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so let me just start off by saying um how excited we are to have so many businesses interested in exporting opportunities um i'm sara mata i'm with the idaho state department of agriculture on the international team as a trade specialist and i am sharon adams i'm with idaho department of commerce on the international team our main focus is to work with small to medium-sized companies that are new to export or trying to expand their export markets i also want to induce introduce andrea who's part of our team she's going to be handling the technical issues in the background she let everybody into the meeting um so if there's a lot of background noise she might mute you she's also going to monitor the questions so feel free to ask them even if sarah and i are in the middle of something andrea is going to take care of those while we're doing the presentation so our goal in this session is to help you discover if exporting is right for you and if so are you ready to export we'll also help you create an export plan to give you the greater odds of success take your elevator speech to the next level and give you some tools to help determine if direct or indirect sales are the best fit for the market exporting is not just for large firms large firms do account for the greatest dollar volume but small to medium companies account for the largest number of exporters developing an export market does require time effort and dedication of personnel and financial resources the process of breaking into a new domestic market and new global market are very similar however greater patience commitment will be required as you will be dealing with markets halfway half a world away with different languages cultures and guidelines so here we're going to go into the readiness assessment that hopefully everybody got in their email and if not the rest of you can just follow along um like i said these will all be in slides later so the first question we had was do you have a product that is already being successfully sold domestically sales and domestic markets are good indicators of potential success abroad if you don't have a product or service that is proven locally you might benefit more from concentrating on domestic sales before pursuing international ones question two is your company's management committed to developing export markets management commitment is the most important factor for success it really takes having everyone on board to develop an export market number three do you have an international marketing plan marketing plan with defined goals and strategies a defined marketing plan will allow you to find and focus on the best opportunities without an export plan better opportunities are often overlooked or missed question four does your you know do you have sufficient protection capacity to meet the market demands you may need more space and resources such as equipment and personnel for manufacturing it may also require specific product adjustments to meet those market regulations number five does your company have adequate resources to support an increase in sales finances can be an obstacle for many companies you want to make sure you can afford new activities like international travel trade missions trade shows market research there's programs that can help provide financial assistance to exporters one of these programs is the step program or the state trade expansion program i've included the link in this presentation we'll also be covering that and other resources later in trainings this first training is really a basic overview trying to help you decide if you are ready to export if it's right for you and give you some overviews of things so there will be lots of links to go back and that you can look at after we send this out so question six do you have both u.s and foreign intellectual property protection for your product you should know that protecting your intellectual property here domestically does not extend your protection internationally companies should conduct due diligence first before exporting into certain more restrictive markets will your company be able to modify your products packaging and content if needed for foreign import regulations you may need to modify your product or service not only for regulatory requirements but for buyer preference in foreign markets you want to know who you're selling to what they like what they don't like certain countries have colors that are good and bad have different meanings so do your research question eight do you have knowledge about shipping your product overseas you need to be aware of packing labeling documentation insurance requirements also familiarize yourself with the different methods of shipping import rules and regulations do you have experience or knowledge of export payment methods or letters of credit you'll want to evaluate new customers and extend credit cautiously checking a buyer's credit or their international company profile is a great place to start our partners at the u.s commercial service are a great resource to evaluate a potential buyer question 10 do you have knowledge and an understanding of us export controls and compliance requirements so things such as does your product need a license usually the answer is no 95 exports do not and the few that do can be found on this link so overall this assessment should help you identify some of the things that you need to consider to decide if you want to proceed down the road to exporting we'll go into more detail on most of these topics in later sessions out of curiosity we'll go ahead and ask did anybody who did this worksheet have the answer yes to all of these or did he answer no to all of them yeah okay nope nobody's sharing okay keep going then and you can also put your answers to their questions in the chat too if you need or if it's easier to monitor that way for those attending thanks so we'll start with creating an export plan small businesses need an export plan with clear goals strategies and target markets an export plan will help you assemble facts goals and create an action statement a solid plan should include objectives time schedules and mark milestones so that your success can be measured and it can help motivate personnel the export plan questionnaire was also in your materials that we had mailed out i just want to briefly go through these questions what products are you selecting to export are there any modifications needed what country or countries are you targeting is an export license needed what are the customer profiles how will you reach those customers are there challenges in that market cultural differences or import controls how will you address those how will you determine your product sales price what operational steps must be taken and when what time frame for each element of the plan what personnel and resources will be dedicated to exporting what will be the cost and time needed for each element and how will results be evaluated and used to modify the plan [Music] this slide has a few additional questions to consider as you begin to build your export plan start by using your worksheet and ask yourself questions such as are my products ready for export do they meet the labeling requirements for the country or the countries that you're interested in do you need a license for them what challenges will you face in each market such as competition cultural differences and how will you address those having a good plan in place is the first step to success evaluate what resources that you have now and what resources you will need to obtain to begin exporting it's also a good idea to look into export resources that are available to help you succeed through state and local agencies here is a sample of an export plan outline that you can use as you work through developing your export strategy and again all these will be included in the powerpoint that we follow up so because export plans are so unique to every company we don't have a sample of this certain company ag commerce are completely different so the templates that we're giving you are basically trying to help you figure out what you need to be researching what you need to find out what are the things that you need to think about before you just dive into exporting so now that you have even more to think about with creating your export plan let's get to the fun part the elevator pitch the purpose of an elevator pitch is to get your message across clearly you want to try not to use buzzwords um that don't really add any value to your message your elevator pitch should show customers how your products and services are unique and superior to the competitors makes a good value proposition clarity it's easy to understand and it does say what the customer will be getting by purchasing your products it should be clear how different or better your product or service is it should be engaging and short you don't want your elevator pitch to bore someone avoid hype like never seen before or amazing miracle product and the last key to a great elevator pitch is structure who are you what do you do who do you do it for and what is your value proposition so have an example here of a not so great pitch but before i do that did anybody complete their elevator pitch and want to share or i scare you by pointing out some things you shouldn't do all right no takers yet so we'll just read this one here for the brilliant minds that never rest who need a way to record their thoughts at all times we provide a pen and tablet that writes in water for the use in a shower or bath that allows the users to record their amazing thoughts at all times no matter where they are even in the rain or underwater compared to a normal pen and pencil and paper they can't do either one of those things well or at all our product not only writes but will not smudge or smear unlike those other guys so to quickly highlight a few of the areas that you would not want to use the green highlights have the buzzwords brilliant amazing normal you want to avoid those if possible repeating the same element too many times water shower bath underwater rain combine those all into one thought those are highlighted in yellow and then the description of the um other guys not a good description you want to know who your competition is that's going to be one of the things that you actually do in your export plan is to know who your competition is so after we work in the elevator pitch it looks like this my name is bob smith the inventor of aquadoc we've developed a pen and tablet that works when wet ideal for a person whose mind is never at rest or an enthusiastic sports fan the aquadoc allows you to record your thoughts in the shower pool or during a sudden rainstorm at a baseball game we've been endorsed by the little league for the last five years and unlike the champ pro baseball scorebook or just a five star spiral notebook the stats and scores of our favorite team will not smudge or smear so here you're actually calling out the name of your product aquadoc you're describing all of the wet options combined together you're naming the competition champro baseball scorebook five star spiral notebook and you're stating why it is better and having data to back it up referring to the endorsement of um the little league so that's a much better example of what kind of elevator pitch you should you should put out there and i did have another template that we have that i really like this one too um it includes an action to wrap things up so sometimes when you're giving your elevator pitch you can kind of feel like you're talking at somebody instead of to them or with them you're just spilling this out but by ending it with giving them a business card asking them to connect on linkedin asking if there's anything else you can do for them it kind of brings it all back around makes it to a finish play around with your words say it to yourself practice your speech with your dog however you want to do it but you just want to keep practicing it and practicing oh sarah you're muted just saw that last stop we'll talk about direct or indirect sales and which one is right for you the main difference between direct and indirect exporting is that in direct exporting the manufacturer performs the export tasks rather than telling it to others the tasks of market contacts market research physical distribution export documentation pricing etc all fall on the manufacturer indirect exporting uses a third party to handle the heavy lifting and is more of a hands-off approach looking at indirect exporting some of the pros can be that it requires the least amount of resources in research it can be less risky because a lot of the risk falls on the middle man it can be useful for companies who are not ready to fully commit to international marketing some of the cons are that it can increase the total cost of the sale due to the cost of adding a middleman in there you'll have less control over the export process and in the end the company learns very little about exporting or about foreign markets indirect exporting is typically best suited for smaller companies with limited resources companies who want to sell informed markets but don't want to do the heavy lifting or deal with the hassle of exporting and with direct exporting some of the pros are that it has reduced expenses and you have the ability to maximize your profit margin you have the ability to learn more about market feedback from your customers in those markets you'll also have more control over the export process and the ability to establish those relationships in those markets overseas some of the cons are that it requires more upfront research and the commitment of resources to build the relationships in foreign markets there are also difficulties of breaking into new markets more complexities and risks direct exporting is best suited for companies that have the time and the resources to commit to learning foreign markets and entry strategies companies who want to have a hands-on experience with exporting and more control over the process who are really ready to commit to international marketing so this time we'll pause and ask if there's any questions we're good as far as in the chat at this moment so this is debbie winkler i have a question and you you guys may address this later even in another session but um i'm i'm wondering if you can comment at this point on how you guys assist with the research end of this let's say that i'm working with a business that decides they want to go at this for more of a direct perspective they want to begin researching and do things across these various areas that you guys talk about in the export plan do you support um and assist with research sharon do you want to feel better um sure we have several different ways that we do help the us commercial services can help vet companies um they have market research available we also have trade managers in mexico china and taiwan the u.s commercial service has their agents in multiple parts of the world some programs you have to pay for some things um some really overviews of different products or companies um sometimes are free services but we will go into those more as far as what resources we have what the costs are um links to all of the different areas that you can look at to do this do the research for it okay that's good that's a good start thanks yeah and like sharon with the for the for us at the department of ag we do very similar we can do market research for you we share those trade office managers with commerce the ones in um taiwan and mexico i'm in china so we have access to you know kind of on the ground information there as far as the market and we also have access to a lot of databases that um the public doesn't so we can really help you um discover which markets are best for you and what you need to do so we're there to help you know along the way as you go okay thank you anything else anyone else all right you guys are making this too easy but we really will include um a lot of information over the four presentations and links to everything so in our next session we're going to cover the identifying target markets in more detail explaining how to find the buyers and distributors deermine what licensing is required access multiple sources of export assistance um so there's going to be a lot of information going forward in session three we're going to help determine your product classification or at least know where to go to find all that information know what export documentation you might need for what country or product you're exporting what are your logistics options there are companies that will you can hand them your product and they will handle it from packaging to getting there to customs clearance or you can handle all of that yourself so they're you you have one extreme to the other and they're all available for people we'll also go over inco terms tariffs and free trade agreements and then in session 4 we're going to learn benefits of export compliance export financing and banking navigating international laws and regulations so that is that's all we have today everyone i want to thank you again for joining us and sarah for taking these queens with me as well as those who help people background so this is hey sharon before you hang up this is laura if you went back to that previous slide we just want everybody to know that session four that's a new date it's been postponed a week so um just take note that that's it's now on january 27th perfect thanks laura i think we only had four people at the time before we got it changed that had signed up for the fourth session already so um yeah we'll make sure everybody knows it original was for the 20th but now it's the 27th in case you kind of had that penciled in on your calendar change it to the 27th you won't want to miss that session either and sharon we did have uh some questions come in is there anybody or can um one of you guys share some success some company success stories i know put everybody on the spot but if we have a wide variety of export experience companies and we'd love to hear feedback from you as well on maybe what has worked with what sharon and and finra discussed and maybe what hasn't worked so this is gary what's up oh sorry i was gonna call on carla so she can maybe be thinking while you speak so carla you guys at high desert milk have exported for quite some time so um i think it's fantastic here on these webinars to learn additional things to continue to improve your export performance but if there's anything you can share from the private sector with this group that'd be super helpful so back to you gary we've been exporting for 25 years of night vision goggles all over the world we've had pretty good experience in regards to our itar licensing and our bis licensing for the ear we have had instances where we've had some issues one was sending a night vision goggle for training purposes down to costa rica where we've had an issue with a freight forwarder actually trying to clear it incorrectly as an educational tool and had to contact the us embassy down there and their department of commerce uh in the u.s embassy who was able to help us direct us with uh a freight forwarder that was more familiar with what we were trying to do and then we were able to clear it but the whole process ended up taking about four months but uh we were actually able to get everything corrected and get it cleared in there so we can do the training the company we were dealing with was a search and rescue company that was actually a trail blazer down in costa rica for using of night vision goggles for hems services so it was a definitely an experience that we had to go through i wish back then i would have been more aware of how idaho commerce could have helped us with those uh problems but we were able to exploit ourselves but afterwards um i know that idaho commerce they're a great resource if you guys need that assistance uh reach out to them they're always there to help they do have connections in these countries that can assist and make things easier for you perfect thanks for that go to confidence gary um and if everyone is wondering uh what all the acronyms are that gary just mentioned you'll need to stick around for the next sessions because school over those believe me there's a lot of them out there it's hard to keep track thank you gary carla did you want to go so if you want to know the truth i haven't been here for the last 15 minutes because i got i've got equipment coming in and my plant manager was gone so i got pulled out of the office i don't even know what you're talking about so there you go well this is laura and i would what we were uh one of the questions uh had come in about success stories and so we were calling on companies that were on this uh webinar that have had some experience if you had anything you wanted to share and i had kind of pointed out that you guys have exported for a number of years now we certainly uh i think it's fantastic you're on these programs to learn more to continue to enhance that so we were kind of putting you on the spot if you wanted to share any um successes or what has worked for you guys at high desert so i could um so we've had successes but you have to be really i mean we've we've learned lessons too and we do have an office in mexico because we do export there so much and we've you we've learned that one way or the other and it's probably been said you have to have boots on the ground somehow especially when prices are going up and um they find a lot more things wrong with non-fat dry milk you know and you have to have somebody that can get there right then and to check out the claims and most of them for us have turned out to be invalid and but you just have to work through those those issues um but we find that a lot more when prices are high than when they're low that's one comment i would make with our market thank you and trish yes please go next okay thanks hi i'm trish mccarthy i was just going to share some observations on on the discussion this morning but since tina challenged us to do an elevator pitcher i'll do that since it was assigned not to come off as a salesperson i'm with a company called impello global so my name is trish mccarthy i'm an insurance agent with impello global and we work with exporters to help them learn how to mitigate risk by picking the right payment terms and using credit insurance to help them mitigate their sales while they're expanding into new markets we work with exam bank and private sector carriers like kofos and euler so that's my pitch evaluate it and give me feedback please but i also wanted to say i'm new to idaho in the last seven or eight months and i've just been getting plugged into the programs that idaho commerce provides and i come from ohio so i'm used to having all these kinds of conversations with ohio exporters and i just want to commend you for a very relaxed format it's nice that you've put our audio and our videos on because we're all trying to get back to that feeling of meeting people around a conference room and actually networking and talking and learning so maybe the neat thing about this being a four-part series is we'll all get a little bit more comfortable each time but i i've always known from my original days as an international banker for many many years and then in export credit insurance that people under utilize the services right down the street from their department of commerce so hats off to you i've seen it work for a lot of exporters in different states and this is a good program so it's nice to meet each of you great thanks trish yeah it has been great to meet you too um i am going to circle back to your elevator pitch though you just need to add why are you better i know i know why you're better because we work with you and love to work with you but what sets you apart from the other from your competition so you said who you worked with um what you did how it's great but how does it how are you set apart from somebody else why would we just use the other guy down the street so that's the cool suggestion okay thank you i appreciate that shall i answer now or work on that you can just work on it it's good all right anyone else want to throw their elevator pitch out there no well i guess we're gonna wrap things up then everyone like i said thanks again for coming i'm uh glad we had participation and like true said hopefully everyone will get more comfortable with every session and we'll just continue to have more and more participation as we go yeah thanks so much everybody
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