Building an International Presence

World Trade Centre Belfast Export Excellence Series

Thursday 21st February NI Science Park, Belfast

World Trade Centre Officer

Belfast City Council

Valerie Brown

Director of Enterprise Development

Northern Ireland Science Park

Steve Orr

Who’s Who?

Participants introduction

Managing Director, Ripfactory

Patrick McGrath

RipfactoryPatrick McGrathPatrick McGrath

Managing DirectorManaging Director

Core Objective

making digital music simple by deploying knowledge, skill and

automation

Ripfactory Ltd

• Software development company – Digital Music

• Founded 2005• Privately held and funded• HQ Belfast, NI plus US office• Core staff of developers, project

management and support staff• 2007 Entrepreneur of the year• 32 worldwide markets

The Big Idea

Areas of Operation

• Turnkey robotics • Kiosk solutions• Bespoke solutions• Metadata• Device integration• Custom software

development

• Service providers• CI• Content

Aggregators• Labels• Manufacturers

Reference Customers

• Amazon• Apple• Itunes• HMV• Nokia• Sony• Ingram• Linn• Maclaren

• Rhapsody• ReadyToPlay• Rimage• Circuit City• TWE• Sanity• BMG• Universal• Imerge

Key Products

Growth

• 14 staff - Belfast• US Office• Linear 100% turnover growth• Profitable from year 1• Zero NI Business• 92% export focus• 32 countries

Export Markets• UK

• ROI

• USA

• Canada

• Mexico

• Brazil

• Panama

• Germany

• France

• Netherlands

• Switzerland

• Norway

• Sweden

• Denmark

• Italy

• Portugal

• Spain

• South Africa

• Saudi Arabia

• Oman

• Kuwait

• Australia

• New Zealand

• Thailand

• Singapore

• Hong Kong

• S Korea

• Latvia

• Russia

• Jordan

• Israel

• Japan

By Percentage

Ripfactory Export MarketsUK

ROI

USA

Canada

Mexico

Brazil

Panama

Germany

France

Netherlands

Sw itzerland

Norw ay

Sw eden

Denmark

Italy

Portugal

Spain

South Africa

Saudi Arabia

Oman

Kuw ait

Australia

New Zealand

Thailand

Singapore

Hong Kong

S korea

Latvia

Methods to Export success

• Market Research• Distributors• Travel• Localisation• Cultural

Differences• Staff Coverage• Support/Warranty• Product Outlook

• Replication• Partnerships• Invest NI• Internet• Press• Expos• The Phone• Ireland

Looking forward

• Replicate to another 30 countries• Galvanise and expand distribution

network• Increase manufacturer partners• Invest in local sales offices• Maintain Growth

Founder, Smyth & Gibson

Richard Gibson

Question & Answer

Break

Director, CJ Higgins

Dermot Cleere

Building on an International PresencePresented by Dermot Cleere,

Director

Gavin M Higgins, CEO

Today’s Agenda

Background to HII Services

How HII developed an international presence

Resource implications in establishing a JV

How the JV has benefited HII

Learning points

Background• HII in the UK & Irish market for 40 years; 50 employees;• Based in ‘Titanic Quarter’;• Commercial Insurance Brokers & Financial Advisors;• Authorised & regulated by the in the UK.

HII DevelopmentUK & Ireland• HII is established in the UK & Irish Market;• Has acquired rival;• Targeting potentials for acquisition in 08/09• Asia• Asian companies acquiring UK based companies• Gaining expertise/experience /credibility• HII opportunity!

HII Offices

International Aims

• HII objective to increase brand awareness;• Assist in securing additional businesses;• Increase growth of overall HII business;• Source entry into market;• Contacts in the far east indicated various emerging Asia

markets;• Conducted research in to insurance market in BKK / Thailand:

- draft business plan; - how to enter market place; - potential difficulties; - identified a partner as

best solution.

Establishing a joint venture partner

• Seek a partner aligned to HII business aims;• Establish ‘trust’ (demonstrate, commitment, long term);• Business plan 3, 5, 10 years;• Legal / foreign company investments rules;• Resource costs:- - set up / office / staff;

- HII relocation of key personnel (work permits etc) - Recruitment of qualified locals; - Capital requirements; - Licence by DOI under the ministry of Commerce

to act as a broker for general / life business in Thailand;

- 6 months minimum to set up.

LawtonAsia Office

HII• Entered JV in 2002• Provided capital:

- Set up costs; - Licensing; - Key personal / relocation.

• Experience/ expertise/credibility;• Existing relationships with Global Insurance Company;• Exclusive insurance market access;• Assistance with the establishment of licensed insurance;

product; (payable in local currency) only 2 available in market;

• Attract new clients / service major clients;• Provide expertise in risk management.

LawtonAsia

• Manage / direct all day to day business operations;• Design & run major development / marketing programs in Asia.

In 2002 - 3 staff; - premium income £100, 000

In 2008 – 30 staff - E.g.s of existing clients include Triumph Motorcycles; BPB Asia; Thai Gypsum, PWC, Grant Thornton; Thai Nox. - Premium income £4 million

                                                                                                  

Benefits to HII

• Growth / enhancement of brand in Asia;• Delivered return on investment (starting 2008);• Enhanced HII reputation with existing/ potential clients &

insurance markets;• Combined purchasing power;• Provided exchange opportunities for staff;• Provided learning of new skills & areas of expertise in

international markets;• Plan to set up offices in Vietnam this year.

Learning points from HII Experience

• Significant effort;• Time to build confidence; • Commitment.

International Business Manager,

T.G. Eakin Ltd

Julie Taylor

Julie Taylor

Head of International Business

‘Building an International Presence’

An introduction to

TG Eakin Limited

Company Introduction

Product Range

Quality R&D

Business Development

History

TG Eakin Ltd

History of T.G. Eakin Ltd.

• Manufacturer of wound care & ostomy products

• Founded in 1974 by Tom Eakin

• Today a successful, innovative company selling

to over 25 countries

• Acquired Pelican Healthcare in 2007.

Organisational ChartJeremy Eakin

Paul Eakin

Julie Taylor Aaron HewittBarbara-Ann

Hitchens

Margaret McBride

Jenny Carse

Alan Dunwoody

Stuart Menary

Jenny McIlroy

Alison Wilson

Grace McGroggan Laura Downey

Paul Hastings

Moira KerrOperators

(Outside QC Room)

Operators (inside QC Room)

R&D

• Team of 3 full time staff

• Devoted to R&D of quality ostomy and

wound care products

• Improvements to existing ranges.

Quality

• Hygiene standards

• ISO 13485:2003 accredited

• Traceability

• Each product is individually checked.

Product Range

TG Eakin Manufacture products for…

Stoma

And wound care

Stoma Care

An Example

3 days

One Product

One Market

Export

Global Market

New products –Organic Growth

New products –Acquisition

Business Development

New Products

Acquisition

New Markets

GROWTH

‘Building an international presence’

Business Development

Global Market Development

Export Targets – Which countries first?

• English speaking

• Northern European

Exporting: HOW?

• Target market.

• Who are your customers?

• Networking – word of mouth

• Research.

KNOW YOUR MARKET.

Market Entrance Strategies.

• Several strategies available when entering a market with a product.

• Cost• Differentiation

• Focus

Barriers to Entry.

• Regulations / Standards.

• Language.

• Currency fluctuations.

• Buying power of customers

• Competition.

Route to Market.• Sales office.

• Distributor.

• Agent.

• Relationship Building.

How to select distributors.

• Must already be active in your industry.

• Focus – how many competitor products?

• Experience• Referral

Managing and Motivating distributors.

• Visit the market as often as possible.• Support and training.

• Branding.

• New products.

• Case studies / clinical data.

• Targets / Discount Structure.

Total Seals Sales

0

500000

1000000

1500000

2000000

2500000

1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007

Year

Qty

(No

of S

eals

)UK Growth

Problems with Distributors.

Lack of focus.

Local issues• Business practices.

• Greetings.

• Fashion.

Advice

• Creating a global brand.

• Getting your message across.

• Quality.

Recognition for Excellence – Awards.

Belfast Telegraph – Highly commended Excellence in Exporting

UTV Business Eye – International Company of the Year.

Knowledge Transfer Partnership – Regional Winner.

Trade Investment NI – Small Business Exporter Award

ParcelForce Worldwide–Export Winner Small Business Awards

My Tips and Hints

Business Advice – Talk to other REAL business people

Financial - Good relationship with bank – Shop around for the best bank

Exporting – Visit the country very regularly

Thank you…………..and good luck!

Co-Founder & Managing Director,

Grafton Recruitment

Ken Belshaw

Question & Answer

Open Floor Discussion

Open Floor Discussion

• What are the various options available

to you to build your international presence?

• What are the resource implications of doing so?

• What are the advantages/disadvantages?

• How do you manage your international

presence?

Raffle

Business consultancy services worth £1,000 from another global World Trade Centre for two participant companies in today’s seminar

Weekend Stay in Donegal courtesy of Discover Donegal and Nichem Pools and Leisure for one participant company in today’s seminar

Lunch

Building an International Presence

World Trade Centre Belfast Export Excellence Series

Thursday 21st February NI Science Park, Belfast