Wednesday, November 6, 2013

Start Up Trading As An Export Agent

There is a legitimate business acting as an export agent for small and medium sized businesses, businesses in which the owners, having apprised themselves of the export opportunity, still for whatever reason, decline.  The export agent in this case acts as "just another domestic sale."  The export agent buys the goods (against overseas orders in hand) and then marks them up and resells them overseas.

The key here is to work without any contracts, exclusives or other complications.  Any of that complicates the process exponentially and defeats the effort before it can quicken.  Find customers then worry, based on reality, what the contours of the relationships might be.

In the sales process, the first step is approach.  In your approach letter (yes, a piece of paper in the USMails) to the company you'd like to represent, your opening paragraph should use the word "you" within the first three words.

Say you have identified decision maker Jim Schmidt at a given company. Here is a draft letter:

***

Dear Mr. Scmidt,

"Would you like export sales as profitable and easy as a domestic sale?  There is a proven process for that, and I'd like to show you.  And what if export sales would grow your business faster than domestic expansion?  You can see for yourself, and compare.

I found your name while searching (name source) for a company whose (name items) are established enough to sell overseas.

As to your next market in usa, you may anonymously find out what McDonald's finds out after millions in research.  "What is the next best corner upon which to build a restaurant?"  There is a website being built which is fully functional if not pretty yet.  yournextmarket.com.  It will give you instantly what McDonald's once paid millions.  Simply put in the zip code of your best customer, and it will tell you the five zips in USA with those demographics. Market to those potential USA customers and see what you get.  At the same time, let me discover what markets there may be for your products overseas.  Let me be an independent export development department for you, with no exclusives, contracts or obligations.

For my part, I will search and learn, and can promise only world trade feedback.  For example, USA exports 1/2 of our hazelnut crop to China, and 1/2 the hazelnuts USA consumes comes from Turkey.  Curious, and useful for selling hazelnuts.  Let me do some testing of your product, and see what I find.

You name the support level and price.  You tell me you'll allow me 1,000 cases a month at whatever price, and that is what I will test. I only earn markup if I sell.  There is no risk for you.

If we find market overseas, then we can discuss, as we proceed, what the relationship might be.

Why will I work without a safety net?  For the same reason you did when you started: it is performance, not contract, that counts.   I'll get paid for the value I provide, not the contract I an lock down.

You may have some questions.  Feel free to contact me by email or phone.  I'd like to see people overseas benefiting from the use of your product.

Sincerely,

Your name

***

If no response, follow up with the trade data analysis on the product in 2 weeks...

and more as you go...

Your website and blogging should generate enough interesting things to keep bugging your target.  In time you may even find a better target.

All of this costs you nothing to get going.

Get going.

Feel free to forward this by email to three of your friends.


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