The heart of a company is the ability to increase cash flow and new business opportunities on a yearly basis. One method to do this is to introduce the company to new zones/regions. These zones can provide new business opportunities but also come with a certain amount of risk. Thus, it is important to control and manage the introduction adequately or the direct result is that the company could face difficulties.
Introducing your company to new zones is a key strategy for growing your business. If you offer a service or product that sells successfully in your current market, you may be able to reproduce that success in export markets or other regions. Even though the Internet has made it possible for small businesses to sell products anywhere in the world, market success necessitates much more than a website in several languages. To enhance acceptance and recognition in new regions, you have to introduce your company as well as your products to your people.
Designate expansion responsibilities
Make decisions on how you will market your products or services in the new regions and who will be in charge for introducing the company. If you intend to set up a branch in a new zone staffed by your own individuals, chose an employee to take responsibility for managing the introduction of your business. If you chose a representative to sell directly to clients in the new region without establishing a local branch, the local representative is going to be responsible for the introduction. If you plan to market your products/services through a distributor, then you will need to brief the distributor on your company and provide communication materials to enable him/her introduce your company.
Locate the regions that constitute the strongest market opportunities
Identify the region that possess similar market characteristics but with no strong competition. Carry out research on potential export markets where your products or services meet local demand. Make inquiries from organizations or other institutions such as the Department of Commerce for information and counsel on opportunities in various countries. When you have chosen the regions with the greatest prospects, you can decide on the best way to introduce your company.
Enhance your knowledge of the important paths and channels to market in the new region. Make research on the dates of trade exhibitions that are related to your business. Watch out for the reader data of local business magazines and newspapers to see which publications are adequate for introducing the company through press releases or advertising. Identify business groups or local trade associations that you can utilize for networking.
Ask the Commercial Service for counsel on the most appropriate marketing strategy to your chosen export regions. Local officers can be able to assist with introductions to government agencies or influential local buyers or may offer market research. Take part in trade exhibitions or delegations in export markets that provide major opportunities. In addition to introducing your company to the region, you gain a greater insight into local market situations.
Organize a launch event to introduce your company with a long-lasting impact. Invite local prospective clients to the launching of your new premises or branch of the local distributor you have designated. Take part in an important trade event or local exhibition that targets prospects in your market. Propose to speak on business issues at meetings of business groups or local trade associations and seize the opportunity to introduce your company.
Notify local prospective clients that your company is now open for business in their zone. Send a press release or place an advertisement to local magazines or newspapers announcing that your services or products are available locally. Invite local journalists to your launch event for better media coverage. Create website page that provides details of your new local activities. Contact key prospects by direct mail, email or telephone to announce your regional existence.
Summarily, a lot of factors need to be taken onto consideration if a company is to start operating in a new region. I have listed a couple factors to consider when starting a company in a new region below;
- Analyze the various new regions in which there exist opportunities to make profits. Most often, there exist more than one new prospective region. Thus, you need to analyze the reward opportunities and risk for each of these regions for likelihood of success.
- Decide on the new region into which you will like to introduce you company. Each region will have its weaknesses and strengths but after you assess all of the prospects, choose the region that best fits the goals of your company.
- Purchase or develop a list of potential sales leads in each zone to ascertain which region may possess the highest profit potential.
- Send out company marketing material describing the products and services your company offers along with contact details. Marketing materials should be professionally produced and attract the customer to make a deal.
- Call prospective clients as follow-up to mailers. You can use in-house staff to make the calls or hire a professional telemarketing company carry out this task. The in-house staff may be more conversant with your service or product, but they also may be deficient of the necessary skills to communicate on telephone.
- Pay a visit to trade shows in the region and distribute marketing information to prospective clients. These trade shows can also provide excellent opportunities to meet with other companies in the area that are not necessarily prospective clients.
- Consult your attorney to ensure you are not initiating any additional legal requirements. For instance, many states and cities require a company to register if they are doing business within their jurisdiction. You will need to notify your legal counsel so you will know if your new business activities trigger any extra legal requirements.