TAG | Saudi Arabia
29
Why the Kingdom of Saudi Arabia (KSA) Group Market Visit was a success
Comments off · Posted by skennedy in Uncategorized
Following up on the March 14, 2011 Blog article about Delta Pure Filtration’s success in the Kingdom of Saudi Arabia (KSA), I will offer some best practices that cause companies like Delta Pure succeed in International markets.
I led the group of 7 Virginia based companies on the December, 2010 trip. We enjoyed outstanding support from our in-country consultants, the U.S.-Saudi Arabian Business Council. Face to face meetings with vetted Saudi companies were arranged before we left Virginia.
The Virginia companies varied in size and represented diverse sectors including water filtration systems, forensic DNA analysis, IT security, architectural services with specialization in planning and design of living and learning environments for institutions of higher education, products and equipment used to clean a variety of surfaces while conserving water, patent and trademark legal services and U.S. made spare parts for military aircraft, radar, and weapon systems.
Highlights of the trip were a business generating reception and dinner at the home of Sheikh Tariq Abdel Hadi A. Al-Qahtani, Chairman of the Board of Abdel Hadi A. Al-Qahtani & Sons Group of Companies and a reception hosted by Morris F. DeFeo, Esq. of Crowell Moring. James Smith, U.S. Ambassador to Saudi Arabia, attended this reception and gave our group a realistic and fact based assessment of potential business in KSA.
Of the seven Virginia companies, all increased their knowledge of the Kingdom and relationships with potential Saudi Arabian business partners. At least 3 companies actually obtained sales or distribution contracts. One company signed one of the largest contracts in its company’s history while in the Kingdom.
Why were these companies successful?
- They wrote strong company profiles.
- They had a clear vision of their ideal partner.
- They found the right partners by using consultant in the market who understood their capabilities as well as the market.
- They shared marketing their materials with potential partners.
- They practiced telling their story and had unique selling points.
- They had follow-up meetings while in country (often the initial short meeting, a follow-up meeting at the hotel, and then a site visit to the Saudi company).
- They aggressively networked at group events.
- They were straightforward and honest in describing their capabilities.
- They were American (and Virginian).
- They knew success is unlikely without prompt effective follow-up by phone and return visits, not just e-mail.
- They were prepared to adjust their business model to suit local conditions based on a specific country, e.g. KSA.
- They used the resourses available to them via VEDP International Trade and its Global Network of in-country consultants.
exports · international business · international deals · international event · international sales strategy · Saudi Arabia · travel · VEDP · Virginia
14
Delta Pure Filtration Scores Largest Single Order on Visit to KSA
Comments off · Posted by skennedy in Uncategorized
There in the lobby of a hotel in Saudi Arabia in December of 2010, Todd Furbee, the owner of Delta Pure Filtration, located in Ashland, Virginia, was negotiating the single largest order in his company’s history. Todd was participating in a group market visit with Virginia Economic Development Partnership – International Trade.
Delta Pure Filtration began manufacturing filter cartridges in August, 1983. At the time Furbee purchased Delta Pure in the summer of 2007, the company had been doing a modest amount of international business. There were random sales to Taiwan and some activity in Brazil, Ecuador, and Saudi Arabia, but there was not an intentional pursuit of international business. That changed in 2008 when Delta Pure joined the AIM program and focused on entering the Canadian market. Things were looking up, but then the global recession hit, which led to a decrease in activity in Canada.
Undaunted, Furbee continued to pursue international deals. As a graduate of the AIM program, he was aware of the resources offered by VEDP – International Trade to help companies like his increase exports, and in July of 2010, Delta Pure entered the VALET program. With international sales accounting for approximately 25% of total sales, it was Furbee’s hope to increase international sales by 15% with the help of the VALET program. Knowing that there was interest for his company’s products in Saudi Arabia, the VEDP group market visit seemed like a natural fit.
Furbee’s trip to Saudi Arabia proved auspicious, netting the company’s largest single order. According to Furbee, “the market for water treatment and filtration products in Saudi Arabia is growing tremendously and represents great potential for Delta Pure. The group market visit provided Delta Pure with contacts and market insights we would have not been able to obtain on our own. We appreciate the efforts of the Virginia Economic Development Partnership and the confidence they have given us to pursue international sales.” In addition, Furbee notes, Delta Pure is adding production equipment and personnel to increase their manufacturing capacity at their facility in Ashland. It seems like Delta Pure, under Furbee’s direction, is well on its way to that 15% increase. For more information about Delta Pure Filtration, visit http://www.deltapure.com/.
Canada · Delta Pure Filtration · exports · group market visit · international business · manufacturer · Saudi Arabia · VALET program · VEDP · Virginia
