Considering exporting? Eight top tips

If your business is considering exporting seafood products, there are eight key steps you should take, says our Head of Economics, Insight and Advice.

There are eight key steps to ensuring a successful venture into international markets:

1. Analyse your domestic business

Export is essentially a method to expand your business. So, before embarking, business owners should consider whether or not their business is ready to scale-up. It is sensible to look at all aspects of your existing. This should include finances, personnel, skills, production, and logistics. If any of these areas would struggle to meet an increased demand in sales, it is advisable to invest in their scale-up

For example, would you be able to double production if your orders doubled? Would your finance team be capable of processing double the number of invoices? Would your marketing team be equipped to manage marketing in multiple markets? Are your existing suppliers able to scale with you if you were suddenly to place an order for double the volume of packaging etc? Do you have sufficient cash flow to carry you through longer periods of time between delivery and payment? 90 days + is not uncommon.

These considerations should also be applied to your business's major suppliers, who may or may not be able to scale-up alongside you.

2. Seek help

There are a number of sources of help for UK businesses looking to expand into international markets. The Department for International Trade provides a service called Overseas Market Introduction Service (OMIS), where your business is matched with a trade advisor in the UK and a trade advisor or attaché overseas. These advisors will work with you to help you identify and respond to specific market opportunities. The British Chamber of Commerce and its overseas network, which work closely with the UK Governments Trade Team, can also provide support and market entry services, as well as a range of other Chamber of Commerce benefits and events. This can help you to quickly build your business network overseas.

3. Do your market research

Understanding the market and the market opportunity for your business is key to your success. In larger markets such as the USA it’s advisable to conduct state-=level market research. Success in Texas may not necessarily equate to success in California. It’s important to take your time, do your research and establish local partnerships and networks.

Things to consider:

Will you take a whole country or a state-by-state approach?
Have you analysed your competitors?
What are the local consumer preferences?
Does this market have an opportunity for a product that is coming to the end of its lifecycle in the UK?
What are the local regulations?
Are the local logistics suitable?
Who might you partner with locally?
Will you need to make adaptations to your product or its packaging?
What is the jurisdiction for any legal arrangements or disputes?
Are the currency/ exchange rates and financing arrangements favourable?

4. Consider compliance and regulations

Familiarise yourself with the export regulations and compliance requirements of both your home country and the target market. This includes understanding tariffs, customs duties and necessary certifications. You should also think about export documentation and customs certificates. The OMIS service and British Chamber of Commerce Network can be good sources of support in-market and the Seafish Trade and Regulation team offers a range of guidance and support.

5. Assess the financial implications

Assess the financial aspects of exporting, including costs related to shipping, insurance, currency exchange rates and tariffs. Ensure that your pricing strategy covers these expenses while remaining competitive. You may wish to speak to UK Export Finance which offers a range of services to UK exporters to help de-risk exports. They can help you to win export contracts, fulfil orders and get paid.

6. Plan the logistics

Efficient logistics are critical to maintaining customer satisfaction. Plan the logistics of exporting, including selecting reliable shipping partners, managing warehousing and ensuring timely delivery.

Don’t make assumptions about logistics - some markets are significantly more sophisticated than others. If you need a refrigerated container ensure that this is specified and powered throughout the journey. Consider each step of the journey and check the systems used. I stepped in to help a UK sausage producer whose product was being transferred from a refrigerated sea container to an open sided truck for the final leg of its journey. Unless you clearly specify your expectations with each partner, mistakes can be made which can damage the quality of your product, your reputation and,, in some cases pose a health risk.

7. Understand the legalities

Understand the legal implications of exporting, including contracts, intellectual property rights and dispute resolution mechanisms. If you can specify the jurisdiction for disputes, do it - it can save you thousands of pounds and travel hours. Protect your business interests through well-drafted agreements. Having a legal partner with a presence in both markets can be a huge advantage.

8. Know your marketing strategy

Develop a marketing strategy tailored to the target market. This may involve localising your advertising efforts, participating in trade shows or collaborating with local influencers. Observe the marketing techniques used in-market - it could differ substantially from the UK. It’s also important to check any regulations linked to marketing. For example, some markets prevent the advertisement of high sugar foods to children.

Get set for success

Successful exporting requires a comprehensive approach that includes careful financial planning, efficient logistics management, a thorough understanding of legal aspects and a tailored marketing strategy. By considering each of these elements, you can navigate the complexities of international trade, safeguard your interests and ensure that your products reach foreign markets in optimal condition.

Taking advantage of resources, such as UK Export Finance, and collaborating with reliable partners can significantly enhance the chances of thriving in the global marketplace.

About the author

Jennifer has a background in International Trade and Investment and spent 10 years overseas in the Netherlands, Singapore, India and Liberia. In 2015, She founded her export consultancy and published her first book, Export Thrive Change the World.

Jennifer returned to the UK in the Covid 19 Pandemic and returned to Government working as an Investment Manager for the West Yorkshire Combined Authority before later joining Seafish, where she now heads the Economics Insight and Advice Team.

Share: