Export market research
Do you want to export your handmade bags? Is there a demand for them, and is your export plan feasible? You can find the answers to these questions by doing market research.
Market research as the basis
Marketing research helps you identify your potential customers, where they are located, and your competitors. Get started with our information on market research.
Why do you want to export?
First, list your reasons for exporting. For example: you want to expand your customer base. Or: there are too many competitors on the Dutch market. Also think about your unique selling points: if you want to export bags to Spain, they must be cheaper and/or of better quality than the ones already available there.
How do opportunities arise?
There are several ways in which opportunities abroad present themselves. Trade agreements, the lifting of trade barriers, and lowering of import duties can create trade opportunities abroad. Changes in product legislation can also simplify doing business. The changing climate also creates new business opportunities: think of floods, causing a need for dykes, or extreme drought causing a need for irrigation systems. In short, be ready to respond to developments and changes abroad.
Select favourable markets for your product
No doubt you have certain ideas about the countries you want to trade with: should they be near the Netherlands, or does it not it matter? What about transport costs? Longer distances mean higher costs.
To stay on top of things, list criteria of things to consider, such as:
- Is there a market for your product?
- Product price
- Competition
- Language and business culture
- Costs, such as transport costs and import duties. Your costs will differ per country, and per product.
- Procedures, such as customs. Is there a trade agreement?
- Rules for products, such as packaging and labelling.
With this information you can select the most favourable foreign markets.
Where to find information
There are several websites where you can find information:
- You can compare the macro-economic situation in several countries by checking the Netherlands Enterprise Agency Landeninformatie (in Dutch only). Check out the current situation as well as expected developments.
- RVO also has the Exportwijzer (in Dutch). With this tool, you can find out more about:
- laws and regulations concerning international business;
- subsidies and financing for your export plans;
- coaching and support for your export plans;
- finding foreign business partners.
- Try to find branch and sector information from local branch organisations; they often publish market and branch reports or trade magazines.
- If your focus is on the European market, read the market reports published by the CBI (Center for the Promotion of Import from developing countries). The CBI informs businesses in developing countries about opportunities for products on the European market, but the reports also offer relevant information for companies in the Netherlands that want to export to other European countries.
- Be aware of cultural differences in trading and product experience. The EU Access2Markets database provides information on local customs and traditions.
If you need an expert opinion, the Netherlands Enterprise Agency (RVO) can provide you with personalised advice. Get in touch with their International enterprise team.
Research your chosen country
Once you have chosen a country, get to know who your competitors are, and how they market their product. Who will be your clients? Where are they located? Find out if it is possible to sell your product for a reasonable price.
Visit the country and get in touch with local buyers. At local trade shows you can meet useful business contacts. A sales agent, for example, who can sell the product for you, for a commission. They will know the language and business culture and have a wide network.
Responsible business conduct (RBC) and export
Responsible business conduct, RBC (maatschappelijk verantwoord ondernemen in Dutch, or MVO) means that companies take responsibility for the impact they have on societal issues like air pollution, climate change, terms of employment, and an ageing population. When you do business with a foreign country, you may run a risk of getting involved with irresponsible practices such as child labour or corruption. The CSR (Corporate social responsibility) Risk Check helps you to identify the risks you incur in the country of your choice, and what you can do to limit these risks. The Netherlands Enterprise Agency offers more information on RBC and international trade.
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External links
Questions relating to this article?
Please contact the Netherlands Chamber of Commerce, KVK