MARKET RESEARCH FOR PRODUCT- MARKET SELECTION FOR TRADE FAIR PARTICIPATION Kuldeep Sharma June 20,2012 M R for PRODUCT - MARKET SELECTION FOR A TRADEFAIR

M R for PRODUCT - MARKET SELECTION FOR A TRADEFAIR

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MARKET RESEARCH FOR PRODUCT-MARKET SELECTION FOR TRADE FAIR PARTICIPATION

Kuldeep Sharma

June 20,2012


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Regional Trade Promotion

TFA Supply DemandSurveys

BSM Follow- up

Prod SelectWkshp

Ent-erprise Slctn

ITC South-South Approach

Product Market Enterprise


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TFA Methodology• Identification of products with potential for

intra-regional trade potential • Reveals complementary products – those that

are exported from some of the countries to the rest of the world and imported from the rest of the world

• Indicative export potential: MIN (Exports to the world, Imports from the world) Product Current trade Indicative export

potentialExports to the

worldImports from the

world

Computer Data Storage Units

$0.6mln $124mln $124mln $674mln.


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TFA Methodology (I)

Static Matrix


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TFA Methodology (III)

Dynamic Matrix


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Market & Product Mix Analysis Sale promotion

New market penetration

New product/service development

New Business

Present products/services Present MarketX

New Products/Services New MarketX

New Products/Services Present MarketX

Present Products/Services New MarketX


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Supply / Demand Surveys

• Overview of the sector – Production– Export – Import – Domestic market– Investment– Regulations– Market Access

Requirements – Market prospects– SWOT

• Company data – Traded products– Econ activity per prod– Domestic vs export– Infrastructure– Technology – Standards– Sourcing– Packaging– Shipping– Etc.


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SME GAPs

SMECOMPETENCE

COMPETITIVENESSGlobal

requirements

Regionalrequirements

GAPS

GAPS

BEING FILLED UP BY BMO

ASSESSMENT + EMP

SELECTION

BEING FILLED UP BY BMO


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3T

Tools Training Technical Advisory

Selection Establishing Gaps Handholding

to bridge gaps


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Handholding

• Market Entry Strategy• Export Quality• Export Finance • Export Packaging• Supply Chain Management • Human Resource management


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Various trade promotion tools:Cost and target

High

Cost

Low

Salesperson

Advertisement(Newspaper,

magazine, journal, directories, TV, radio)

Direct mail(Mail, email, telephone)

Internet(Homepage/portal)

WideTarget customersNarrow

Trade fair/mission

Source: Modified from Japan Finance Corporation (2008)


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German Foreign Trade Fair Programme


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German Trade Fair Quality Abroad


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Selected functions of trade fairs

– Trade fairs offer market concentration reflecting selected markets

– Trade fairs are an experience appeal to all human senses

– Trade fairs guarantee and increase the transparency of the market

– Trade fairs open up new markets

– Trade fairs enable a direct comparison of price and performance

– Trade fairs encourage an intensive exchange of information


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Participation in a trade fair as part of the marketing mix

trade fair participation


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Communication mix

– public relations

– advertising

– personal contact

– sales promotion

– market research

– corporate design


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Price and conditions mix

– price

– credit

– discount

– payment

– service


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Distributions mix

– sales organization

– distribution channels

– storage

– transport


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Product mix

– product quality

– product range

– brand

– product design


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Information behavior of trade fair visitors


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Selection criteria

– your situation and participation aims fit in with the theme of the trade fair

– representative range of goods on offer

– your customer groups will be reached

– new target groups will be attracted


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Selection of suitable Trade Fairs

– analysis of trade fair landscape• themes• titles• target groups• regional scope

– own aims

– pre-selection

– visit


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Sources of information

– dates, product groups, statistics• AUMA_Messe Guide Deutschland• AUMA_Foreign Trade Fair Programme• AUMA German Trade Fair Quality Abroad• FKM-Report• Trade Fair Company/Organizer• www.auma.de

– additional sources of information• Chambers of Industry and Commerce• Chambers of Industrial Crafts• Trade Associations• German Chambers of Commerce abroad


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Kuldeep SharmaJune 20,2012

MARKET RESEARCH AT

TRADE FAIRS

THINK BEFORE YOU ACT

• Markets• Industry Catchments• Buyers Catchments• Events

25M R for PRODUCT - MARKET SELECTION FOR A TRADEFAIR

Using Trade Fairs for Market Research

• What’s it all about?– Company image– Product trends– Distribution trends– Market segmentation– Market positioning

• Wrong place, wrong data, wrong market analysis!


Suitability for Market Research?

• Shortlist of fairs– Exhibition calendar– Competition participations– Market leaders present?– industry associations active?– Trade promotion organizations present?

• But first of all desk research:


Web-enabled data collection!

• Visit the web sites of the most prominent International Trade Fairs– Trend reports & press releases

Example: http://www.imm-cologne.com/press/press_information.php


http://www.imm-cologne.com/press/press_information.php

Analyze the Fair concept


The Fair concept analyzed

• Products– Assortments in fair program– Number of competitors– Number of local manufacturers– Sectoral division– Service providers present

(distribution)



• Exhibitors– Sorts– Importance– Number– Origin– Manufacturers or traders– Competitors– New developments: follow the leaders?




• Visitors– Sorts– Importance/position/function– Number– Origin– Manufacturers or traders or subcontractors– Competitors– Track record: get testimonials from organizer

Research Objectives

List your objectives for today’s visit• Best location• Best presentation ( outside)• Best presentation (inside)• Best assortments• Best behavior of sales personnels• Best pricing policy• Best service guaranties• Best value offerings• Best branding


Documents

MARKET RESEARCH FOR PRODUCT- MARKET SELECTION FOR TRADE FAIR PARTICIPATION Kuldeep Sharma June 20,2012 M R for PRODUCT - MARKET SELECTION FOR A TRADEFAIR