However much we try to plan our
business, there are inevitably times when events take us in an unexpected
direction. This is especially true of international trade, and particularly
in an age of widely accessible digital communication.
Even the most modest business tends
to have a global shop window these days. It’s called a website, and it makes
the message that the company chooses to share accessible almost anywhere in
the world, presenting us with opportunities as well as potentially dangerous
diversions.
Naturally, we all get hit by what
has become known as ‘spam’, consisting of a mixture of disguised advertising,
confidence tricksters and dangerous, malicious messages that either seek to
capture people’s personal details or plant a virus on the recipient’s
computer. We also need to avoid the ‘get rich quick’ messages about sharing
bank overpayments and similar tall stories. It’s quite frightening to read
about how many apparently intelligent business leaders are taken in each year
by such scams, with predictably unfortunate consequences.
But it would be a mistake to dismiss
all unsolicited enquiries. Any business with aspirations to build
international trade needs to develop in a planned and controlled way, but
every plan needs to have sufficient flexibility to allow for surprises. In many cases, a business can be taken by
surprise by a genuine business opportunity in a market they were not
targeting, and it would be a mistake to dismiss such chances out of hand.
It shouldn’t take too long to
evaluate most of these enquiries. The poet and writer Rudyard Kipling had a
simple rule that can be our watchword:
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Wednesday 11 February 2015
The Enquiry – Evaluating the Opportunity the Kipling Way
Friday 7 February 2014
TALES FROM THE ROAD 51 – GUT FEELING IS NOT A MYTH
Few of us in our working lives will not have listened to sales
people banging on about their ‘gut feeling’, that feeling of certainty from
within, and we have all seen the results of the ‘gut feel ‘ both gone good and
gone bad. However, it isn’t a matter of luck, but an instinct can be very
strong and remarkably accurate, stronger and more reliable with years of
experience.
This account of the recent appointment of a Canadian
distributor for one of our clients is based on a very strong gut feeling I had,
and four months on I think that feeling is being borne out. My first contact
with the company followed an OMIS (Overseas Market Introduction Service) report
commissioned by my client with UK Trade & Investment, Toronto, during the
summer. The report provided a list of
about 20 potential contacts, with about half having expressed immediate
interest. Having seen large numbers of such reports over the years, and
commissioned several in my own working life from the days when they were called
Tailored Market Information Reports (remember the TMIR?), I generally work on
the rule of thumb that it is often the companies who are too busy to show
interest who are actually the ones you need to speak to.
My client’s new distributor was on the ‘Awaiting Response’ list,
and after several unsuccessful attempts by the Commercial Officer to engage
with them, I decided it was time for a direct approach and after a brief email
exchange arranged to speak with them by telephone. It’s often the best way, and
there were a couple of other pointers that led me to that decision: first they
already successfully represented another UK company who is known to me; second
they operated in a business area that was specific to my client’s requirement.
There is also the simple point that for a company who has never heard of you to
consider representing your products, they will want to know more about what the
product can do than can properly be explained by an intermediary. They are
likely to want to talk with someone with direct technical knowledge, experience
of selling to certain customer profiles, to learn about new opportunities
outside their normal business reach, and to have some knowledge of their
customers’ businesses. Talking the same language, if you like.
It is also very easy in this age of the Internet and Social
Media to communicate without actually talking, when a telephone conversation is
both the best, and often the preferred way, through which our customers like to
be approached. The warmth of a human voice, and the knowledge and experience
that can support its words, has far more powerful an impact than a series of
emails, chat messages, or social media postings. The OMIS did its job. It was
for me and my client to make the next moves, and we contacted each of the
companies on the list, speaking directly to a number of them via phone or video
link, before shortlisting those we needed to know more about.
But really, in my own mind the decision was almost made
after my first conversation with the distributor. Considering that they had
been playing ‘hard to get’, it would normally have seemed strange for them then
to ask for an exclusive deal for the whole of Canada. This sent the signal that
they were not only interested, but that they recognised the potential for the
new products in their market sector. After
I explained that exclusivity had to be earned through performance their
interest remained, and we eventually agreed a way forward. My client had no
representation at all in Canada up to that point, and after a positive
conversation it was agreed that we would ring fence the Province of Ontario for
the new distributor to show what they could achieve over the following 12
months. At no point during our discussions did I doubt my initial gut feeling,
and I was pleased that we had achieved an initial good result.
TORONTO AT DAWN APPROACHING CHRISTMAS - 2ND
DECEMBER 2013
Note the word ‘initial’! I had facilitated the appointment
of a distributor in an overseas country without actually having met them,
without having seen their offices, without having met their customers, and
without them having any kind of online presence other than email. Had my client
taken that route I would probably have told them off for being rash! However,
before I recommended the appointment I had spoken to their other UK principal
and that gave me the confidence to move forward. I had done something similar
with a company in Hong Kong for the same client some 18 months previously, and
that has proven to be a good decision.
The importance of all selling is in the follow-up, and it
was agreed that I should combine a visit to a major industry exhibition in
Toronto in December with a few days out and about with the new distributor.
They did not disappoint. In fact they car exceeded even the expectations that I
had, introducing me at a high level to some of the best architectural and
design practises in and around Toronto, with several agreeing to specify my
client’s products before I returned to the UK.
The distributor has since placed a stock order with my
client which was put on a ship during the Christmas holidays. The interest that
both their direct efforts in the market, and my support for them in meeting
their customers to talk about their needs, has generated a momentum on which we
now need to build. It is always pleasing when you get it right, and when a gut
feeling can turn out so well!
Friday 17 January 2014
TALES FROM THE ROAD 50 – IT’S THE WAY I KLM!
Every business has its bad days, so it’s only fair to start
by saying that Friday’s experience with KLM is my first bad experience of
flying with them. My flight from Manchester to Toronto took me via Amsterdam’s
Schiphol Airport, with the first leg of the journey having a flight time of
about an hour, much of which was spent talking to a couple whose interesting
lives took them into Iraq and Afghanistan, although on this occasion to the
comparative safety of the Rugby Sevens in Dubai. After a quick and pleasant
flight, I walked out into the main concourse of the airport to check my onward
flight, and saw that it was to leave from Gate F6 at 13:25. I looked away
momentarily for the usual paranoid double-check of my passport, driving
license, wallet and other important documents, and when I looked back at the
screen my flight to Toronto had been delayed until 16:00. As a seasoned
traveller I am always suspicious of round numbers. For example, 16:12 would have
made me feel that KLM/Delta was providing their passengers with up to date and
accurate information. It’s a funny thing the human mind!
Then ‘voucher available’ appeared against the revised flight
time and passengers were invited to go to the KLM desk to collect a €5.00
voucher to spend on food and drink. In the three minutes it took me to walk to
the KLM desk, the flight time had changed again. Another round number, but this
time two hours later than the first round number, with the flight now scheduled
to leave at 18:00. By then, it was obvious that the company probably had no
control over when the flight would finally leave, citing ‘technical reasons’ on
which their ground staff were unable to elaborate. And all this probably meant
that the ‘technical reasons’ were probably evident long before my first flight
took off from Manchester, so I started to feel a bit sore and made my way to a
food concession to spend my voucher, then to sit tweeting miserably about it
for Schipohl’s 30 minutes of free wireless access time. I watched as two
flights for Shanghai and Beijing respectively were boarded quickly and
efficiently and without fuss or misinformation. And I sat and drew a picture of
the scene before me, which included possibly the hairiest man I have ever seen
in my life!
With the likely boarding time now being just after 17:00 I
ambled down towards the gate for a change of scene at about 16:00, only to find
that…you guessed it…the flight had been delayed by a further two hours to
another rounded number, 20:00. Now eight hours stuck in an airport is nobody’s
idea of fun, but when it is followed by a flight of eight hours or more, every
ounce of humour leaves you. A firm but polite complaint achieved a further
€10.00 food voucher, and a €50.00 discount from my next KLM flight, but I
wanted to know what was the reason for the continuing delay, so made my way
back to the desk where nobody was able to elaborate why the aircraft that had
been umbilically connected to the air bridge at Gate F6 had by then been removed.
‘Technical reasons’ was all they could, or would, say.
Flight security and safety have to remain the paramount
responsibilities for all airlines, so none of the passengers would have
objected to a slice of honesty, such as ‘We are very sorry ladies &
gentleman but the original aircraft that was going to take you to Toronto is
experiencing serious technical problems therefore we are having to fly in a
replacement’. That is clearly what was happening, so why not say so? Instead,
we had the ‘technical reasons’ mantra, and progressively declining trust in
KLM’s ground staff, and a loss of faith that our flight would eventually be
allowed to leave that day. There were families with children, elderly people,
and disabled people, whose pleas for an explanation and accurate time of
departure were increasingly met with an eyes-down approach by weary KLM staff.
For my part the delay would cause me to arrive at my hotel near Toronto Airport
at around 23:00 instead of 16:00. I had a long drive to Owen Sound planned for early
the next morning. Others had onward connections to flights to more distant
parts of Canada.
So imagine a different scenario. An airline that on
recognising they were going to have to fly in a different craft to fulfil a
scheduled flight, provided an honest departure time and brief explanation of
why, with maybe the option of a shuttle bus to more comfortable hotel
surroundings, or maybe into the city for a few hours with rapid checking out
and back in again. Far better than a few euros to spend on average, not very
nutritious, and largely lukewarm airport concession food don’t you think?
Hopefully by the time enough passengers put in claims for the ‘up to €600.00’
compensation that can be offered for such a day of disruption, airlines will
begin to take a more pastoral and honest approach to the demands of their
increasingly knowledgeable, well-travelled, and sophisticated customers. Then
again, pigs might fly!
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