A global consulting firm recently published results of its global economic snapshot. While it was interesting to read, it was also with no surprise that the BRIC nations are predicted to trump over USA, eurozone and Japan as the drivers of world stimulus into 2011. It was no more surprising that the major insights are that inflation will rise and exchange rate volatility will remain. Doesn’t really speak too much of anything new does it? Sounds more like a confirmatory survey.

As I perused the content, I wondered about the credibility and validity of the respondents; turns out the only information related to this is that the survey was online for four days in early December and attracted 2,076 respondents. But, there was nothing explaining who those respondents were and how they can validate the result. There was no outline of the questioning approach, it may have been biased in some way, shape or form to produce the confirmatory result the survey was covertly seeking to achieve so as to concur with popular opinion and, as such, gain enhanced perception with a particular audience. To help valid a survey result, it’s ideal to know who are the respondents, what roles do they serve in industry, and are they qualified to make opinion on the topic?

At a local level, we are exposed to numerous examples of small operators and industry associations that have plucked some consensus from their database or membership. But I question how much thought is given to whether the results are biased. Is the sample representative of a valid population? What average is used, and why are there no reference to the questions and analysis of the respondents to display substance? This helps build credible survey results.

While many surveys make for interesting and thought provoking reading, their benefit lies in their means to complement our individual thinking and not over-influence us one way or other. As decision makers in business, it’s imperative we question the credibility of surveys before hastily directing resources into action or initiating policy. I’m sure most of you do anyhow. Often, survey results may not be what they seem.

Interpreting the relevance is all part ‘n’ parcel for marketing decision makers because inevitably they will either be asked to support or be influential in guiding a strategic initiative. A little devil’s advocacy will assist to ensure the execution of proposed tactics remain intact and with integrity. So, next time you are presented with a survey result consider delving a bit deeper.

A little bit of thought would contribute towards reducing headaches and saving money along with providing some scope for achieving the overseas market aspirations in the best interest of the business. Intuitively, businesses like to assume they know how to approach these activities, but here are my ideas on a list of questions to ask for greater assurance. I believe these will help any business develop insights on whether they are ready to start on an export journey.

Spare a moment to consider these questions:

• Are the directors supportive and think of export as integral to the future of the business?
• Does someone have time to build and liaise with overseas prospects/customers?
• Is venturing into exporting part of the overall business strategy?
• Does the offering have a uniqueness that is potentially attractive to an overseas market?
• For which overseas market is the offering potentially a good fit?
• Can the offer be adapted to meet foreign cultural preferences or legislative requirements?
• What is the offering’s competitive advantage?
• Can you demonstrate a good track record in your local market?
• Do you have an organised and defined approach locally?
• Where will you receive advice on how to develop an overall focus for export?
• Will you need to have support service in the target marketplace?
• Will production capacity cope with supply to additional markets?
• Can you meet the necessary export/import regulations, food safety standards?
• Do you know how to pinpoint the best market?
• Can you strictly adhere to promises of deadlines and delivery?
• How will you manage communication, and will you need an interpreter?
• What financial support may be required, short, medium and longer term?
• Do you have appropriate insurance coverage?
• Do you have a contact with expertise and access to logistics support?
• Do you have adequate knowledge of payment mechanisms and negotiating deals?

So you thought there was nothing to it? Think again! Some businesses jump directly into implementation when it comes to export and bypass the whole notion of a bit of navel-gazing to set the scene and establish a supportive environment internally around exporting. Those who start by contemplating some basic questions as outlined above will fare better for tackling the hurdles and surprises that will arise along any export journey.

Spending a little time to assess the business’ export readiness is important because it will help with the all important decisions such as capability to service an international marketplace or whether it’s better to devote more time on the home turf before challenging the business to export.

Investing a little time in answering these questions before taking the plunge into foreign territory will maximise your opportunity and enable you to focus on what you want to achieve. That way, you’ll have a clear vision to plan for and work towards. You will feel more confident and sure about your goals. Preparedness will set you apart from your competition, which may well be contending for the same opportunity.

Reliability, satisfaction, and increased value for the consumer rank as the highest values upon which channel partners will evaluate overseas suppliers. Excellent communication, openness, traceability, and willingness to provide full disclosure are essential.

Absence of these core values means long-term relationships will not come to fruition. When the Japanese buyer speaks of safety, they are referring to reassurance on not only quality control but more importantly consistency.

Japanese buyers have an enormous need for detail because they are accountable within the market. They take on the responsibility on behalf of the consumer and supplier. The ability for an Australian supplier to consistently meet the necessary standards and high quality provides the emotional reassurance to ensure a lasting and beneficial trading relationship.

Beyond taste, buyers are now seeking environmentally sensitive and conscious suppliers. For instance, product processes resulting in a lower carbon footprint will be highly attractive, as aspects related to lower CO2 emissions, reduced wastage during production and use, along with increased recycling really hit home with the Japanese consumers. From a consumer’s perspective, safety, and value for money, and country of origin rank extremely high on the prerequisites for acceptance and reassurance.

QR (Quick Response) codes are becoming more widely used on Japanese grocery items. These allow consumers to scan and receive information on the origins of a product via their mobile phone at point of sale. This is increasingly important for building credibility and transparency with Japanese consumers.

In 2008, a general survey of the Japanese populace found that food safety ranks fourth overall in relation to current concerns in life, after the environment, disaster and infection. In relation to food itself, safety also ranked fourth overall after attributes of fresh, price, and country of origin. In general, more and more consumers demand a reduction in pesticides and increase in safety. From the channel partner perspective the ranking of what’s important is safety, quality, and then price.

Understanding what motivates a potential channel to market partner in the Japanese market is a fundamental requisite for long term success in this most challenging market.

—Steve Dowling is the director of Clientlink