibusinessinfo.com.
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