Companies often appoint a distributor in a country and set it on autopilot with inadequate engagement and on-the-ground support. This rarely results in a healthy market-share growth. This model of opportunistic exports may meet short-term revenue needs but does not provide a solid foundation for sustainable international revenues. Brand-building exports, however, offer companies interested in international expansion a model for sustainable revenue growth over the short, medium, and long term.
Learn more about opportunistic and brand-building exports below:
Opportunistic Exports
- No brand-building investment by brand owner.
- Brand owner’s limited involvement with consumer communication/sales planning/retailer engagement.
- Infrequent visits by brand-owner to the country.
- Appointed distributor is primarily an importer who does not have the capability to execute for brand-building.
- Low levels of distribution and share of market.
- Usually, stagnant or declining sales. In some cases, a relatively low rate of sales growth compared to category in the country
Brand-Building Exports
- Brand building investment managed by brand owner’s team (own or outsourced).
- Brand owner’s team involved in consumer communication/sales planning and retailer engagement.
- Frequent visits to country by brand owner’s team (either own or outsourced). In most cases, presence in the country either through own small team or through a contracted team like Omicus.
- Distributor focused on driving distribution and in-store execution.
- Steadily rising distribution, share of market and sales.
- Look and feel in the market is similar to markets in which other brand-owners have their own team on the ground.
