Part 1
Product strategy for export
The export company may find a foreign market for its existing product without the need of any kind of redesign. Very often, some minor modifications may be necessary to capture a share of the new market.
Modifications may be done due to legal requirements, for example: product labeling regulations, weight and measure, language or it may be dictated by the local cultural peculiarities or even climate.
Sometimes a simple change of the product name may be required to convey a correct perception due to language differences. Just keep in mind the story of Jeep when they were entering one of Latino markets and their Jeep Pajero wasn’t checked linguistically.
From the export point of view, a company’s product can be divided into three aspects that should be taken care of while getting ready for export:
- The physical product itself;
- The package in which the product is sold and the name;
- The service that is provided together with the product.
The physical product
As the existing product will be exposed to potential partners abroad, such as export agents, merchants, import agents and distributors, the company should be careful about:
- The size of the product: for instance, people in Asia are generally smaller, so the exporter should consider adjusting the size chart for clothes and shoes;
- Units of measurement may also vary from culture to culture, for example the US has its very own measurement “reality”;
- Climate affects the product design as well – it should be able to withstand the heat, cold, dryness and humidity;
- Religion and cultural differences may also determine whether the product is good to sell in its present form or not.
Product packaging and name checklist
Remember that the existing packaging of your product may be not suitable for export. Answer the questions below before starting to sell abroad without making any adjustments:
- Does the product need any extra protection from tough climatic or handling conditions?
- Is the product easily recognizable and appealing to the customer in this new market?
- Does the label conform to the local regulations?
- Is the information on the label comprehensive?
- Does the label need a translation?
- Does the brand name, the product name or logo have a strange or even offensive meaning in the local language or slang?
- Does the package need to be larger or smaller than the existing one? Probably this market is not used to family-size packages/can only afford small quantities?
- Is the trademark/brand registered in the new market?

After-sales service
Plenty of products such as foods require little or even no after-sales service. Still machinery, equipment, parts and electronics require a certain level of service and it is super important for companies that want to build their export strategy for long-term.
As a rule, companies handle the after-sales service through partners and distributors. It saves time, money and effort for exporters as well as it helps build stronger bonds with the customers.
Pricing strategy for export
The price charged for exported product should include all the various costs involved in producing and marketing. But sometimes exporters are happy to break even or incur losses just to establish abroad.
The exporter should remember about all the costs involved in selling and promoting the product abroad and include the following points into the price calculation:
- Foreign agents’ commission;
- Certification/licensing costs (if applicable for the product type);
- Trade fairs (participation, business trips, dinners with partners, etc.).
Still exporters might not forget that the best strategy is a flexible strategy – it is always great to have a special introductory price or a special discount for your new customer overseas.