The golden rule in selling abroad is get the details right

By ELLEN READ

Attention to details can make a big difference to a company's success in overseas markets.

Simple things such as ensuring documents bound for the United States are US letter size instead of our A4, and that business cards fit in a Rolodex can tip the balance, says Kinetiq chief executive Gavin Mitchell.

Kinetiq is an Auckland company with only 24 staff worldwide which provides customer management tools for energy companies in deregulated industries around the world.

Its flagship product, PV2, is a suite developed to make energy retailers more competitive.

With offices in the US, Australia and Canada, Kinetiq has made the move overseas. Mitchell said he had learned many things along the way.

The first was the importance of research to find out where you should expand and what the local scene is like.

"The first thing we did was to research who was likely to buy our product. We didn't just go to Australia because it was the closest," Mitchell said.

Next was looking at how best to sell in the chosen markets - franchise, distributorships, selling direct?

Mitchell said that because the Kinetiq product was an expensive one with a long- term sale cycle - a sale could take up to nine months to complete - it was decided to have its own employees, rather than use a franchise structure.

These staff members work from home offices, which helps reduce the cost for the company.

The third consideration was whether to put New Zealanders into the offices or employ locals.

Mitchell said that while New Zealanders had a reputation as good salespeople, Kinetiq decided that locals would be more likely to have a contact network that would help sales.

Last, the company decided that, while it would not hide its New Zealand origin, that would not be its initial selling point.

"We're not ashamed of being New Zealanders but we don't want to frighten [potential customers] who may not know much about the country. We want them to get to know us and then introduce them to the country," Mitchell said.

This was where ensuring documents were US-sized and using American spellchecks on computers helped.

Mitchell also said the exchange rate and time zone worked in Kinetiq's favour when dealing with overseas customers.

"My advice would be to understand your target, get the right people on board, gear your presence appropriately, set realistic budgets and targets, and set some clear milestones."