MARKET RESEARCH FOR PRODUCTMARKET SELECTION FOR TRADE FAIR
PARTICIPATION
Kuldeep Sharma
June 20,2012
M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
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Regional Trade Promotion
ITC South-South Approach
TFA
Prod
Select
Wkshp
Product
Supply
Demand
Surveys
Market
Enterprise BSM
Slctn
Follow
- up
Enterprise
M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
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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
Computer Data
Storage Units
Current trade Indicative export
potential
$0.6mln
$124mln
Exports to the
world
$124mln
M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
Imports from the
world
$674mln.
3
TFA Methodology (I)
Static Matrix
M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
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TFA Methodology (III)
Dynamic Matrix
M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
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Market & Product Mix Analysis

Sale promotion
Present products/services

X
New Market
New product/service development
New Products/Services

Present Market
New market penetration
Present Products/Services

X
X
Present Market
New Business
X
New Products/Services
New Market
M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
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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.
M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
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SME GAPs
GAPS
Regional
requirements
SELECTION
BEING FILLED UP BY BMO
SME
COMPETENCE
COMPETITIVENESS
Global
requirements
GAPS
BEING FILLED UP BY BMO
ASSESSMENT
+ EMP
M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
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3T
Tools
Selection
Training
Establishing
Gaps
M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
Technical
Advisory
Handholding
to bridge
gaps
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Handholding
•
•
•
•
•
•
Market Entry Strategy
Export Quality
Export Finance
Export Packaging
Supply Chain Management
Human Resource management
M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
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Various trade promotion tools:
Cost and target
High
Salesperson
Trade fair/mission
Cost
Advertisement
(Newspaper,
magazine, journal,
directories,
TV, radio)
Direct mail
(Mail, email, telephone)
Internet
(Homepage/portal)
Low
Narrow
Target customers
M R for PRODUCT - MARKET SELECTION
Source: Modified from Japan Finance Corporation (2008)
FOR A TRADEFAIR
Wide
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German Foreign Trade Fair Programme
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M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
German Trade Fair Quality Abroad
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M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
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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M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
Participation in a trade fair as part of
the marketing mix
trade fair participation
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M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
Communication mix
– public relations
– advertising
– personal contact
– sales promotion
– market research
– corporate design
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M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
Price and conditions mix
– price
– credit
– discount
– payment
– service
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M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
Distributions mix
– sales organization
– distribution channels
– storage
– transport
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M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
Product mix
– product quality
– product range
– brand
– product design
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M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
Information behavior of trade fair
visitors
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M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
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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M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
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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M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
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
•
•
•
•
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Chambers of Industry and Commerce
Chambers of Industrial Crafts
Trade Associations
German Chambers of Commerce abroad
M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
MARKET RESEARCH
AT
TRADE FAIRS
Kuldeep Sharma
June 20,2012
M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
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THINK BEFORE
YOU ACT
•
•
•
•
Markets
Industry Catchments
Buyers Catchments
Events
M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
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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!
M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
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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:
M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
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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
M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
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Analyze the Fair concept
M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
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The Fair
concept
analyzed
• Products
– Assortments in fair program
– Number of competitors
– Number of local manufacturers
– Sectoral division
– Service providers present
(distribution)
M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
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The Fair concept
analyzed
• Exhibitors
– Sorts
– Importance
– Number
– Origin
– Manufacturers or traders
– Competitors
– New developments: follow the leaders?
M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
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The Fair concept
analyzed
• Visitors
–
–
–
–
–
–
–
Sorts
Importance/position/function
Number
Origin
Manufacturers or traders or subcontractors
Competitors
Track record: get testimonials from
organizer
M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
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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
M R for PRODUCT - MARKET SELECTION
FOR A TRADEFAIR
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