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Success Stories
Entering an international market
requires the use of appropriate strategies that
will yield strong and consistent results, so that
longevity in the market is assured.
One of the questions that foreign companies are
confronted with is finding the best way to highlight
the attributes of the product in the target market.
Another is how to develop an effective supply chain
that will sustain the product in the target market?
And yet, how to accomplish the company's set of
established objectives?
The entrance barriers for international companies
to break into a market can be high. They include
overcoming challenges such as positioning the product
correctly, setting the appropriate price, establishing
the best distribution channels and developing a
reliable chain of supply to guarantee the continued
presence of the product in the market.
was present to offer its expertise and array of
strategies when our clients decided to expand their
activities and enter new markets in South America.
CONTACTS INTERNATINAL conducts market research,
opinion and focus groups, identification of commercial
contacts to assure the implementation of the best
possible business model and partners in the market.
Below are some of the situations
faced by foreign companies and the outcome that
made them successful in foreign markets.
Situation
- to develop strategies to suit the
needs of each market based on different parameters
- to enhance the product attributes
that will trigger the customer's desires
Requirements
- to establish appropriate distribution
channels
- to develop a communication strategy
suitable to the market
Solution
developed a model to introduce products in countries
in South America specified by clients. Entrance
criteria included potential growth, profit margins
and return on investment. The introduction model
was developed to adapt each product to the needs
of the consumers in target markets. The introduction
model is sufficiently flexible to allow changes
based on time for implementation and funds available
to implement market penetration strategies. Time
and efforts were devoted to identify contacts with
whom to develop strategic alliances and opinion
experts that might have some influence on the consumers'
purchasing habits. An effective communication plan
for projecting the wanted image of the product and
promotional actions driven to the market niche make
possible the public's contact with the product.
The success of the product introduction model is
confirmed by the outcome of the process: repeated
purchases, and the progressive revenue growth for
the company. introduction
model makes it possible to assess the results of
activities implemented at the different stages of
the plan.
trademark is the usage of efficient and transparent
channels of communication with real time information
available through the Internet.
introduction model was successfull with the commodities
and food products listed below:
- U.S. High premium beef cuts
made inroads at churrascarias in Brazil
- U.S. Fruit available at supermarkets
chain in Brazil, Caribbean and Venezuela
- U.S. Cheeses available at
the best retail stores in supermarkets in South
America
Situation
- to assess the company's core competency
in the target market
- to test product acceptance and
the proposed innovation at the set price proposed
- to perform a feasibility assessment
for local production of the product in the target
market
Requirements
- to identify the main users of the
product
- to schedule interviews with product
users for evaluation proposed innovation
- to obtain start up costs for putting
a production plant in the target country
Solution
One of the largest packaging products group wanted
to test the market for a product innovation that
would ensure child safety and avoid product tampering.
In this case, the product acceptance was confirmed
to the group wishing to invest in a production plant
in an emerging market in South America. There were
several fundamental questions to be answered including
measuring demand for the product and establish start
up costs to set up the production facility. The
packaging company also needed to ascertain that
the project would bring intended results in terms
of return on investment. The key objective was to
identify the critical factors of success, measure
demand, and introduce a product innovation into
the market.
implemented the project successfully and the product
innovation was welcomed by the pharmaceutical industry.
The product was introduced to the market through
a major event that was of considerable exposure
with an outstanding level of attendance. The described
path set the foundation to the start up of the production
facility in Brazil. provided additional support
by designing and implementing a comprehensive communication
plan comprised of several media related activities
and tools focused on the different segments of the
pharmaceutical industry, and participation at key
trade shows.
Situation
- to identify segments of the
food industry with higher occurrence of food contamination
- to disseminate information on equipment
and technology to prevent food contamination
- to provide exposure to IAFIS members,
suppliers of equipment and technology to guarantee
food safety in the food processing industry
Requirements
- to organize a technical seminar
to provide exposure to manufacturers of equipment
and products to ensure food safety, and present
the state-of-art of the technology to prevent
food contamination
- to design a communication
channel with the industry to inform patterns and
guidelines on food safety
Solution
IAFIS, the International Association
of Food Industry Suppliers, a non-profit trade association
of equipment manufacturers to the food industry,
located in Virgina in the U.S. was interested in
providing its members exposure in the international
market. IAFIS hired to design a program to enhance
the image of the industry in Latin America. Key
messages to be conveyed were reliability and leadership
of the U.S. food equipment industry in providing
effective solutions in food safety. utilized modern research tools
to identify the segments with the highest occurrence
of food contamination, and the topics of main interest
to the audience. A technical seminar to highlight
food contamination risks and preventive measures
was organized for the identified audience.
Topics covered were related to "Identification
of the Critical Points of Control in the food industry,
and "Analysis of the Potential Risks".
Selected topics dealt with main concerns in the
food industry, and ensured the success of the event.
This successful program was implemented in Mexico,
Brazil, Argentina and Venezuela.
An exhibition programmed in conjunction with the
conference provided IAFIS associated companies an
opportunity to display products attributes, and
for IAFIS a chance to establish credibility in the
market among food processors in Latin America. The
strategy of using events with technical profile
proved to be an efficient tool in portraying a technology
leader image for IAFIS.
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