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Exporting: Five strategies to grow an international business

With the right strategies in place, you could catapult your export business to a whole new level.

5 minute read

Exporting Five strategies to grow an international business

International expansion can bring significant business benefits, but it comes with its own challenges. Exporting is more complicated than simply selling to domestic customers. It requires intricate logistics, entirely new skill-sets, and long-term commitment. We’ve compiled some of our top strategies for overseas expansion.

Do your research

Understand your market

Like all businesses looking to expand, you need to make sure your market has potential. See if you can find an overseas governing body that provides trade figures. A smart market expansion strategy is to begin by trialling one area at a time. So to start with, narrow down your possibilities to just one territory.

Get to know the competition

Dig into the industry and its structure so you can paint a clear picture of your competitors. Come up with a plan to manage the competition and make sure your brand, logo, and IP are all well-protected.

Interrogate your product

Make sure you thoroughly research things that might apply to your export goods and ultimately affect your pricing, such as packaging, labelling, quality taxes, quotas, or tariffs.

Get clear on your costs

Uncover potential hidden costs

It’s important to budget for things like:

  • any travel you may have to do
  • modifications to your export goods
  • multilingual advertising
  • export marketing strategies spanning multiple nations
  • training staff in foreign regulations, cultural differences, and new legal obligations.
Double check your product pricing

Explore whether you can introduce your export goods at a competitive price-point. If your prices are likely to be higher, consider whether your offer is compelling enough to justify paying a premium. If there are likely to be commissions for sales agents involved, make sure you price with those in mind.

Break down the logistics

Research the best way to sell your product
  • Sales agents seeking out buyers in return for commission.
  • Distributors buying your export goods and selling them with a mark-up.
  • Joining forces with a local business, giving you access to their existing customers and target markets.
  • Opening your own overseas office branch.
  • Selling online.
Determine your capacity

Failing to meet an export deadline can do serious damage to your reputation, both overseas and closer to home. Check that your key suppliers are also able to keep up with demand so you can make the most of your export opportunities.

Put strong services in place

Will you need product or service warranties, post-sale services, or an online help-desk? Will your export business need additional insurance cover? Do your research and make sure you get expert advice on any potential liabilities.

Consider your transport options

Things like the climate or terrain of your target country could affect the delivery of perishable or fragile products. Freight forwarders can help you save by delivering your part-container shipments with other consignments. They also take responsibility for documentation and air, rail, shipping, and road bookings – so they may be a good option.

Always remember these key points

International business expansion can be a lengthy and complex process. But keep these things in mind, and your export business will stand a good chance of success.

  • Exporting isn’t a fast game - it’s a long-term commitment.
  • Don’t underestimate how long it might take to crack a new market.
  • Nothing beats face-to-face communication.
  • Know your market and truly understand its pain-points and needs.
  • Exporting calls for frequent travel and months of negotiating, so be prepared to invest a fair amount of time and money into your new venture.
  • Don’t neglect your Kiwi customers – expanding overseas can be a thrill, but always make sure things are ticking over smoothly back at home.
  • Keep an eye on your finances with accurate forecasting and firm budgeting. Talk to the BNZ team about how we can help.

Global expansion isn’t without its roadblocks but, done right, it can catapult your export business to a whole new level. So do your research, understand your target market, and keep close tabs on your finances. You might just hand your business a boarding pass to overseas success.

This material is for general information purposes only and does not constitute, and is not intended as, personalised financial advice or as a replacement for legal advice. BNZ strongly recommends you seek advice specific to your personal financial or legal situation from a qualified adviser. Neither BNZ nor any person involved in the material accepts any liability for any direct or indirect loss or damage arising out of the use of, or reliance on, all or any part of the content.