You’ve hashed out a business plan for international expansion. You’ve thought about your financing options. You’ve got the ball well and truly rolling. So, what’s left? It’s time to figure out your sales and distribution channels.
Step 5: International SME sales & distribution
While your local distribution strategy might be a well-oiled machine, when it comes to distributing your products internationally, you’ll probably be starting from scratch. The good news is that having a clean slate gives you the opportunity to choose a distribution approach that’s ideally suited to trading internationally. You should:
Compare international distribution options
The types of products you sell and your business model will dictate how you distribute your products internationally – but there are a number of options to consider, including:
Company-owned foreign subsidiaries
Distribution agents who can sell your products for you
Selling through joint ventures
Affiliate sales channels
Keep in mind that using a third party to distribute your products can eat into your profit margin, so it’s important to forecast sales and profitability before committing to any one avenue.
Identify your online sales channels
Alongside working with foreign distributors and partners, remember that trading online is hugely beneficial for selling across multiple markets – and your online sales don’t have to be confined to your eCommerce store.
In today’s day and age, getting ahead as an eCommerce business means being able to deliver anytime, anywhere – and fast. Omnichannel distribution is an approach to selling that enables customers to complete a purchase and receive orders from any sales channel they choose. In other words, it’s about giving customers as much choice as possible.
To make your international customers’ experience as seamless as possible, think about ways you can incorporate this approach when expanding internationally by enabling things like click-and-collect, on-demand and next-day delivery, and in-store purchase with home delivery by courier.